MERCK KGAA (MRK.DE) Stock Fundamental Analysis

FRA:MRK • DE0006599905

127 EUR
+0.8 (+0.63%)
Last: Feb 17, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

4

MRK gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 52 industry peers in the Pharmaceuticals industry. MRK has only an average score on both its financial health and profitability. MRK has a valuation in line with the averages, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year MRK was profitable.
  • MRK had a positive operating cash flow in the past year.
  • Each year in the past 5 years MRK has been profitable.
  • In the past 5 years MRK always reported a positive cash flow from operatings.
MRK.DE Yearly Net Income VS EBIT VS OCF VS FCFMRK.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 1B 2B 3B 4B 5B

1.2 Ratios

  • MRK's Return On Assets of 5.80% is in line compared to the rest of the industry. MRK outperforms 50.00% of its industry peers.
  • Looking at the Return On Equity, with a value of 10.21%, MRK is in line with its industry, outperforming 44.23% of the companies in the same industry.
  • MRK has a Return On Invested Capital (7.46%) which is comparable to the rest of the industry.
  • The Average Return On Invested Capital over the past 3 years for MRK is significantly below the industry average of 14.45%.
Industry RankSector Rank
ROA 5.8%
ROE 10.21%
ROIC 7.46%
ROA(3y)6.02%
ROA(5y)5.91%
ROE(3y)10.9%
ROE(5y)11.75%
ROIC(3y)9.28%
ROIC(5y)9.07%
MRK.DE Yearly ROA, ROE, ROICMRK.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15

1.3 Margins

  • MRK has a Profit Margin (13.89%) which is in line with its industry peers.
  • In the last couple of years the Profit Margin of MRK has grown nicely.
  • The Operating Margin of MRK (18.53%) is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of MRK has grown nicely.
  • The Gross Margin of MRK (58.69%) is worse than 67.31% of its industry peers.
  • MRK's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 18.53%
PM (TTM) 13.89%
GM 58.69%
OM growth 3Y-2.38%
OM growth 5Y5.83%
PM growth 3Y-5.43%
PM growth 5Y9.94%
GM growth 3Y-1.81%
GM growth 5Y-1.2%
MRK.DE Yearly Profit, Operating, Gross MarginsMRK.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MRK is creating some value.
  • MRK has about the same amout of shares outstanding than it did 1 year ago.
  • MRK has about the same amout of shares outstanding than it did 5 years ago.
  • MRK has a better debt/assets ratio than last year.
MRK.DE Yearly Shares OutstandingMRK.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
MRK.DE Yearly Total Debt VS Total AssetsMRK.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.2 Solvency

  • MRK has an Altman-Z score of 2.95. This is not the best score and indicates that MRK is in the grey zone with still only limited risk for bankruptcy at the moment.
  • With a Altman-Z score value of 2.95, MRK perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
  • The Debt to FCF ratio of MRK is 6.26, which is on the high side as it means it would take MRK, 6.26 years of fcf income to pay off all of its debts.
  • MRK has a Debt to FCF ratio (6.26) which is in line with its industry peers.
  • MRK has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
  • MRK has a Debt to Equity ratio of 0.36. This is in the better half of the industry: MRK outperforms 65.38% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 6.26
Altman-Z 2.95
ROIC/WACC1.01
WACC7.39%
MRK.DE Yearly LT Debt VS Equity VS FCFMRK.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B 25B

2.3 Liquidity

  • A Current Ratio of 1.49 indicates that MRK should not have too much problems paying its short term obligations.
  • The Current ratio of MRK (1.49) is better than 61.54% of its industry peers.
  • A Quick Ratio of 0.97 indicates that MRK may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.97, MRK is in line with its industry, outperforming 44.23% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.49
Quick Ratio 0.97
MRK.DE Yearly Current Assets VS Current LiabilitesMRK.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

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

3

3. Growth

3.1 Past

  • MRK shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.43%.
  • The Earnings Per Share has been growing by 9.19% on average over the past years. This is quite good.
  • MRK shows a small growth in Revenue. In the last year, the Revenue has grown by 1.47%.
  • MRK shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.55% yearly.
EPS 1Y (TTM)1.43%
EPS 3Y-0.35%
EPS 5Y9.19%
EPS Q2Q%0.87%
Revenue 1Y (TTM)1.47%
Revenue growth 3Y2.43%
Revenue growth 5Y5.55%
Sales Q2Q%0.99%

