Broader Analyst Sentiment Bullish on Merck & Co. (MRK) Amid Tempered Short-Term Expectation and Long-Term Optimism

Merck & Co., Inc. (NYSE:MRK) is included in our list of the 10 Goldman Sachs undervalued stocks to invest in.

As of January 16, 2026, analyst sentiment on Merck & Co., Inc. (NYSE:MRK) stands broadly constructive, with roughly 60% of analysts bullish. However, the $115.00 consensus price target implies a modest 3.60% upside. The broader sentiment reflects tempered short-term expectations despite long-term optimism.

Its healthier longer-term outlook was discussed in Wolfe Research’s January 8, 2026, update, when the firm upgraded Merck & Co., Inc. (NYSE:MRK) from ‘Peer Perform’ to ‘Outperform’ and raised the price target to $135.00. The firm updated its valuation model, factoring in the company’s late-stage pipeline, potential label expansions, and prescriber feedback. Citing model updates, the firm saw an attractive five-year revenue bridge and predicted the stock is set to surge, thanks to accretive M&A and a favorable catalyst trajectory.

The positive analyst stance was reinforced on the strategic front, with Reuters reporting on January 8, 2026, that Merck & Co., Inc. (NYSE:MRK) is exploring the potential acquisition of cancer drug developer Revolution Medicines. The potential $28-$32 billion deal, the largest pharma transaction in the past three years, will strengthen the company’s oncology pipeline, with Keytruda patent risks expected later in the decade.

Merck & Co., Inc. (NYSE:MRK), a global healthcare company, focuses on prescription medicines, vaccines, biologics, and animal health products. The company boasts a strong oncology franchise, alongside an expanding late-stage pipeline across multiple therapeutic areas.

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