Mrk

[inandlong]

Quoted below is a brief bit from Standard and Poors found on the BusinessWeek Online website. I highly recommend the site, but I like Brussel sprouts too, so.....

Pfizer (PFE ): Maintains 5 STARS (buy); Eli Lilly (LLY ) and Merck & Co. (MRK ): Maintains 4 STARS (accumulate)
Analyst: Herman Saftlas

Big pharma stocks, under pressure for the past six weeks, weakened further in today's general market selloff. Investors remain cautious on the group with the resurfacing of the reimportation issue, and fears that John Kerry will win November's presidential election. Today's news of suicide risks with antidepressant drugs also didn't help. However, S&P doesn't recommend bailing out at current depressed levels as the group's price-earnings ratios are near historic lows. The companies also have generous dividend yields.

I have attached a chart of MRK which includes my usual markings. This recent bit of volatility has plumped up the options some too making a covered call (or short put) more attractive for Apr expiration, but wait for the stock to settle down a bit. MRK went ex-div the beginning of this month, so the next record date will be June 3rd or so.