Key Takeaways
- Pfizer (PFE) is significantly expanding its obesity development program, with plans to advance over 20 trials in 2026, following promising Phase 2b results for its ultra-long-acting injectable GLP-1 RA, which demonstrated robust and continued weight loss with monthly dosing.
- Merck & Co. (MRK) exceeded Q4 2025 earnings estimates, reporting adjusted EPS of $2.04 on sales of $16.40 billion, driven by strong performance in Keytruda and Gardasil, though 2026 sales guidance of $65.5B to $67B fell slightly below analyst expectations.
- Marathon Petroleum (MPC) reported a strong Q4 2025, with adjusted EPS of $4.07 significantly beating IBES estimates of $2.88, alongside a net income of $1,500 million.
- Geopolitical tensions remain elevated with Ukrainian President Zelenskyy stating that negotiations with Russia will be adjusted as Russia "does not take diplomacy seriously," while the UKMTO reported an incident in the Straits of Hormuz involving armed vessels attempting to intercept a commercial ship.
- Spot platinum prices surged over 5% to $2,275.50/oz, reflecting broader market movements in precious metals.
Pharmaceutical giant Pfizer (PFE) is making a substantial push into the burgeoning obesity market, announcing plans for an expansive development program that includes over 20 trials in 2026 across its pipeline. This aggressive strategy follows positive Phase 2b trial results for its ultra-long-acting injectable GLP-1 receptor agonist (RA), which showed robust and continued weight loss with monthly dosing. The study met its primary endpoint, demonstrating statistically significant weight reduction at 28 weeks with a competitive tolerability profile. Despite this progress, five participants in Arms 1 and 3 of the monthly phase discontinued treatment due to adverse events (AEs). Pfizer's CEO, Albert Bourla, has indicated that the company aims to launch its lead obesity asset, MET097, in 2028, initiating 10 Phase 3 trials this year to support this goal.
Meanwhile, Merck & Co. (MRK) delivered a strong performance in the fourth quarter of 2025, with adjusted earnings per share (EPS) of $2.04, surpassing analyst estimates of $2.01. The company reported total sales of $16.40 billion, exceeding the estimated $16.17 billion. Key revenue drivers included Keytruda, which generated $8.37 billion, and Gardasil, with $1.03 billion in revenue, both beating expectations. Looking ahead to 2026, Merck projects adjusted EPS between $5.00 and $5.15 and sales ranging from $65.5 billion to $67 billion, though the sales guidance was slightly below the estimated $67.5 billion. The company's 2026 guidance does not factor in any sales from Gardasil in China and anticipates an adjusted gross margin of approximately 82%. Animal Health sales for Q4 2025 came in at $1.51 billion, slightly under the estimated $1.52 billion.
In the energy sector, Marathon Petroleum (MPC) announced a robust fourth quarter for 2025, with net income reaching USD 1,500 million. The company's adjusted EPS of USD 4.07 significantly outperformed IBES estimates of USD 2.88, while reported EPS stood at USD 5.12. Marathon Petroleum's Refining & Marketing (R&M) margin was $18.65 per barrel, and refining operating costs were $5.70 per barrel for the quarter.
On the geopolitical front, Ukrainian President Volodymyr Zelenskyy stated that Ukraine's negotiating team would adjust its work as Russia is perceived as "not taking diplomacy seriously". This comes after Zelenskyy indicated that Ukraine would "adjust" negotiations following a Russian strike. Separately, the UK Maritime Trade Operations (UKMTO) issued an advisory note regarding an incident 16 nautical miles north of Oman, within the inbound Traffic Separation Scheme (TSS) of the Straits of Hormuz. A vessel was hailed on VHF by numerous small armed vessels and requested to stop but ignored the request and continued its planned route. The incident is currently under investigation.
In commodity markets, spot platinum prices experienced a significant rise, climbing over 5% to $2,275.50 per ounce. This surge reflects dynamic shifts in precious metals trading.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.