MERCK & CO. INC. (6MK.DE) Fundamental Analysis & Valuation

FRA:6MK • US58933Y1055

Current stock price

103.6 EUR
-0.6 (-0.58%)
Last:

This 6MK.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. 6MK.DE Profitability Analysis

1.1 Basic Checks

  • In the past year 6MK was profitable.
  • In the past year 6MK had a positive cash flow from operations.
  • In the past 5 years 6MK has always been profitable.
  • In the past 5 years 6MK always reported a positive cash flow from operatings.
6MK.DE Yearly Net Income VS EBIT VS OCF VS FCF6MK.DE 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

  • The Return On Assets of 6MK (13.34%) is better than 84.31% of its industry peers.
  • Looking at the Return On Equity, with a value of 34.70%, 6MK belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
  • 6MK's Return On Invested Capital of 19.70% is fine compared to the rest of the industry. 6MK outperforms 78.43% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for 6MK is significantly above the industry average of 17.40%.
Industry RankSector Rank
ROA 13.34%
ROE 34.7%
ROIC 19.7%
ROA(3y)9.43%
ROA(5y)10.79%
ROE(3y)24.21%
ROE(5y)27.67%
ROIC(3y)22.5%
ROIC(5y)20.92%
6MK.DE Yearly ROA, ROE, ROIC6MK.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • Looking at the Profit Margin, with a value of 28.08%, 6MK belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
  • 6MK's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 38.11%, 6MK belongs to the top of the industry, outperforming 90.20% of the companies in the same industry.
  • In the last couple of years the Operating Margin of 6MK has grown nicely.
  • 6MK has a Gross Margin of 78.55%. This is amongst the best in the industry. 6MK outperforms 82.35% of its industry peers.
  • In the last couple of years the Gross Margin of 6MK has grown nicely.
Industry RankSector Rank
OM 38.11%
PM (TTM) 28.08%
GM 78.55%
OM growth 3Y6.33%
OM growth 5Y9.38%
PM growth 3Y4.66%
PM growth 5Y10.53%
GM growth 3Y4.72%
GM growth 5Y2.48%
6MK.DE Yearly Profit, Operating, Gross Margins6MK.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

5

2. 6MK.DE Health Analysis

2.1 Basic Checks

  • 6MK has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • 6MK has less shares outstanding than it did 1 year ago.
  • 6MK has less shares outstanding than it did 5 years ago.
  • 6MK has a worse debt/assets ratio than last year.
6MK.DE Yearly Shares Outstanding6MK.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B
6MK.DE Yearly Total Debt VS Total Assets6MK.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B 100B

2.2 Solvency

  • 6MK has an Altman-Z score of 4.06. This indicates that 6MK is financially healthy and has little risk of bankruptcy at the moment.
  • 6MK has a Altman-Z score (4.06) which is in line with its industry peers.
  • 6MK has a debt to FCF ratio of 3.99. This is a good value and a sign of high solvency as 6MK would need 3.99 years to pay back of all of its debts.
  • 6MK has a Debt to FCF ratio (3.99) which is in line with its industry peers.
  • A Debt/Equity ratio of 0.89 indicates that 6MK is somewhat dependend on debt financing.
  • 6MK's Debt to Equity ratio of 0.89 is on the low side compared to the rest of the industry. 6MK is outperformed by 62.75% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.89
Debt/FCF 3.99
Altman-Z 4.06
ROIC/WACC2.21
WACC8.92%
6MK.DE Yearly LT Debt VS Equity VS FCF6MK.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B 50B

2.3 Liquidity

  • 6MK has a Current Ratio of 1.54. This is a normal value and indicates that 6MK is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of 6MK (1.54) is better than 64.71% of its industry peers.
  • 6MK has a Quick Ratio of 1.30. This is a normal value and indicates that 6MK is financially healthy and should not expect problems in meeting its short term obligations.
  • The Quick ratio of 6MK (1.30) is better than 74.51% of its industry peers.
Industry RankSector Rank
Current Ratio 1.54
Quick Ratio 1.3
6MK.DE Yearly Current Assets VS Current Liabilites6MK.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

