Merck Return On Equity from 2010 to 2025

MRK Stock  USD 87.87  4.44  4.81%   
Merck Return On Equity yearly trend continues to be quite stable with very little volatility. The value of Return On Equity is projected to decrease to 0.32. Return On Equity is a measure of the profitability of Merck Company in relation to the equity, calculated by dividing net income by shareholder's equity. View All Fundamentals
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
0.36959385
Current Value
0.32
Quarterly Volatility
0.11766282
 
Credit Downgrade
 
Yuan Drop
 
Covid
Check Merck financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Merck's main balance sheet or income statement drivers, such as Depreciation And Amortization of 2.9 B, Interest Expense of 1.3 B or Total Revenue of 33.3 B, as well as many indicators such as Price To Sales Ratio of 4.32, Dividend Yield of 0.0246 or PTB Ratio of 6.9. Merck financial statements analysis is a perfect complement when working with Merck Valuation or Volatility modules.
  
Check out the analysis of Merck Correlation against competitors.

Latest Merck's Return On Equity Growth Pattern

Below is the plot of the Return On Equity of Merck Company over the last few years. Return on Equity is the amount of Merck Company net income returned as a percentage of Merck equity. Return on equity measures Merck profitability by revealing how much profit Merck Company generates with the money shareholders have invested. It is a measure of the profitability of a business in relation to the equity, calculated by dividing net income by shareholder's equity. Merck's Return On Equity historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in Merck's overall financial position and show how it may be relating to other accounts over time.
ViewLast Reported 0.4110 Years Trend
Slightly volatile
   Return On Equity   
       Timeline  

Merck Return On Equity Regression Statistics

Arithmetic Mean0.21
Geometric Mean0.16
Coefficient Of Variation56.30
Mean Deviation0.10
Median0.23
Standard Deviation0.12
Sample Variance0.01
Range0.3702
R-Value0.49
Mean Square Error0.01
R-Squared0.24
Significance0.05
Slope0.01
Total Sum of Squares0.21

Merck Return On Equity History

2024 0.37
2023 0.009712
2022 0.32
2021 0.34
2020 0.28
2019 0.38
2018 0.23

About Merck Financial Statements

Merck investors utilize fundamental indicators, such as Return On Equity, to predict how Merck Stock might perform in the future. Analyzing these trends over time helps investors make informed market timing decisions. For further insights, please visit our fundamental analysis page.
Last ReportedProjected for Next Year
Return On Equity 0.37  0.32 

Building efficient market-beating portfolios requires time, education, and a lot of computing power!

The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.

Try AI Portfolio Architect
When determining whether Merck Company is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Merck Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Merck Company Stock. Highlighted below are key reports to facilitate an investment decision about Merck Company Stock:
Is Pharmaceuticals space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Merck. If investors know Merck will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Merck listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.33)
Dividend Share
3.08
Earnings Share
6.74
Revenue Per Share
25.343
Quarterly Revenue Growth
0.068
The market value of Merck Company is measured differently than its book value, which is the value of Merck that is recorded on the company's balance sheet. Investors also form their own opinion of Merck's value that differs from its market value or its book value, called intrinsic value, which is Merck's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Merck's market value can be influenced by many factors that don't directly affect Merck's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Merck's value and its price as these two are different measures arrived at by different means. Investors typically determine if Merck is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Merck's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.