Investors show growing interest in Merck & Company

0

Merck & Company, Inc. published its fourth-quarter and full-year 2018 results some time ago. The company exceeded global analysts’ estimates by earning US$10.988 billion in revenue for 4Q 2018, which meant a year-on-year increase of 5.32%. The company’s net profit for the fourth quarter was up by 6.12% to US$1,040 billion. Merck & Company, Inc. (NYSE-MRK) has also recently become very attractive for investors thanks to the development of Keytrude, which is effective for treating lung cancer. These and other facts have attracted private investors and multinational investment corporations and increased their interest in Merck & Company, Inc. (NYSE-MRK) shares. On May 3, 2019 on NYSE (New York Stock Exchange) it traded for US$80.00 per share with a + 0.60% overnight increase.

Merck & Company, Inc. (NYSE-MRK) was founded 127 years ago, in 1891. Its headquarters is located in Kenilworth, New Jersey, USA. The CEO and President of the company is Mr. Kenneth C. Frazier. Merck & Company, Inc. offers health solutions through its prescription drugs, vaccines, biological therapies and animal health products. The company operates through these segments – the pharmaceutical industry, the animal health care segment, the health service. The company’s pharmaceutical segment includes human drugs and vaccines that are marketed either directly by the company or through joint ventures. Pharmaceuticals for human health consist of therapeutic and preventive agents that are usually sold on prescription. The company sells its pharmaceutical products for human health primarily to wholesalers and retailers, hospitals, government agencies and healthcare providers such as health organizations, pharmacies and other institutions.

Merck & Company, Inc. has also become popular with pharmaceutical companies, but also with investors thanks to the patented medicament Keytrude. The company has its patents protected until 2028. The main categories of Merck products include diabetes and cancer medicines, as well as vaccines and outpatient acute care. Merck & Company, Inc.’s bestselling products currently include Januvia (diabetes treatment), Keytrude (cancer medicine), Zetia and Remicade. Merck & Company, Inc. among other things, plans to invest US$8 billion into US capital projects over the next five years, which will possibly further increase its revenue over the coming years. Merck & Company, Inc. (NYSE-MRK) increased its overall turnover year-on-year by 5.41% to US$42.294 billion for fiscal year 2018. Operating profit increased by 33.43% year-on-year to US$8.701 billion. The company’s net profit grew by 159.8% to US$6.220 billion. The company has total assets worth US$82.637 billion and equity capital of US$26.882 billion. It currently employs 69,000 core workers.

Merck & Company, Inc. (NYSE-MRK) also pays its shareholders regular attractive quarterly paid dividends with a dividend yield of 2.75% p.a. The dividend amount was approved by the company’s General Meeting at US$2.20 per share. In 2019 Merck & Company, Inc., expects revenue growth in a range of US$43.2 billion to US$44.7 billion, which would be an increase of 4.75% from last year. The company has become very interesting for investors, both speculative and conservative, thanks to the published 4Q and 2018 economic results, but also thanks to the company’s outlook for 2019 and the current satisfactory dividend payout. According to analysts and financial strategists, an increase in share price can be expected in the short to medium term investment horizon, with an average share price target of US$84.02 per share.

LEAVE A REPLY

Please enter your comment!
Please enter your name here