3.2 Future

  • Based on estimates for the next years, MRK will show a small growth in Earnings Per Share. The EPS will grow by 5.02% on average per year.
  • MRK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.01% yearly.
EPS Next Y-0.97%
EPS Next 2Y-0.2%
EPS Next 3Y1.89%
EPS Next 5Y5.02%
Revenue Next Year0.36%
Revenue Next 2Y1.05%
Revenue Next 3Y2.06%
Revenue Next 5Y3.01%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
MRK.DE Yearly Revenue VS EstimatesMRK.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B 20B 25B
MRK.DE Yearly EPS VS EstimatesMRK.DE 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. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 14.89, the valuation of MRK can be described as correct.
  • Compared to the rest of the industry, the Price/Earnings ratio of MRK indicates a somewhat cheap valuation: MRK is cheaper than 73.08% of the companies listed in the same industry.
  • MRK's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.16.
  • The Price/Forward Earnings ratio is 14.78, which indicates a correct valuation of MRK.
  • MRK's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MRK is cheaper than 71.15% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.10. MRK is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 14.89
Fwd PE 14.78
MRK.DE Price Earnings VS Forward Price EarningsMRK.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • MRK's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MRK is cheaper than 73.08% of the companies in the same industry.
  • MRK's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 28.57
EV/EBITDA 10.77
MRK.DE Per share dataMRK.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)1.62
EPS Next 2Y-0.2%
EPS Next 3Y1.89%

More info and screens

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

4

5. Dividend

5.1 Amount

  • MRK has a Yearly Dividend Yield of 1.75%. Purely for dividend investing, there may be better candidates out there.
  • MRK's Dividend Yield is comparable with the industry average which is at 1.91.
  • Compared to an average S&P500 Dividend Yield of 1.82, MRK has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 1.75%

5.2 History

  • The dividend of MRK is nicely growing with an annual growth rate of 11.88%!
Dividend Growth(5Y)11.88%
Div Incr Years0
Div Non Decr Years4
MRK.DE Yearly Dividends per shareMRK.DE Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

  • MRK pays out 9.61% of its income as dividend. This is a sustainable payout ratio.
  • MRK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP9.61%
EPS Next 2Y-0.2%
EPS Next 3Y1.89%
MRK.DE Yearly Income VS Free CF VS DividendMRK.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B
MRK.DE Dividend Payout.MRK.DE Dividend Payout, showing the Payout Ratio.MRK.DE Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

MERCK KGAA

FRA:MRK (2/17/2026, 7:00:00 PM)

