Ratio Analysis: Unpacking Merck & Co Inc (MRK)’s Price-to-Cash and Price-to-Free Cash Flow

Ulysses Smith

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After finishing at $111.01 in the prior trading day, Merck & Co Inc (NYSE: MRK) closed at $110.97, down -0.04%. In other words, the price has decreased by -$0.04 from its previous closing price. On the day, 11.77 million shares were traded. MRK stock price reached its highest trading level at $111.58 during the session, while it also had its lowest trading level at $108.45.

Ratios:

Our goal is to gain a better understanding of MRK by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 15.09 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 21.11. For the most recent quarter (mrq), Quick Ratio is recorded 1.44 and its Current Ratio is at 1.66. In the meantime, Its Debt-to-Equity ratio is 0.80 whereas as Long-Term Debt/Eq ratio is at 0.77.

On December 18, 2025, BMO Capital Markets Upgraded its rating to Outperform which previously was Market Perform but kept the price unchanged to $130.

Wells Fargo Upgraded its Equal Weight to Overweight on November 24, 2025, while the target price for the stock was maintained at $125.

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Nov 10 ’25 when Downing Cristal N sold 7,085 shares for $87.00 per share. The transaction valued at 616,395 led to the insider holds 0 shares of the business.

CRISTAL DOWNING bought 7,085 shares of MRK for $616,395 on Nov 10 ’25. On Nov 03 ’25, another insider, Williams David Michael, who serves as the EVP,Chief Info&Digital Officer of the company, sold 8,614 shares for $83.59 each. As a result, the insider received 720,040 and left with 24,578 shares of the company.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, MRK now has a Market Capitalization of 277179006976 and an Enterprise Value of 298647027712. As of this moment, Merck’s Price-to-Earnings (P/E) ratio for their current fiscal year is 14.68, and their Forward P/E ratio for the next fiscal year is 15.19. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 1.61. For the stock, the TTM Price-to-Sale (P/S) ratio is 4.31 while its Price-to-Book (P/B) ratio in mrq is 5.32. Its current Enterprise Value per Revenue stands at 4.649 whereas that against EBITDA is 9.474.

Stock Price History:

The Beta on a monthly basis for MRK is 0.29, which has changed by 0.13368058 over the last 52 weeks, in comparison to a change of 0.15507638 over the same period for the S&P500. Over the past 52 weeks, MRK has reached a high of $112.90, while it has fallen to a 52-week low of $73.31. The 50-Day Moving Average of the stock is 10.55%, while the 200-Day Moving Average is calculated to be 28.29%.

Shares Statistics:

The stock has traded on average 13.52M shares per day over the past 3-months and 12750900 shares per day over the last 10 days, according to various share statistics. A total of 2.49B shares are outstanding, with a floating share count of 2.48B. Insiders hold about 0.10% of the company’s shares, while institutions hold 79.49% stake in the company. Shares short for MRK as of 1767139200 were 32573724 with a Short Ratio of 2.41, compared to 1764288000 on 31943311. Therefore, it implies a Short% of Shares Outstanding of 32573724 and a Short% of Float of 1.46.

Dividends & Splits

In the trailing 12 months, MRK’s forward annual dividend rate was 3.2, compared to 3.28 this year. Against a Trailing Annual Dividend Yield of 0.028826231. The stock’s 5-year Average Dividend Yield is 3.05. The current Payout Ratio is 46.32% for MRK, which recently paid a dividend on 2025-12-15 with an ex-dividend date of 2025-12-15. Stock splits for the company last occurred on 2021-06-03 when the company split stock in a 1048:1000 ratio.

Earnings Estimates

. The current market rating for Merck & Co Inc (MRK) reflects the collective analysis of 16.0 analysts closely monitoring its performance.The consensus estimate for the next quarter is $0.59, with high estimates of $2.33 and low estimates of -$1.55.

Analysts are recommending an EPS of between $9.07 and $8.9 for the fiscal current year, implying an average EPS of $8.96. EPS for the following year is $7.01, with 20.0 analysts recommending between $9.8 and $4.99.

Revenue Estimates

15 analysts predict $16.19B in revenue. The current quarter. It ranges from a high estimate of $16.33B to a low estimate of $16.05B. As of. The current estimate, Merck & Co Inc’s year-ago sales were $15.62BFor the next quarter, 15 analysts are estimating revenue of $15.9B. There is a high estimate of $16.38B for the next quarter, whereas the lowest estimate is $15.38B.

A total of 20 analysts have provided revenue estimates for MRK’s current fiscal year. The highest revenue estimate was $65.05B, while the lowest revenue estimate was $64.3B, resulting in an average revenue estimate of $64.79B. In the same quarter a year ago, actual revenue was $64.17BBased on 20 analysts’ estimates, the company’s revenue will be $67.96B in the next fiscal year. The high estimate is $69.2B and the low estimate is $65.92B.

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