Pricing Log in Create free account

Amgen Inc. (AMGN) vs Merck & Co., Inc. (MRK)

Amgen Inc. and Merck & Co., Inc. are both Drug Manufacturers General companies. Merck & Co., Inc. is the larger, with a market value of $358.2B against $234.7B — 1.5× the size. Amgen Inc. trades at the lower P/E: 26.7× against 117×. Amgen Inc. grew revenue faster over the last twelve months: 9.10% against 4.64%. Amgen Inc. has the higher net margin (23.0% vs 4.77%) and the higher return on invested capital (13.0% vs 5.08%). Both pay a dividend; Merck & Co., Inc. yields more (2.33% vs 2.30%). Across the 23 metrics below, Amgen Inc. leads on 12 and Merck & Co., Inc. on 11.

Valuation

Metric AMGN MRK Drug Manufacturers General median
P/E 26.66 116.76 24.54
P/S 6.13 5.42 3.39
P/B 19.98 8.59 5.00
Price to free cash flow 23.98 22.44 16.55
EV/EBITDA 16.79 29.52 13.82
EV/Sales 7.27 6.08 4.03
Earnings yield 3.75% 0.86% 2.98%
Free cash flow yield 4.17% 4.46% 4.46%

Profitability

Metric AMGN MRK Drug Manufacturers General median
Gross margin 69.52% 72.97% 72.77%
Operating margin 29.99% 10.49% 18.77%
Net margin 22.95% 4.77% 8.27%
Free cash flow margin 26.71% 24.13% 17.18%
Return on equity 91.47% 6.97% 5.87%
Return on assets 9.53% 2.57% 2.57%
Return on invested capital 12.98% 5.08% 6.11%

Growth

Metric AMGN MRK Drug Manufacturers General median
Revenue growth (TTM) 9.10% 4.64% 6.66%
EPS growth (last fiscal year) 88.23% 8.01% 21.81%
Revenue growth, 5-year CAGR 7.65% 9.38% 4.75%
Net income growth, 5-year CAGR 1.20% 20.90% 0.00%

Health

Metric AMGN MRK Drug Manufacturers General median
Debt to equity 4.90 1.22 0.63
Current ratio 1.37 1.32 1.32
Net debt to EBITDA 2.94 1.15 1.15

Dividend

Metric AMGN MRK Drug Manufacturers General median
Dividend yield 2.30% 2.33% 2.33%
Payout ratio 0.62 2.72 0.59

Size

Metric AMGN MRK Drug Manufacturers General median
Market cap 234.65b 358.21b 123.73b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack