FRANKFURT (dpa-AFX) - A lowered outlook only briefly unsettled Merck KGaA investors, who have already been badly battered this year. Shares in the specialty chemicals and pharmaceuticals group initially fell more than one percent at the start of trading on Thursday, but then quickly turned positive. Investors quickly focused on the positive aspects of the second-quarter figures presented with the new annual targets, Borsians said.

Merck shares rose 2.7 percent to 163.35 euros by late morning. That put them among the best performers in Germany's benchmark Dax index, which recently fell more than one percent.

Merck is still struggling with the decline in demand in its laboratory division after the Corona boom. In addition, the semiconductor business continues to weaken. As a result, the Darmstadt-based company had to cope with lower sales and earnings in the second quarter despite growth in drug sales.

Management lowered its full-year targets, as headwinds from exchange rates are also increasing. However, this hardly came as a surprise to analysts. For example, expert James Quigley of U.S. bank Morgan Stanley wrote that the forecast cut was "largely expected" after other companies such as Sartorius had already cut their outlooks. Shares in the pharmaceutical and laboratory equipment maker gained 3.5 percent.

Quigley called Merck's quarterly figures solid. Industry expert Brian Balchin of analyst firm Jefferies added that Merck had beaten expectations in terms of operating profit thanks to its pharmaceuticals division.

Despite the jump in share prices this Thursday, Merck shares have lost almost ten percent since the beginning of the year, more than almost any other Dax stock. The leading index has risen by almost 14 percent in this period.

From a chart perspective, Merck shares have currently at least broken away from the 50-day moving average line, which describes the medium-term trend. The next resistance is now the long-term 200-day moving average at around EUR 171./la/tav/jha/