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Merck & Co. (MRK) stock

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NYSE: MRK NYSE Pharmaceuticals Next results ~February 2, 2027

B Fundamentals grade

Merck & Co. is a US-listed company in the pharmaceuticals industry. Its financial year ends in December.

Stock price today

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Third-party market data · may be delayed

Fair value per share

~$100

Cash-flow model

Base case. Range ~$70–$140 across our lower- and higher-growth cases (-0.4%–9.6% a year).

Price vs value

Overvalued

The price is above our entire value range; our base value is 33% below it.

Price used: $148.36, November 2, 2026

Merck & Co. valuation: adjust assumptions and compare models →

Who’s trading

What company insiders, investment funds and members of Congress have been doing with the stock, from their own filings.

Value diary

Our note on each quarter Merck & files

Where Merck & Co. stands after its latest 10-Q

Revenue for the twelve months to June 2026 was $66.6bn, up 4.6% on a year earlier, faster than 2.9% a quarter earlier. Free-cash-flow margin held at 24.1%. Against its peers on growth, profitability, cash generation and balance sheet, it grades C+. It passes 2 of our 5 financial-health checks. Our cash-flow model value is $93.92 a share, against a share price of $148. At that price, our model says the market is pricing in about 11.6% a year of cash-flow growth for five years, faster than the 6.4% a year revenue growth it has delivered.

Source: 10-Q filed August 7, 2026 on SEC EDGAR · Financials · Valuation

Written from the company's filings and our models when each quarter's report arrives. Figures in older notes are as published at the time. Not investment advice.

The Fundamentalytics view

Next results ~February 2, 2027 (estimated)

Merck & Co.'s trailing-twelve-month revenue grew 4.6% year on year, with a free-cash-flow margin of 24.1%. Where it stands out: free-cash-flow margin of 24.1% ranks 12 of 74 pharmaceuticals companies we cover.

Our discounted-cash-flow model values the business at ~$100 per share in the base case (~$70–$140 across growth scenarios) — model values under stated assumptions, not a price target.

Current signal Free cash flow diverging from earnings: TTM free cash flow grew 9.1% while net income fell 80.7%: a 90pp divergence.

Assembled from SEC-filed figures — the full workings are on this page and in our methodology. Observations, not recommendations.

Highlights

How we pick these

Strengths

  • Strong cash generation. 24.1% of revenue turned into free cash flow, against a median of 10.1% for pharmaceuticals companies we cover.
  • Shrinking share count. Diluted shares fell 1.9% in a year, so each share owns more of the business.
  • Beating expectations. Earnings per share beat the analysts' consensus estimate in each of the last four quarters.

Things to watch

  • Priced above our value. The share price of $148.36 is 33% above our value per share of $100.
  • High earnings multiple. The shares trade at 116 times the last 12 months' earnings, so expectations are demanding.
  • Insiders selling. 11 insiders sold $72M of stock over the past 365 days and none bought (0% under pre-set trading plans).
  • Gross margin slipping. Gross margin is down 3.6 points on a year ago.
  • Estimates being cut. Analysts' consensus for next year's earnings per share has fallen 5.4% over 90 days.

Latest results: FY2026 Q2

Filed August 7, 2026
Earnings per share
$2.49 against an average estimate of $2.09: beat by 19.3%
Revenue
$16.61bn, up 5.1% on a year earlier
Share reaction
+6.1% in the first session after the results on October 29, 2026, against -2.1% for the S&P 500
Guidance given
sales $66.3bn to $67.3bn (full-year 2026); non-GAAP EPS $2.66 to $2.76 (full-year 2026)
Next report
October 29, 2026; average EPS estimate $1.86

Merck &'s figures from its SEC filings and results release; estimates are the analysts' average. Not a recommendation.

Price chart

  • 1 day-0.8%
  • 1 week+5.5%
  • 1 month+2.8%
  • This year+43.9%
  • 1 year+77.6%
  • 5 years+94.9%
  • S&P 500 this year+11.2%

Closing prices to 2026-11-02. Price change only, dividends excluded.

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Third-party market data · may be delayed

At a glance

Trailing twelve months, from SEC filings

Profitability

Revenue (TTM)
$66.6B
Net margin
4.8%
EPS (TTM, diluted)
$1.28

Growth

Revenue growth
+4.6%
Change in growth rate
+1.8 pts
Share count change
−1.9%

Cash

Free cash flow (TTM)
$16.1B
FCF margin
24.1%
Stock pay % of revenue
1.3%

Earnings

Last results
October 29, 2026
Next results (est.)
February 2, 2027

News & updates

Updated October 31, 2026

Company announcements, filed results and changes that matter to shareholders.

  1. Results
  2. Leadership
  3. Insider trade
  4. Insider trade
  5. Insider trade
  6. Insider trade
  7. Insider trade
  8. Insider trade
  9. Insider trade
  10. Insider trade
  11. Results
  12. Guidance

Refreshed hourly when new source data is available. Summaries are checked against company releases and SEC filings. Company announcement headlines are labelled when a checked summary is unavailable.

Valuation

Merck & Co. valuation models and calculator

What the price is pricing in

The share price implies about 10.1% a year of cash-flow growth for five years.That is close to the 6.4% a year revenue growth Merck & has delivered.

