Zachary Jennifer sold $10.7M of MRK

In Thursday morning trading, the Dow rose over 800 points to a 52-week high near 51,502, while the S&P 500 was flat and the Nasdaq fell about 0.7%, as investors rotated from chip stocks into healthcare, financials, and communication services. UnitedHealth (UNH) jumped after BofA upgraded to Buy with a $450 target; Morgan Stanley raised to $453. Broadcom (AVGO) fell over 15% after it did not raise AI revenue guidance for FY2026-27.

Two Phase 3 trials (ISLEND-1, ISLEND-2) reported that people with HIV who switched from daily therapy to a once-weekly pill containing islatravir plus lenacapavir stayed virally suppressed at 48 weeks, meeting noninferiority margins. Results were presented at the International AIDS Conference and published in NEJM. Gilead and Merck are developing the regimen.

Merck & Co. reported Q2 2026 revenue of $16.6B (+4% ex FX) and a non-GAAP EPS loss of $0.13, tied to a $2.31 one-time charge from its $6.8B Terns Pharmaceuticals acquisition. KEYTRUDA sales were $8.4B. Full-year revenue guidance was raised to $66.3B-$67.3B and EPS to $2.66-$2.76. Merck also cited LIPFENDRA approval and multiple clinical updates.

Samsung Bioepis filed South Korea’s marketing authorization application for SB27, its pembrolizumab biosimilar to Merck’s Keytruda, on Aug 7, according to the company. It is the first Keytruda biosimilar application in South Korea. SB27 is supported by Phase 1 (163 patients) and Phase 3 (555) trials showing equivalence. Keytruda’s South Korea substance patent expires in 2028.

Merck KGaA upgraded full-year guidance and reported Q2 2026 results. Group net sales were €5.4 billion, up from €5.3 billion in Q2 2025, with 4.1% organic growth. EBITDA pre rose to €1.6 billion and EPS pre to €2.16. Merck also agreed to acquire Bio-Techne, expected to close late 2026 or early 2027.

Phase 3 ISLEND-1 results in the New England Journal of Medicine found a once-weekly tablet of islatravir 2 mg plus lenacapavir 300 mg was noninferior to once-daily bictegravir, emtricitabine, and tenofovir alafenamide for maintaining HIV viral suppression at 48 weeks in 607 adults already suppressed for at least 6 months. None on weekly therapy had HIV-1 RNA ≥50 copies/mL vs 0.3% on daily. Serious adverse events were 5.3% vs 4.6%.