NEW YORK, Jan 30, 2026, 15:42 EST — Regular session
- Merck shares rose in late U.S. trading, bucking the weaker broader market trend
- As investors grow cautious, health care outperforms the broader benchmark
- Attention turns to Merck’s Feb. 3 update, where guidance and Keytruda trends will take center stage
Merck & Co shares climbed roughly 1.2% to $109.64 by Friday afternoon, finding footing after a volatile week for U.S. stocks. The health care sector showed strength, with the Health Care Select Sector SPDR ETF edging up about 0.6%, despite the broader market slide—the SPDR S&P 500 ETF dipped roughly 0.5%. Johnson & Johnson held steady, while Pfizer and Eli Lilly posted gains.
Drugmakers saw buying interest as investors digested new policy clues and inflation data. Donald Trump appointed Kevin Warsh to head the Federal Reserve, while U.S. producer prices, a key wholesale inflation indicator, climbed more than anticipated in the latest report. “You’ve got uncertainty,” noted Terry Sandven of U.S. Bank Asset Management. 1
Timing is crucial for Merck. A packed week of earnings reports and major economic data lies ahead, and investors have shown little patience for firms that fall short. “For those companies where expectations have become very lofty, the onus is on them to deliver,” said Jim Baird, chief investment officer with Plante Moran Financial Advisors. 2
Merck announced it will hold its fourth-quarter and full-year 2025 sales and earnings call at 9:00 a.m. ET on Tuesday, Feb. 3. 3
Traders are focused on any updates to the company’s 2026 outlook, particularly regarding demand for its cancer drug Keytruda, a major growth driver, alongside vaccines that support its wider portfolio. Even slight shifts in pricing, volume forecasts, or competitive dynamics could trigger swift moves in the stock.
Investors keep a close eye on pipeline cadence — which trial results are coming up and if deadlines get pushed back. Clear updates can boost confidence, but vague ones might send shares drifting, even when the numbers look solid.
The risk is clear: a weaker-than-expected outlook, a hiccup in the pipeline, or more challenging pricing pressures could erode the defensive edge that’s kept big pharma steady when markets turn sour.
Investors remain wary of Keytruda’s looming patent expiry, though it didn’t steer Friday’s moves. Merck has been expanding its foothold in oncology and vaccines to cushion the impact when the patent finally runs out.
February 3 is the next date to watch. Investors will be focused on guidance, product updates, and any clues about what follows Keytruda’s peak sales period.
