0848 ET - Citi downgrades Merck to neutral from buy amid concerns about the drugmaker's plans to address the 2028 loss of patent exclusivity for its blockbuster cancer drug Keytruda. In a note, Citi says that while headwinds from the exclusivity loss are well-appreciated, offsets from Merck's pipeline progression and new launches are taking time, and that Merck seems to have less urgency toward big M&A to offset looming Keytruda declines. Citi says a commercial-stage deal topping $10 billion could provide some relief to Merck shares, but the analysts say they think resolution of policy uncertainties around tariffs and most-favored-nation pricing are a higher priority for Merck. Citi cuts its Merck target price to $84 from $115. (colin.kellaher@wsj.com)
(END) Dow Jones Newswires
May 14, 2025 08:48 ET (12:48 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.