HSBC Lifts Merck KGaA Rating to Buy, Cites Attractive Valuation and Growth

Merck KGaA's stock price surged by 1.7% to €141.30 on September 1, 2026, after HSBC upgraded its rating to Buy from Hold. The investment firm named Merck KGaA as one of its preferred picks in life sciences tools, alongside Lonza, Danaher, and Agilent.

The upgrade is based on three key factors: attractive valuation, strong first-half 2026 growth, and the stock's failure to participate in the recent sector-wide rally. Analysts pointed out that Merck KGaA's operational momentum was a major reason for this.

HSBC analysts highlighted Merck KGaA's second-quarter 2026 results, which showed organic sales growth accelerating to 4.1% from 2.9% in the first quarter. The company also raised its full-year 2026 outlook, with the Life Science and Electronics divisions being the primary engines of this growth.