Score Your Stock

US stock · figures in US dollars · scored on full-year results

Merck & Merck & Company, Inc. Common Stock (new)

MRK · Healthcare · Drug Manufacturers - General
Bottom 20% of scored stocks
OkayBottom 20% of scored stocks
Weak Spot

Merck & scores 43/100 on fundamentals: in the bottom 20% of 503 scored S&P 500 stocks. Its strongest area is Cash & Dividends (75/100); its weakest is Price Fairness (17/100). It carries 1 warning flag: Weak Spot.

Best
Cash 75
Weakest
Price 17
  • Carries a Weak Spot flag

A financially stretched, expensively priced stock, but price fairness needs attention.

What looks good
What to watch
Mkt capUS$ 368.9b#28 of 503 in the S&P 500EPSUS$ 1.26P/E150.5×✗ vs sector median 29.6×P/B8.8×✗ vs sector median 3.7×Div yield2%✓ Top 31% in the S&P 50052w range · 90% of range82.01156.92
as of 31 Oct 2026

Nearby peers

Ranks #46 of 60 in Healthcare by score

#1Universal Health Services79#44Zimmer Biomet45#45Abbott Laboratories44
#46Merck &43
#47Centene42#48IQVIA42

One-Minute Summary

Why Merck & scores 43

A financially stretched, expensively priced stock, but price fairness needs attention.

What looks good
What to watch

Business Strength

30
Why 30?
Pillar score: (0 + 1 + 2 + 0 + 0) = 3 of 10 points → 30
Return on Equity (ROE)6%Weak4-Year Revenue Growth+4%/yrOkay4-Year Profit Growth+89%/yrStrongNet Profit Margin4%WeakQuarterly Momentum+5%Weak
Show 3 charts

Net Profit & Equity, with ROE

Net Profit ↑ +572.1%Equity ↑ +11.6%ROE % 5.8%
Net ProfitEquityROE %
365m17.1b18.3b2.5b37.6b46.3b52.6b41.9b202320242025TTM1%37%34.7%5.8%

Revenue & Net Profit, with Net Margin

Revenue ↑ +12.1%Net Profit ↑ +572.1%Net Margin % 3.6%
RevenueNet ProfitNet Margin %
60.1b64.2b65.0b67.4b365m17.1b18.3b2.5b202320242025TTM0.6%26.7%28.1%3.6%

Sales grew about 12.1% over 4 years: customers keep spending more with this company.

Profit climbed about 572.1% over 4 years: the business keeps more money as it grows.

Recent Quarters: Revenue & Net Profit (the last 8 quarters, scored)

Revenue → -0.3%Net Profit ↓ -142.3%Net Margin % -8%
RevenueNet ProfitNet Margin %
16.7b15.6b15.5b15.8b17.3b16.4b16.3b16.6b3.2b3.7b5.1b4.4b5.8b3.0b-4.2b-1.3bQ3'24Q4'24Q1'25Q2'25Q3'25Q4'25Q1'26Q2'2619%24%32.7%28%33.5%18.1%-26%-8%
▼▲▲▼▲▼▼▼

Sales have stayed roughly flat over the last 8 quarters.

The company made a loss in at least one of the last 8 quarters: the bars below zero are losses, not profits.

Why 33?
Pillar score: (0 + 1 + 1) = 2 of 6 points → 33
Debt-to-Equity1.3×WeakCurrent Ratio1.3×OkayInterest Coverage3.4×Okay
Show 2 charts

Debt vs Equity, with D/E ratio

Total Debt ↑ +53.8%Equity ↑ +11.6%D/E 1.3×
Total DebtEquityD/E
35.1b37.1b49.3b53.9b37.6b46.3b52.6b41.9b202320242025TTM0.9×0.8×0.9×1.3×

Borrowings grew about 53.8% over 4 years: watch this; rising debt adds pressure in bad times.

Short-term assets vs bills, with Current Ratio

Current Assets ↑ +14%Current Liabilities ↑ +7.9%Current Ratio 1.3×
Current AssetsCurrent LiabilitiesCurrent Ratio
32.2b38.8b43.5b36.7b25.7b28.4b28.3b27.7b202320242025TTM1.3×1.4×1.5×1.3×
Why 75?
Pillar score: (0 + 2 + 2 + 2) = 6 of 8 points → 75
Dividend Quality2%Weak
Payout ratio: 338%
Operating Cash FlowPositive & growingStrongFree Cash FlowPositive & growingStrongCash & Cash EquivalentsGrowing & covers near-term debtStrong
Show 3 charts

Operating vs Free Cash Flow

Operating CF ↑ +53.5%Free CF ↑ +75.7%
Operating CFFree CF
13.0b21.5b16.5b20.0b9.1b18.1b12.4b16.1b202320242025TTM

The business generates real cash, and more of it each year: a very healthy sign.

