Case Background:
This is a federal securities fraud class action lawsuit on behalf of those who purchased or otherwise acquired Merck & Co., Inc. (“Merck”) (NYSE: MRK) securities between February 3, 2022 and February 3, 2025, inclusive (the “Class Period”).
Merck is a global healthcare company that operates through its Pharmaceutical and Animal Health segments. One of Merck’s primary products from its Pharmaceutical segment is the GARDASIL vaccine, which is for the prevention of HPV and certain HPV-related cancers.
The Class Period begins on February 3, 2022. On that day, Merck conducted an earnings call in connection with its fourth quarter and full-year fiscal 2021 results, where the company first forecasted $11 billion in GARDASIL sales by the year 2030. Specifically, Merck stated that “[W]e have many important franchises beyond oncology that we expect can drive durable growth into the next decade, including GARDASIL, which we believe can potentially double by 2030.” Merck continued to tout the strong global demand of GARDASIL and its increased sales.
Then, on February 4, 2025, Merck announced that it would no longer achieve the long-forecasted target of $11 billion in GARDASIL sales by 2030, as the company planned to cease GARDASIL shipments to China "through at least midyear" to facilitate a "rapid reduction of inventory." On this news, Merck's stock price fell $9.05 per share, or 9.07%, to close at $90.74 per share on February 4, 2025.
The complaint alleges that, throughout the Class Period, Defendants provided these overwhelmingly positive statements to investors about expected revenue of $11 billion from sales of GARDASIL by 2030 while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of GARDASIL 's demand in China; notably, that Merck lacked visibility into demand for GARDASIL in China among eligible and otherwise targeted populations, resulting in the inflated inventory of its distributor, Zhifei.
Current Status of Case:
On December 4, 2025, the Court appointed Lead Plaintiffs and Lead Counsel. This action is ongoing.
If you wish to discuss this action or have any questions, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; toll-free at (844) 887-9500; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.