MERCK & CO. INC. (1MRKX.MI) Fundamental Analysis & Valuation

BIT:1MRKX • US58933Y1055

102 EUR
+11.8 (+13.08%)
Last: Mar 10, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership

This 1MRKX.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

Overall 1MRKX gets a fundamental rating of 6 out of 10. We evaluated 1MRKX against 54 industry peers in the Pharmaceuticals industry. 1MRKX scores excellent on profitability, but there are some minor concerns on its financial health. 1MRKX is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. 1MRKX.MI Profitability Analysis

1.1 Basic Checks

  • 1MRKX had positive earnings in the past year.
  • In the past year 1MRKX had a positive cash flow from operations.
  • 1MRKX had positive earnings in each of the past 5 years.
  • 1MRKX had a positive operating cash flow in 4 of the past 5 years.
1MRKX.MI Yearly Net Income VS EBIT VS OCF VS FCF1MRKX.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

1.2 Ratios

  • With an excellent Return On Assets value of 14.69%, 1MRKX belongs to the best of the industry, outperforming 89.09% of the companies in the same industry.
  • With an excellent Return On Equity value of 36.71%, 1MRKX belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
  • The Return On Invested Capital of 1MRKX (20.32%) is better than 81.82% of its industry peers.
Industry RankSector Rank
ROA 14.69%
ROE 36.71%
ROIC 20.32%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1MRKX.MI Yearly ROA, ROE, ROIC1MRKX.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • 1MRKX has a Profit Margin of 29.63%. This is amongst the best in the industry. 1MRKX outperforms 92.73% of its industry peers.
  • In the last couple of years the Profit Margin of 1MRKX has grown nicely.
  • 1MRKX has a Operating Margin of 36.99%. This is amongst the best in the industry. 1MRKX outperforms 90.91% of its industry peers.
  • 1MRKX's Operating Margin has improved in the last couple of years.
  • 1MRKX has a better Gross Margin (77.69%) than 80.00% of its industry peers.
  • In the last couple of years the Gross Margin of 1MRKX has grown nicely.
Industry RankSector Rank
OM 36.99%
PM (TTM) 29.63%
GM 77.69%
OM growth 3Y6.33%
OM growth 5Y9.38%
PM growth 3Y4.66%
PM growth 5Y10.53%
GM growth 3Y4.72%
GM growth 5Y2.48%
1MRKX.MI Yearly Profit, Operating, Gross Margins1MRKX.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. 1MRKX.MI Health Analysis

2.1 Basic Checks

  • 1MRKX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • There is no outstanding debt for 1MRKX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
1MRKX.MI Yearly Shares Outstanding1MRKX.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B
1MRKX.MI Yearly Total Debt VS Total Assets1MRKX.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 20B 40B 60B 80B 100B

2.2 Solvency

  • An Altman-Z score of 4.40 indicates that 1MRKX is not in any danger for bankruptcy at the moment.
  • 1MRKX has a Altman-Z score (4.40) which is comparable to the rest of the industry.
  • The Debt to FCF ratio of 1MRKX is 3.17, which is a good value as it means it would take 1MRKX, 3.17 years of fcf income to pay off all of its debts.
  • 1MRKX's Debt to FCF ratio of 3.17 is fine compared to the rest of the industry. 1MRKX outperforms 70.91% of its industry peers.
  • A Debt/Equity ratio of 0.77 indicates that 1MRKX is somewhat dependend on debt financing.
  • 1MRKX has a Debt to Equity ratio of 0.77. This is comparable to the rest of the industry: 1MRKX outperforms 45.45% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.77
Debt/FCF 3.17
Altman-Z 4.4
ROIC/WACC2.25
WACC9.05%
1MRKX.MI Yearly LT Debt VS Equity VS FCF1MRKX.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.3 Liquidity

  • 1MRKX has a Current Ratio of 1.66. This is a normal value and indicates that 1MRKX is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of 1MRKX (1.66) is better than 69.09% of its industry peers.
  • 1MRKX has a Quick Ratio of 1.44. This is a normal value and indicates that 1MRKX is financially healthy and should not expect problems in meeting its short term obligations.
  • 1MRKX has a better Quick ratio (1.44) than 78.18% of its industry peers.
Industry RankSector Rank
Current Ratio 1.66
Quick Ratio 1.44
1MRKX.MI Yearly Current Assets VS Current Liabilites1MRKX.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. 1MRKX.MI Growth Analysis

