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ABBV vs. MRK: AbbVie vs. Merck Stock Comparison

How do AbbVie (ABBV) and Merck (MRK) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

AbbVie (ABBV) and Merck (MRK) both fall under the Pharmaceuticals, Biotechnology & Life Sciences industry group, but ABBV is classified in Biotechnology while MRK is classified in Pharmaceuticals.

Company profile comparison for AbbVie (ABBV) and Merck (MRK)
Profile ItemABBVMRK
NameAbbVie Inc.Merck & Co., Inc.
Country/RegionUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS Industry GroupPharmaceuticals, Biotechnology & Life SciencesPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnologyPharmaceuticals
GICS Sub-IndustryBiotechnologyPharmaceuticals
Market Capitalization450.11 billion USD313.12 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 2013January 2, 1962
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

ABBV
MRK
GSPC
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AbbVie (ABBV) vs. Merck (MRK), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for AbbVie (ABBV) and Merck (MRK). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for AbbVie (ABBV) and Merck (MRK). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Total Return (1Y)38.98%61.89%
Total Return (3Y, Annualized)27.38%7.56%
Total Return (5Y, Annualized)21.57%13.66%

Risk Profile

Drawdown History

ABBV
MRK
GSPC
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AbbVie (ABBV) vs. Merck (MRK), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for AbbVie (ABBV) and Merck (MRK). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Volatility (1Y, Annualized)25.98%27.90%
Beta (5Y)0.300.19
Max Drawdown (5Y)-21.92%-43.44%
Avg. Volume (3M)7.12M10.40M

Risk-Adjusted Performance

Risk-Return Positioning

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ABBV and MRK are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Sharpe Ratio (1Y)1.352.08
Sortino Ratio (1Y)2.133.57

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Merck (MRK) earns 18.94% on shareholders’ equity, ranked against its industry; AbbVie (ABBV) has no ROE this period.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

--

Max
100.65%
Q3
2.17%
Median
-32.82%
Q1
-63.57%
Min
-158.89%
ABBV
--

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

18.94%

Max
100.65%
MRK
18.94%
Q3
2.17%
Median
-32.82%
Q1
-63.57%
Min
-158.89%
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AbbVie (ABBV) vs. Merck (MRK): ABBV does not report ROE, so it has no value marker; MRK is benchmarked against the Pharmaceuticals, Biotechnology & Life Sciences industry group.

Net Margin (TTM)

Both AbbVie (ABBV) at 5.79% and Merck (MRK) at 13.59% keep an unusually large share of revenue as bottom-line profit — each net margin clears its industry’s benchmark range.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

5.79%

ABBV
5.79%
Max
5.58%
Q3
1.05%
Median
0.00%
Q1
-2.00%
Min
-5.57%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

13.59%

MRK
13.59%
Max
5.58%
Q3
1.05%
Median
0.00%
Q1
-2.00%
Min
-5.57%
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their net margin against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Operating Margin (TTM)

Both AbbVie (ABBV) at 32.16% and Merck (MRK) at 38.60% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

32.16%

Max
100.30%
ABBV
32.16%
Q3
3.00%
Median
0.00%
Q1
-133.46%
Min
-337.81%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

38.60%

Max
100.30%
MRK
38.60%
Q3
3.00%
Median
0.00%
Q1
-133.46%
Min
-337.81%
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their operating margin against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Profitability Metrics

Profitability metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
ROE (TTM)--18.94%
ROA (TTM)10.03%12.58%
Net Margin (TTM)5.79%13.59%
Operating Margin (TTM)32.16%38.60%
Gross Margin (TTM)72.03%76.73%

Growth

Revenue Growth

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AbbVie (ABBV) vs. Merck (MRK): A comparison of their Revenue Growth across different time periods.

Revenue Growth Metrics

Revenue growth metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Revenue Growth (YoY)8.57%1.31%
Revenue Growth (3Y CAGR)1.75%3.12%

EPS Growth

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AbbVie (ABBV) vs. Merck (MRK): A comparison of their EPS Growth across different time periods.