5

3. 6MK.DE Growth Analysis

3.1 Past

  • 6MK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.16%, which is quite impressive.
  • Measured over the past years, 6MK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.13% on average per year.
  • The Revenue has been growing slightly by 1.31% in the past year.
  • Measured over the past years, 6MK shows a quite strong growth in Revenue. The Revenue has been growing by 9.38% on average per year.
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

  • Based on estimates for the next years, 6MK will show a small growth in Earnings Per Share. The EPS will grow by 2.29% on average per year.
  • 6MK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.66% yearly.
EPS Next Y-43.62%
EPS Next 2Y3.58%
EPS Next 3Y6.11%
EPS Next 5Y2.29%
Revenue Next Year3.06%
Revenue Next 2Y4.23%
Revenue Next 3Y5.13%
Revenue Next 5Y2.66%

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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
6MK.DE Yearly Revenue VS Estimates6MK.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B
6MK.DE Yearly EPS VS Estimates6MK.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

4

4. 6MK.DE Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 13.00, the valuation of 6MK can be described as correct.
  • Based on the Price/Earnings ratio, 6MK is valued a bit cheaper than the industry average as 76.47% of the companies are valued more expensively.
  • 6MK's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.21.
  • A Price/Forward Earnings ratio of 23.07 indicates a rather expensive valuation of 6MK.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of 6MK is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, 6MK is valued at the same level.
Industry RankSector Rank
PE 13
Fwd PE 23.07
6MK.DE Price Earnings VS Forward Price Earnings6MK.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 6MK indicates a somewhat cheap valuation: 6MK is cheaper than 70.59% of the companies listed in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of 6MK is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 23.88
EV/EBITDA 10.78
6MK.DE Per share data6MK.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

4.3 Compensation for Growth

  • The excellent profitability rating of 6MK may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.42
EPS Next 2Y3.58%
EPS Next 3Y6.11%

5

5. 6MK.DE Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 2.84%, 6MK has a reasonable but not impressive dividend return.
  • 6MK's Dividend Yield is a higher than the industry average which is at 1.94.
  • 6MK's Dividend Yield is rather good when compared to the S&P500 average which is at 1.89.
Industry RankSector Rank
Dividend Yield 2.84%

5.2 History

  • The dividend of 6MK has a limited annual growth rate of 5.92%.
Dividend Growth(5Y)5.92%
Div Incr Years9
Div Non Decr Years9
6MK.DE Yearly Dividends per share6MK.DE Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • 6MK pays out 44.79% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • 6MK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP44.79%
EPS Next 2Y3.58%
EPS Next 3Y6.11%
6MK.DE Yearly Income VS Free CF VS Dividend6MK.DE 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
6MK.DE Dividend Payout.6MK.DE Dividend Payout, showing the Payout Ratio.6MK.DE Dividend Payout.PayoutRetained Earnings

6MK.DE Fundamentals: All Metrics, Ratios and Statistics

MERCK & CO. INC.

FRA:6MK (4/2/2026, 7:00:00 PM)

