UPDATE: BMO Capital Markets Upgrades Merck & Co. to Outperform, Reiterates $50 PT

In a report published Monday, BMO Capital Markets upgraded its rating on Merck & Co. MRK from Market Perform to Outperform, and reiterated its $50.00 price target. BMO Capital noted, “Merck reported impressive phase-1b data from its Anti-PD-1 cancer immunotherapy, MK-3475, which, similar to BMS'558, also appears very active in melanoma, if not more so, and is well tolerated. Moreover, impressive phase-2 data from the protease inhibitor MK-5172 support its development in an all-oral Hepatitis-C regimen based on its robust activity, once daily dosing, and lack of food effect. Following a good 3Q that showed the value of a broad portfolio coupled with strong execution, and ongoing advances in the pipeline, we believe that a rating upgrade is warranted.” Merck & Co. closed on Friday at $44.05.