Hodges Capital Management Inc. Sells 8,148 Shares of Merck & Co., Inc. $MRK

Hodges Capital Management Inc. trimmed its position in shares of Merck & Co., Inc. (NYSE:MRK) by 58.8% in the 2nd quarter, Holdings Channel reports. The institutional investor owned 5,714 shares of the company’s stock after selling 8,148 shares during the quarter. Hodges Capital Management Inc.’s holdings in Merck & Co., Inc. were worth $734,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Kingdom Financial Group LLC. bought a new position in Merck & Co., Inc. during the 4th quarter valued at about $25,000. Abound Financial LLC purchased a new stake in Merck & Co., Inc. in the 4th quarter worth about $26,000. Prosperity Bancshares Inc bought a new stake in Merck & Co., Inc. in the fourth quarter worth about $26,000. High Note Wealth LLC lifted its stake in Merck & Co., Inc. by 58.9% in the fourth quarter. High Note Wealth LLC now owns 294 shares of the company’s stock worth $31,000 after purchasing an additional 109 shares during the last quarter. Finally, IFC & Insurance Marketing Inc. purchased a new position in shares of Merck & Co., Inc. during the fourth quarter valued at approximately $31,000. Hedge funds and other institutional investors own 76.07% of the company’s stock.

More Merck & Co., Inc. News

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

• Positive Sentiment: Phase 3 melanoma success: Moderna and Merck said their individualized mRNA vaccine, intismeran, combined with Merck’s Keytruda, met the primary endpoint in a large Phase 3 trial. The combination significantly extended recurrence-free survival and reduced the risk of melanoma spreading compared with Keytruda alone. This represents the first positive late-stage result for a personalized mRNA cancer vaccine. Merck, Moderna say melanoma skin cancer vaccine meets goals in large trial
• Positive Sentiment: New growth opportunity for Keytruda: The results could expand Merck’s oncology franchise by pairing Keytruda with a mutation-targeted vaccine. The companies believe thousands of high-risk melanoma patients could eventually benefit, pending regulatory approval targeted for 2027. Similar trials are underway in lung, pancreatic, breast and other cancers. Why this mRNA cancer vaccine is raising new treatment hope
• Positive Sentiment: Strategic importance before patent expiry: A successful vaccine-Keytruda combination could help support Merck’s oncology pipeline as Keytruda’s patent protection is expected to expire later this decade. Unusually heavy call-option activity also indicated heightened bullish trading interest.
• Neutral Sentiment: Broader market support: Relief in bond markets helped lift rate-sensitive healthcare stocks generally, providing an additional supportive backdrop for Merck’s move. However, the company’s advance was primarily tied to the vaccine announcement.
• Negative Sentiment: Important uncertainties remain: The companies released topline results, while investors and analysts await complete trial data. The vaccine still requires regulatory approval, and the commercial opportunity, pricing and longer-term benefits are not yet established. Merck also faces substantial future pressure from Keytruda’s eventual loss of exclusivity.

Merck & Co., Inc. Stock Performance

Shares of NYSE:MRK opened at $152.21 on Thursday. The company has a market capitalization of $375.53 billion, a price-to-earnings ratio of 121.77, a price-to-earnings-growth ratio of 5.83 and a beta of 0.19. Merck & Co., Inc. has a 52 week low of $77.58 and a 52 week high of $153.50. The company has a quick ratio of 1.10, a current ratio of 1.32 and a debt-to-equity ratio of 1.22. The firm has a 50 day moving average of $126.86 and a 200 day moving average of $120.74.

Merck & Co., Inc. (NYSE:MRK) last announced its earnings results on Tuesday, August 4th. The company reported ($0.13) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.26) by $0.13. Merck & Co., Inc. had a return on equity of 16.73% and a net margin of 4.77%.The business had revenue of $16.61 billion for the quarter, compared to analysts’ expectations of $16.37 billion. During the same quarter last year, the firm earned $2.13 EPS. The business’s revenue for the quarter was up 5.1% on a year-over-year basis. Merck & Co., Inc. has set its FY 2026 guidance at 2.660-2.760 EPS. On average, sell-side analysts predict that Merck & Co., Inc. will post 2.77 earnings per share for the current fiscal year.

Merck & Co., Inc. Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 7th. Investors of record on Tuesday, September 15th will be given a dividend of $0.85 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $3.40 dividend on an annualized basis and a yield of 2.2%. Merck & Co., Inc.’s dividend payout ratio (DPR) is presently 272.00%.

Insider Activity at Merck & Co., Inc.

In other Merck & Co., Inc. news, EVP Chirfi Guindo sold 10,000 shares of Merck & Co., Inc. stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $135.00, for a total value of $1,350,000.00. Following the transaction, the executive vice president owned 36,613 shares in the company, valued at $4,942,755. The trade was a 21.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Richard R. Deluca sold 11,699 shares of the business’s stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $131.63, for a total transaction of $1,539,939.37. Following the completion of the transaction, the executive vice president owned 110,167 shares of the company’s stock, valued at $14,501,282.21. This represents a 9.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 228,238 shares of company stock valued at $29,977,783 over the last 90 days. Company insiders own 0.17% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have recently commented on the company. Weiss Ratings cut Merck & Co., Inc. from a “hold (c)” rating to a “hold (c-)” rating in a research note on Tuesday, August 11th. CICC Research started coverage on Merck & Co., Inc. in a report on Wednesday, June 24th. They set an “outperform” rating and a $138.00 price objective for the company. Wells Fargo & Company upped their price objective on Merck & Co., Inc. from $145.00 to $150.00 and gave the company an “overweight” rating in a research report on Wednesday, July 8th. Daiwa Securities Group raised Merck & Co., Inc. from a “neutral” rating to an “outperform” rating and set a $143.00 price objective on the stock in a research report on Wednesday, August 12th. Finally, Cantor Fitzgerald reiterated a “neutral” rating and issued a $120.00 target price on shares of Merck & Co., Inc. in a research note on Monday, July 6th. Fifteen equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat, Merck & Co., Inc. presently has an average rating of “Moderate Buy” and an average target price of $135.50.

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.