Uncovering Dividend Opportunities with NYSE:MRK.

MERCK & CO. INC. (NYSE:MRK) was identified as a stock worth exploring by dividend investors by our stock screener. NYSE:MRK scores well on profitability, solvency and liquidity. At the same time it seems to pay a decent dividend. We'll explore this a bit deeper below.

Assessing Dividend for NYSE:MRK

An integral part of ChartMill's stock analysis is the Dividend Rating, which spans from 0 to 10. This rating evaluates diverse dividend factors, including yield, historical data, growth, and sustainability. NYSE:MRK has received a 7 out of 10:

• MRK's Dividend Yield is rather good when compared to the industry average which is at 3.88. MRK pays more dividend than 92.71% of the companies in the same industry.
• The dividend of MRK is nicely growing with an annual growth rate of 8.47%!
• MRK has been paying a dividend for at least 10 years, so it has a reliable track record.
• MRK has not decreased their dividend for at least 10 years, which is a reliable track record.
• MRK's earnings are growing more than its dividend. This makes the dividend growth sustainable.

Health Insights: NYSE:MRK

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:MRK has received a 6 out of 10:

• MRK has an Altman-Z score of 4.54. This indicates that MRK is financially healthy and has little risk of bankruptcy at the moment.
• MRK has a Altman-Z score of 4.54. This is in the better half of the industry: MRK outperforms 79.17% of its industry peers.
• MRK has a debt to FCF ratio of 2.87. This is a good value and a sign of high solvency as MRK would need 2.87 years to pay back of all of its debts.
• MRK has a better Debt to FCF ratio (2.87) than 91.67% of its industry peers.

Profitability Examination for NYSE:MRK

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NYSE:MRK, the assigned 8 is a significant indicator of profitability:

• With an excellent Return On Assets value of 12.20%, MRK belongs to the best of the industry, outperforming 95.31% of the companies in the same industry.
• MRK's Return On Equity of 31.52% is amongst the best of the industry. MRK outperforms 94.79% of its industry peers.
• With an excellent Return On Invested Capital value of 16.35%, MRK belongs to the best of the industry, outperforming 93.23% of the companies in the same industry.
• The last Return On Invested Capital (16.35%) for MRK is above the 3 year average (12.63%), which is a sign of increasing profitability.
• MRK has a Profit Margin of 21.98%. This is amongst the best in the industry. MRK outperforms 93.75% of its industry peers.
• MRK has a Operating Margin of 28.68%. This is amongst the best in the industry. MRK outperforms 93.75% of its industry peers.
• MRK's Gross Margin of 75.79% is amongst the best of the industry. MRK outperforms 82.29% of its industry peers.

More Best Dividend stocks can be found in our Best Dividend screener.

Check the latest full fundamental report of MRK for a complete fundamental analysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.