  • Priced in10.1%
  • Last 12 months4.6%
  • 3 years a year4.5%
  • 5 years a year6.4%

Our cash-flow model with every input fixed except growth over the next five years, solved for the growth at which the model value equals the share price ($146.12, Nov 3, 2026). Cash-flow growth then fades to 2.5% a year; discount rate 8.5%. Delivered figures are revenue growth from SEC filings. This is a model exercise, not investment advice or a forecast of the share price. All companies

Fundamentalytics rating

model v1.6 · 2026-11-03
Sell12-month view
12-month price target
~$100
Price used
$146.12close November 3, 2026
Implied change
▼ 32%
Uncertainty
Medium

How we got here: a discounted-cash-flow model of Merck & Co.'s free cash flow after stock-based pay with after-tax interest added back ($15.5B, FY2026 Q2 TTM), growing 3.2% and 4.3% in the next two years (forecasts, guidance and its record), then back to 4.6% by year five, and fading to 2.5%, discounted at 8.5%. Lower and higher growth cases span ~$70–~$140 ; that spread sets a 25% margin before we rate Buy or Sell.

Produced by Fundamentalytics' automated valuation model on November 3, 2026, using delayed market prices. Rating meanings, methodology and conflicts: recommendations disclosure and research disclaimer. General research, not personal advice — it does not consider your circumstances. Prices can fall as well as rise.

Our value per share comes from a discounted-cash-flow model of Merck & Co.'s free cash flow after stock-based pay ( $15.5B, FY2026 Q2 TTM, with after-tax interest added back): growth for five years as below (the first two years from forecasts, guidance and the company's record), fading to 2.5%, discounted at 8.5%, then cash added and debt and other claims subtracted. These are model values under stated assumptions, not price targets or recommendations.

Valuation models

We value Merck & Co. as an operating company, with every model that fits that kind of business. Cost of equity 7.8%: the 10-year Treasury yield (4.9%) plus a beta of 0.64 times a 4.5% equity risk premium.

Value per share by model
Model Value per share In the combined value?
Cash-flow model (DCF) Free cash flow to the firm (after stock pay, with after-tax interest added back), grown then faded to 2.5%, discounted at 8.5% as the firm rate, less debt and other claims. ~$100 ~$70–$140 Primary model, counts double
Forward price-to-earnings vs peers Next year's consensus earnings per share times peers' typical (harmonic-mean) forward price-to-earnings. Uses analysts' consensus estimates (third-party data), not our forecasts. ~$80 ~$84–$170 Included
Residual income Book value plus the present value of returns above the cost of equity, fading over ten years. ~$59 ~$46–$79 Included
Justified price-to-book Book value times (return on equity - growth) / (cost of equity - growth): steady-state returns. ~$79 ~$65–$100 Included
Combined value Weighted average of the models that apply: the primary model (cash-flow model (dcf)) counts double. Models more than 5x or less than 0.2x the share price, or more than 3x away from the other models' median, are left out. ~$84 ~$59–$100 4 models

Different models fail in different ways, so where several apply we average them rather than trust one. Peer-based models compare Merck & Co. with Pharmaceuticals in our coverage, using third-party market data. Model values are estimates under stated assumptions, updated as new filings arrive; not price targets or investment advice. How each model works.

What moves the value

  • Revenue growth 5 points lower ▼ −29%
  • Revenue growth 5 points higher ▲ +38%
  • Free-cash-flow margin 1 point lower ▼ −4%
  • Last year's free-cash-flow margin change, if it persists ▲ +5%
  • Discount rate 1 point higher ▼ −17%
Value per share under different assumptions
Discount rate ↓ / growth → −5% growth0% growth5% growth10% growth15% growth20% growth
7% $72$104$147$204$277$373
8.5% $50$74$105$145$198$266
10% $38$56$80$111$151$202

Valuation multiples over time Market data may be delayed

At fiscal year end 2016201720182019202020212022202320242025Now
Share price$41.71$41.09$57.51$70.32$65.25$66.39$99.21$100.21$93.94$103.13$148.36
Market value$116.2bn$112.9bn$154.1bn$181.4bn$165.8bn$168.5bn$252.2bn$255.2bn$238.7bn$258.6bn$368.2bn
+ Net debt (− = net cash)$18.3bn$18.3bn$17.1bn$16.7bn$23.8bn$25.0bn$18.0bn$28.3bn$23.9bn$34.8bn$47.1bn
Enterprise value$134.6bn$131.2bn$171.2bn$198.1bn$189.5bn$193.5bn$270.2bn$283.5bn$262.6bn$293.3bn$415.2bn
Multiples
Price / sales 2.9x2.8x3.6x4.6x4.0x3.5x4.3x4.2x3.7x4.0x5.5x
Price / earnings 29.7x47.2x24.8x18.4x23.5x12.9x17.4xn/m13.9x14.2x116.0x
Price / free cash flow 13.3x24.7x18.5x18.0x28.5x19.4x17.1x27.9x13.2x20.9x22.9x
EV / EBITDA ———————————

Market value uses the period's diluted share count; figures for each fiscal year use that year's results and the price at year end. "Now" uses today's price and the last twelve months.

Moat

79 /100

Strong moat

How hard Merck &'s competitive advantage looks for rivals to wear away, judged from 10 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

  • Returns on capital 20 / 20

    Cash operating profit has been a median 26.1% of total assets over 9 years.

  • Pricing power 19 / 20

    Gross margin has been a median 70.4%, moving by 3.1 percentage points (standard deviation) across 9 years.

  • Durability 8 / 20

    Net margin has been a median 19.5%; its worst year was 3.3%.

  • Cash conversion 20 / 20

    Free cash flow was positive in 10 of 10 years, at a median 19.8% of revenue.

  • Discipline 17 / 20

    The diluted share count fell 2.3% over five years; stock-based pay has been a median 1.1% of revenue.