127

+0.8 (+0.63%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)11-13
Earnings (Next)03-05
Inst Owners54.91%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap55.22B
Revenue(TTM)21.27B
Net Income(TTM)2.96B
Analysts81.74
Price Target151.66 (19.42%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.75%
Yearly Dividend0.65
Dividend Growth(5Y)11.88%
DP9.61%
Div Incr Years0
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.73%
Min EPS beat(2)-4.83%
Max EPS beat(2)3.38%
EPS beat(4)1
Avg EPS beat(4)-1.86%
Min EPS beat(4)-4.83%
Max EPS beat(4)3.38%
EPS beat(8)3
Avg EPS beat(8)0.95%
EPS beat(12)4
Avg EPS beat(12)0.14%
EPS beat(16)7
Avg EPS beat(16)0.13%
Revenue beat(2)1
Avg Revenue beat(2)-0.94%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)0.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.97%
Min Revenue beat(4)-1.98%
Max Revenue beat(4)0.09%
Revenue beat(8)2
Avg Revenue beat(8)-1.11%
Revenue beat(12)2
Avg Revenue beat(12)-1.29%
Revenue beat(16)4
Avg Revenue beat(16)-0.94%
PT rev (1m)6.12%
PT rev (3m)3.02%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-2.5%
EPS NY rev (1m)0.51%
EPS NY rev (3m)0.84%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)-1.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.07%
Valuation
Industry RankSector Rank
PE 14.89
Fwd PE 14.78
P/S 2.6
P/FCF 28.57
P/OCF 14.26
P/B 1.91
P/tB 16.72
EV/EBITDA 10.77
EPS(TTM)8.53
EY6.72%
EPS(NY)8.6
Fwd EY6.77%
FCF(TTM)4.45
FCFY3.5%
OCF(TTM)8.91
OCFY7.01%
SpS48.92
BVpS66.55
TBVpS7.59
PEG (NY)N/A
PEG (5Y)1.62
Graham Number113.02
Profitability
Industry RankSector Rank
ROA 5.8%
ROE 10.21%
ROCE 9.32%
ROIC 7.46%
ROICexc 8.02%
ROICexgc 22.98%
OM 18.53%
PM (TTM) 13.89%
GM 58.69%
FCFM 9.09%
ROA(3y)6.02%
ROA(5y)5.91%
ROE(3y)10.9%
ROE(5y)11.75%
ROIC(3y)9.28%
ROIC(5y)9.07%
ROICexc(3y)9.79%
ROICexc(5y)9.49%
ROICexgc(3y)29.91%
ROICexgc(5y)31.66%
ROCE(3y)11.59%
ROCE(5y)11.34%
ROICexgc growth 3Y-8.23%
ROICexgc growth 5Y-5.36%
ROICexc growth 3Y-3.27%
ROICexc growth 5Y7.94%
OM growth 3Y-2.38%
OM growth 5Y5.83%
PM growth 3Y-5.43%
PM growth 5Y9.94%
GM growth 3Y-1.81%
GM growth 5Y-1.2%
F-Score6
Asset Turnover0.42
Health
Industry RankSector Rank
Debt/Equity 0.36
Debt/FCF 6.26
Debt/EBITDA 1.78
Cap/Depr 100%
Cap/Sales 9.12%
Interest Coverage 250
Cash Conversion 65.84%
Profit Quality 65.41%
Current Ratio 1.49
Quick Ratio 0.97
Altman-Z 2.95
F-Score6
WACC7.39%
ROIC/WACC1.01
Cap/Depr(3y)99.64%
Cap/Depr(5y)92.04%
Cap/Sales(3y)9.36%
Cap/Sales(5y)8.84%
Profit Quality(3y)74.2%
Profit Quality(5y)84.7%
High Growth Momentum
Growth
EPS 1Y (TTM)1.43%
EPS 3Y-0.35%
EPS 5Y9.19%
EPS Q2Q%0.87%
EPS Next Y-0.97%
EPS Next 2Y-0.2%
EPS Next 3Y1.89%
EPS Next 5Y5.02%
Revenue 1Y (TTM)1.47%
Revenue growth 3Y2.43%
Revenue growth 5Y5.55%
Sales Q2Q%0.99%
Revenue Next Year0.36%
Revenue Next 2Y1.05%
Revenue Next 3Y2.06%
Revenue Next 5Y3.01%
EBIT growth 1Y14.16%
EBIT growth 3Y-0.01%
EBIT growth 5Y11.7%
EBIT Next Year37.82%
EBIT Next 3Y13.34%
EBIT Next 5Y10.96%
FCF growth 1Y8.96%
FCF growth 3Y-9.07%
FCF growth 5Y5.53%
OCF growth 1Y3.36%
OCF growth 3Y-0.22%
OCF growth 5Y9.93%

MERCK KGAA / MRK.DE FAQ

What is the fundamental rating for MRK stock?

ChartMill assigns a fundamental rating of 4 / 10 to MRK.DE.


Can you provide the valuation status for MERCK KGAA?

ChartMill assigns a valuation rating of 4 / 10 to MERCK KGAA (MRK.DE). This can be considered as Fairly Valued.


Can you provide the profitability details for MERCK KGAA?

MERCK KGAA (MRK.DE) has a profitability rating of 5 / 10.


What is the financial health of MERCK KGAA (MRK.DE) stock?

The financial health rating of MERCK KGAA (MRK.DE) is 4 / 10.


How sustainable is the dividend of MERCK KGAA (MRK.DE) stock?

The dividend rating of MERCK KGAA (MRK.DE) is 4 / 10 and the dividend payout ratio is 9.61%.