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MERCK Kommanditgesellschaft auf Aktien

OTCPK:MKKG.Y
Snowflake Description

Adequate balance sheet second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MKKG.Y
OTCPK
€41B
Market Cap
  1. Home
  2. US
  3. Pharmaceuticals & Biotech
Company description

MERCK Kommanditgesellschaft auf Aktien operates in the healthcare, life science, and performance materials sectors worldwide. The last earnings update was 11 days ago. More info.


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MKKG.Y Share Price and Events
7 Day Returns
-1.1%
OTCPK:MKKG.Y
-1.8%
US Pharmaceuticals
-1%
US Market
1 Year Returns
-0.5%
OTCPK:MKKG.Y
-6.6%
US Pharmaceuticals
-0.4%
US Market
MKKG.Y Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
MERCK Kommanditgesellschaft auf Aktien (MKKG.Y) -1.1% -0.2% 2.9% -0.5% -4.6% 20.9%
US Pharmaceuticals -1.8% -3.5% -3.8% -6.6% 0.6% 10%
US Market -1% -3.3% 0.8% -0.4% 30.4% 37.1%
1 Year Return vs Industry and Market
  • MKKG.Y outperformed the Pharmaceuticals industry which returned -6.6% over the past year.
  • MKKG.Y matched the United States of America Market (-0.4%) over the past year.
Price Volatility
MKKG.Y
Industry
5yr Volatility vs Market

MKKG.Y Value

 Is MERCK Kommanditgesellschaft auf Aktien undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of MERCK Kommanditgesellschaft auf Aktien to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for MERCK Kommanditgesellschaft auf Aktien.

OTCPK:MKKG.Y Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 22 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:MKKG.Y
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Pharmaceuticals Unlevered Beta Simply Wall St/ S&P Global 0.7
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.701 (1 + (1- 30%) (28%))
0.892
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.89
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.892 * 5.96%)
8.04%

Discounted Cash Flow Calculation for OTCPK:MKKG.Y using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for MERCK Kommanditgesellschaft auf Aktien is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

OTCPK:MKKG.Y DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 8.04%)
2020 2,374.62 Analyst x13 2,197.83
2021 2,593.79 Analyst x9 2,221.96
2022 2,342.00 Analyst x2 1,856.90
2023 2,463.50 Analyst x2 1,807.82
2024 2,484.73 Est @ 0.86% 1,687.64
2025 2,520.06 Est @ 1.42% 1,584.22
2026 2,565.79 Est @ 1.81% 1,492.88
2027 2,619.39 Est @ 2.09% 1,410.60
2028 2,679.15 Est @ 2.28% 1,335.37
2029 2,743.88 Est @ 2.42% 1,265.81
Present value of next 10 years cash flows €16,861.03
OTCPK:MKKG.Y DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €2,743.88 × (1 + 2.73%) ÷ (8.04% – 2.73%)
€53,047.38
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €53,047.38 ÷ (1 + 8.04%)10
€24,471.97
OTCPK:MKKG.Y Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €16,861.03 + €24,471.97
€41,333.00
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €41,333.00 / 434.78
€95.07
OTCPK:MKKG.Y Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in OTCPK:MKKG.Y represents 0.22215x of DB:MRK
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.22215x
Value per Share
(Listing Adjusted, USD)
= Value per Share (EUR) x Listing Adjustment Factor
= € 95.07 x 0.22215
$21.12
Value per share (USD) From above. $21.12
Current discount Discount to share price of $20.86
= -1 x ($20.86 - $21.12) / $21.12
1.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price MERCK Kommanditgesellschaft auf Aktien is available for.
Intrinsic value
1%
Share price is $20.86 vs Future cash flow value of $21.12
Current Discount Checks
For MERCK Kommanditgesellschaft auf Aktien to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • MERCK Kommanditgesellschaft auf Aktien's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • MERCK Kommanditgesellschaft auf Aktien's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for MERCK Kommanditgesellschaft auf Aktien's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are MERCK Kommanditgesellschaft auf Aktien's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:MKKG.Y PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in EUR €2.57
DB:MRK Share Price ** DB (2019-08-16) in EUR €93.9
United States of America Pharmaceuticals Industry PE Ratio Median Figure of 31 Publicly-Listed Pharmaceuticals Companies 18.17x
United States of America Market PE Ratio Median Figure of 3,096 Publicly-Listed Companies 17.26x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of MERCK Kommanditgesellschaft auf Aktien.