AI disruption exposure: Medium. In this industry, AI could change how the product is made or sold, without replacing the core asset. The score above includes a 5-point deduction for that exposure (84 before it).

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

Forecasts and guidance

Analysts' consensus

Fiscal yearEPSGrowthRevenueGrowth
Current $2.71 −70% $67.2bn +3%
Next $9.15 +238% $69.8bn +4%

Next year's EPS estimate has moved −5.4% in 90 days, across 22 analysts.

How the EPS forecast has moved

The consensus EPS forecast for the current fiscal year is −1.8% on 90 days ago. In the last 30 days, 0 analysts raised Merck & Co.'s forecast and 10 cut it.

Consensus EPS forecast Merck & Co., last 90 days
$0.00 $5.00 $10.00 90 days ago 60 days ago 30 days ago 7 days ago Now Current fiscal year, 90 days ago: $2.76 Current fiscal year, 60 days ago: $2.75 Current fiscal year, 30 days ago: $2.74 Current fiscal year, 7 days ago: $2.66 Current fiscal year, Now: $2.71 $2.71 Next fiscal year, 90 days ago: $9.68 Next fiscal year, 60 days ago: $9.54 Next fiscal year, 30 days ago: $9.51 Next fiscal year, 7 days ago: $9.26 Next fiscal year, Now: $9.15 $9.15

Average of analysts' published estimates (third-party data).

View chart data
Period Current fiscal yearNext fiscal year
90 days ago $2.76$9.68
60 days ago $2.75$9.54
30 days ago $2.74$9.51
7 days ago $2.66$9.26
Now $2.71$9.15

Earnings against estimates

Quarter toEstimateActualSurprise
Sept 2026 $2.09 $2.49 +19.3%
Jun 2026 −$0.26 −$0.13 +49.4%
Mar 2026 −$1.47 −$1.28 +13.1%
Dec 2025 $2.01 $2.04 +1.5%

Adjusted EPS as companies report it, against the average analyst estimate.

Management guidance

Earnings release, August 4, 2026
  • Sales full-year 2026 $66.3bn to $67.3bn Raised
    “The Company is raising and narrowing the range for its full-year sales outlook and now anticipates full-year 2026 sales to be between $66.3 billion and $67.3 billion, including a positive impact from foreign exchange of approximately 1% at mid-July 2026 exchange rates.” source
  • Non-GAAP EPS full-year 2026 $2.66 to $2.76 Non-GAAP
    “The Company now expects full-year 2026 non-GAAP EPS to be between $2.66 and $2.76, including a positive impact from foreign exchange of approximately $0.15 per share at mid-July 2026 exchange rates.” source
  • Non-GAAP Gross margin Full Year 2026 about 81% Non-GAAP
    “Non-GAAP Gross margin 3 Approximately 81% Approximately 82%” source
  • Non-GAAP Operating expenses Full Year 2026 $42bn to $42.7bn Non-GAAP
    “Non-GAAP Operating expenses 3** $42.0 billion to $42.7 billion $36.0 billion to $36.8 billion” source
  • Non-GAAP Other (income) expense, net Full Year 2026 about $1.4bn Non-GAAP
    “Non-GAAP Other (income) expense, net 3 Approximately $1.4 billion expense Approximately $1.3 billion expense” source
  • Non-GAAP Effective income tax rate full-year 35% to 36% Non-GAAP
    “The Company now expects the full-year non-GAAP effective income tax rate to be between 35.0% and 36.0%, including the impact of the non-tax deductible one-time charges for the acquisitions of Cidara and Terns.” source
Show 1 more item
  • Share count (assuming dilution) Full Year 2026 about 2.48bn
    “Share count (assuming dilution) Approximately 2.48 billion Approximately 2.48 billion” source

Figures and quotations are management's, copied from the company's own press release (SEC 8-K exhibit) and checked word for word against it. Forward-looking statements are the company's expectations, not ours and not advice; guidance can change or be missed.

How our valuation uses these forecasts

Our cash-flow model grows Merck & Co.'s revenue by +3.2% next year and +4.3% the year after, then fades back toward its own record by year five. Next year's rate weighs analysts' consensus (+2.9%, weight 57%) , management guidance (+2.3%, weight 18%) and the company's own record (+4.6%, weight 25%) . How the weights are set.

Analyst recommendations

28 analysts, Oct 2026
Buy1968%
Hold932%
Sell00%

Monthly trend

  1. Oct 2026514928
  2. Sep 2026514827
  3. Aug 2026515828
  4. Jul 2026415828

Counts of recommendations published by analysts covering Merck & Co., by month. Source: Aggregated broker recommendations (third-party data). Aggregated counts only: we do not reproduce any firm's recommendation or price target, and these are not Fundamentalytics ratings.

Positioning

Short interest
1.1%
of tradable shares
Days to cover
2.68
at average volume
Short interest, 1 month
−22%
to October 15, 2026
Held by institutions
83%
of shares
Held by insiders
0.1%
of shares
Employees
73,000
full time

Consensus figures average analysts' published estimates (third-party data); guidance is the company's own. Neither is our forecast. Short interest is reported twice a month and lags. Market data may be delayed.

This section is general information, not investment advice or a personal recommendation, and it does not take account of your objectives or circumstances. Forecasts and guidance are estimates, not promises: companies miss their own guidance and analysts' figures are often revised. Prices can fall as well as rise, and you can lose money. See our disclaimer.

