Is the price fair?
What MRK's price assumes
Merck & Co. trades at 122× earnings against 27.4× for the median Drug Manufacturers - General name, more expensive than its own group.
122
Trailing P/E · Drug Manufacturers - General median 27.4 · 4.44× the median: the market pays up for this one
- Price / sales
- 4.49
Price / sales · as of 2026-Q1
- Free cash flow yield
- 5.7%
Free cash flow yield · Drug Manufacturers - General median 5.8%
- Growth the price implies
- +3.9%
Growth the price implies · The price pays for +3.9% free cash flow growth a year for a decade; the business has delivered +14% a year over the last three.
Details›
- Price / book2026-Q1
- 6.44
- EV / sales2026-Q1
- 5.12
- Healthcare median P/E362 names
- 31.5
- Drug Manufacturers - General median P/E16 names
- 27.4
- Free cash flow, trailing twelve months
- $16.1B
- Market capitalisation
- $281.2B
- 3-year revenue growth
- +4.5%
- 3-year free cash flow growth
- +14%
| Method | Per share |
|---|---|
| Its own P/E history, lower quartile | $21.20 |
| Its own P/E history, median | $26.78 |
| Its own P/E history, upper quartile | $45.33 |
| 52-week range | $75.83 – $156.44 |
| Today | $153.16 |
Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.
Drug Manufacturers - General
Ranks #11 of 16 by Smart Score