OTCPK:MKKG.Y PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= DB:MRK Share Price ÷ EPS (both in EUR)

= 93.9 ÷ 2.57

36.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MERCK Kommanditgesellschaft auf Aktien is overvalued based on earnings compared to the US Pharmaceuticals industry average.
  • MERCK Kommanditgesellschaft auf Aktien is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does MERCK Kommanditgesellschaft auf Aktien's expected growth come at a high price?
Raw Data
OTCPK:MKKG.Y PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 36.48x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts
14.7%per year
United States of America Pharmaceuticals Industry PEG Ratio Median Figure of 21 Publicly-Listed Pharmaceuticals Companies 2.11x
United States of America Market PEG Ratio Median Figure of 2,126 Publicly-Listed Companies 1.4x

*Line of best fit is calculated by linear regression .

OTCPK:MKKG.Y PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 36.48x ÷ 14.7%

2.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MERCK Kommanditgesellschaft auf Aktien is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on MERCK Kommanditgesellschaft auf Aktien's assets?
Raw Data
OTCPK:MKKG.Y PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in EUR €40.37
DB:MRK Share Price * DB (2019-08-16) in EUR €93.9
United States of America Pharmaceuticals Industry PB Ratio Median Figure of 182 Publicly-Listed Pharmaceuticals Companies 3.06x
United States of America Market PB Ratio Median Figure of 5,273 Publicly-Listed Companies 1.7x
OTCPK:MKKG.Y PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= DB:MRK Share Price ÷ Book Value per Share (both in EUR)

= 93.9 ÷ 40.37

2.33x

* Primary Listing of MERCK Kommanditgesellschaft auf Aktien.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • MERCK Kommanditgesellschaft auf Aktien is good value based on assets compared to the US Pharmaceuticals industry average.
X
Value checks
We assess MERCK Kommanditgesellschaft auf Aktien's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Pharmaceuticals industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Pharmaceuticals industry average (and greater than 0)? (1 check)
  5. MERCK Kommanditgesellschaft auf Aktien has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

MKKG.Y Future Performance

 How is MERCK Kommanditgesellschaft auf Aktien expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is MERCK Kommanditgesellschaft auf Aktien expected to grow at an attractive rate?
  • MERCK Kommanditgesellschaft auf Aktien's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • MERCK Kommanditgesellschaft auf Aktien's earnings growth is expected to exceed the United States of America market average.
  • MERCK Kommanditgesellschaft auf Aktien's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
OTCPK:MKKG.Y Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:MKKG.Y Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts 14.7%
OTCPK:MKKG.Y Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 22 Analysts 4.5%
United States of America Pharmaceuticals Industry Earnings Growth Rate Market Cap Weighted Average 16%
United States of America Pharmaceuticals Industry Revenue Growth Rate Market Cap Weighted Average 5.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:MKKG.Y Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:MKKG.Y Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 18,671 4,843 2,600 7
2022-12-31 17,920 4,543 2,363 7
2021-12-31 17,322 3,869 1,998 16
2020-12-31 16,617 3,425 1,818 22
2019-12-31 15,629 3,079 1,491 22
OTCPK:MKKG.Y Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-06-30 15,354 2,706 1,118
2019-03-31 15,096 2,332 938
2018-12-31 14,836 2,219 1,071
2018-09-30 14,596 2,120 1,920
2018-06-30 14,364 2,147 2,218
2018-03-31 14,346 2,299 2,389
2017-12-31 14,517 2,696 2,548
2017-09-30 14,699 2,842 1,787
2017-06-30 14,906 3,152 1,628
2017-03-31 15,016 2,943 1,529
2016-12-31 15,024 2,518 1,629
2016-09-30 14,658 2,449 1,480

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • MERCK Kommanditgesellschaft auf Aktien's earnings are expected to grow by 14.7% yearly, however this is not considered high growth (20% yearly).
  • MERCK Kommanditgesellschaft auf Aktien's revenue is expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:MKKG.Y Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below

