Merck & Co., Inc. EV/EBITDA
Data as of June 01, 2026
EV/EBITDA
11.41
Enterprise Value
$336.69B
EBITDA (TTM)
$29.52B
Sector
Healthcare
How It's Calculated
11.41 = $336.69B ÷ $29.52B
What This Means
Merck & Co., Inc.'s EV/EBITDA of 11.4 is in a moderate range for Healthcare.
About Merck & Co., Inc.
Merck & Co., Inc. (MRK) operates in the Healthcare sector, specifically in Drug Manufacturers - General. With a market capitalization of about $293.22B, it ranks as a mega-cap stock — one of the largest publicly traded companies.
Shares recently traded near $118.72, within a 52-week range of $75.40 to $125.14 (-5.1% from the high, +57.5% from the low). Beta of 0.20 indicates relatively lower volatility versus the market.
Trailing profit margin is about 13.6%, signaling a solid profit margin for its industry.
Understanding This Metric
EV/EBITDA is widely used when comparing companies with different debt loads because enterprise value includes net debt while EBITDA approximates operating cash earnings power. For Merck & Co., Inc., the ratio should be read with growth, capex needs, and cycle position in Healthcare. Pair EV/EBITDA with free cash flow yield and net debt metrics before drawing conclusions — especially when EBITDA is depressed or boosted by one-time items.
Using This Number in Practice
Near 11.41x EV/EBITDA, Merck & Co., Inc. (MRK) carries a mid-range EV/EBITDA multiple that investors often stack-rank within the sector. Enterprise value of about $336.69B and EBITDA near $29.52B form the ratio — adjust for one-time items before treating the headline multiple as comparable.
Credit and LBO workflows often sort names on EV/EBITDA before drilling into free cash flow and maintenance capex. Pair this view with the EV/EBITDA calculator and the MRK metrics hub for related valuation pages.
Sector Comparison
Among Healthcare names on our S&P 100 coverage, Merck & Co., Inc.'s EV/EBITDA of 11.41 can be compared with peers such as LLY (28.26), JNJ (16.76), UNH (18.61). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Healthcare stocks.
Key Takeaways
- MRK is grouped in the Healthcare sector for peer comparisons.
- Recent beta of 0.20 suggests lower-than-market price sensitivity.
- Trailing profit margin of 13.6% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for MRK.
Other MRK Metrics
Frequently Asked Questions
What is MRK's EV/EBITDA?
EV/EBITDA compares enterprise value to operating earnings before interest, taxes, depreciation, and amortization. Merck & Co., Inc.'s ratio is about 11.41 — common for comparing leveraged companies in Healthcare.
Is 11.41 high or low vs peers?
Among Healthcare peers (e.g. LLY (28.26), TMO (19.75), UNH (18.61)), MRK's 11.41 should be read with growth, capex, and debt levels.
When is EV/EBITDA misleading?
EBITDA ignores capex, working capital, and stock-based comp; negative or tiny EBITDA makes the ratio meaningless. Cross-check with free cash flow and net debt.
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