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.
| Profile Item | LLY | MRK |
|---|---|---|
| Name | Eli Lilly and Company | Merck & Co., Inc. |
| Country/Region | United States | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry Group | Pharmaceuticals, Biotechnology & Life Sciences | Pharmaceuticals, Biotechnology & Life Sciences |
| GICS Industry | Pharmaceuticals | Pharmaceuticals |
| GICS Sub-Industry | Pharmaceuticals | Pharmaceuticals |
| Market Capitalization | 1,052.40 billion USD | 335.14 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | June 1, 1972 | January 2, 1962 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | LLY | MRK |
|---|---|---|
| Total Return (1Y) | 73.90% | 69.62% |
| Total Return (3Y, Annualized) | 30.83% | 11.01% |
| Total Return (5Y, Annualized) | 36.13% | 15.66% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | LLY | MRK |
|---|---|---|
| Volatility (1Y, Annualized) | 35.66% | 27.48% |
| Beta (5Y) | 0.50 | 0.20 |
| Max Drawdown (5Y) | -34.48% | -43.44% |
| Avg. Volume (3M) | 2.97M | 10.12M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | LLY | MRK |
|---|---|---|
| Sharpe Ratio (1Y) | 1.96 | 2.39 |
| Sortino Ratio (1Y) | 3.41 | 4.18 |
Profitability
ROE (TTM)
Both companies show strong equity returns, but Eli Lilly (LLY) at 102.29% is the standout with ROE above its industry range; Merck (MRK) at 6.96% also sits in the top quartile.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
102.29%
- LLY
- 102.29%
- Max
- 100.28%
- Q3
- 3.43%
- Median
- -33.05%
- Q1
- -62.24%
- Min
- -157.61%
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
6.96%
- Max
- 100.28%
- MRK
- 6.96%
- Q3
- 3.43%
- Median
- -33.05%
- Q1
- -62.24%
- Min
- -157.61%
Net Margin (TTM)
Eli Lilly (LLY) at 33.53% keeps the most of each sales dollar — above its industry’s net margin range — and Merck (MRK) at 4.77% also retains a top-quartile share.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
33.53%
- LLY
- 33.53%
- Max
- 13.44%
- Q3
- 3.18%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -14.36%
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
4.77%
- Max
- 13.44%
- MRK
- 4.77%
- Q3
- 3.18%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -14.36%
Operating Margin (TTM)
Merck (MRK) reports a negative operating margin of -0.24%, usually indicating that operating costs exceeded revenue at the operating-income line. Meanwhile Eli Lilly (LLY) reports 54.22%, ranking against industry peers normally.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
54.22%
- Max
- 76.04%
- LLY
- 54.22%
- Q3
- 10.89%
- Median
- 0.00%
- Q1
- -122.64%
- Min
- -308.66%
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
-0.24%
- Max
- 76.04%
- Q3
- 10.89%
- Median
- 0.00%
- MRK
- -0.24%
- Q1
- -122.64%
- Min
- -308.66%
Profitability Metrics
| Metric | LLY | MRK |
|---|---|---|
| ROE (TTM) | 102.29% | 6.96% |
| ROA (TTM) | 20.36% | 11.87% |
| Net Margin (TTM) | 33.53% | 4.77% |
| Operating Margin (TTM) | 54.22% | -0.24% |
| Gross Margin (TTM) | 83.40% | 75.90% |
Growth
Revenue Growth
Both Eli Lilly (LLY) at 44.70% and Merck (MRK) at 1.31% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Eli Lilly (LLY) at 95.99% sits in the top EPS growth quartile, while Merck (MRK) at 8.01% is closer to the peer norm — faster per-share earnings growth for LLY.
