The latest Market Talks covering the Health Care sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0920 GMT - Bayer scored a big win in the U.S. Supreme Court with a ruling in its favor in a case over its Roundup weedkiller, which means investors' focus can shift elsewhere, Bank of America says. A proposed U.S. class settlement for Roundup litigation, the launch of stroke-prevention drug asundexian and Bayer's efforts to reduce debt should be next on investors' watchlists, according to Bank of America. The Roundup settlement is now less relevant given that the Supreme Court ruling reduces the routes for future litigation, the analysts say. Beyond Roundup, the health of the German group's pharma business is key, they add. Asundexian, as well as recently launched drugs like Kerendia, Lynkuet and Beyonttra support expectations of sales growth at Bayer's pharma unit over the 2027-32 period, according to Bank of America. Shares rise 0.8%. (adria.calatayud@wsj.com)
0902 GMT - Investors in Germany's Merck KGaA might be encouraged with its proposed acquisition of Bio-Techne given the company exceeded expectations in past big deals, UBS analysts say in a research note. In previous deals for Millipore, Versum and Sigma-Aldrich, the life-sciences and chemical group beat initial cost-saving targets while generating additional revenue on top, according to UBS. The portfolio of lab-tools supplier Bio-Techne is highly skewed to the U.S., and Merck could leverage its international footprint to generate more revenue, the analysts say. "While the CFO encouraged investors to not over-estimate additional savings at this early stage, we expect that the market will assume more based on the prior Merck playbook," UBS says. Shares fall 2.2%. (adria.calatayud@wsj.com)
0851 GMT - Merck KGaA's proposed acquisition of life-science tools supplier Bio-Techne seems like a strong strategic fit, analysts at UBS say in a research note. The deal adds complementary growth assets that don't dilute the profitability of Merck's life-science business and brings Bio-Techne's protein-science expertise to its portfolio, the analysts say. The acquisition should immediately benefit sales and adjusted Ebitda margin for the German pharmaceutical-and-chemical group, according to UBS. Merck doesn't see any material overlap that could raise antitrust concerns, the analysts add. Shares fall 2%. (adria.calatayud@wsj.com)
0827 GMT - It is too early to say what will happen to Bayer's dividends after the U.S. Supreme Court ruled in the company's favor in a case over its Roundup weedkiller, according to Jefferies analysts. Given the German company's debt levels and, perhaps, the need for dealmaking to boost its pharma business, investors shouldn't rush any assumptions on the dividend, the analysts say in a research note. Jefferies lifts its target price on Bayer stock to 46 euros from 40 euros, citing the favorable Supreme Court ruling. Shares rise 0.1% to 47.06 euros. (adria.calatayud@wsj.com)
0817 GMT - A Bayer breakup looks possible, but it shouldn't be taken for granted even if the U.S. Supreme Court ruled in the company's favor in a case over its Roundup weedkiller, Jefferies analysts say in a research note. While many think the Supreme Court ruling could make a breakup more likely, the challenges the group's pharma business would face as a standalone company remain a potential hurdle, the analysts say. The German group's pharma business is expected to grow at a slower pace than peers over the next five years, and a couple of drugs that should help drive that growth will face risk from rival products, they add. Moreover, its drug pipeline is at an early stage, and its debt load leaves little room for acquisitions, according to Jefferies. Shares fall 0.6%. (adria.calatayud@wsj.com)
(END) Dow Jones Newswires
June 27, 2026 04:20 ET (08:20 GMT)
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