Cash vs Total Debt

Cash → +0.1%Short-Term Debt ↑ +105.9%Total Debt ↑ +53.8%
CashShort-Term DebtTotal Debt
6.8b13.2b14.6b6.8b1.4b2.6b2.6b2.8b35.1b37.1b49.3b53.9b202320242025TTM

Dividends per Share, with Yield

DPS (cents) ↑ +17.1%Yield % 2.3%
DPS (cents)Yield %
69696973778181818528029631232820222023202420253.5%3%2.8%2.3%

Dividends per share have been maintained or raised: management shares the rewards with you.

Why 17?
Pillar score: (0 + 0 + 1) = 1 of 6 points → 17
P/E Ratio150.5×WeakP/B Ratio8.8×WeakPEG Ratio1.7Okay
Show chart

Share Price: Weekly Closes (not part of the score)

US$ 151.66US$ 117.59US$ 83.53Oct '25Feb '26Jun '26Oct '26

The share price is up about 79% over the past year.

Why 58?
Pillar score: (2 + 0 + 2 + 2 + 1 + 0) = 7 of 12 points → 58
Earnings ConsistencySteadyStrongDebt Trend (4yr)RisingWeakShare Count Trend (4yr)-1%/yrStrongInventory vs Sales (4yr)-4.7 pp/yr vs salesStrongAsset Turnover Trend (4yr)-7.9%OkayQuarterly ConsistencyLoss in 2 of 8 quartersWeak
Show chart

Revenue vs Inventory, with Inventory % of Revenue

Revenue ↑ +12.1%Inventory → -2.4%Inv. % of Rev. 9.2%
RevenueInventoryInv. % of Rev.
60.1b64.2b65.0b67.4b6.4b6.1b6.7b6.2b202320242025TTM10.6%9.5%10.2%9.2%
Ranks #46 of 60 in Healthcare by score

Sector peers

#1Universal Health Services79#44Zimmer Biomet45#45Abbott Laboratories44
#46Merck & (you)43
#47Centene42#48IQVIA42

Full Financial History

Every reported figure behind the score, year by year. Download it, or check it against the company's own annual report.

Financial YearRevenueNet ProfitOperating Cash FlowFree Cash FlowCapExCashTotal DebtShort-Term DebtEquityCurrent AssetsCurrent LiabilitiesTotal AssetsTotal LiabilitiesInventoryDividendsReturn on Equity (ROE)Net Profit MarginDebt-to-EquityCurrent RatioInterest CoverageDividend Payout RatioDiv yieldP/E RatioP/B RatioPEG Ratio
2026US$ 67.4bUS$ 2.5bUS$ 20.0bUS$ 16.1bUS$ -3.9bUS$ 6.8bUS$ 53.9bUS$ 2.8bUS$ 41.9bUS$ 36.7bUS$ 27.7bUS$ 129.8bUS$ 87.8bUS$ 6.2b-6%4%1.3×1.3×3.4×338%----
2025US$ 65.0bUS$ 18.3bUS$ 16.5bUS$ 12.4bUS$ -4.1bUS$ 14.6bUS$ 49.3bUS$ 2.6bUS$ 52.6bUS$ 43.5bUS$ 28.3bUS$ 136.9bUS$ 84.2bUS$ 6.7bUS$ 328.0m35%28%0.9×1.5×16.5×45%3%14.1×4.9×1.8
2024US$ 64.2bUS$ 17.1bUS$ 21.5bUS$ 18.1bUS$ -3.4bUS$ 13.2bUS$ 37.1bUS$ 2.6bUS$ 46.3bUS$ 38.8bUS$ 28.4bUS$ 117.1bUS$ 70.7bUS$ 6.1bUS$ 312.0m37%27%0.8×1.4×16.7×46%3%13.8×5.1×1.5
2023US$ 60.1bUS$ 365.0mUS$ 13.0bUS$ 9.1bUS$ -3.9bUS$ 6.8bUS$ 35.1bUS$ 1.4bUS$ 37.6bUS$ 32.2bUS$ 25.7bUS$ 106.7bUS$ 69.0bUS$ 6.4bUS$ 296.0m1%1%0.9×1.3×2.7×2040%3%695.1×6.8×-