Tidal Investments LLC Increases Stake in Merck & Co., Inc.

Tidal Investments LLC has boosted its investment in Merck & Co., Inc. (NYSE: MRK) by 23.5% during the third quarter, as detailed in its recent Form 13F filed with the Securities and Exchange Commission. After acquiring an additional 55,048 shares during this period, Tidal Investments now holds a total of 289,298 shares of Merck, valued at approximately $32,853,000.

In addition to Tidal Investments, several other institutional investors have altered their positions in Merck recently. For instance, IRON Financial LLC increased its holdings by 4.6% in the second quarter, now controlling 1,811 shares worth $224,000, after adding 80 shares. Similarly, Argent Capital Management LLC raised its stake by 0.8%, possessing 10,521 shares valued at $1,302,000, following the acquisition of 81 extra shares. Vista Investment Partners LLC and Wealthstream Advisors Inc. also expanded their holdings in Merck shares during the same period. Overall, institutional and hedge fund investors now represent 76.07% of Merck's total stock ownership.

Merck & Co., Inc. Stock Performance

On Thursday, shares of MRK traded up by $1.00, reaching a price of $100.75. A total of 1,510,234 shares were exchanged, significantly lower than the average trading volume of 9,247,465. Merck has a market capitalization of $254.86 billion, with a debt-to-equity ratio of 0.79 and a current ratio of 1.36. The company’s price-to-earnings (P/E) ratio stands at 20.92, while the P/E to growth (P/E/G) ratio is 1.49. Over the past year, the stock has fluctuated, hitting a low of $94.48 and a high of $134.63.

Merck recently released its earnings report for the third quarter on October 31. The company reported earnings of $1.57 per share (EPS), surpassing analysts' expectations of $1.50 by $0.07. They achieved revenue of $16.66 billion for the quarter, which also exceeded the anticipated $16.47 billion. Merck's net profit margin was 19.23%, and the return on equity amounted to 36.42%, demonstrating a year-over-year revenue growth of 4.4%.

Merck & Co., Inc. Dividend Announcement

Additionally, Merck has announced a quarterly dividend, set to be paid on January 8, with an amount of $0.81 per share for investors on record as of December 16. This translates to an annualized dividend of $3.24, offering a yield of 3.22%. The previous quarterly dividend was $0.77. Currently, Merck's dividend payout ratio (DPR) stands at 64.57%.

Analyst Ratings and Market Outlook

Various analysts have recently shared their opinions on Merck's stock. For instance, Daiwa Capital Markets downgraded the company from a "buy" to a "neutral" rating, while Guggenheim reduced its price target from $137 to $130, maintaining a "buy" stance. Citigroup and Truist Financial also adjusted their price targets and reiterated their "buy" ratings. The consensus among analysts is a moderate buy rating for Merck, with an average price target of approximately $129.20.

Company Overview

Merck & Co., Inc. operates globally in the healthcare sector and is divided into two main segments: Pharmaceutical and Animal Health. Under its pharmaceutical segment, Merck provides various products, focusing on areas like oncology, immunology, and diabetes, among others. Some well-known products include Keytruda and Januvia, along with a range of vaccines.

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