Pfizer Inc.’S Cost of Capital and Capital structure - Xiaoyue Shi The costs of capital and capital structures for Pfizer Inc. and its two competitors Merck & Co. Inc. and Johnson & Johnson in the pharmaceutical industry are analyzed in this memo. When calculating the cost of common stock for the three companies‚ three different approaches including Capital Asset Pricing Model (CAPM)‚ Discounted Cash Flow (DCF) and the bond yield plus risk premium are applied (Appendix A). For CAPM approach
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SCM 421: Merck & Company: Product KL-798 Kristin Olson‚ Michael Lombardi‚ Kristen Prazenica‚ Anthony Sung The Opportunity: Merck‚ a global‚ research-driven pharmaceutical company‚ has core values invested in cutting edge science programs. Recently the organization was accosted by Kappa Labs with a proposal to purchase the product KL-798. This drug is associated with obesity and weight-loss which is becoming a valuable investment to the pharmaceutical industry. The initial decision Merck
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Merck & Co.‚ Inc. Recommendation: Buy Target Price Current Price Difference $ 37.09 $ 26.18 41.7%↑ Market Cap. 52 Wk High 52 Wk Low $ 57.48B $ 36.26 $ 25.50 Shrs. Out. 2‚217.6M As of October 21‚ 2005 • Market reaction to Vioxx lawsuits too extreme • Cash flow for company strong enough to absorb potential legal or competitive challenges • Potential blockbuster drugs in the pipeline • A stable of existing drugs to continue driving growth • Aging and growing population
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Merck & Company Case Report Prepared by: Group 7 Date: 26/09/2014 Group Members: HAN Qi‚ 1155060413 LI Yickho‚ 1155000895 PENG Keshu‚ 1155053635 YANG Dezhong‚ 1155055844 ZHANG Yexin‚ 1155053624 Introduction Merck & Co.‚ a global research-driven pharmaceutical company‚ is generating substantial profit mainly by discovering and manufacturing exclusive drugs. Its popular products have brought in significant amount of sales to the company; however‚ the patents of these drugs are expired in two years
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Subject: Merck‚ the FDA‚ and the Vioxx Recall Facts: Back in 2005‚ Merck was described as a unique force in the pharmaceutical industry; its leadership in profits‚ sales‚ assets‚ and market value was recognized by investors and respected by competitors. Society in general had a favorable reception for the company due to their different acts of generosity‚ like the eternal donation of Mectizan to patients suffering of red blindness. In addition‚ the company has demonstrated high ethical standards
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Introduction INTRODUCTION TO COMPANIES (Chevron Corporation) Chevron Corporation is an American multinational energy corporation. Headquartered in San Ramon‚ California‚ and active in more than 180 countries‚ it is engaged in every aspect of the oil‚ gas‚ and geothermal energy industries‚ including exploration and production; refining‚ marketing and transport; chemicals manufacturing and sales; and power generation. Chevron is one of the world’s six "super major" oil companies; as of 2013
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Vioxx Medication (Rofecoxib) Vioxx (Rofecoxib) medication is a class of drug called nonsteroidal and inflammatory drugs (NSAIDs). Vioxx was introduced on May 20‚ 1999 by Merck & Co. It has been used by over 20 million Americans since it was put on the market. Vioxx works by reducing substances that cause inflammation‚ pain and fever in the body. Vioxx is used to reduce pain‚ inflammation‚ and stiffness cause by osteoarthritis‚ rheumatoid arthritis and certain forms of juvenile rheumatoid arthritis
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pharmaceutical in the area that river blindness occurs will invest in the cure for river blindness. 3. However‚ Merck could not justify such an investment in terms of financial at all‚ because this development is a big financial risk. Merck works for a company that is committed to the people‚ so they take risk to better the people. This is the main reason they would create a cure for river blindness 4. Merck could tell them that the cost to develop a cure for river blindness would be too high and the investment
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In a way‚ this acquisition was an investment to properly position Merck in an unpredictable future. If this future held a system in which the most drugs were sold through PBMs‚ or not‚ Merck would be positioned to continue their successful business. As one Merck-Medco put it “Our business is constantly changing.” (Pg. 19). This merger had to occur to create a company flexible and agile enough to adapt to a changes. Merck had a strategic vision to become embedded as part of a total healthcare
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are Merck & Co.‚ Inc.‚ Starbucks‚ and Google. We will begin with Merck. Merck is known worldwide as one of the largest pharmaceutical companies in the world‚ and ranks 99th on the Fortune 500. It was established in 1891 as the United States subsidiary of the German company Merck KGaA. It is currently one of the seven largest pharmaceutical companies in the world both by capital and revenue (Merck & Co.‚ Inc‚ 2008‚ p. 1). Like many pharmaceutical companies in the U.S.‚ the sales force at Merck follows
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