Merck & Co. (MRK) fundamentals: P/E, valuation, undervalued?

Merck & Co. · Health Care · ref. ETF XLV · price $149.54
Logo Merck & Co.See the full Merck & Co. (MRK) profile
In short — Merck & Co. trades at 121.6× earnings (P/E), 15.7× forward, with a net margin of 4.8 % and revenue growth of +5 %. Read: Very high P/E (P/E 122 (well above average)).

Is Merck & Co. stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.

📈 1-year price
$149.54+79.7% over range
Aug 28, 25low $77.6 · high $156.45Aug 27, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
82% recommend buying · 17 analysts
Valuation : Very high P/E — P/E 122 (well above average)

Valuation

121.6
P/E (price/earnings)
15.7
Forward P/E
PEG
8.8
Price/book (P/B)
$368.9B
Market cap
1.23
EPS

Profitability & growth

4.8 %
Net margin
+5 %
Revenue growth
Earnings growth
$53.9B
Total debt

Merck & Co. income statement

Fiscal yearRevenueNet incomeMargin
2022$59.3B$14.5B24.5 %
2023$60.1B$365M0.6 %
2024$64.2B$17.1B26.7 %
2025$65.0B$18.3B28.1 %
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.

Frequently asked questions

What is Merck & Co.'s P/E and is the stock undervalued? What's a good P/E?

Merck & Co.'s P/E is 121.6 (forward 15.7). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Very high P/E".

Is Merck & Co. profitable?

Merck & Co. has a net margin of 4.8 % (EPS 1.23). The company is profitable.

Is MRK stock expensive?

Our read: "Very high P/E" — P/E 122 (well above average). Cross-check with growth and sector.

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