Brandes Investment Partners 13F: Cuts Merck (MRK) Stake by $21M

Brandes Investment Partners Lowers Merck Exposure

Brandes Investment Partners trimmed its position in Merck & Co., Inc. (NYSE: MRK), according to a Form 13F filing with the SEC. The fund lowered its holdings by 6.7%, shedding 164,963 shares during the period ended May 15, 2026. Following the reduction, the firm held 2,302,562 shares valued at roughly $295.9 million.

Merck Stock Price and Valuation Context

Shares of Merck changed hands around $128.50 on the day of publication. The healthcare giant trades well above its 200-day moving average of $120.70, while sitting below its 50-day moving average of $138.39. Merck carries a trailing P/E ratio of 119.6 based on an EPS of $1.25, while its forward P/E sits at a more modest 15.7.

Recent Earnings Performance

Merck posted annual revenue of $66.6 billion, representing a 5.1% growth rate. The company reported a net margin of 4.8% and a return on equity of 7.0%. Investors are awaiting the next earnings release scheduled for October 29, 2026.

Dividend Profile

Merck pays an annual dividend rate of $3.40 per share, giving the stock a dividend yield of 2.31%. The company maintains a dividend payout ratio of 2.69.

Insider Buying and Selling at Merck & Co., Inc.

Company insiders made open-market share purchases on June 30, 2026, acquiring stock at an average price of $128.50. Karsanbhai Surendralal Lanca picked up 127 shares valued at $16,319.50. Christine Seidman bought 63 shares worth $8,095.50, and Coe Mary Ellen added 234 shares totaling $30,069.00.

Analysts Set New Price Targets

Wall Street firms updated their outlooks on Merck through October 2026. On October 12, 2026, Citigroup maintained its Neutral rating and lifted its price target to $145.00 from $125.00. On the same day, RBC Capital maintained a Sector Perform rating while lowering its target to $145.00 from $150.00. Cantor Fitzgerald maintained a Neutral rating on October 8, 2026, raising its target to $145.00 from $120.00. Morgan Stanley maintained an Overweight rating on October 7, 2026, adjusting its target to $177.00 from $179.00. JP Morgan maintained an Overweight rating on October 5, 2026, raising its target to $165.00 from $150.00. Overall, the stock carries a consensus buy recommendation with a mean price target of $152.96 from 26 analysts.

Overview of Merck & Co., Inc.

Headquartered in Rahway, New Jersey, Merck & Co. develops human health pharmaceuticals and vaccines across global markets. Its portfolio includes widely used therapies and preventative treatments such as Keytruda, Gardasil, and Winrevair.

What to Watch at Merck & Co., Inc.

This filing reflects institutional positioning as of May 15, 2026, and may not reflect current holdings. Investors will monitor upcoming institutional filings and Merck's October earnings report for further clarity on fund allocations.