Share-price performance

Market data may be delayed

What moved the share price

Last 12 months +77.6%

$83.53 on October 31, 2025 to $148.36

ThenNowEffect
Revenue (last 12 months) $63.6bn $66.6bn +4.6%
Net margin 25.8% 4.8% −81.5%
P/E multiple 12.9x 116.0x +800.8%
Share count 2530m 2482m +2.0%

Biggest factor: p/e multiple.

Last 3 years +57.3%

$94.34 on November 3, 2023 to $148.36

ThenNowEffect
Revenue (last 12 months) $58.3bn $66.6bn +14.2%
Net margin 5.3% 4.8% −10.7%
P/E multiple 77.2x 116.0x +50.3%
Share count 2545m 2482m +2.6%

Biggest factor: p/e multiple.

The effects multiply back to the price change exactly. Results are the last 12 months as known on each date (filings assumed public 45 days after quarter end).

Return and risk by year

Calendar year 202120222023202420252026 to date
Return
MRK+2%+49%+1%−6%+10%+44%
Industry peers (median)−20%−52%−14%−2%+7%−14%
S&P 500+29%−18%+26%+25%+18%+11%
Months that ended higher
MRK42%67%42%33%50%64%
S&P 50075%42%67%75%75%46%
Largest fall from a high during the year
MRK−20%−11%−14%−27%−27%−11%
S&P 500−5%−25%−10%−8%−19%−9%

Worst fall since November 2, 2015: 43% from June 24, 2024 to May 14, 2025. Getting back needed a 77% gain, reached on June 25, 2026, 407 days after the low.

Price behaviour

52-week range
$80.14 – $155.53
From 52-week high
−4.6%
vs 50-day average
+1.3%
vs 200-day average
+18.0%
Volatility (1 year)
30%
Beta vs S&P 500
0.10

Volatility is the annualised standard deviation of daily returns. Beta 1.5 means the shares typically moved 1.5% for each 1% move in the S&P 500 over the past year. Prices to November 2, 2026.

Share price after results

Next day
7 up, 5 down
typical move ±4.4%
After a week
6 up, 5 down
typical move ±4.8%
After a month
6 up, 5 down
typical move ±6.1%
Results releasedNext dayS&P 500 next day5 days21 days
October 29, 2026 +6.1% −2.1% — —
August 4, 2026 +0.4% +1.6% +2.1% +18.7%
April 30, 2026 +1.1% +1.3% +1.2% +3.8%
February 3, 2026 +4.4% −1.3% +3.3% +2.4%
October 30, 2025 −0.7% −0.8% −0.9% +17.6%
July 29, 2025 −2.7% −0.4% −3.9% 0.0%
April 24, 2025 +5.1% +2.8% +5.7% −1.5%
February 4, 2025 −10.1% +1.1% −13.3% −5.8%
October 31, 2024 −2.8% −1.5% −3.5% −4.0%
July 30, 2024 −11.5% +1.1% −13.0% −8.1%
April 25, 2024 +3.3% +0.6% +1.0% +2.0%
February 1, 2024 +4.7% +2.4% +4.8% +2.7%

From the close before the release date to the close 1, 5 and 21 trading days after it, so releases before the open and after the close are both captured. Past moves don't predict future ones.

Options strategies

All options ideas

How Merck & Co.’s listed options are priced, and three ways to use them that follow from our valuation. Quotes are delayed, read November 3, 2026. Check the live chain at your broker before trading.

Implied vs realised volatility

Options look cheap

Option prices imply less movement than the shares have recently shown. Selling options pays little for the risk taken.

  • Implied is 0.92× the last 60 days’ realised volatility , richer than 7% of the 175 stocks we screen today.
  • Puts and calls are priced at about the same implied volatility.
  • Why: implied is below 60-day realised: selling options pays little for the risk taken.

Our rule for “rich”: implied at least 1.2× 60-day realised (beyond measurement noise), above 1-year realised (not just a calm spell), and in the top 20% of our coverage that day. Never with results inside the option’s life. These are our conventions, built on research showing option prices usually imply more movement than follows, most when the gap is wide. How we judge this.

Cash-secured put

Not offered: rated Sell.

We suggest selling a put only on well-rated companies, at a strike where the price you would pay if assigned (strike less premium) is at or below our fair value.

MRK Merck & Co. Grade B $144.77

Own 100 shares, sell the $152.5 call expiring December 4, 2026 (31 days) for $2.29 a share — $229 per contract.

Bid $2.29, ask $2.96, quoted Tue 3 Nov, 14:35 New York time with MRK at $144.77. Option prices move with the shares: check the live chain at your broker before trading.

  • If MRK ends below $152.5: you keep your shares and the $229 — 1.6% extra on the position, 18.6% a year at that pace.
  • If it ends above $152.5: your shares are sold at $152.5, a total return of 6.9% including the premium — at or above our value of ~$100.
$1.0k $0 −$2.8k Break-even $142.48 Price $144.77 ← Our value ~$100
Profit or loss per contract at expiry, by share price (including the shares bought at today's price).
Premium
$229
Annualised
18.6%
Break-even
$142.48
Max gain
$1,002
Chance of selling
~34%

Collar

Own the shares, buy the $140 put and sell the $152.5 call, both expiring December 4, 2026 (31 days).

  • Net cost of $1.31 a share ($131 per contract of 100 shares).
  • Worst case at expiry: -4.2%, if the shares fall below $140 (-3.3% from today).
  • Best case at expiry: +4.4%, if the shares rise above $152.5 (+5.3%); gains beyond that go to the call buyer.

Offered because the shares trade at or above our fair value of $100: a way to hold on with a floor under the price, paid for by giving up upside the model does not expect. Strikes near 25-delta; the put at its ask and the call at its bid. Protection has a cost over time: research on protective puts finds they have usually lowered returns.

General research, not personal advice. Options can lose you more than you expect and are not suitable for everyone: put sellers can be made to buy shares that keep falling, call sellers give up gains above the strike, and results or news can move prices sharply. Chances shown are approximations from each option’s delta. Spreads, fees and early assignment are not modelled.

Merck & Co. in five measures

Fundamentals grade B
Growth Profitability Cash Balance sheet Value

Growth, profitability, cash generation and balance sheet are percentiles against the companies we cover in the same industry, from SEC filings (100 = best). Value compares the share price with our modelled value range (50 = at our base value; higher = cheaper). A description of reported data and our model — not a quality score or advice.

Fundamentals

Revenue (TTM) Merck & Co.
$58B $60B $62B $64B $66B $68B FY23 Q3 FY24 Q2 FY25 Q1 FY26 Q2 Revenue (TTM), FY23 Q3: $59.3B Revenue (TTM), FY23 Q4: $60.1B Revenue (TTM), FY24 Q1: $61.4B Revenue (TTM), FY24 Q2: $62.5B Revenue (TTM), FY24 Q3: $63.2B Revenue (TTM), FY24 Q4: $64.2B Revenue (TTM), FY25 Q1: $63.9B Revenue (TTM), FY25 Q2: $63.6B Revenue (TTM), FY25 Q3: $64.2B Revenue (TTM), FY25 Q4: $65B Revenue (TTM), FY26 Q1: $65.8B Revenue (TTM), FY26 Q2: $66.6B $66.6B

Source: SEC EDGAR filings. Retrieved October 20, 2026.

View chart data
Period Revenue (TTM)
FY23 Q3 $59.3B
FY23 Q4 $60.1B
FY24 Q1 $61.4B
FY24 Q2 $62.5B
FY24 Q3 $63.2B
FY24 Q4 $64.2B
FY25 Q1 $63.9B
FY25 Q2 $63.6B
FY25 Q3 $64.2B
FY25 Q4 $65B
FY26 Q1 $65.8B
FY26 Q2 $66.6B
Revenue growth, TTM YoY Merck & Co.
0% 2% 4% 6% 8% FY23 Q3 FY24 Q2 FY25 Q1 FY26 Q2 Revenue growth, TTM YoY, FY23 Q3: 0.6% Revenue growth, TTM YoY, FY23 Q4: 1.4% Revenue growth, TTM YoY, FY24 Q1: 6.1% Revenue growth, TTM YoY, FY24 Q2: 7.1% Revenue growth, TTM YoY, FY24 Q3: 6.5% Revenue growth, TTM YoY, FY24 Q4: 6.7% Revenue growth, TTM YoY, FY25 Q1: 4.1% Revenue growth, TTM YoY, FY25 Q2: 1.8% Revenue growth, TTM YoY, FY25 Q3: 1.7% Revenue growth, TTM YoY, FY25 Q4: 1.3% Revenue growth, TTM YoY, FY26 Q1: 2.9% Revenue growth, TTM YoY, FY26 Q2: 4.6% 4.6%

Source: SEC EDGAR filings. Retrieved October 20, 2026.

View chart data
Period Revenue growth, TTM YoY
FY23 Q3 0.6%
FY23 Q4 1.4%
FY24 Q1 6.1%
FY24 Q2 7.1%
FY24 Q3 6.5%
FY24 Q4 6.7%
FY25 Q1 4.1%
FY25 Q2 1.8%
FY25 Q3 1.7%
FY25 Q4 1.3%
FY26 Q1 2.9%
FY26 Q2 4.6%
FCF margin (TTM) Merck & Co.
15% 20% 25% 30% FY23 Q3 FY24 Q2 FY25 Q1 FY26 Q2 FCF margin (TTM), FY23 Q3: 22.2% FCF margin (TTM), FY23 Q4: 15.2% FCF margin (TTM), FY24 Q1: 18.0% FCF margin (TTM), FY24 Q2: 21.0% FCF margin (TTM), FY24 Q3: 23.5% FCF margin (TTM), FY24 Q4: 28.2% FCF margin (TTM), FY25 Q1: 26.7% FCF margin (TTM), FY25 Q2: 23.1% FCF margin (TTM), FY25 Q3: 20.3% FCF margin (TTM), FY25 Q4: 19.0% FCF margin (TTM), FY26 Q1: 21.5% FCF margin (TTM), FY26 Q2: 24.1% 24.1%

Source: SEC EDGAR filings. Retrieved October 20, 2026.

View chart data
Period FCF margin (TTM)
FY23 Q3 22.2%
FY23 Q4 15.2%
FY24 Q1 18.0%
FY24 Q2 21.0%
FY24 Q3 23.5%
FY24 Q4 28.2%
FY25 Q1 26.7%
FY25 Q2 23.1%
FY25 Q3 20.3%
FY25 Q4 19.0%
FY26 Q1 21.5%
FY26 Q2 24.1%

Data: SEC EDGAR XBRL company facts (as filed in 10-K/10-Q); forms 10-K, 10-K/A, 10-Q. Generated November 3, 2026. Definitions in our methodology.