EPS Growth Metrics

EPS growth metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
EPS Growth (YoY)-1.26%8.01%
EPS Growth (3Y CAGR)-29.13%8.43%

Financial Strength

Current Ratio (MRQ)

Both AbbVie (ABBV) at 0.80 and Merck (MRK) at 1.30 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

0.80

Max
26.16
Q3
12.13
Median
5.81
Q1
2.70
ABBV
0.80
Min
0.23

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

1.30

Max
26.16
Q3
12.13
Median
5.81
Q1
2.70
MRK
1.30
Min
0.23
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their current ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Merck (MRK) carries debt-to-equity ratio of 1.07 against its industry range, while AbbVie (ABBV) reports no figure this period.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

--

Max
1.60
Q3
0.68
Median
0.15
Q1
0.02
Min
0.00
ABBV
--

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

1.07

Max
1.60
MRK
1.07
Q3
0.68
Median
0.15
Q1
0.02
Min
0.00
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AbbVie (ABBV) vs. Merck (MRK): ABBV does not report debt-to-equity ratio, so it has no value marker; MRK is benchmarked against the Pharmaceuticals, Biotechnology & Life Sciences industry group.

Financial Strength Metrics

Financial strength metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Current Ratio (MRQ)0.801.30
Debt / Equity (MRQ)--1.07
Net Debt / EBITDA2.121.47

Dividends

Dividend Yield (TTM)

Both AbbVie (ABBV) at 2.58% and Merck (MRK) at 2.53% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

2.58%

ABBV
2.58%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

2.53%

MRK
2.53%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their dividend yield against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Dividend Payout Ratio (TTM)

AbbVie (ABBV) reports payout ratio above 100% at 325.98%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Merck (MRK) reports 93.52%, ranking against industry peers normally.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

325.98%

ABBV
325.98%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

93.52%

MRK
93.52%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their payout ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Dividend Metrics

Dividend metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
Dividend Yield (TTM)2.58%2.53%
Dividend Payout Ratio (TTM)325.98%93.52%

Valuation

P/E Ratio (TTM)

Merck (MRK) at 35.71 is near its industry’s usual P/E ratio, while AbbVie (ABBV) at 124.88 sits above its peer range — an unusually expensive price for ABBV’s trailing earnings.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

124.88

ABBV
124.88
Max
84.76
Q3
48.50
Median
26.28
Q1
15.88
Min
2.09

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

35.71

Max
84.76
Q3
48.50
MRK
35.71
Median
26.28
Q1
15.88
Min
2.09
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their P/E ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both AbbVie (ABBV) at 7.17 and Merck (MRK) at 4.76 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

7.17

Max
68.43
Q3
29.55
Median
8.01
ABBV
7.17
Q1
3.56
Min
0.01

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

4.76

Max
68.43
Q3
29.55
Median
8.01
MRK
4.76
Q1
3.56
Min
0.01
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AbbVie (ABBV) vs. Merck (MRK): A comparison of their P/S ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

P/B Ratio (MRQ)

AbbVie (ABBV) reports a negative P/B ratio of -67.63, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Merck (MRK) reports 6.82, ranking against industry peers normally.

ABBV

Pharmaceuticals, Biotechnology & Life Sciences industry group

-67.63

Max
15.41
Q3
7.29
Median
3.81
Q1
1.69
Min
-6.68
ABBV
-67.63

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

6.82

Max
15.41
Q3
7.29
MRK
6.82
Median
3.81
Q1
1.69
Min
-6.68
Loading chart…
AbbVie (ABBV) vs. Merck (MRK): A comparison of their P/B ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Valuation Metrics

Valuation metrics for AbbVie (ABBV) and Merck (MRK)
MetricABBVMRK
P/E Ratio (TTM)124.8835.71
P/S Ratio (TTM)7.174.76
P/B Ratio (MRQ)-67.636.82
Free Cash Flow Yield (TTM)4.62%4.49%