Merck (MEX:MRK) Moat Score: 8/10 (As of Jul. 05, 2026)


MEX:MRK Merck & Co Inc MEX:MRK
74 GF Score
Price MXN2,240.00
GF Value MXN2,049.13
Valuation Fairly Valued
! 7 Warning Signs
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What is Merck Moat Score?

Merck MEX:MRK 74 Moat Score is 8 as of Jul. 05, 2026. GuruFocus rates MEX:MRK with a GF Score™ of 74/100 and a GF Value™ of MXN2,049.13 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,030 Drug Manufacturers companies, Merck ranks better than 99.71% on this metric.

Merck has the Moat Score of 8, which implies that the company might have Wide Moat - Clear and robust wide moat.

Merck has Wide Moat: Merck has a robust portfolio of patented drugs and vaccines, providing strong intellectual property protection. Its significant R&D capabilities and consistent innovation reinforce its market leadership. The company benefits from economies of scale and strong brand recognition, leading to durable cost advantages and pricing power.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Merck might have Wide Moat - Clear and robust wide moat.

Merck  (MEX:MRK) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Merck Moat Score Related Terms

MEX:MRK vs AMGN, ABBV, GILD: Moat Score Comparison

For the Drug Manufacturers - General subindustry, Merck's Moat Score, along with its competitors' market caps and Moat Score 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 Moat Score vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Merck's Moat Score distribution charts can be found below:

* The bar in red indicates where Merck's Moat Score falls into.


MEX:MRK
74GF Score
Merck & Co Inc MEX:MRK
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 8 mean?
Merck (MEX:MRK) has a Moat Score of 8 as of Jul. 05, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Merck ranks #3 out of 1030 companies in the Drug Manufacturers industry, placing it in the top 0.3%.
Is Merck's Moat Score too high?
Merck's current Moat Score is 8. Based on the distribution chart, Merck ranks #3 out of 1030 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Merck has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Merck's Moat Score compare to AMGN and ABBV?
According to the Drug Manufacturers industry distribution chart, Merck ranks #3 out of 1030 companies for Moat Score. This places Merck in the top 0% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Drug Manufacturers company?
A good Moat Score depends on the Drug Manufacturers industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Merck's current Moat Score is 8. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merck stock overvalued right now?
Based on GuruFocus' analysis, Merck (MEX:MRK) is currently considered Fairly Valued. The stock's GF Value™ is MXN2,049.13, compared to a current price of MXN2,240.00 — trading 9.3% above its estimated fair value. The current Moat Score is 8. Merck's overall GF Score™ is 74/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Merck (MEX:MRK), the current Moat Score is 8 as of Jul. 05, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Merck (MEX:MRK) Overvalued in 2026?

Based on GuruFocus' analysis, Merck stock appears to be overvalued. The current stock price of MXN2,240.00 is trading 9.3% above its estimated GF Value™ of MXN2,049.13. GuruFocus considers Merck to be Fairly Valued.

Key valuation signals for MEX:MRK:

  • Moat Score: 8
  • GF Value™: MXN2,049.13 vs. price of MXN2,240.00 (9.3% above fair value)
  • GF Score™: 74/100 with 7 warning signs

No single metric tells the full story. See the MEX:MRK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Merck 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, led by Keytruda, is a major contributor to overall sales. The company also has a substantial vaccine business aimed at preventing pediatric diseases, as well as Gardasil for human papillomavirus. Additionally, Merck sells animal health-related drugs. From a geographical perspective, 47% of the company's sales are generated from US human health (pharmaceuticals and vaccines).
74GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN2,240.00
Price
MXN2,049.13
GF Value