Monday, July 30, 2012

UBS Ups Merck Target To $50; Joining Citi

Due in large measure to the strength of Merck's Q2 results -- even in the face of a tough EU zone environment (and impliedly, on confidence in the plan Whitehouse Station has laid out to deal with the Signulair® exclusivity expiry -- later this week -- expected 90 percent decline in sales within weeks, for the twelfth biggest drug franchise in the world), UBS analysts have belatedly-joined the Citi analysts in rating Merck a buy, and placing the next 12 month NYSE price target at $50. I think this a reasonable take on the No. 3 (or 4) drugmaker in the world.

From the Yahoo! blurb, then:

. . . .Merck & Co. (MRK) After a good second quarter, UBS analyst Marc Goodman has increased his price target from $45 to $50. Merck seems to be weathering the patent expiration of Singulair well, and maintained its guidance despite EU headwinds. The pipeline looks promising as well, data from Odanacatib and Cordaptive could be catalysts in the second half. . . .

As ever, we shall see -- but things are clearly looking up at Merck, even if the stock is falling a fraction this morning, on the NYSE, on the news.

1 comment:

Anonymous said...

more importantly: