MRK vs. UNH: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at MRK and UNH, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | MRK | UNH |
|---|---|---|
| Company Name | Merck & Co., Inc. | UnitedHealth Group Incorporated |
| Country | United States | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry | Pharmaceuticals | Health Care Providers & Services |
| Market Capitalization | 215.32 billion USD | 291.30 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | October 17, 1984 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of MRK and UNH by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | MRK | UNH |
|---|---|---|
| 5-Day Price Return | 3.45% | -2.80% |
| 13-Week Price Return | 8.40% | 27.42% |
| 26-Week Price Return | 9.64% | -17.77% |
| 52-Week Price Return | -14.25% | -46.89% |
| Month-to-Date Return | 0.90% | -5.85% |
| Year-to-Date Return | -12.80% | -36.43% |
| 10-Day Avg. Volume | 11.26M | 10.77M |
| 3-Month Avg. Volume | 12.01M | 13.94M |
| 3-Month Volatility | 28.25% | 37.48% |
| Beta | 0.32 | 0.43 |
Profitability
Return on Equity (TTM)
MRK
38.95%
Pharmaceuticals Industry
- Max
- 38.59%
- Q3
- 19.84%
- Median
- 11.85%
- Q1
- 5.40%
- Min
- -10.91%
MRK’s Return on Equity of 38.95% is exceptionally high, placing it well beyond the typical range for the Pharmaceuticals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
UNH
18.60%
Health Care Providers & Services Industry
- Max
- 24.86%
- Q3
- 15.79%
- Median
- 8.56%
- Q1
- 5.75%
- Min
- -1.64%
In the upper quartile for the Health Care Providers & Services industry, UNH’s Return on Equity of 18.60% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
MRK
29.63%
Pharmaceuticals Industry
- Max
- 40.67%
- Q3
- 19.07%
- Median
- 12.31%
- Q1
- 4.50%
- Min
- -9.91%
A Net Profit Margin of 29.63% places MRK in the upper quartile for the Pharmaceuticals industry, signifying strong profitability and more effective cost management than most of its peers.
UNH
4.04%
Health Care Providers & Services Industry
- Max
- 11.56%
- Q3
- 5.45%
- Median
- 2.83%
- Q1
- 1.13%
- Min
- -1.71%
UNH’s Net Profit Margin of 4.04% is aligned with the median group of its peers in the Health Care Providers & Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
MRK
33.73%
Pharmaceuticals Industry
- Max
- 45.78%
- Q3
- 23.14%
- Median
- 16.68%
- Q1
- 7.98%
- Min
- -7.13%
An Operating Profit Margin of 33.73% places MRK in the upper quartile for the Pharmaceuticals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
UNH
6.03%
Health Care Providers & Services Industry
- Max
- 19.08%
- Q3
- 9.66%
- Median
- 4.77%
- Q1
- 2.46%
- Min
- -0.83%
UNH’s Operating Profit Margin of 6.03% is around the midpoint for the Health Care Providers & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | MRK | UNH |
|---|---|---|
| Return on Equity (TTM) | 38.95% | 18.60% |
| Return on Assets (TTM) | 15.88% | 5.71% |
| Net Profit Margin (TTM) | 29.63% | 4.04% |
| Operating Profit Margin (TTM) | 33.73% | 6.03% |
| Gross Profit Margin (TTM) | 78.72% | -- |
Financial Strength
Current Ratio (MRQ)
MRK
1.66
Pharmaceuticals Industry
- Max
- 4.65
- Q3
- 2.64
- Median
- 1.85
- Q1
- 1.26
- Min
- 0.78
MRK’s Current Ratio of 1.66 aligns with the median group of the Pharmaceuticals industry, indicating that its short-term liquidity is in line with its sector peers.
UNH
0.95
Health Care Providers & Services Industry
- Max
- 2.00
- Q3
- 1.51
- Median
- 1.29
- Q1
- 0.92
- Min
- 0.14
UNH’s Current Ratio of 0.95 aligns with the median group of the Health Care Providers & Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
MRK
0.80
Pharmaceuticals Industry
- Max
- 1.75
- Q3
- 0.82
- Median
- 0.35
- Q1
- 0.13
- Min
- 0.00
MRK’s Debt-to-Equity Ratio of 0.80 is typical for the Pharmaceuticals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
UNH
0.84
Health Care Providers & Services Industry
- Max
- 2.29
- Q3
- 1.24
- Median
- 0.74
- Q1
- 0.50
- Min
- 0.00
UNH’s Debt-to-Equity Ratio of 0.84 is typical for the Health Care Providers & Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
MRK
19.65
Pharmaceuticals Industry
- Max
- 103.95
- Q3
- 43.60
- Median
- 9.83
- Q1
- 2.37
- Min
- -42.71
MRK’s Interest Coverage Ratio of 19.65 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.
UNH
6.14
Health Care Providers & Services Industry
- Max
- 14.47
- Q3
- 7.50
- Median
- 4.52
- