|Company name||Merck & Co., Inc.|
|Live stock price||[stckqut]MRK[/stckqut]|
|P/E compared to competitors||Good|
|Confident Investor Rating||Good|
|Target stock price (TWCA growth scenario)||$98.03|
|Target stock price (averages with growth)||$80.89|
|Target stock price (averages with no growth)||$37.04|
|Target stock price (manual assumptions)||$70.09|
The following company description is from Google Finance: http://www.google.com/finance?q=mrk
Merck & Co., Inc. is a global healthcare company. The Company offers health solutions through its prescription medicines, vaccines, biologic therapies and animal health products, which it markets directly and through its joint ventures. It operates through one segment, Pharmaceutical. The Company’s Pharmaceutical segment includes human health pharmaceutical and vaccine products marketed either directly by the Company or through joint ventures. Human health pharmaceutical products consist of therapeutic and preventive agents, generally sold by prescription, for the treatment of human disorders. The Company sells these human health pharmaceutical products primarily to drug wholesalers and retailers, hospitals, government agencies and managed healthcare providers. The Animal Health segment discovers, develops, manufactures and markets animal health products, including vaccines. The Company’s animal health products are sold to veterinarians, distributors and animal producers.
Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Merck & Co., Inc.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.
How was this analysis of Merck & Co., Inc. calculated?
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
- Stock price at the time of the calculation: $63.29
- Growth: 0.12
- Current EPS (TTM): $1.83
- P/E: 35
- Future EPS Calc: $3.22
- Future Stock Price Calc: $112.87
- Target stock price: $70.08
I hope that this makes you a Confident Investor.