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LLY vs. MRK: Eli Lilly vs. Merck Stock Comparison

How do Eli Lilly (LLY) 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

Eli Lilly (LLY) and Merck (MRK) are both classified in the Pharmaceuticals sub-industry within the broader Pharmaceuticals industry, placing them in the closest GICS peer bucket.

Company profile comparison for Eli Lilly (LLY) and Merck (MRK)
Profile ItemLLYMRK
NameEli Lilly and CompanyMerck & Co., Inc.
Country/RegionUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS Industry GroupPharmaceuticals, Biotechnology & Life SciencesPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticalsPharmaceuticals
GICS Sub-IndustryPharmaceuticalsPharmaceuticals
Market Capitalization1,069.58 billion USD317.37 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJune 1, 1972January 2, 1962
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

LLY
MRK
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Eli Lilly (LLY) vs. Merck (MRK): 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 Eli Lilly (LLY) and Merck (MRK). Returns over one year are annualized.

Performance Metrics

Price performance metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
Total Return (1Y)54.95%67.76%

Risk Profile

Drawdown History

LLY
MRK
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Eli Lilly (LLY) vs. Merck (MRK): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk Metrics

Risk profile metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
Volatility (1Y, Annualized)38.54%27.69%
Beta (5Y)0.510.19
Avg. Volume (3M)3.31M10.34M

Risk-Adjusted Performance

Risk-Return Positioning

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LLY 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.

Profitability

ROE (TTM)

Both companies show strong equity returns, but Eli Lilly (LLY) at 107.46% is the standout with ROE above its industry range; Merck (MRK) at 18.94% also sits in the top quartile.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

107.46%

LLY
107.46%
Max
100.65%
Q3
2.17%
Median
-32.62%
Q1
-63.57%
Min
-158.89%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

18.94%

Max
100.65%
MRK
18.94%
Q3
2.17%
Median
-32.62%
Q1
-63.57%
Min
-158.89%
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their ROE against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Net Margin (TTM)

Both Eli Lilly (LLY) at 34.99% 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.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

34.99%

LLY
34.99%
Max
8.29%
Q3
2.10%
Median
0.00%
Q1
-2.04%
Min
-6.93%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

13.59%

MRK
13.59%
Max
8.29%
Q3
2.10%
Median
0.00%
Q1
-2.04%
Min
-6.93%
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their net margin against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Operating Margin (TTM)

Both Eli Lilly (LLY) at 49.39% 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.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

49.39%

Max
100.30%
LLY
49.39%
Q3
3.47%
Median
0.00%
Q1
-135.53%
Min
-337.81%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

38.60%

Max
100.30%
MRK
38.60%
Q3
3.47%
Median
0.00%
Q1
-135.53%
Min
-337.81%
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their operating margin against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Profitability Metrics

Profitability metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
ROE (TTM)107.46%18.94%
ROA (TTM)20.74%12.58%
Net Margin (TTM)34.99%13.59%
Operating Margin (TTM)49.39%38.60%
Gross Margin (TTM)82.83%76.73%

Growth

Revenue Growth

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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their Revenue Growth across different time periods.

Revenue Growth Metrics

Revenue growth metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
Revenue Growth (YoY)44.70%1.31%
Revenue Growth (3Y CAGR)31.69%3.12%

EPS Growth

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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their EPS Growth across different time periods.

EPS Growth Metrics

EPS growth metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
EPS Growth (YoY)95.99%8.01%
EPS Growth (3Y CAGR)51.71%8.43%

Financial Strength

Current Ratio (MRQ)

Both Eli Lilly (LLY) at 1.50 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.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

1.50

Max
24.76
Q3
11.79
Median
5.69
Q1
2.69
LLY
1.50
Min
0.23

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

1.30

Max
24.76
Q3
11.79
Median
5.69
Q1
2.69
MRK
1.30
Min
0.23
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their current ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Debt / Equity (MRQ)

Both Eli Lilly (LLY) at 1.39 and Merck (MRK) at 1.07 lean more heavily on debt funding than most peers, landing in the higher-leverage quartile of their industries.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

1.39

Max
1.60
LLY
1.39
Q3
0.68
Median
0.15
Q1
0.02
Min
0.00

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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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their debt-to-equity ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
Current Ratio (MRQ)1.501.30
Debt / Equity (MRQ)1.391.07
Net Debt / EBITDA1.051.47

Dividends

Dividend Yield (TTM)

Both Eli Lilly (LLY) at 0.51% and Merck (MRK) at 2.54% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

0.51%

LLY
0.51%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

2.54%

MRK
2.54%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their dividend yield against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Dividend Payout Ratio (TTM)

Both Eli Lilly (LLY) at 22.13% and Merck (MRK) at 93.52% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

22.13%

LLY
22.13%
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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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their payout ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Dividend Metrics

Dividend metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
Dividend Yield (TTM)0.51%2.54%
Dividend Payout Ratio (TTM)22.13%93.52%

Valuation

P/E Ratio (TTM)

Both Eli Lilly (LLY) at 42.55 and Merck (MRK) at 36.20 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

42.55

Max
91.40
Q3
48.24
LLY
42.55
Median
26.30
Q1
15.83
Min
2.03

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

36.20

Max
91.40
Q3
48.24
MRK
36.20
Median
26.30
Q1
15.83
Min
2.03
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Eli Lilly (LLY) 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 Eli Lilly (LLY) at 14.80 and Merck (MRK) at 4.83 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

14.80

Max
65.04
Q3
29.15
LLY
14.80
Median
7.88
Q1
3.43
Min
0.01

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

4.83

Max
65.04
Q3
29.15
Median
7.88
MRK
4.83
Q1
3.43
Min
0.01
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their P/S ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

P/B Ratio (MRQ)

Merck (MRK) at 6.92 sits near its industry’s typical P/B ratio, while Eli Lilly (LLY) at 34.35 prices above its benchmark range — LLY looks rich relative to book.

LLY

Pharmaceuticals, Biotechnology & Life Sciences industry group

34.35

LLY
34.35
Max
15.83
Q3
7.42
Median
3.80
Q1
1.75
Min
-6.63

MRK

Pharmaceuticals, Biotechnology & Life Sciences industry group

6.92

Max
15.83
Q3
7.42
MRK
6.92
Median
3.80
Q1
1.75
Min
-6.63
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Eli Lilly (LLY) vs. Merck (MRK): A comparison of their P/B ratio against the Pharmaceuticals, Biotechnology & Life Sciences industry group benchmark.

Valuation Metrics

Valuation metrics for Eli Lilly (LLY) and Merck (MRK)
MetricLLYMRK
P/E Ratio (TTM)42.5536.20
P/S Ratio (TTM)14.804.83
P/B Ratio (MRQ)34.356.92
Free Cash Flow Yield (TTM)0.86%4.43%