All data from MERCK Kommanditgesellschaft auf Aktien Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:MKKG.Y Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 5.73 6.24 4.98 4.00
2022-12-31 5.16 5.54 4.35 4.00
2021-12-31 4.57 5.34 3.73 8.00
2020-12-31 4.20 5.24 3.47 13.00
2019-12-31 3.45 4.03 2.95 13.00
OTCPK:MKKG.Y Past Financials Data
Date (Data in EUR Millions) EPS *
2019-06-30 2.57
2019-03-31 2.15
2018-12-31 2.46
2018-09-30 4.41
2018-06-30 5.10
2018-03-31 5.49
2017-12-31 5.86
2017-09-30 4.11
2017-06-30 3.74
2017-03-31 3.52
2016-12-31 3.75
2016-09-30 3.40

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • MERCK Kommanditgesellschaft auf Aktien is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess MERCK Kommanditgesellschaft auf Aktien's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
MERCK Kommanditgesellschaft auf Aktien has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

MKKG.Y Past Performance

  How has MERCK Kommanditgesellschaft auf Aktien performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare MERCK Kommanditgesellschaft auf Aktien's growth in the last year to its industry (Pharmaceuticals).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • MERCK Kommanditgesellschaft auf Aktien's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • MERCK Kommanditgesellschaft auf Aktien's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • MERCK Kommanditgesellschaft auf Aktien's 1-year earnings growth is negative, it can't be compared to the US Pharmaceuticals industry average.
Earnings and Revenue History
MERCK Kommanditgesellschaft auf Aktien's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from MERCK Kommanditgesellschaft auf Aktien Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:MKKG.Y Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 15,354.00 1,118.00 5,587.00 2,259.00
2019-03-31 15,096.00 938.00 5,544.00 2,244.00
2018-12-31 14,836.00 1,071.00 5,448.00 2,225.00
2018-09-30 14,596.00 1,920.00 5,331.00 2,158.00
2018-06-30 14,364.00 2,218.00 5,275.00 2,153.00
2018-03-31 14,346.00 2,389.00 5,264.00 2,128.00
2017-12-31 14,517.00 2,548.00 5,298.00 2,108.00
2017-09-30 14,699.00 1,787.00 5,454.00 2,085.00
2017-06-30 14,906.00 1,628.00 5,497.00 1,991.00
2017-03-31 15,016.00 1,529.00 5,448.00 1,975.00
2016-12-31 15,024.00 1,629.00 5,432.00 1,976.00
2016-09-30 14,658.00 1,480.00 5,292.00 1,824.00
2016-06-30 14,054.00 1,387.00 5,122.00 1,798.00
2016-03-31 13,469.00 1,418.00 5,000.00 1,757.00
2015-12-31 12,845.00 1,109.00 4,816.00 1,709.00
2015-09-30 12,379.60 1,269.00 4,613.30 1,738.20
2015-06-30 12,180.30 1,153.80 4,515.00 1,826.30
2015-03-31 11,775.60 1,114.10 4,377.10 1,765.10
2014-12-31 11,362.80 1,157.30 4,252.90 1,703.70
2014-09-30 11,105.90 1,157.90 4,060.10 1,627.00
2014-06-30 10,937.00 1,248.70 4,301.20 1,501.30
2014-03-31 10,962.80 1,261.40 3,991.90 1,480.00
2013-12-31 11,095.10 1,202.20 3,705.10 1,506.60
2013-09-30 11,188.20 1,193.40 3,532.50 1,513.90
2013-06-30 11,277.40 1,039.20 2,995.30 1,505.20
2013-03-31 11,288.50 660.00 3,001.30 1,535.70
2012-12-31 11,172.90 566.70 3,023.30 1,511.30
2012-09-30 10,963.80 427.80 3,043.00 1,511.50

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • MERCK Kommanditgesellschaft auf Aktien has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • MERCK Kommanditgesellschaft auf Aktien used its assets less efficiently than the US Pharmaceuticals industry average last year based on Return on Assets.
  • MERCK Kommanditgesellschaft auf Aktien's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess MERCK Kommanditgesellschaft auf Aktien's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Pharmaceuticals industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
MERCK Kommanditgesellschaft auf Aktien has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

MKKG.Y Health

 How is MERCK Kommanditgesellschaft auf Aktien's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up MERCK Kommanditgesellschaft auf Aktien's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • MERCK Kommanditgesellschaft auf Aktien is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • MERCK Kommanditgesellschaft auf Aktien's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of MERCK Kommanditgesellschaft auf Aktien's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from MERCK Kommanditgesellschaft auf Aktien Company Filings, last reported 1 month ago.

