Drugmaker Merck & Co., Inc. (
) on Monday posted better-than expected adjusted second quarter
profit, but its revenue fell short of analysts' view.
The Kenilworth, NJ-based company reported second quarter net
income of $752.4 million, or 24 cents per share, compared with
$1.56 billion, or 74 cents per share, in the year-ago period.
Excluding one-time items, adjusted profit was 86 cents per
Revenue nearly doubled from last year, to $11.35 billion.
On average, Wall Street analysts expected a smaller profit of 83
cents per share, albeit on slightly higher revenue of $11.45
Looking ahead, the company narrowed its full-year forecast to a
range of 82 cents to $1.16 per share, or $3.29 to $3.39 excluding
items. Analysts currently expect $3.34 for the year on an adjusted
Merck shares were mostly flat in premarket trading Monday.
The Bottom Line
Shares of MRK have a 4.41% dividend yield, based on Friday's
closing stock price of $34.46. The stock has technical support in
the $32 price area. If the shares can firm up, we see overhead
resistance around the $38 price level. We would remain on the
sidelines for now.
Merck & Co., Inc. (
) is not recommended at this time, holding a Dividend.com DARS™
Rating of 3.4 out of 5 stars.
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