3.1 Past

  • 1MRKX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.16%, which is quite impressive.
  • 1MRKX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.13% yearly.
  • The Revenue has been growing slightly by 1.31% in the past year.
  • The Revenue has been growing by 9.38% on average over the past years. This is quite good.
EPS 1Y (TTM)20.16%
EPS 3Y7.06%
EPS 5Y9.13%
EPS Q2Q%21.51%
Revenue 1Y (TTM)1.31%
Revenue growth 3Y3.12%
Revenue growth 5Y9.38%
Sales Q2Q%4.97%

3.2 Future

  • 1MRKX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.63% yearly.
  • The Revenue is expected to grow by 2.49% on average over the next years.
EPS Next Y-41.06%
EPS Next 2Y4.38%
EPS Next 3Y5.65%
EPS Next 5Y1.63%
Revenue Next Year4.34%
Revenue Next 2Y4.82%
Revenue Next 3Y4.55%
Revenue Next 5Y2.49%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
1MRKX.MI Yearly Revenue VS Estimates1MRKX.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B
1MRKX.MI Yearly EPS VS Estimates1MRKX.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

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Find the best growth stocksShow best growing peers

4

4. 1MRKX.MI Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 13.18, the valuation of 1MRKX can be described as correct.
  • Based on the Price/Earnings ratio, 1MRKX is valued a bit cheaper than the industry average as 78.18% of the companies are valued more expensively.
  • 1MRKX is valuated rather cheaply when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 22.36, which indicates a rather expensive current valuation of 1MRKX.
  • 1MRKX's Price/Forward Earnings is on the same level as the industry average.
  • When comparing the Price/Forward Earnings ratio of 1MRKX to the average of the S&P500 Index (24.27), we can say 1MRKX is valued inline with the index average.
Industry RankSector Rank
PE 13.18
Fwd PE 22.36
1MRKX.MI Price Earnings VS Forward Price Earnings1MRKX.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, 1MRKX is valued a bit cheaper than 69.09% of the companies in the same industry.
  • 1MRKX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1MRKX is cheaper than 63.64% of the companies in the same industry.
Industry RankSector Rank
P/FCF 23.01
EV/EBITDA 11.54
1MRKX.MI Per share data1MRKX.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

4.3 Compensation for Growth

  • 1MRKX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.44
EPS Next 2Y4.38%
EPS Next 3Y5.65%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. 1MRKX.MI Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 2.85%, 1MRKX has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 1.91, 1MRKX pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.82, 1MRKX pays a better dividend.
Industry RankSector Rank
Dividend Yield 2.85%

5.2 History

  • On average, the dividend of 1MRKX grows each year by 6.90%, which is quite nice.
Dividend Growth(5Y)6.9%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • 1MRKX pays out 42.60% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • 1MRKX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP42.6%
EPS Next 2Y4.38%
EPS Next 3Y5.65%
1MRKX.MI Yearly Income VS Free CF VS Dividend1MRKX.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B
1MRKX.MI Dividend Payout.1MRKX.MI Dividend Payout, showing the Payout Ratio.1MRKX.MI Dividend Payout.PayoutRetained Earnings

More info and screens

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1MRKX.MI Fundamentals: All Metrics, Ratios and Statistics

MERCK & CO. INC.

BIT:1MRKX (3/10/2026, 7:00:00 PM)