OTCPK:MKKG.Y Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 17,574.00 11,000.00 3,605.00
2019-03-31 17,675.00 9,490.00 2,404.00
2018-12-31 17,233.00 8,892.00 2,178.00
2018-09-30 15,347.00 11,061.00 894.00
2018-06-30 14,895.00 11,403.00 729.00
2018-03-31 14,105.00 10,794.00 819.00
2017-12-31 14,066.00 10,820.00 624.00
2017-09-30 13,791.00 11,430.00 948.00
2017-06-30 13,765.00 12,380.00 1,132.00
2017-03-31 14,481.00 12,259.00 1,145.00
2016-12-31 14,050.00 12,594.00 982.00
2016-09-30 12,992.00 12,614.00 964.00
2016-06-30 12,856.00 13,337.00 827.00
2016-03-31 12,565.00 13,061.00 987.00
2015-12-31 12,855.00 13,708.00 1,023.00
2015-09-30 14,022.10 10,323.90 11,627.80
2015-06-30 13,903.70 8,115.70 8,683.20
2015-03-31 13,824.20 7,918.30 7,839.80
2014-12-31 11,801.00 5,630.50 5,035.20
2014-09-30 11,785.20 4,176.40 2,654.90
2014-06-30 11,214.90 4,023.20 1,803.00
2014-03-31 11,242.80 3,729.60 3,736.30
2013-12-31 11,069.20 3,690.20 3,346.30
2013-09-30 10,781.20 3,842.80 3,307.20
2013-06-30 10,535.10 4,642.30 3,326.30
2013-03-31 10,514.30 4,468.40 2,901.30
2012-12-31 10,414.80 4,443.70 2,309.50
2012-09-30 10,566.20 5,054.90 2,928.00
  • MERCK Kommanditgesellschaft auf Aktien's level of debt (62.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (35.8% vs 62.6% today).
  • Debt is well covered by operating cash flow (24.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8.6x coverage).
X
Financial health checks
We assess MERCK Kommanditgesellschaft auf Aktien's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. MERCK Kommanditgesellschaft auf Aktien has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

MKKG.Y Dividends

 What is MERCK Kommanditgesellschaft auf Aktien's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.33%
Current annual income from MERCK Kommanditgesellschaft auf Aktien dividends. Estimated to be 1.51% next year.
If you bought $2,000 of MERCK Kommanditgesellschaft auf Aktien shares you are expected to receive $27 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • MERCK Kommanditgesellschaft auf Aktien's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • MERCK Kommanditgesellschaft auf Aktien's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:MKKG.Y Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
United States of America Pharmaceuticals Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 2.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2010 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OTCPK:MKKG.Y Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 1.56 5.00
2022-12-31 1.50 5.00
2021-12-31 1.49 14.00
2020-12-31 1.42 21.00
2019-12-31 1.29 17.00
OTCPK:MKKG.Y Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2019-03-07 1.250 1.323
2018-03-08 1.250 1.420
2017-03-09 1.200 1.252
2016-03-08 1.050 1.141
2015-03-03 1.000 1.122
2015-01-15 1.000 1.131
2014-02-28 0.950 1.426
2013-03-07 0.850 1.414
2012-03-06 0.750 1.681
2011-02-21 0.625 1.790
2010-02-23 0.500 1.612
2009-03-02 0.750 2.278
2009-01-30 0.560 1.723

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of MERCK Kommanditgesellschaft auf Aktien's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (4.5x coverage).
X
Income/ dividend checks
We assess MERCK Kommanditgesellschaft auf Aktien's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can MERCK Kommanditgesellschaft auf Aktien afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. MERCK Kommanditgesellschaft auf Aktien has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

MKKG.Y Management

 What is the CEO of MERCK Kommanditgesellschaft auf Aktien's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Stefan Oschmann
COMPENSATION €7,981,000
AGE 62
TENURE AS CEO 3.3 years
CEO Bio

