P/E ratio for Merck (MRK)

P/E ratio history for Merck from 2001 to 2023

PE ratio at the end of each year

P/E ratio for similar companies or competitors

Company	P/E ratio	P/E ratio differencediff.	Country
Johnson & Johnson JNJ	41.3	-72.04%	🇺🇸 USA
Novartis NVS	31.0	-79.05%	🇨🇭 Switzerland
Pfizer PFE	38.7	-73.84%	🇺🇸 USA
Abbott Laboratories ABT	40.6	-72.50%	🇺🇸 USA
Eli Lilly LLY	43.9	-70.32%	🇺🇸 USA
Amgen AMGN	28.4	-80.80%	🇺🇸 USA
Sanofi SNY	24.7	-83.28%	🇫🇷 France
Bristol-Myers Squibb BMY	13.7	-90.70%	🇺🇸 USA
GSK plc GSK	17.5	-88.17%	🇬🇧 UK
Teva Pharmaceutical Industries TEVA	67.6	-54.24%	🇮🇱 Israel

How to read a P/E ratio?

The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.

Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.