NEW YORK, January 1, 2026, 14:30 ET — Market closed
- Merck closed Dec. 31 down 0.75% at $105.26; it last ticked up 0.13% after hours to $105.40.
- Markets are closed Thursday for New Year’s Day; focus turns to the Jan. 12-15 JPMorgan Healthcare Conference and Merck’s Feb. 3 earnings.
- Wall Street ended 2025 with a soft, thinly traded final session, and strategists warned against over-reading late-December moves.
Merck & Co.’s stock ended the year’s final trading session lower and was little changed in after-hours trading — the session after the 4 p.m. close — with U.S. markets shut on Thursday for New Year’s Day. The shares closed Dec. 31 down 0.75% at $105.26 and last traded at $105.40 after hours.
The holiday pause comes after Wall Street slid in thin year-end trade on Wednesday, leaving investors to reset positions for 2026 without a fresh U.S. equity session on the holiday. The S&P 500 fell 0.74% on the day and the Nasdaq dropped 0.76%.
For Merck, the calendar flip spotlights a central medium-term debate: how quickly it can build new growth engines ahead of a “patent cliff” for Keytruda, its best-selling cancer immunotherapy. A patent cliff is the period when exclusivity ends and lower-priced rivals can erode branded drug sales. PharmExec
At $105.26, MRK sits about 2% below its 52-week high of $107.59, keeping the stock near the upper end of its annual range. The shares traded between $104.99 and $106.10 on Dec. 31.
Strategists urged caution about reading too much into late-December price action, when liquidity can be thin. “It’s perfectly fine in any bull market to have moments of cost,” said Giuseppe Sette, co-founder and president of Reflexivity. Reuters
Merck is often treated as a defensive healthcare holding — meaning investors buy it for steadier demand — because drug and vaccine revenue tends to be less sensitive to the economic cycle than many industries. In oncology, it competes with Bristol Myers Squibb and AstraZeneca, keeping investors focused on trial data and product life-cycle management.
Macro expectations also matter for large pharma valuations, which can move with interest-rate forecasts. Morgan Stanley Investment Management’s Jitania Kandhari said she expects market performance to broaden in 2026, a backdrop that can favor steady cash generators.
Barron’s highlighted Merck this week among stocks screened for strong free cash flow — cash left after operating costs and capital spending — as investors debate whether “quality” shares have lagged riskier names. The publication pointed to Merck’s cash generation as it prepares for a post-Keytruda growth push. Barron’s
The next major industry calendar marker is the 44th Annual J.P. Morgan Healthcare Conference in San Francisco on Jan. 12-15, which often brings strategy updates and deal chatter from drugmakers and biotech firms. JPMorgan said the conference will run those dates.
Before the next session on Friday, traders will watch whether the year-end defensive tilt toward healthcare persists as volumes normalize and investors rebalance portfolios for 2026. U.S. stock markets are closed Thursday for the holiday.
Company-specific focus shifts to Merck’s next earnings report on Feb. 3, when investors will parse 2026 guidance and updates on products and pipeline progress meant to cushion the eventual Keytruda slowdown.
On the chart, the $107.59 52-week high is the upside line in the sand, while the Dec. 31 low near $104.99 is an early support level if risk appetite fades. Below that, the stock’s 52-week low sits at $73.31.
