Merck & Co., Inc. (NYSE: MRK) spent Wednesday trading just below fresh 52‑week highs, as Wall Street continues to digest a powerful mix of positive drug news, upbeat earnings, and a wave of analyst upgrades and institutional buying.
Merck stock price today: holding near record territory
Merck shares closed today around $105.3 per share, slipping only a few tenths of a percent after Tuesday’s surge but remaining within a hair of the 52‑week high of about $105.84 set on November 25. Volume was a bit below the prior session but still healthy, with roughly 3.8–3.9 million shares changing hands. [1]
From late May to November 25, Merck’s stock has climbed about 40–41%, according to an analytical breakdown by Trefis, driven by expanding margins and multiple expansion rather than explosive top‑line growth. [2] A separate performance piece notes that MRK recently broke out to new highs and has been outperforming the broader healthcare sector into late November. [3]
Key context for today:
- Price: about $105.3
- Move on the day: roughly ‑0.3%, a modest consolidation after a huge run [4]
- 52‑week range: low in the low‑$70s, high just above $105 [5]
- Market cap: around $260+ billion at current levels [6]
In other words, Merck stock isn’t exploding higher today—but it is holding most of its recent gains, which is often what investors want to see after a big breakout.
What’s driving Merck’s rally? Keytruda wins and a clean Q3 beat
Today’s narrative around MRK stock is mostly about follow‑through from a string of late‑November catalysts rather than a single headline on the day.
1. FDA approval for Keytruda + Padcev in bladder cancer
A major driver of Merck’s recent strength has been U.S. Food and Drug Administration (FDA) approval of:
- KEYTRUDA® (pembrolizumab) and
- KEYTRUDA QLEX™ (a new co‑formulation of pembrolizumab with hyaluronidase for faster administration)
each used in combination with Padcev® (enfortumab vedotin‑ejfv) as a perioperative treatment for muscle‑invasive bladder cancer (MIBC) in adults who are ineligible for cisplatin‑based chemotherapy. [7]
This regimen—used both before and after surgery—represents the first PD‑1 inhibitor plus antibody‑drug conjugate (ADC) combination approved for this patient group, expanding Keytruda’s reach into another high‑value cancer setting. [8]
An article today from Simply Wall St. notes that MRK is up close to 10% in the wake of this Keytruda–Padcev approval, highlighting how important this indication is for the stock’s recent move. [9]
2. Subcutaneous / QLEX Keytruda momentum in Europe
On top of the U.S. approval, Merck recently secured European Commission approval for a subcutaneous form of Keytruda, allowing the therapy to be given by injection under the skin instead of as an intravenous infusion. [10]
This fits into a broader strategy:
- Shorter chair time and easier administration can improve patient and physician adoption.
- A differentiated formulation is also helpful as Merck looks ahead to the Keytruda patent cliff later this decade and aims to make the franchise as sticky as possible.
Today’s commentary around MRK stock keeps circling back to the idea that Merck is not just adding new indications—but also building more convenient ways to deliver its flagship drug.
3. Strong Q3 2025 earnings and raised guidance
Merck’s Q3 2025 results, reported in late October, are another anchor for the current rally:
- Revenue: about $17.3 billion, up ~4% year over year [11]
- Non‑GAAP EPS:$2.58, beating consensus expectations of ~$2.36 [12]
- Keytruda sales: around $8.1 billion, up roughly 10% year over year [13]
- FY 2025 guidance: total revenue guided to roughly $64.5–$65.0 billion and EPS to $8.93–$8.98, not far from the Street’s ~$9.01 per share expectation [14]
Importantly, Merck is also showing that the pipeline beyond Keytruda is starting to matter financially:
- Winrevair, for pulmonary arterial hypertension, delivered about $360 million in Q3 sales, already on a >$1 billion annualized run rate. [15]
- Capvaxive, a newer pneumococcal vaccine, generated roughly $244 million in the quarter. [16]
- The animal health business grew roughly 9% to about $1.6 billion in Q3 revenue. [17]
Merck’s own update ahead of the ASH 2025 hematology conference also emphasizes a deep oncology pipeline, including new data for MK‑1045 (a CD19xCD3 T‑cell engager), bomedemstat (LSD1 inhibitor) and nemtabrutinib (BTK inhibitor). [18]
Taken together, these data points reinforce the message that Merck is more than just Keytruda, even if Keytruda remains the core of the investment story.