Dr. Stefan Oschmann has been the Chairman of Executive Board and Chief Executive Officer of Merck KGaA since April 30, 2016. Dr. Oschmann has been a Member of Executive Board for Merck KGaA since January 1, 2011 and served as is its General Partner. In 2011, Dr. Oschmann joined Merck KGaA as chief executive officer of the biopharma division and as a member of the executive board. From 2013 to 2014, he led the healthcare business of Merck KGaA, where he headed the biopharma, consumer health, allergopharma and biosimilars divisions. Dr. Oschmann served as Vice Chairman of Executive Board at Merck KGaA from January 2015 to April 29, 2016. He began his career at the International Atomic Energy Agency (IAEA) in 1985 and from 1987 on, he worked at the German Animal Health Federation (Bundesverband für Tiergesundheit (BfT)), a member organization of the German Chemical Industry Association (VCI). In 1989, Dr. Oschmann joined the U.S. pharmaceutical company MSD Merck Sharp & Dohme, where he held a range of executive positions until 2011. Among others, he served as vice president of MSD Europe, managing director of MSD Germany, senior vice president for worldwide human health marketing, member of the senior management and corporate officer responsible for Europe, the Middle East, Africa and Canada and, finally, president of MSD’s emerging markets. Dr. Oschmann serves as a Member of the Executive Board at Merck S.A. (Chile). He serves as Member of Executive Board at Merck (Pty) Ltd. He served as Chief Executive Officer of Pharma at E. Merck KG. He served as the Head of the Pharmaceuticals Business Sector at Merck KGaA. He served as the President of Europe, Middle East Africa & Canada of Merck & Co., Inc. since September 2006 and also served as its Member of executive board. Dr. Oschmann served as Senior Vice President of Worldwide Human Health Marketing of Merck & Co., Inc. since April 2006 and Executive Vice President of Worldwide Marketing since October 2005. He served as Managing Director of MSD Germany, a subsidiary of Merck & Co., Inc. since January 2001. He served as the President of Merck Serono S.A. since 2011 and also served as its Chief Executive Officer. He has been a Member of Supervisory Board at Springer Nature AG & Co. KGaA since 2018. He serves as a board member of both the European Federation of Pharmaceutical Industries & Associations (EFPIA) and the German Association of Research-Based Pharmaceutical Companies (vfa). He served as President of the International Federation of Pharmaceutical Manufacturers & Associations (IFPMA), He serves as a Member of the board of trustees of the Paul Ehrlich Foundation. He served as the President of European Federation of Pharmaceutical Industries and Associations, a Member of the Business Advisory Board at Deutsche Welle, a Member of the Executive Committee at Verband der Chemischen Industrie e.V. (VCI) and a Member of the Joint Advisory Board of Allianz SE. Dr. Oschmann holds a degree and a Ph.D in veterinary medicine from Ludwig-Maximilians-University of Munich, Germany. He is Member of Executive Board of E. Merck KG.

CEO Compensation
  • Stefan's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Stefan's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the MERCK Kommanditgesellschaft auf Aktien management team in years:

4.9
Average Tenure
51
Average Age
  • The tenure for the MERCK Kommanditgesellschaft auf Aktien management team is about average.
Management Team

Stefan Oschmann

TITLE
Chairman of Executive Board & CEO
COMPENSATION
€8M
AGE
62
TENURE
3.3 yrs

Marcus Kuhnert

TITLE
CFO & Member of Executive Board
COMPENSATION
€4M
AGE
51
TENURE
5.3 yrs

Kai Beckmann

TITLE
CEO of Performance Materials & Member of the Executive Board
COMPENSATION
€5M
AGE
54
TENURE
8.3 yrs

Udit Batra

TITLE
CEO of Life Science & Member of Executive Board
COMPENSATION
€5M
AGE
48
TENURE
3.3 yrs

Belén López

TITLE
CEO of Healthcare & Member of the Executive Board
COMPENSATION
€7M
AGE
59
TENURE
4.6 yrs

Gerhard Schmitz

TITLE
Head of Global Accounting
AGE
56
TENURE
5.8 yrs

Dirk Toepfer

TITLE
Chief Information Officer
TENURE
1.4 yrs

Constantin Fest

TITLE
Head of Investor Relations
AGE
42
TENURE
6.6 yrs

Friederike Rotsch

TITLE
Group General Counsel and Head of Group Legal & Compliance
AGE
47
TENURE
5.3 yrs

Barbara Weiland

TITLE
Chief Compliance Officer
AGE
45
TENURE
0.1 yrs
Board of Directors Tenure

Average tenure and age of the MERCK Kommanditgesellschaft auf Aktien board of directors in years:

10.1
Average Tenure
63
Average Age
  • The average tenure for the MERCK Kommanditgesellschaft auf Aktien board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Wolfgang Büchele

