
Shares of Merck & Co MRK.N are rising ~2% to $112.45 ahead of its quarterly earnings report due before market open on Tuesday
President Donald Trump's administration has struck deals with MRK and other pharma companies that will slash the prices of their medicines for the government's Medicaid program and for cash payers, in his latest bid to align U.S. costs with those in other wealthy nations
MRK is focusing on newer drugs including lung disease treatments Winrevair and Ohtuvayre as growth from its blockbuster cancer drug Keytruda offset falling sales from human papillomavirus vaccine Gardasil in China
Wall Street analysts expect MRK to report 3.6% growth in revenue to $16.19 bln while adj EPS is seen rising almost 17% to $2.01
MRK's EPS has beat analyst expectations every time in the last 8 quarters
MRK is up ~6.8% YTD versus the S&P 500 healthcare index .SPXHC, which is up ~0.2% over the same period