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Merck Shiller PE Ratio

: 27.83 (As of Today)
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As of today (2022-08-14), Merck's current share price is $91.02. Merck's E10 for the quarter that ended in Jun. 2022 was $3.27. Merck's Shiller PE Ratio for today is 27.83.

The historical rank and industry rank for Merck's Shiller PE Ratio or its related term are showing as below:

MRK' s Shiller PE Ratio Range Over the Past 10 Years
Min: 10.97   Med: 24.75   Max: 39.51
Current: 27.86

During the past years, Merck's highest Shiller PE Ratio was 39.51. The lowest was 10.97. And the median was 24.75.

MRK's Shiller PE Ratio is ranked worse than
55.96% of 495 companies
in the Drug Manufacturers industry
Industry Median: 24.33 vs MRK: 27.86

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Merck's adjusted earnings per share data for the three months ended in Jun. 2022 was $1.550. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $3.27 for the trailing ten years ended in Jun. 2022.

Shiller PE for Stocks: The True Measure of Stock Valuation


Merck Shiller PE Ratio Historical Data

The historical data trend for Merck's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Merck Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Shiller PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 20.70 29.75 39.15 31.30 26.05

Merck Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Shiller PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 29.14 26.74 26.05 26.18 27.91

Competitive Comparison

For the Drug Manufacturers - General subindustry, Merck's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Merck Shiller PE Ratio Distribution

For the Drug Manufacturers industry and Healthcare sector, Merck's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Merck's Shiller PE Ratio falls into.



Merck Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Merck's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=91.02/3.27
=27.83

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Merck's E10 for the quarter that ended in Jun. 2022 is calculated as:

For example, Merck's adjusted earnings per share data for the three months ended in Jun. 2022 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jun. 2022 (Change)*Current CPI (Jun. 2022)
=1.55/123.3228*123.3228
=1.550

Current CPI (Jun. 2022) = 123.3228.

Merck Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201209 0.560 97.633 0.707
201212 0.460 96.871 0.586
201303 0.520 98.209 0.653
201306 0.300 98.518 0.376
201309 0.380 98.790 0.474
201312 0.260 98.326 0.326
201403 0.570 99.695 0.705
201406 0.680 100.560 0.834
201409 0.310 100.428 0.381
201412 2.540 99.070 3.162
201503 0.330 99.621 0.409
201506 0.240 100.684 0.294
201509 0.640 100.392 0.786
201512 0.350 99.792 0.433
201603 0.400 100.470 0.491
201606 0.430 101.688 0.521
201609 0.780 101.861 0.944
201612 0.420 101.863 0.508
201703 0.560 102.862 0.671
201706 0.710 103.349 0.847
201709 -0.020 104.136 -0.024
201712 -0.323 104.011 -0.383
201803 0.270 105.290 0.316
201806 0.630 106.317 0.731
201809 0.730 106.507 0.845
201812 0.690 105.998 0.803
201903 1.120 107.251 1.288
201906 1.030 108.070 1.175
201909 0.740 108.329 0.842
201912 0.920 108.420 1.046
202003 1.260 108.902 1.427
202006 1.180 108.767 1.338
202009 1.160 109.815 1.303
202012 -0.830 109.897 -0.931
202103 1.250 111.754 1.379
202106 0.610 114.631 0.656
202109 1.800 115.734 1.918
202112 1.480 117.630 1.552
202203 1.700 121.301 1.728
202206 1.550 123.323 1.550

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Merck  (NYSE:MRK) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Merck Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Merck's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Merck Business Description

Merck logo
Address
2000 Galloping Hill Road, Kenilworth, NJ, USA, 07033
Merck makes pharmaceutical products to treat several conditions in a number of therapeutic areas, including cardiometabolic disease, cancer, and infections. Within cancer, the firm's immuno-oncology platform is growing as a major contributor to overall sales. The company also has a substantial vaccine business, with treatments to prevent hepatitis B and pediatric diseases as well as HPV and shingles. Additionally, Merck sells animal health-related drugs. From a geographical perspective, close to half of the firm's sales are generated in the United States.
Executives
Baker Douglas M Jr director 370 WBASHA ST NORTH ST PAUL MN 55102
Oosthuizen Johannes Jacobus officer: SVP, U.S. Market 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Garay Arpa officer: SVP Human Health Global Mktg. 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Downing Cristal N officer: Chief Comm. & Public Afrs Ofcr 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Klobuchar Michael A officer: EVP - Chief Strategy Officer 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Lecointe-cephas Lisa officer: SVP Chief Ethics & Com Officer 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Litchfield Caroline officer: EVP & CFO 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Mayo Stephen director 2000 GALLOPING HILL RD KENILWORTH NJ 07033
Li Dean Y officer: Executive VP & President, MRL 2000 GALLOPING HILL ROAD KENILWORTH NJ 07033
Williams David Michael officer: EVP,Chief Info&Digital Officer MERCK & CO., INC. 2000 GALLOPING HILL ROAD KENILWORTH NJ 07033
Lavizzo-mourey Risa J director GENERAL ELECTRIC COMPANY 5 NECCO STREET BOSTON MA 02210
Seidman Christine E director MERCK & CO., INC. 2000 GALLOPING HILL ROAD KENILWORTH NJ 07033
Warden Kathy J director 2980 FAIRVIEW PARK DRIVE FALLS CHURCH VA 22042
Craig Pamela director C/O ACCENTURE 161 N CLARK STREET CHICAGO IL 60601
Brun Leslie A director 435 DEVON PARK DRIVE 700 BUILDING WAYNE PA 19087

Merck Headlines

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