Healthcare | Equity Research | February 19, 2026
Target: $156.22
$130.0
9.0x
$14.5
1.62%
Conviction: High
The company exhibits solid fundamentals with stable cash flow generation. Operational efficiency programs are yielding margin improvements. Merck & Co. is positioned to benefit from secular tailwinds in the Healthcare industry.
Risks: Macroeconomic volatility and interest rate sensitivity remain key risks. Competitive pressures in the sector could impact market share.
| Year | 2022 (A) | 2023 (A) | 2024 (A) | 2025 (E) | 2026 (E) | 2027 (E) |
|---|---|---|---|---|---|---|
| Revenue | $174.6 | $186.8 | $202.5 | $220.3 | $240.2 | $258.8 |
| Consensus Rev | - | - | - | $215.2 | $243.9 | $255.2 |
| System Rev | - | - | - | $217.0 | $243.3 | $258.4 |
| EBITDA | $61.7 | $48.9 | $61.8 | $77.7 | $77.4 | $80.3 |
| EPS | $14.48 | $11.47 | $14.5 | $18.23 | $18.16 | $18.84 |
Breakdown: 23 Buy / 6 Hold / 3 Sell
The street remains generally buyish on the name.