Merck & Co.'s Quarterly Earnings Preview: What You Need to Know

Rahway, New Jersey-based Merck & Co., Inc. (MRK) is an international healthcare company that offers human health pharmaceuticals across various areas, including Keytruda, Keytruda Qlex, Welireg, Gardasil, ProQuad, M-M-R II, Varivax, Vaxneuvance, and other brands. Valued at a market cap of $304.5 billion, the company is expected to release its Q1 2026 earnings on Thursday, Apr. 30, before the market opens.

Ahead of the event, analysts expect the company’s loss per share to be $0.58 on a diluted basis, down 126.1% from $2.22 in the year-ago quarter. The company has exceeded Wall Street’s EPS estimates in each of its last four quarters.

For fiscal 2026, analysts project the company’s earnings per share to be $4.92, down 45.2% from $8.98 in fiscal 2025. However, its EPS is expected to rise 101.4% year over year (YoY) to $9.91 in fiscal 2027.

MRK stock has surged 49.8% over the past 52 weeks, outperforming the S&P 500 Index’s ($SPX) 36.1% rise and the State Street Healthcare Select Sector SPDR ETF’s (XLV) 12.6% rise during the same time frame.

MRK stock rose 3.3% in the last trading session following the announcement of the company’s cash tender offer to purchase all outstanding shares of common stock of Terns Pharmaceuticals, Inc. (TERN), a clinical-stage oncology company, following the announcement of its definitive agreement to acquire Terns, which happened last month. The transaction was for $53.00 per share in cash, with an approximate equity value of $6.7 billion. This acquisition expands MRK’s presence in hematology with TERN-701 and further diversifies and strengthens its position in oncology solutions.

Analysts are moderately bullish on MRK, with the stock having a “Moderate Buy” rating overall. Among the 28 analysts covering the stock, 17 are recommending a “Strong Buy,” two suggest a “Moderate Buy,” and nine suggest a “Hold.” MRK’s average analyst price target of $131.42 indicates an upside of 6.7% from current levels.