Financial statements

US$ billions unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Fiscal year 2007 Dec 2007 2008 Dec 2008 2009 Dec 2009 2010 Dec 2010 2016 Dec 2016 2017 Dec 2017 2018 Dec 2018 2019 Dec 2019 2020 Dec 2020 2021 Dec 2021 2022 Dec 2022 2023 Dec 2023 2024 Dec 2024 2025 Dec 2025 LTM Jun 2026
Income
Revenue 24.2 23.9 27.4 46.0 39.8 40.1 42.3 39.1 41.5 48.7 59.3 60.1 64.2 65.0 66.6
Gross profit — — — — 25.8 27.2 28.8 27.1 27.9 35.1 41.9 44.0 49.0 48.6 48.6
Net income 3.3 7.8 12.9 0.9 3.9 2.4 6.2 9.8 7.1 13.0 14.5 0.4 17.1 18.3 3.2
Diluted EPS $1.49 $3.63 $5.65 $0.28 $1.41 $0.87 $2.32 $3.81 $2.78 $5.14 $5.71 $0.14 $6.74 $7.28 $1.28
Growth (year on year)
Revenue — −1.4% +15.0% +67.7% −13.4% +0.8% +5.4% −7.5% +6.1% +17.3% +21.7% +1.4% +6.7% +1.3% +4.6%
Net income — +138.4% +65.2% −93.3% — −38.9% +159.8% +58.2% −28.2% +84.6% +11.3% −97.5% — +6.6% −80.7%
Diluted EPS — +143.6% +55.6% −95.0% — −38.3% +166.7% +64.2% −27.0% +84.9% +11.1% −97.5% — +8.0% −80.3%
Margins
Gross margin — — — — 64.8% 67.8% 68.1% 69.3% 67.2% 72.0% 70.6% 73.2% 76.3% 74.8% 73.0%
Net margin 13.5% 32.7% 47.0% 1.9% 9.8% 6.0% 14.7% 25.2% 17.0% 26.8% 24.5% 0.6% 26.7% 28.1% 4.8%
Free-cash-flow margin 24.7% 22.1% 7.0% 19.9% 22.0% 11.4% 19.6% 25.7% 14.0% 17.8% 24.8% 15.2% 28.2% 19.0% 24.1%
Cash flow
Cash from operations 7.0 6.6 3.4 10.8 10.4 6.5 10.9 13.4 10.3 13.1 19.1 13.0 21.5 16.5 20.0
Capital spending 1.0 1.3 1.5 1.7 1.6 1.9 2.6 3.4 4.4 4.4 4.4 3.9 3.4 4.1 3.9
Free cash flow 6.0 5.3 1.9 9.1 8.8 4.6 8.3 10.1 5.8 8.7 14.7 9.1 18.1 12.4 16.1
Stock-based pay 0.3 0.3 0.4 0.5 0.3 0.3 0.3 0.4 0.4 0.5 0.5 0.6 0.8 0.8 0.9
Free cash flow after stock pay 5.7 4.9 1.5 8.6 8.5 4.3 8.0 9.7 5.4 8.2 14.2 8.5 17.3 11.5 15.2
Balance sheet
Cash 5.3 4.4 9.3 10.9 6.5 6.1 8.0 9.7 8.1 8.1 12.7 6.8 13.2 14.6 6.8
Total debt 0.0 6.2 17.5 17.9 24.8 24.4 25.1 26.3 31.8 33.1 30.7 35.1 37.1 49.3 53.9
Net debt (negative = net cash) −5.3 1.9 8.2 7.0 18.3 18.3 17.1 16.7 23.8 25.0 18.0 28.3 23.9 34.8 47.1
Diluted shares — 2,143m 2,273m 3,120m 2,787m 2,748m 2,679m 2,580m 2,541m 2,538m 2,542m 2,547m 2,541m 2,507m 2,482m
Returned to shareholders
Dividends 3.3 3.3 3.2 4.7 5.1 5.2 5.2 5.7 6.2 6.6 7.0 7.4 7.8 8.2 8.3
Buybacks 1.4 2.7 0.0 1.6 3.4 4.0 9.1 4.8 1.3 0.8 0.0 1.3 1.3 5.1 4.2
Total returned 4.7 6.0 3.2 6.3 8.6 9.2 14.3 10.5 7.5 7.5 7.0 8.8 9.1 13.3 12.5

Source: SEC EDGAR XBRL company facts (US and foreign periodic filings); column headings link to the filing. EBITDA is operating income plus depreciation and amortisation. Free cash flow is cash from operations minus capital spending. Growth is left blank when last year's figure was a loss or under 2% of revenue. Share counts and EPS are restated for stock splits. A dash means the company didn't report the figure.

Financial health

2 of 5 checks passed · June 30, 2026
What it owns · $129.8bn
Short-term assets $36.7bnLonger-term assets $93.1bn
What it owes, and who funded it · $69.7bn
Short-term liabilities $27.7bnShareholders' equity $41.9bn
  • Short-term assets cover short-term liabilities $36.7bn of assets due within a year against $27.7bn of liabilities due within a year.
  • Short-term assets cover long-term liabilities Not assessable from the reported split. Not assessable.
  • More cash than debt $6.8bn of cash against $53.9bn of debt.
  • Debt below 40% of shareholders' equity Debt is 129% of equity.
  • Debt burden no higher than five years ago Debt to equity moved from 80% to 129% over five years.
  • A year's operating cash flow covers at least 20% of debt $20.0bn of operating cash flow against $53.9bn of debt.
  • Operating profit covers interest at least five times over Interest not separately reported. Not assessable.

From Merck & Co.'s latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Dividends, buybacks and capital spending

FY2026 Q2 TTM
Buybacks (TTM)
$4.2B
Dividends (TTM)
$8.3B
Returned to shareholders
78%
of free cash flow
Buybacks, last 3 fiscal years
$7.7B
Diluted share count
−1.9%
year over year
Total shareholder yield
3.4%
dividends 2.3% + buybacks 1.1% of market value
Dividend payout ratio
262%
of net income paid out
R&D spending
45.7%
of revenue
Sales & admin spending
16.7%
of revenue
Days sales outstanding
69 days
receivables vs revenue

Competitors: side by side with peers

Closest by revenue in pharmaceuticals
Last 12 months unless stated MRK PFE AZN LLY BMY NVO Median
Revenue, last 12 months $66.6bn $63.7bn $58.7bn $86.5bn $50.0bn $46.8bn $276m
Revenue growth, last 12 months 4.6% −0.2% 8.6% 45.5% 4.2% 11.1% 9.9%
Revenue growth, 3-year average 4.5% −7.0% — 39.2% 3.6% — 5.5%
Revenue growth, latest quarter 5.1% 2.6% — 38.6% 6.9% — 6.5%
Gross margin 73.0% 73.2% 81.9% 83.6% 69.2% 81.0% 62.0%
Operating margin — — 23.4% — — 41.3% −5.9%
Net margin 4.8% 6.8% 17.4% 31.9% 18.5% 33.1% −7.3%
Cash from operations / revenue 30.0% 21.0% 24.8% 35.4% 21.3% 38.5% 10.2%
Free-cash-flow margin 24.1% 17.2% 20.0% 22.7% 18.6% 19.1% 8.6%
Free-cash-flow margin, 3-year average 22.8% 15.1% 14.4% 13.9% 26.5% — 7.4%
Stock pay / revenue 1.3% 1.5% 1.2% 0.8% 1.1% 0.5% 3.6%
Change in share count −1.9% 0.2% −0.1% −0.6% 0.6% −0.3% 1.9%

Median of all 75 companies we cover in pharmaceuticals. Shaded: best of the six on that line (lowest for stock pay and share-count growth). 3-year figures average the last three 12-month periods; 3-year growth is compound annual. Source: SEC filings.

Peer comparison

75 pharmaceuticals companies
Measure Company Peer median Rank
Revenue growth Growth 4.6% 10.0% 45 of 74
Change in growth rate Growth +1.8pp -0.3pp 25 of 74
Gross margin Profitability 73.0% 59.8% 15 of 59
Net margin Profitability 4.8% -7.3% 27 of 75
Free-cash-flow margin Cash generation 24.1% 10.1% 12 of 74
Stock pay as % of revenue Cash generation 1.3% 3.6% 20 of 69
Long-term debt as % of assets Balance sheet 39.4% 23.8% 36 of 53
Change in share count Balance sheet -1.9% 1.5% 12 of 62
Days sales outstanding Balance sheet 69 days 72 days 25 of 59

Rank 1 = best in the group (for spending, debt and dilution, lower ranks first).

Where the revenue comes from

Fiscal year to December 31, 2025
Geography
Region Revenue YoY
United States $36.5B ▲ 13.1%
Outside the US $28.5B ▼ 10.6%
EMEA $14.6B ▲ 3.8%
Latin America $3.4B ▼ 1.4%
Asia Pacific $3B ▼ 2.5%
Other Countries $2.9B ▲ 12.5%
Japan $2.7B ▼ 17.3%
China $1.9B ▼ 64.7%

These categories overlap or exclude eliminations, so shares aren't shown.

From Merck & Co.'s 10-K filed February 24, 2026, as tagged in the filing. View filing. Indented rows are part of the line above; their share is of that line. In the bars, the faint bar behind is the year before.

Who owns it

Funds buying and selling
Reported value
$254B
Institutions reporting
3,769
Shares held vs prior quarter
▲ 2.7%
Positions opened / closed
155 / 116

Top buyers and sellers, Q2 2026: 1,766 institutions bought and 1,579 sold ; the biggest buyer was Capital International Investors (+14.5M shares) and the biggest seller Jpmorgan Chase & Co (−9.1M). See which funds bought and sold →

Largest reported holders, June 30, 2026
Manager Value Shares Share of 13F value Shares QoQ
Blackrock, Inc. $29.2B 227.0M 11.5% ▲ 0.5%
Vanguard Capital Management LLC $20.7B 161.3M 8.2% ▲ 0.2%
State Street Corp $15.6B 120.4M 6.1% ▲ 0.9%
Wellington Management Group LLP $11.1B 86.2M 4.4% ▲ 2.3%
Vanguard Portfolio Management LLC $8.7B 67.7M 3.4% ▲ 0.6%
Geode Capital Management, LLC $7.8B 60.7M 3.1% ▲ 2.0%
Charles Schwab Investment Management Inc $7B 54.4M 2.8% ▲ 9.2%
Morgan Stanley $6.3B 48.6M 2.5% ▲ 2.1%
FMR LLC $5.8B 45.4M 2.3% ▲ 2.1%
Jpmorgan Chase & Co $5.7B 43.9M 2.2% ▼ 17.2%
Fisher Asset Management, LLC $4.9B 38.5M 1.9% ▲ 45.7%
Norges Bank $4.8B 37.0M 1.9% —

From Form 13F filings with the SEC ( quarterly data sets), as reported by each manager for June 30, 2026 and filed up to 45 days later. 13F reports cover long US-listed positions of managers above $100M only, so this is not Merck & Co.'s complete shareholder register. Values are as reported by the filers ; 17 inconsistently scaled filing rows were excluded.