Analyst sentiment: Wells Fargo, BofA and others lean bullish
Today’s news flow also reflects a growing chorus of bullish (or at least constructive) analyst views.
Wells Fargo upgrade to “Buy” with a $125 target
Earlier this week, a widely followed Wells Fargo analyst, Mohit Bansal, upgraded Merck from Hold/Equal Weight to Buy/Overweight, lifting his price target from $90 to $125. [19]
Bansal’s thesis, as summarized in TipRanks and subsequent commentary:
- Merck’s business development deals (such as Cidara’s experimental flu drug), ongoing launches and pipeline progress give confidence it can offset the eventual Keytruda patent expiration. [20]
- He sees Merck returning to top‑line growth in the early 2030s, even after Keytruda loses exclusivity. [21]
That bullish call was one of the triggers behind Monday’s ~4% jump in MRK stock and is still echoing through today’s analysis. [22]
BofA reiterates “Buy” and raises target to $105
In a note highlighted today by Insider Monkey, Bank of America reiterated its Buy rating on Merck and lifted its price target from $98 to $105, citing the Cidara deal and strong Q3 execution. [23]
BofA’s analysis underscores:
- Solid Q3 revenue and margin performance
- Growing contributions from Winrevair and Capvaxive
- A pipeline of 80+ active clinical trials, giving Merck multiple shots on goal beyond Keytruda [24]
Broader Street view: “Moderate Buy” with upside vs. today’s price
MarketBeat data updated today shows that:
- 2 analysts rate MRK as Strong Buy,
- 6 as Buy,
- 9 as Hold, and
- 1 as Sell,
for an overall “Moderate Buy” consensus and an average price target around $107 per share—only modestly above today’s price, but still suggesting some upside. [25]
Several other firms—including Morgan Stanley, Scotiabank and Deutsche Bank—have either initiated or updated coverage in recent weeks, mostly with neutral‑to‑positive stances and targets in the mid‑$90s to low‑$110s, which frame today’s price as close to but not dramatically above fair value. [26]
Valuation check: mid‑teens P/E and a bigger dividend
Despite its sharp rally, Merck doesn’t yet trade like a hyper‑growth biotech.
Earnings multiple
Various valuation trackers show that as of late November:
- Merck’s trailing P/E (TTM) sits around 13–14x, based on a price in the low‑$100s and roughly $7.5+ in trailing EPS. [27]
- The forward P/E (based on 2025–2026 estimates) clusters around 9–11x, depending on the source and earnings assumptions. [28]
Several independent valuation sites describe MRK as cheap to fairly valued on a P/E basis relative to both its own history and an implied “fair” P/E that could be considerably higher if earnings growth holds up. [29]
Dividend raise for 2026
Merck has also sweetened the income story. The company recently:
- Raised its quarterly dividend to $0.85 per share from $0.81, starting with the January 2026 payment, implying an annualized dividend of $3.40. [30]
- At today’s share price, that works out to a dividend yield of roughly 3.2%—a respectable payout for a large‑cap pharma stock with visible growth drivers. [31]
For dividend investors, that combination of a 3%+ yield and a mid‑teens earnings multiple is part of the reason MRK keeps appearing on various “quality dividend” and “defensive pharma” stock lists. [32]
Big money moves: institutional investors rotate into (and out of) MRK
An unusually dense cluster of 13F‑based institutional ownership stories about Merck also hit the wires today, reflecting how active professional money has been in the name.
MarketBeat‑tracked filings published on November 26 show that:
- Laurel Wealth Advisors LLC boosted its Merck stake by over 7,500%, ending the quarter with about 489,000 shares worth roughly $38.7 million. [33]
- Te Ahumairangi Investment Management Ltd increased its position by 11.5% to about 109,700 shares, making MRK its 15th‑largest holding at about 1.6% of the portfolio. [34]
- J.W. Cole Advisors Inc. raised its stake by 28.5% to roughly 120,000 shares. [35]
At the same time, some investors are trimming:
- Northwest & Ethical Investments L.P. cut its position by 19.5%, ending with about 302,500 shares. [36]
- Choreo LLC reduced its stake by 2.9%, selling a few thousand shares but still holding more than 120,000. [37]
Despite these cross‑currents, the common thread is that institutional ownership remains high—over 75% of the float is in the hands of professional investors, according to multiple MarketBeat summaries. [38]
For everyday investors, that level of institutional participation typically signals strong scrutiny and relatively efficient pricing, but also a degree of confidence that Merck can navigate its upcoming challenges.