TITLE
Chairman of Supervisory Board
COMPENSATION
€97K
AGE
60
TENURE
5.3 yrs

Michael Fletterich

TITLE
Vice Chairman of Supervisory Board
COMPENSATION
€73K
AGE
61
TENURE
5.3 yrs

Theo Siegert

TITLE
Member of Supervisory Board
COMPENSATION
€49K
AGE
72
TENURE
13.2 yrs

Helga Rübsamen-Schaeff

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
70
TENURE
5.3 yrs

Albrecht Merck

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
69
TENURE
14.6 yrs

Michaela von Glenck

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
73
TENURE
11.4 yrs

Edeltraud Glänzer

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
64
TENURE
11.4 yrs

Mechthild Auge

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
62
TENURE
10.4 yrs

Crocifissa Attardo

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
57
TENURE
9.8 yrs

Tobias Thelen

TITLE
Member of Supervisory Board
COMPENSATION
€50K
AGE
43
TENURE
5.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess MERCK Kommanditgesellschaft auf Aktien's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. MERCK Kommanditgesellschaft auf Aktien has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

MKKG.Y News

Simply Wall St News

MKKG.Y Company Info

Description

MERCK Kommanditgesellschaft auf Aktien operates in the healthcare, life science, and performance materials sectors worldwide. It offers prescription medicines to treat cancer, multiple sclerosis, infertility, growth deficiencies, type 2 diabetes, cardiovascular and thyroid diseases, as well as squamous cell carcinoma of the head and neck; diagnostics and prescription drugs for allergen immunotherapy; and fertility treatments. The company also provides life science products and services for use in the discovery, development, and manufacture of drug therapies, as well as in laboratories; and specialty chemicals for use in displays, computer chips, surfaces, Integrated circuits, microelectronic systems, anti-reflection coatings, and cosmetics. It has alliances with Pfizer Inc., Bristol-Myers Squibb Company, Intrexon Corporation, Avillion LLP., F-star Delta Ltd, SFJ Pharmaceuticals Group, Alibaba Health, Checkmate Pharmaceuticals, Solvias, and Leap Therapeutics, Inc.; a collaboration with Daiichi Sankyo Company, Limited; a co-development agreement with Oncolytics Biotech Inc.; a partnership with GlucoMe LTD; and collaboration agreements with Phosplatin Therapeutics LLC and Vyriad Inc. The company was founded in 1668 and is headquartered in Darmstadt, Germany. MERCK Kommanditgesellschaft auf Aktien is a subsidiary of E. Merck Kommanditgesellschaft.

Details
Name: MERCK Kommanditgesellschaft auf Aktien
MKKG.Y
Exchange: OTCPK
Founded: 1668
€45,301,423,373
434,777,878
Website: http://www.merckgroup.com
Address: MERCK Kommanditgesellschaft auf Aktien
Frankfurter Strasse 250,
Darmstadt,
Hessen, 64293,
Germany
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
DB MRK Bearer Shares Deutsche Boerse AG DE EUR 20. Oct 1995
OTCPK MKGA.F Bearer Shares Pink Sheets LLC US USD 20. Oct 1995
XTRA MRK Bearer Shares XETRA Trading Platform DE EUR 20. Oct 1995
LSE 0O14 Bearer Shares London Stock Exchange GB EUR 20. Oct 1995
SWX MER Bearer Shares SIX Swiss Exchange CH CHF 20. Oct 1995
BIT MRK Bearer Shares Borsa Italiana IT EUR 20. Oct 1995
WBAG MRCK Bearer Shares Wiener Boerse AG AT EUR 20. Oct 1995
BATS-CHIXE MRKD Bearer Shares BATS 'Chi-X Europe' GB EUR 20. Oct 1995
OTCPK MKKG.Y SPON ADR EACH REPR 0.2 ORD SHS Pink Sheets LLC US USD 12. Sep 2007
BST MRKC SPON ADR EACH REPR 0.2 ORD SHS Boerse-Stuttgart DE EUR 12. Sep 2007
Number of employees
Current staff
Staff numbers
53,051
MERCK Kommanditgesellschaft auf Aktien employees.
Industry
Pharmaceuticals
Pharmaceuticals & Biotech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/08/19 00:11
End of day share price update: 2019/08/16 00:00
Last estimates confirmation: 2019/08/15
Last earnings filing: 2019/08/08
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.