Insider trading activity

Full insider history and chart
Insider purchases History → $0 0 trades by 0 insiders, last 12 months Insider sales History → $72M 35 trades by 11 insiders · 0% under pre-set plans
Net ▼ $72M net selling
Insider Date Trade Shares Price Value
Guindo Chirfi EVP, Access, Policy & Comms August 13, 2026 Sell 10,000 $135.00 $1.4M
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 12, 2026 Sell 600 $132.04 $79,222
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 12, 2026 Sell 11,099 $131.61 $1.5M
Zachary Jennifer EVP, General Counsel August 12, 2026 Sell 80,315 $133.46 $10.7M
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 11, 2026 Sell 5,427 $132.35 $718,261
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 11, 2026 Sell 7,410 $131.33 $973,165
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 10, 2026 Sell 20,784 $130.43 $2.7M
Guindo Chirfi EVP, Access, Policy & Comms August 6, 2026 Sell 15,000 $131.00 $2M
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 6, 2026 Sell 300 $131.02 $39,307
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 6, 2026 Sell 4,945 $130.23 $643,993
Deluca Richard R. EVP&Pres, Merck Animal Heallth August 6, 2026 Sell 805 $131.02 $105,472
Williams David Michael EVP,Chief Info&Digital Officer August 5, 2026 Sell 34,705 $128.77 $4.5M

From insiders' Form 4 filings with the SEC. Excludes awards, option exercises and shares withheld for tax. "Pre-set plan" means the filing marks the trade as made under a Rule 10b5-1 plan. See every insider trade since five years ago, on a price chart.

Trades by members of Congress

All 148 trades and filings

In the last 12 months, 4 members of Congress disclosed 5 purchases and 3 sales of Merck & Co. shares.

  • Maria Elvira Salazar(R-FL 27):Sale (partial), $1,001 - $15,000, traded September 24, 2026, filed October 7, 2026
  • Maria Elvira Salazar(R-FL 27):Purchase, $15,001 - $50,000, traded August 19, 2026, filed September 9, 2026
  • Maria Elvira Salazar(R-FL 27):Purchase, $15,001 - $50,000, traded August 19, 2026, filed September 9, 2026

Value ranges as filed; reports can arrive up to 45 days after a trade.

Earnings dates and SEC filings

Results announcements

Next expected around February 2, 2027 estimated from the company's past filing pattern, not announced

  • October 29, 2026
  • August 4, 2026
  • April 30, 2026
  • February 3, 2026
  • October 30, 2025
  • July 29, 2025

Recent SEC filings

Data status

When each part of this page on Merck & Co. was last updated.

DataLast updatedSource
Share priceExchange closing prices
Financial statementsSEC 10-K and 10-Q filings
News and updatesCompany releases and SEC 8-K filings
Analyst estimatesAggregated analyst estimates
Valuation and scoresOur models, from the filed figures

How we build and check these figures: methodology and data sources.

Merck & Co. in brief

What does Merck & Co. do?
Merck & Co. is a US-listed company in the pharmaceuticals industry. Its financial year ends in December.
What is Merck & Co.'s stock ticker?
Merck & Co. trades under the ticker MRK on NYSE. This page brings together its financial statements, valuation models, ownership and recent company updates.
What is Merck & Co.'s revenue, and how fast is it growing?
Over its most recent trailing twelve months, Merck & Co. reported revenue of $66.6B, 4.6% higher than a year earlier, according to its SEC filings.
What is Merck & Co.'s free cash flow?
Merck & Co.'s free-cash-flow margin is 24.1% of revenue over the trailing twelve months, ranking 12 of the 74 pharmaceuticals companies we cover.
What is Merck & Co.'s fair value (intrinsic value) per share?
Our discounted-cash-flow model of Merck & Co.'s free cash flow after stock-based pay gives ~$100 per share in the base case, and ~$70–$140 across growth scenarios. These are model values under stated assumptions — not a price target or a recommendation.
Who are Merck & Co.'s largest institutional shareholders?
By value reported in 13F filings for June 30, 2026, the largest reported holders are Blackrock, Inc., Vanguard Capital Management LLC and State Street Corp. 13F reports cover long US-listed positions of managers above $100M, filed up to 45 days after quarter end.
Is Merck & Co. buying back stock, and does it pay a dividend?
Merck & Co. spent $4.2B on share repurchases over the trailing twelve months, and its diluted share count fell 1.9% over the year.
What is Merck & Co.'s market cap?
On November 2, 2026, Merck & Co.'s market capitalisation was about $368B, with a price-to-earnings ratio of 116.0 and net debt of $47.1B. Market figures come from third-party market data and may be delayed.
Does Merck & Co. pay a dividend?
Yes: Merck & Co. paid $8.3B in dividends over the trailing twelve months, a dividend yield of 2.26% and a payout ratio of 261.5%.
How much debt does Merck & Co. have?
Merck & Co.'s debt-to-equity ratio is 128.6%, from its latest balance sheet (80.4% five years earlier). The financial health section below sets out its other solvency checks.
Who are Merck & Co.'s competitors?
In our Pharmaceuticals peer group, the companies closest to Merck & Co. are Pfizer, Astrazeneca PLC, Lilly (Eli), Bristol Myers Squibb and Novo Nordisk A S. The side-by-side comparison below sets their revenue, margins and growth against Merck & Co.'s.
Are insiders buying or selling Merck & Co. stock?
Over the last 12 months, Merck & Co.'s directors and officers reported 0 open-market purchases and 35 sales on Form 4. The insider trading page charts every trade.
When is Merck & Co.'s next earnings date?
Around February 2, 2027, estimated from the spacing of its past results announcements (8-K filings). That is an estimate, not a confirmed date — Merck & Co. announces its own schedule.