103.6

-0.6 (-0.58%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-03
Earnings (Next)04-30
Inst Owners81.17%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap256.14B
Revenue(TTM)65.01B
Net Income(TTM)18.25B
Analysts78.29
Price Target108.2 (4.44%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.84%
Yearly Dividend2.84
Dividend Growth(5Y)5.92%
DP44.79%
Div Incr Years9
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.02%
Min EPS beat(2)2.98%
Max EPS beat(2)13.06%
EPS beat(4)4
Avg EPS beat(4)6.66%
Min EPS beat(4)2.93%
Max EPS beat(4)13.06%
EPS beat(8)8
Avg EPS beat(8)6.19%
EPS beat(12)12
Avg EPS beat(12)16.34%
EPS beat(16)16
Avg EPS beat(16)14.5%
Revenue beat(2)2
Avg Revenue beat(2)0.57%
Min Revenue beat(2)0.31%
Max Revenue beat(2)0.83%
Revenue beat(4)3
Avg Revenue beat(4)0.01%
Min Revenue beat(4)-1.54%
Max Revenue beat(4)0.83%
Revenue beat(8)6
Avg Revenue beat(8)0.46%
Revenue beat(12)9
Avg Revenue beat(12)1.15%
Revenue beat(16)13
Avg Revenue beat(16)1.9%
PT rev (1m)0%
PT rev (3m)14.84%
EPS NQ rev (1m)2.02%
EPS NQ rev (3m)-160.79%
EPS NY rev (1m)0%
EPS NY rev (3m)-43.98%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-0.86%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-1.8%
Valuation
Industry RankSector Rank
PE 13
Fwd PE 23.07
P/S 4.54
P/FCF 23.88
P/OCF 17.92
P/B 5.61
P/tB 67.92
EV/EBITDA 10.78
EPS(TTM)7.97
EY7.69%
EPS(NY)4.49
Fwd EY4.33%
FCF(TTM)4.34
FCFY4.19%
OCF(TTM)5.78
OCFY5.58%
SpS22.82
BVpS18.46
TBVpS1.53
PEG (NY)N/A
PEG (5Y)1.42
Graham Number57.54
Profitability
Industry RankSector Rank
ROA 13.34%
ROE 34.7%
ROCE 22.83%
ROIC 19.7%
ROICexc 22.75%
ROICexgc 46.78%
OM 38.11%
PM (TTM) 28.08%
GM 78.55%
FCFM 19.01%
ROA(3y)9.43%
ROA(5y)10.79%
ROE(3y)24.21%
ROE(5y)27.67%
ROIC(3y)22.5%
ROIC(5y)20.92%
ROICexc(3y)25.76%
ROICexc(5y)23.99%
ROICexgc(3y)53.32%
ROICexgc(5y)52.7%
ROCE(3y)26.06%
ROCE(5y)24.23%
ROICexgc growth 3Y-4.44%
ROICexgc growth 5Y2.75%
ROICexc growth 3Y0.21%
ROICexc growth 5Y7.95%
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-Score5
Asset Turnover0.47
Health
Industry RankSector Rank
Debt/Equity 0.89
Debt/FCF 3.99
Debt/EBITDA 1.53
Cap/Depr 70.44%
Cap/Sales 6.33%
Interest Coverage 19.06
Cash Conversion 53.81%
Profit Quality 67.71%
Current Ratio 1.54
Quick Ratio 1.3
Altman-Z 4.06
F-Score5
WACC8.92%
ROIC/WACC2.21
Cap/Depr(3y)81.72%
Cap/Depr(5y)99.16%
Cap/Sales(3y)6%
Cap/Sales(5y)6.91%
Profit Quality(3y)892.79%
Profit Quality(5y)570.74%
High Growth Momentum
Growth
EPS 1Y (TTM)20.16%
EPS 3Y7.06%
EPS 5Y9.13%
EPS Q2Q%21.51%
EPS Next Y-43.62%
EPS Next 2Y3.58%
EPS Next 3Y6.11%
EPS Next 5Y2.29%
Revenue 1Y (TTM)1.31%
Revenue growth 3Y3.12%
Revenue growth 5Y9.38%
Sales Q2Q%4.97%
Revenue Next Year3.06%
Revenue Next 2Y4.23%
Revenue Next 3Y5.13%
Revenue Next 5Y2.66%
EBIT growth 1Y1.98%
EBIT growth 3Y9.65%
EBIT growth 5Y19.64%
EBIT Next Year-19.93%
EBIT Next 3Y10.24%
EBIT Next 5Y4.83%
FCF growth 1Y-31.7%
FCF growth 3Y-5.63%
FCF growth 5Y16.24%
OCF growth 1Y-23.27%
OCF growth 3Y-4.81%
OCF growth 5Y9.95%

MERCK & CO. INC. / 6MK.DE Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for MERCK & CO. INC.?

ChartMill assigns a fundamental rating of 6 / 10 to 6MK.DE.


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

ChartMill assigns a valuation rating of 4 / 10 to MERCK & CO. INC. (6MK.DE). This can be considered as Fairly Valued.


How profitable is MERCK & CO. INC. (6MK.DE) stock?

MERCK & CO. INC. (6MK.DE) has a profitability rating of 9 / 10.


Can you provide the financial health for 6MK stock?

The financial health rating of MERCK & CO. INC. (6MK.DE) is 5 / 10.


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

The dividend rating of MERCK & CO. INC. (6MK.DE) is 5 / 10 and the dividend payout ratio is 44.79%.