Merck & Co., Inc. (NYSE:MRK) Releases FY 2026 Earnings Guidance

Merck & Co., Inc. (NYSE:MRK) updated its FY 2026 earnings guidance on Tuesday. The company provided EPS guidance of 5.000-5.150 for the period, compared to the consensus EPS estimate of 5.860. The company issued revenue guidance of $65.5 billion-$67.0 billion, compared to the consensus revenue estimate of $67.5 billion.

Merck & Co., Inc. Price Performance

Merck & Co., Inc. stock opened at $113.44 on Tuesday. Merck & Co., Inc. has a 52-week low of $73.31 and a 52-week high of $113.89. The company has a quick ratio of 1.44, a current ratio of 1.66 and a debt-to-equity ratio of 0.77. The firm’s fifty day moving average is $105.46 and its 200 day moving average is $92.23. The company has a market cap of $281.56 billion, a price-to-earnings ratio of 14.99, a PEG ratio of 1.55 and a beta of 0.28.

Merck & Co., Inc. (NYSE:MRK) last issued its quarterly earnings data on Tuesday, February 3rd. The company reported $1.94 EPS for the quarter, missing analysts’ consensus estimates of $2.08 by ($0.14). Merck & Co., Inc. had a return on equity of 44.54% and a net margin of 29.63%.Merck & Co., Inc. has set its FY 2026 guidance at 5.000-5.150 EPS. Sell-side analysts forecast that Merck & Co., Inc. will post 9.01 EPS for the current fiscal year.

Merck & Co., Inc. Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 7th. Shareholders of record on Monday, March 16th will be given a dividend of $0.85 per share. The ex-dividend date is Monday, March 16th. This represents a $3.40 dividend on an annualized basis and a yield of 3.0%. Merck & Co., Inc.’s dividend payout ratio is 44.91%.

Analyst Upgrades and Downgrades

MRK has been the subject of a number of recent research reports. Bank of America lifted their target price on Merck & Co., Inc. from $105.00 to $120.00 and gave the stock a “buy” rating in a report on Monday, December 15th. Zacks Research downgraded Merck & Co., Inc. from a “hold” rating to a “strong sell” rating in a research report on Friday, January 9th. Wall Street Zen raised shares of Merck & Co., Inc. from a “buy” rating to a “strong-buy” rating in a research note on Saturday. Weiss Ratings reiterated a “hold (c)” rating on shares of Merck & Co., Inc. in a research report on Monday, December 29th. Finally, TD Cowen raised their target price on shares of Merck & Co., Inc. from $100.00 to $120.00 and gave the stock a “hold” rating in a report on Tuesday, January 20th. Eight research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Merck & Co., Inc. has a consensus rating of “Hold” and an average target price of $114.53.

Key Merck & Co., Inc. News

Here are the key news stories impacting Merck & Co., Inc. this week:

• Positive Sentiment: Q4 results beat on revenue and continued strong demand for Keytruda and newer portfolio additions, supporting near-term growth and cash flow. Merck tops quarterly estimates, posts modest 2026 guidance as generic competition looms
• Neutral Sentiment: Company press release highlights full-year results and pipeline progress — positive for long-term fundamentals but does not remove near-term guidance uncertainty. Merck & Co., Inc., Rahway, N.J., USA Announces Fourth-Quarter and Full-Year 2025 Financial Results; Highlights Progress Advancing Broad, Diverse Pipeline
• Negative Sentiment: Management’s 2026 sales and profit outlook came in below Wall Street estimates, citing outsized impact from upcoming patent expirations (notably Januvia) that will reduce revenue versus consensus. Merck forecasts 2026 sales below estimates on patent losses
• Negative Sentiment: Company warns earnings growth will slow as it increases spending on acquisitions — this can weigh on near-term EPS even if it strengthens the long-term portfolio. Merck Expects Slower Earnings Growth As It Spends on Acquisitions
• Neutral Sentiment: Analyst previews and market commentary ahead of the report framed expectations; sector momentum and macro data may amplify intraday moves but are secondary to Merck-specific guidance and patent timing. Merck Q4 2025 Earnings Preview

Hedge Funds Weigh In On Merck & Co., Inc.

Hedge funds have recently added to or reduced their stakes in the stock. AQR Capital Management LLC increased its position in shares of Merck & Co., Inc. by 21.3% during the third quarter. AQR Capital Management LLC now owns 10,658,099 shares of the company’s stock worth $851,369,000 after acquiring an additional 1,870,827 shares during the period. CANADA LIFE ASSURANCE Co increased its holdings in Merck & Co., Inc. by 16.4% during the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 3,632,893 shares of the company’s stock worth $287,781,000 after purchasing an additional 511,604 shares during the period. Lazard Asset Management LLC increased its holdings in Merck & Co., Inc. by 6.9% during the 3rd quarter. Lazard Asset Management LLC now owns 7,063,672 shares of the company’s stock worth $592,854,000 after purchasing an additional 454,605 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Merck & Co., Inc. by 111.7% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 681,128 shares of the company’s stock valued at $53,918,000 after purchasing an additional 359,356 shares in the last quarter. Finally, Caisse de depot et placement du Quebec raised its position in Merck & Co., Inc. by 7.8% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 4,767,070 shares of the company’s stock valued at $400,100,000 after purchasing an additional 346,959 shares in the last quarter. 76.07% of the stock is currently owned by institutional investors.

Merck & Co., Inc. Company Profile

Merck & Co, Inc is a global biopharmaceutical company engaged in the discovery, development, manufacture and marketing of prescription medicines, vaccines, biologic therapies and animal health products. Its portfolio spans multiple therapeutic areas with a particular emphasis on oncology, vaccines and infectious disease, as well as therapies for metabolic and chronic conditions. Among its well-known products are the cancer immunotherapy Keytruda (pembrolizumab) and the human papillomavirus vaccine Gardasil; the company also markets a range of medicines and vaccines for veterinary use through Merck Animal Health.

Founded in the late 19th century as the U.S.