Today’s fresh headlines: conferences and commentary
Beyond the bigger themes, a few new items dated November 26, 2025 are also shaping the day’s Merck stock coverage:
- Merck to participate in the Citi 2025 Global Healthcare Conference.
The company announced it will present at Citi’s high‑profile sector conference in early December, giving management another forum to update investors on the pipeline, capital allocation and the post‑Keytruda strategy. [39] - Deep‑dive explainer on the 40% stock move.
Trefis published a detailed breakdown today of why MRK is up about 41% between May 29 and November 25, attributing the gain to only modest revenue growth but sharply higher margins and a nearly 28% expansion in the stock’s P/E multiple, backed by the FDA Keytruda approval, Q3 beat and Wells Fargo upgrade. [40] - Gardasil remains a watch‑item.
A new Zacks note asks whether soft demand for Merck’s HPV vaccine Gardasil will continue to drag on the company’s top line, echoing earlier concerns that Japan’s catch‑up campaign and other timing issues have depressed recent Gardasil sales, even as oncology drugs boom. [41] - Valuation and sector‑relative performance.
Fresh pieces assessing whether MRK is outperforming the broader healthcare sector and whether the stock is still attractively valued after its rally emphasize that Merck now trades in the mid‑$100s but still at a discount to many high‑growth peers on forward earnings. [42]
Together, these headlines help explain why MRK is not exploding higher today—most of the good news is already known—but why the stock is also refusing to give back much ground.
Key risks to keep in mind
Even on a strong tape, the market hasn’t forgotten that Merck faces real challenges:
- Keytruda patent expiry (“LOE”) risk
Keytruda remains Merck’s largest product by far, and its U.S. patent expiration around 2028 still looms large. Multiple analysts, including Wells Fargo, frame that as the central long‑term risk, even as they argue the pipeline and M&A can help fill the gap. [43] - Drug pricing and policy pressure
The entire industry faces ongoing U.S. pricing reforms and, more recently, political discussions about tariffs on imported drugs. Reuters has flagged how big pharma is repositioning supply chains in response to these threats, reminding investors that margin expansion is not guaranteed, even if volumes grow. [44] - Gardasil and vaccine volatility
As today’s Zacks commentary notes, softer Gardasil demand has been a headwind for Merck’s top line and could remain lumpy, particularly as large vaccination campaigns ebb and flow. [45] - Clinical and execution risk
Programs like MK‑1045, bomedemstat and nemtabrutinib are still in clinical development; setbacks at ASH 2025 or beyond could dent sentiment around Merck’s post‑Keytruda growth story. [46] - Corporate actions and shareholder issues
Merck recently urged shareholders to reject a discounted “mini‑tender” offer by Tutanota, a reminder that smaller corporate actions and opportunistic bids can create noise around the name. [47]
These are exactly the types of issues investors will be listening for when management speaks at the upcoming Citi 2025 Global Healthcare Conference.
Outlook: Merck stock after today
Putting it all together, Merck stock on November 26, 2025 sits at an interesting crossroads:
- Bullish factors right now
- New Keytruda + Padcev approval in MIBC and broader momentum in oncology. [48]
- A clean Q3 beat, raised guidance and strong performance from newer products like Winrevair and Capvaxive. [49]
- A higher dividend and a valuation still in the low‑teens P/E range on trailing earnings. [50]
- Analyst upgrades (Wells Fargo to Buy with a $125 target, BofA to $105) and a Moderate Buy Street consensus around $107. [51]
- Evidence of significant institutional buying from multiple asset managers. [52]
- Balancing risks
For now, though, MRK looks like a large‑cap pharma leader trading near all‑time highs but not yet at extreme valuations, with a growing dividend and a pipeline that investors are increasingly willing to pay for.
As always, this article is for information and news purposes only and does not constitute financial advice. Anyone considering Merck stock should evaluate their own risk tolerance and financial situation—or consult a licensed financial adviser—before making investment decisions.
References
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