Growth Metrics
| Metric | LLY | MRK |
|---|---|---|
| Revenue Growth (YoY) | 44.70% | 1.31% |
| Revenue Growth (3Y CAGR) | 31.69% | 3.12% |
| 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 1.36 and Merck (MRK) at 1.32 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
1.36
- Max
- 26.78
- Q3
- 12.43
- Median
- 5.72
- Q1
- 2.77
- LLY
- 1.36
- Min
- 0.10
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.32
- Max
- 26.78
- Q3
- 12.43
- Median
- 5.72
- Q1
- 2.77
- MRK
- 1.32
- Min
- 0.10
Debt / Equity (MRQ)
Both balance sheets lean debt-heavy versus peers, but LLY is more stretched: Merck (MRK) at 1.28 sits in the higher-leverage quartile and Eli Lilly (LLY) at 1.62 is above its industry benchmark range.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.62
- LLY
- 1.62
- Max
- 1.48
- Q3
- 0.64
- Median
- 0.14
- Q1
- 0.02
- Min
- 0.00
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.28
- Max
- 1.48
- MRK
- 1.28
- Q3
- 0.64
- Median
- 0.14
- Q1
- 0.02
- Min
- 0.00
Financial Strength Metrics
| Metric | LLY | MRK |
|---|---|---|
| Current Ratio (MRQ) | 1.36 | 1.32 |
| Debt / Equity (MRQ) | 1.62 | 1.28 |
| Net Debt / EBITDA | 1.10 | 1.62 |
Dividends
Dividend Yield (TTM)
Both Eli Lilly (LLY) at 0.54% and Merck (MRK) at 2.45% 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
0.54%
- LLY
- 0.54%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
2.45%
- MRK
- 2.45%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Merck (MRK) reports payout ratio above 100% at 268.80%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Eli Lilly (LLY) reports 21.69%, ranking against industry peers normally.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
21.69%
- LLY
- 21.69%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
268.80%
- MRK
- 268.80%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | LLY | MRK |
|---|---|---|
| Dividend Yield (TTM) | 0.54% | 2.45% |
| Dividend Payout Ratio (TTM) | 21.69% | 268.80% |
Valuation
P/E Ratio (TTM)
Eli Lilly (LLY) at 39.68 is near its industry’s usual P/E ratio, while Merck (MRK) at 108.67 sits above its peer range — an unusually expensive price for MRK’s trailing earnings.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
39.68
- Max
- 77.53
- Q3
- 41.75
- LLY
- 39.68
- Median
- 27.59
- Q1
- 15.21
- Min
- 0.13
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
108.67
- MRK
- 108.67
- Max
- 77.53
- Q3
- 41.75
- Median
- 27.59
- Q1
- 15.21
- Min
- 0.13
P/S Ratio (TTM)
On P/S ratio, both Eli Lilly (LLY) at 13.20 and Merck (MRK) at 5.03 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
13.20
- Max
- 73.14
- Q3
- 31.51
- LLY
- 13.20
- Median
- 7.39
- Q1
- 3.47
- Min
- 0.01
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
5.03
- Max
- 73.14
- Q3
- 31.51
- Median
- 7.39
- MRK
- 5.03
- Q1
- 3.47
- Min
- 0.01
P/B Ratio (MRQ)
Both look rich against book: Merck (MRK) at 8.00 sits in the upper P/B ratio quartile, and Eli Lilly (LLY) at 33.80 prices even higher, above its industry range.
LLY
Pharmaceuticals, Biotechnology & Life Sciences industry group
33.80
- LLY
- 33.80
- Max
- 15.18
- Q3
- 7.45
- Median
- 3.92
- Q1
- 1.79
- Min
- -5.47
MRK
Pharmaceuticals, Biotechnology & Life Sciences industry group
8.00
- Max
- 15.18
- MRK
- 8.00
- Q3
- 7.45
- Median
- 3.92
- Q1
- 1.79
- Min
- -5.47
Valuation Metrics
| Metric | LLY | MRK |
|---|---|---|
| P/E Ratio (TTM) | 39.68 | 108.67 |
| P/S Ratio (TTM) | 13.20 | 5.03 |
| P/B Ratio (MRQ) | 33.80 | 8.00 |
| Free Cash Flow Yield (TTM) | 1.05% | 4.53% |