102

+11.8 (+13.08%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-03
Earnings (Next)04-30
Inst Owners80.32%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap253.17B
Revenue(TTM)65.01B
Net Income(TTM)19.03B
Analysts77.06
Price Target99.7 (-2.25%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.85%
Yearly Dividend2.61
Dividend Growth(5Y)6.9%
DP42.6%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.37%
Min EPS beat(2)7.69%
Max EPS beat(2)13.06%
EPS beat(4)4
Avg EPS beat(4)7.28%
Min EPS beat(4)2.93%
Max EPS beat(4)13.06%
EPS beat(8)8
Avg EPS beat(8)21.72%
EPS beat(12)12
Avg EPS beat(12)16.45%
EPS beat(16)16
Avg EPS beat(16)15.36%
Revenue beat(2)1
Avg Revenue beat(2)-0.35%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)0.83%
Revenue beat(4)2
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-1.54%
Max Revenue beat(4)0.83%
Revenue beat(8)5
Avg Revenue beat(8)0.41%
Revenue beat(12)9
Avg Revenue beat(12)1.14%
Revenue beat(16)13
Avg Revenue beat(16)1.98%
PT rev (1m)8.07%
PT rev (3m)14.29%
EPS NQ rev (1m)-2.18%
EPS NQ rev (3m)-1.81%
EPS NY rev (1m)-41.43%
EPS NY rev (3m)-43.18%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)-0.07%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)-0.57%
Valuation
Industry RankSector Rank
PE 13.18
Fwd PE 22.36
P/S 4.68
P/FCF 23.01
P/OCF 17.6
P/B 5.79
P/tB 20.09
EV/EBITDA 11.54
EPS(TTM)7.74
EY7.59%
EPS(NY)4.56
Fwd EY4.47%
FCF(TTM)4.43
FCFY4.35%
OCF(TTM)5.8
OCFY5.68%
SpS21.82
BVpS17.61
TBVpS5.08
PEG (NY)N/A
PEG (5Y)1.44
Graham Number55.38
Profitability
Industry RankSector Rank
ROA 14.69%
ROE 36.71%
ROCE 23.54%
ROIC 20.32%
ROICexc 24.8%
ROICexgc 44.78%
OM 36.99%
PM (TTM) 29.63%
GM 77.69%
FCFM 20.31%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y6.33%
OM growth 5Y9.38%
PM growth 3Y4.66%
PM growth 5Y10.53%
GM growth 3Y4.72%
GM growth 5Y2.48%
F-Score6
Asset Turnover0.5
Health
Industry RankSector Rank
Debt/Equity 0.77
Debt/FCF 3.17
Debt/EBITDA 1.41
Cap/Depr 87.9%
Cap/Sales 6.25%
Interest Coverage 17.91
Cash Conversion 60.24%
Profit Quality 68.56%
Current Ratio 1.66
Quick Ratio 1.44
Altman-Z 4.4
F-Score6
WACC9.05%
ROIC/WACC2.25
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)20.16%
EPS 3Y7.06%
EPS 5Y9.13%
EPS Q2Q%21.51%
EPS Next Y-41.06%
EPS Next 2Y4.38%
EPS Next 3Y5.65%
EPS Next 5Y1.63%
Revenue 1Y (TTM)1.31%
Revenue growth 3Y3.12%
Revenue growth 5Y9.38%
Sales Q2Q%4.97%
Revenue Next Year4.34%
Revenue Next 2Y4.82%
Revenue Next 3Y4.55%
Revenue Next 5Y2.49%
EBIT growth 1Y-0.15%
EBIT growth 3Y9.65%
EBIT growth 5Y19.64%
EBIT Next Year-15.41%
EBIT Next 3Y12.42%
EBIT Next 5Y2.91%
FCF growth 1Y-12.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-6.56%
OCF growth 3YN/A
OCF growth 5YN/A

MERCK & CO. INC. / 1MRKX.MI FAQ

What is the ChartMill fundamental rating of MERCK & CO. INC. (1MRKX.MI) stock?

ChartMill assigns a fundamental rating of 6 / 10 to 1MRKX.MI.


Can you provide the valuation status for MERCK & CO. INC.?

ChartMill assigns a valuation rating of 5 / 10 to MERCK & CO. INC. (1MRKX.MI). This can be considered as Fairly Valued.


What is the profitability of 1MRKX stock?

MERCK & CO. INC. (1MRKX.MI) has a profitability rating of 8 / 10.


What are the PE and PB ratios of MERCK & CO. INC. (1MRKX.MI) stock?

The Price/Earnings (PE) ratio for MERCK & CO. INC. (1MRKX.MI) is 13.18 and the Price/Book (PB) ratio is 5.79.


Is the dividend of MERCK & CO. INC. sustainable?

The dividend rating of MERCK & CO. INC. (1MRKX.MI) is 6 / 10 and the dividend payout ratio is 42.6%.