Merck Valuation
Is MRK * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of MRK * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: MRK * (MX$2252.7) is trading below our estimate of fair value (MX$3660.25)
Significantly Below Fair Value: MRK * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for MRK *?
Other financial metrics that can be useful for relative valuation.
| What is MRK *'s n/a Ratio? | |
|---|---|
| n/a | 0x |
| n/a | n/a |
| Market Cap | US$332.33b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 5.9x |
| Enterprise Value/EBITDA | 34.9x |
| PEG Ratio | 5.5x |
Price to Earnings Ratio vs Peers
How does MRK *'s PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 29.2x | ||
LAB B Genomma Lab Internacional. de | 14.5x | 26.7% | Mex$15.2b |
JNJ Johnson & Johnson | 18.4x | 5.1% | US$352.2b |
AZN AstraZeneca | 36.7x | 16.6% | UK£185.8b |
NOVO B Novo Nordisk | 47.3x | 14.7% | kr.4.0t |
MRK * Merck | 144.1x | 26.1% | Mex$332.3b |
Price-To-Earnings vs Peers: MRK * is expensive based on its Price-To-Earnings Ratio (144.1x) compared to the peer average (29.2x).
Price to Earnings Ratio vs Industry
How does MRK *'s PE Ratio compare vs other companies in the Global Pharmaceuticals Industry?
Price-To-Earnings vs Industry: MRK * is expensive based on its Price-To-Earnings Ratio (144.1x) compared to the Global Pharmaceuticals industry average (24.5x).
Price to Earnings Ratio vs Fair Ratio
What is MRK *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 144.1x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate MRK *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | Mex$2,252.70 | Mex$2,416.44 +7.3% | 6.0% | Mex$2,657.72 | Mex$2,023.30 | n/a | 26 |
| Apr ’25 | Mex$2,176.25 | Mex$2,256.12 +3.7% | 5.7% | Mex$2,451.49 | Mex$1,888.31 | n/a | 25 |
| Mar ’25 | Mex$2,190.00 | Mex$2,280.28 +4.1% | 7.6% | Mex$2,525.19 | Mex$1,757.40 | n/a | 26 |
| Feb ’25 | Mex$2,140.19 | Mex$2,182.52 +2.0% | 7.6% | Mex$2,392.11 | Mex$1,759.91 | n/a | 27 |
| Jan ’25 | Mex$1,824.00 | Mex$2,110.00 +15.7% | 7.0% | Mex$2,317.67 | Mex$1,768.29 | n/a | 28 |
| Dec ’24 | Mex$1,777.77 | Mex$2,140.21 +20.4% | 6.8% | Mex$2,337.34 | Mex$1,783.30 | n/a | 28 |
| Nov ’24 | Mex$1,840.31 | Mex$2,233.42 +21.4% | 6.6% | Mex$2,437.22 | Mex$1,859.51 | n/a | 27 |
| Oct ’24 | Mex$1,833.75 | Mex$2,103.47 +14.7% | 6.8% | Mex$2,312.02 | Mex$1,763.99 | n/a | 27 |
| Sep ’24 | Mex$1,869.20 | Mex$2,058.28 +10.1% | 7.2% | Mex$2,264.22 | Mex$1,626.88 | n/a | 28 |
| Aug ’24 | Mex$1,788.00 | Mex$2,078.46 +16.2% | 7.0% | Mex$2,276.28 | Mex$1,635.55 | n/a | 28 |
| Jul ’24 | Mex$1,980.00 | Mex$2,093.27 +5.7% | 8.0% | Mex$2,305.42 | Mex$1,656.49 | n/a | 26 |
| Jun ’24 | Mex$1,933.01 | Mex$2,165.90 +12.0% | 8.3% | Mex$2,396.99 | Mex$1,709.62 | n/a | 27 |
| May ’24 | Mex$2,052.00 | Mex$2,206.50 +7.5% | 9.6% | Mex$2,778.93 | Mex$1,739.07 | n/a | 28 |
| Apr ’24 | Mex$1,904.74 | Mex$2,188.52 +14.9% | 10.9% | Mex$2,825.09 | Mex$1,749.73 | Mex$2,176.25 | 27 |
| Mar ’24 | Mex$1,931.62 | Mex$2,201.03 +13.9% | 10.8% | Mex$2,846.65 | Mex$1,763.09 | Mex$2,190.00 | 26 |
| Feb ’24 | Mex$1,992.18 | Mex$2,214.04 +11.1% | 9.3% | Mex$2,560.81 | Mex$1,826.46 | Mex$2,140.19 | 24 |
| Jan ’24 | Mex$2,160.01 | Mex$2,213.00 +2.5% | 9.5% | Mex$2,642.97 | Mex$1,885.06 | Mex$1,824.00 | 24 |
| Dec ’23 | Mex$2,089.00 | Mex$2,121.30 +1.5% | 6.9% | Mex$2,419.18 | Mex$1,877.28 | Mex$1,777.77 | 23 |
| Nov ’23 | Mex$1,970.36 | Mex$2,089.52 +6.0% | 9.1% | Mex$2,476.80 | Mex$1,684.22 | Mex$1,840.31 | 22 |
| Oct ’23 | Mex$1,742.00 | Mex$2,013.85 +15.6% | 8.5% | Mex$2,517.31 | Mex$1,711.77 | Mex$1,833.75 | 21 |
| Sep ’23 | Mex$1,756.54 | Mex$1,994.00 +13.5% | 8.3% | Mex$2,503.23 | Mex$1,702.19 | Mex$1,869.20 | 21 |
| Aug ’23 | Mex$1,802.00 | Mex$2,020.90 +12.1% | 7.7% | Mex$2,343.00 | Mex$1,731.78 | Mex$1,788.00 | 21 |
| Jul ’23 | Mex$1,830.00 | Mex$1,967.51 +7.5% | 9.2% | Mex$2,328.26 | Mex$1,538.67 | Mex$1,980.00 | 22 |
| Jun ’23 | Mex$1,785.00 | Mex$1,907.64 +6.9% | 9.1% | Mex$2,284.16 | Mex$1,509.53 | Mex$1,933.01 | 23 |
| May ’23 | Mex$1,803.00 | Mex$1,925.87 +6.8% | 10.7% | Mex$2,347.00 | Mex$1,428.61 | Mex$2,052.00 | 23 |
| Apr ’23 | Mex$1,655.00 | Mex$1,908.02 +15.3% | 10.2% | Mex$2,394.76 | Mex$1,457.68 | Mex$1,904.74 | 23 |
Analyst Forecast: Target price is less than 20% higher than the current share price.