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Merck & Co (MRK) Fair Value & Analysis

Healthcare · US · Market cap $297B

MC Merck & Co logo Merck & Co MRK · US
Price$119.60
Fair Value$127.57
Upside+6.7%
Quality76/100
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Evidence: High Range $72.16 – $187.51

Fair value as of: Jun 24, 2026

From 26 valuation models · updated 8 days ago

Share price +12.0% over the past month.

Price vs Fair Value (12 months)

$119.60 $70.28 Fair Value $127.57 Jul 2025 Jul 2026

12‑month range $70.28 – $119.60 · fair‑value band $72.16 – $187.51 · the $119.60 price screens below the $127.57 fair value. As of Jun 24, 2026.

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Analysis

Merck & Co (MRK) currently trades at $119.60, while our model-based Fair Value estimate is $127.57 — implying the stock looks roughly 6.7% undervalued today. We read business quality at 76/100 (high quality), in the Healthcare sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high) — always confirm before acting.

Over the trailing twelve months, Merck & Co generated revenue of $65.8B at a net margin of 13.6%. Revenue grew 4.9% year over year. It earns a return on equity of 18.9%. Net debt stands at $36.0B. Fundamentals as of Jun 24, 2026

Key figures & financial health

Revenue (TTM) $65.8B
Revenue growth (YoY) +4.9%
Net margin 13.6%
Return on equity 18.9%
Free cash flow $12.4B FY2025
P/E ratio 33.9
More key figures
Operating margin 38.6%
EPS (TTM) $3.55
Dividend yield 2.9%
EPS growth (YoY) -19.3%
Net debt $36.0B FY2025

Figures from reported company fundamentals (EODHD) · as of Jun 24, 2026. TTM = trailing twelve months.

About the company

Merck & Co., Inc. operates as a healthcare company worldwide. It offers human health pharmaceutical for various areas under the Keytruda, Keytruda Qlex, Welireg, Gardasil, ProQuad, M-M-R II, Varivax, Vaxneuvance, Capvaxive, RotaTeq, Pneumovax 23, Bridion, Prevymis, Dificid, Zerbaxa, Winrevair, Adempas/ Verquvo, Ohtuvayre, Lagevrio, Isentress/Isentress HD, Delstrigo, Pifeltro, Belsomra, Januvia, and Janumet brands. The company also provides veterinary pharmaceuticals, vaccines and health management solutions and services, such as livestock products under the Nuflor, Bovilis/Vista, Bovilis Cryptium, Banamine, Estrumate, Matrix, Resflor, Zuprevo, Revalor, Safe-Guard, M+Pac, Porcilis, Circumvent, Nobilis/Innovax, Paracox and Coccivac, Exzolt, Slice, Imvixa, Clynav, Aquavac/Norvax, Aquaflor, Flexolt brands; Allflex Livestock Intelligence solutions; and companion animal products under the Bravecto One-Month, Bravecto Injectable/Quantum, Bravecto TriUNO, Bravecto Plus, Sentinel Spectrum, …

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Merck & Co reported revenue of $64.9B in FY2025 versus $48.7B in FY2021, a compound +7.5%/yr. Reported net income was $18.3B in FY2025, compounding +8.8%/yr from FY2021.

Revenue +7.5%/yr
FY21 $48.7B
FY22 $59.3B
FY23 $60.1B
FY24 $64.2B
FY25 $64.9B
Net income +8.8%/yr
FY21 $13.0B
FY22 $14.5B
FY23 $365M
FY24 $17.1B
FY25 $18.3B

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Recent news

External third-party headlines (Yahoo Finance, Reuters and others) — not an editorial selection, not financial advice.

Similar stocks

6 more Drug Manufacturers - General stocks, each showing price versus our Fair Value estimate (as of Jun 24, 2026).

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Eli Lilly and Company LLY $1,107 $395.92 -64%
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Johnson & Johnson, JNJB34 R$82.15 R$58.27 -29%
AbbVie Inc ABBV $224.95 $129.90 -42%
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AstraZeneca PLC A1ZN34 R$157.11 R$108.37 -31%

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Frequently asked questions

Is Merck & Co (MRK) undervalued?
As of Jun 24, 2026, our model estimates a fair value of $127.57 versus a price of $119.60 — about +7% (undervalued). Model-based estimate, not financial advice.
What is the fair value of MRK?
Our model-based fair value for Merck & Co is $127.57 (as of Jun 24, 2026), built from audited fundamentals. The current price is $119.60.
What is the quality score of MRK?
Merck & Co has a Quality Score of 76/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Merck & Co (MRK)?
Merck & Co reported trailing-twelve-month revenue of about $65.8B (latest available figure, as of Jun 24, 2026).
What is the net profit margin of MRK?
The net profit margin of Merck & Co is about 13.6%, meaning it keeps roughly 13.6% of revenue as net income. Based on the latest reported figures.
Does Merck & Co pay a dividend?
Merck & Co currently shows a dividend yield of about 2.86% relative to its recent price (as of Jun 24, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data — nothing guessed.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.