Sovereign Investment Advisors LLC Takes Position in Merck & Co., Inc. (NYSE:MRK)

Sovereign Investment Advisors LLC purchased a new stake in Merck & Co., Inc. (NYSE:MRK) in the 4th quarter, according to the company in its most recent 13F filing with the SEC. The fund purchased 3,111 shares of the company’s stock, valued at approximately $309,000.

A number of other institutional investors and hedge funds have also recently modified their holdings of MRK. Midwest Capital Advisors LLC purchased a new position in shares of Merck & Co., Inc. in the 4th quarter worth approximately $26,000. Financial Life Planners purchased a new position in shares of Merck & Co., Inc. in the 4th quarter worth approximately $28,000. Noble Wealth Management PBC purchased a new position in shares of Merck & Co., Inc. in the 4th quarter worth approximately $28,000. Halbert Hargrove Global Advisors LLC purchased a new position in shares of Merck & Co., Inc. in the 4th quarter worth approximately $28,000. Finally, Promus Capital LLC purchased a new position in shares of Merck & Co., Inc. in the 4th quarter worth approximately $30,000. Hedge funds and other institutional investors own 76.07% of the company’s stock.

Merck & Co., Inc. Stock Performance

MRK opened at $94.72 on Friday. The company has a debt-to-equity ratio of 0.79, a current ratio of 1.36 and a quick ratio of 1.15. The firm has a fifty day moving average price of $93.57 and a 200 day moving average price of $101.88. Merck & Co., Inc. has a 1 year low of $81.04 and a 1 year high of $134.63. The stock has a market cap of $239.27 billion, a P/E ratio of 14.07, a P/E/G ratio of 0.77 and a beta of 0.35.

Merck & Co., Inc. (NYSE:MRK) last posted its earnings results on Tuesday, February 4th. The company reported $1.72 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.85 by ($0.13). Merck & Co., Inc. had a net margin of 26.67% and a return on equity of 45.35%. The firm had revenue of $15.62 billion during the quarter, compared to analyst estimates of $15.51 billion. During the same quarter in the prior year, the firm earned $0.03 earnings per share. The business’s revenue for the quarter was up 6.8% on a year-over-year basis. Equities research analysts anticipate that Merck & Co., Inc. will post 9.01 earnings per share for the current year.

Merck & Co., Inc. Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, April 7th. Investors of record on Monday, March 17th will be paid a $0.81 dividend. This represents a $3.24 annualized dividend and a dividend yield of 3.42%. The ex-dividend date is Monday, March 17th. Merck & Co., Inc.’s dividend payout ratio is currently 48.14%.

Merck & Co., Inc. declared that its board has authorized a share buyback program on Tuesday, January 28th that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the company to purchase up to 4.1% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on the stock. Truist Financial reaffirmed a “hold” rating and issued a $110.00 price objective (down previously from $130.00) on shares of Merck & Co., Inc. in a research report on Wednesday, January 8th. Deutsche Bank Aktiengesellschaft downgraded shares of Merck & Co., Inc. from a “buy” rating to a “hold” rating and dropped their target price for the stock from $128.00 to $105.00 in a research report on Tuesday, February 18th. HSBC raised shares of Merck & Co., Inc. from a “hold” rating to a “buy” rating and set a $130.00 target price on the stock in a research report on Wednesday, December 4th. UBS Group dropped their target price on shares of Merck & Co., Inc. from $125.00 to $120.00 and set a “buy” rating on the stock in a research report on Wednesday, January 8th. Finally, Bank of America dropped their target price on shares of Merck & Co., Inc. from $118.00 to $112.00 and set a “buy” rating on the stock in a research report on Wednesday, February 5th. Eleven analysts have rated the stock with a hold rating, nine have issued a buy rating and three have issued a strong buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $117.12.

Insider Activity at Merck & Co., Inc.

In other Merck & Co., Inc. news, insider Cristal N. Downing sold 2,361 shares of the company’s stock in a transaction on Thursday, February 6th. The shares were sold at an average price of $88.76, for a total transaction of $209,562.36. Following the completion of the transaction, the insider now directly owns 7,085 shares in the company, valued at approximately $628,864.60. This represents a 24.99 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Inge G. Thulin acquired 2,833 shares of Merck & Co., Inc. stock in a transaction on Thursday, February 6th. The shares were bought at an average price of $88.25 per share, with a total value of $250,012.25. Following the completion of the transaction, the director now directly owns 2,933 shares of the company’s stock, valued at $258,837.25. This trade represents a 2,833.00 % increase in their position. The disclosure for this purchase can be found here. Company insiders own 0.09% of the company’s stock.

Merck & Co., Inc. Profile

Merck & Co, Inc is a health care company, which engages in the provision of health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. It operates through the following segments: Pharmaceutical, Animal Health, and Other. The Pharmaceutical segment includes human health pharmaceutical and vaccine products.