Merck & Company, Inc. (MRK) stock analysis
Company overview and business model
Source fact: 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, Sentinel Flavor Tabs, Numelvi, Optimmune, Nobivac NXT, GilvetMab, Otomax, Mometamax, Mometamax Ultra, Posatex, Caninsulin/Vetsulin, Panacur, Safeguard, Regumate, Prestige, Scalibor/Exspot, Sure Petcare, and Home Again brands. It has development and commercialization agreement for three of Daiichi Sankyo's deruxtecan ADC candidates; AstraZeneca PLC to co-development and co-commercialize AstraZeneca's Lynparza products for multiple cancer types; licensed to develop, manufacture and commercialize LM-299, a novel investigational PD-1/VEGF bispecific antibody from LaNova; and collaboration agreement with Eisai Co., Ltd., Bayer AG, and Ridgeback Biotherapeutics LP, as well Moderna, Inc. Merck & Co., Inc. has strategic collaboration with Infinimmune, Inc. to discover and develop antibodies against multiple therapeutic targets. The company was founded in 1891 and is headquartered in Rahway, New Jersey.
Classification: NYSE · Healthcare · Drug Manufacturers - General
Revenue and growth
Source fact: Revenue was USD 65.01 billion for the period ending 2025-12-31.
Caverian calculation: Revenue changed +1.3% (FY2025 vs FY2024).
Profitability
Source fact: Net income was USD 18.25 billion in the latest reported period.
Source metric: Reported net margin was 28.1%.
Balance sheet and liquidity
Source fact: Cash and equivalents were USD 14.56 billion.
Source fact: Total debt was USD 49.34 billion.
Source metric: Current ratio was 1.54x.
Cash-flow analysis
Source fact: Operating cash flow was USD 16.47 billion.
Source fact: Free cash flow was USD 12.36 billion.
Valuation
Source metrics: Trailing P/E 119.18x; Forward P/E 15.99x; Price to book 8.98x; Price to sales 5.65x; EV/EBITDA 14.66x.
Caverian model output: Value score was 20/100.
Competitive position
Classification: Peer context: Drug Manufacturers - General within Healthcare.
Caverian model output: Quality score was 72/100.
Caverian model output: Growth score was 61/100.
Material risks
Caverian calculation: Altman Z-score was 4.58 (safe zone).
Caverian calculation: Piotroski F-score was 4/9.
Data sources and freshness
Freshness: This report uses a stored upstream snapshot; statement periods are shown alongside the figures.
Methodology and limitations
Facts reproduce stored upstream fields. Calculations derive only from the displayed stored statements. Model outputs are Caverian interpretations, not investment advice or a buy/sell recommendation.
How Caverian approaches valuation · Sources and product principles