Merck KGaA (XSWX:MER) GF Value Rank: 9 (As of Jul. 08, 2026) — 29% Above Median


XSWX:MER Merck KGaA XSWX:MER
82 GF Score
Price CHF132.80
GF Value CHF128.27
! 9 Warning Signs
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What is Merck KGaA GF Value Rank?

Merck KGaA XSWX:MER 82 GF Value Rank is 9 as of Jul. 08, 2026, which is 29% above its 10-year median of 7.00. GuruFocus rates XSWX:MER with a GF Score™ of 82/100 and a GF Value™ of CHF128.27. The stock has 9 warning signs investors should review.

Merck KGaA has the GF Value Rank of 9.

GF Value Rank evaluates the exclusive GuruFocus valuation and performance of a stock, rated on a scale from 1 to 10. It is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

A higher score indicates a stock with a relatively low valuation and substantial potential for outperformance. Conversely, a lower score often reflects stocks that are either highly overvalued or deeply undervalued, both of which tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

XSWX:MER vs ZTS, UTHR, VTRS: GF Value Rank Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Merck KGaA's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 KGaA GF Value Rank vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Merck KGaA's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Merck KGaA's GF Value Rank falls into.


XSWX:MER
82GF Score
Merck KGaA XSWX:MER
GF Value Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about GF Value Rank →
What does a GF Value Rank of 9 mean?
Merck KGaA (XSWX:MER) has a GF Value Rank of 9 as of Jul. 08, 2026. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on Merck KGaA and its competitors. This is 29% above median its historical median of 7.00. Over the past decade, Merck KGaA's GF Value Rank has ranged from 3.00 to 10.00.
Is Merck KGaA's GF Value Rank too high?
Merck KGaA's current GF Value Rank of 9 is 29% above median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 10.00. Overall, Merck KGaA has a GF Score™ of 82/100, reflecting its overall financial health beyond just this single metric.
How does Merck KGaA's GF Value Rank compare to ZTS and UTHR?
Merck KGaA's GF Value Rank of 9 can be compared against companies in the Drug Manufacturers industry. Historically, Merck KGaA's own GF Value Rank has ranged from 3.00 to 10.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good GF Value Rank for a Drug Manufacturers company?
A good GF Value Rank depends on the Drug Manufacturers industry context. However, GF Value Rank 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 GF Value Rank mean?
A high GF Value Rank can signal that a stock is expensive relative to its fundamentals. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on Merck KGaA and its competitors. Merck KGaA's current GF Value Rank is 9, which is 29% above median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merck KGaA stock overvalued right now?
Merck KGaA (XSWX:MER) has a current GF Value Rank of 9. The stock's GF Value™ is CHF128.27, compared to a current price of CHF132.80 — trading 3.5% above its estimated fair value. The current GF Value Rank is 9, which is 29% above median its 10-year median of 7.00. Merck KGaA's overall GF Score™ is 82/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is GF Value Rank calculated?
GF Value Rank is calculated from a company's financial statements. For Merck KGaA (XSWX:MER), the current GF Value Rank is 9 as of Jul. 08, 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 KGaA (XSWX:MER) Overvalued in 2026?

Based on GuruFocus' analysis, Merck KGaA stock appears to be overvalued. The current stock price of CHF132.80 is trading 3.5% above its estimated GF Value™ of CHF128.27.

Key valuation signals for XSWX:MER:

  • GF Value Rank: 9 (29% above median its 10-year median of 7.00)
  • GF Value™: CHF128.27 vs. price of CHF132.80 (3.5% above fair value)
  • GF Score™: 82/100 with 9 warning signs

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

Merck KGaA Business Description

Address Frankfurter Strasse 250, Darmstadt, HE, DEU, 64293
Merck KGaA operates in three main segments: Life Science, Electronics, and Healthcare. The Life Science segment provides laboratory consumables and instruments to researchers in academia and applied fields, including the biopharmaceutical industry. The Electronics segment offers specialty materials to manufacture a variety of products, such as semiconductors and flat-screen televisions. In the healthcare segment, Merck develops, manufactures, and sells branded pharmaceuticals with significant therapeutic concentrations in oncology, multiple sclerosis, and fertility. In 1995, the E. Merck KG family publicly sold part of the company, resulting in the current 30% public ownership of the firm.
82GF Score

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

CHF132.80
Price
CHF128.27
GF Value