GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Merck & Co Inc (MEX:MRK) » Definitions » Cyclically Adjusted PS Ratio

Merck (MEX:MRK) Cyclically Adjusted PS Ratio : 7.01 (As of Jun. 23, 2024)


View and export this data going back to 1946. Start your Free Trial

What is Merck Cyclically Adjusted PS Ratio?

As of today (2024-06-23), Merck's current share price is MXN2364.20. Merck's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was MXN337.34. Merck's Cyclically Adjusted PS Ratio for today is 7.01.

The historical rank and industry rank for Merck's Cyclically Adjusted PS Ratio or its related term are showing as below:

MEX:MRK' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 3.17   Med: 4.36   Max: 6.58
Current: 6.36

During the past years, Merck's highest Cyclically Adjusted PS Ratio was 6.58. The lowest was 3.17. And the median was 4.36.

MEX:MRK's Cyclically Adjusted PS Ratio is ranked worse than
87.08% of 743 companies
in the Drug Manufacturers industry
Industry Median: 2.06 vs MEX:MRK: 6.36

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Merck's adjusted revenue per share data for the three months ended in Mar. 2024 was MXN102.911. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is MXN337.34 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Merck Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Merck's Cyclically Adjusted PS 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 Cyclically Adjusted PS Ratio Chart

Merck Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.39 4.79 4.39 5.85 5.44

Merck Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial 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 5.48 5.85 5.14 5.44 6.42

Competitive Comparison of Merck's Cyclically Adjusted PS Ratio

For the Drug Manufacturers - General subindustry, Merck's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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's Cyclically Adjusted PS Ratio Distribution in the Drug Manufacturers Industry

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

* The bar in red indicates where Merck's Cyclically Adjusted PS Ratio falls into.



Merck Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Merck's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=2364.20/337.34
=7.01

* 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 Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Merck's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=102.911/131.7762*131.7762
=102.911

Current CPI (Mar. 2024) = 131.7762.

Merck Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 48.087 100.560 63.015
201409 48.694 100.428 63.894
201412 53.572 99.070 71.258
201503 50.152 99.621 66.340
201506 53.870 100.684 70.506
201509 60.019 100.392 78.782
201512 62.419 99.792 82.424
201603 57.351 100.470 75.221
201606 65.274 101.688 84.588
201609 73.122 101.861 94.597
201612 75.150 101.863 97.219
201703 64.220 102.862 82.272
201706 65.223 103.349 83.163
201709 68.712 104.136 86.950
201712 75.055 104.011 95.090
201803 67.287 105.290 84.214
201806 76.273 106.317 94.538
201809 75.393 106.507 93.281
201812 81.984 105.998 101.922
201903 80.603 107.251 99.035
201906 87.286 108.070 106.434
201909 95.156 108.329 115.752
201912 30.578 108.420 37.165
202003 110.998 108.902 134.313
202006 85.129 108.767 103.137
202009 95.127 109.815 114.151
202012 85.705 109.897 102.768
202103 85.489 111.754 100.805
202106 89.358 114.631 102.723
202109 106.653 115.734 121.436
202112 109.416 117.630 122.575
202203 124.795 121.301 135.572
202206 115.583 125.017 121.832
202209 118.371 125.227 124.562
202212 105.820 125.222 111.359
202303 102.363 127.348 105.923
202306 101.520 128.729 103.923
202309 109.207 129.860 110.819
202312 97.731 129.419 99.511
202403 102.911 131.776 102.911

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

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  (MEX:MRK) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Merck Cyclically Adjusted PS Ratio Related Terms

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


Merck (MEX:MRK) Business Description

Address
126 East Lincoln Avenue, Rahway, NJ, USA, 07065
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 pediatric diseases as well as human papillomavirus, or HPV. Additionally, Merck sells animal health-related drugs. From a geographical perspective, just under half of the company's sales are generated in the United States.

Merck (MEX:MRK) Headlines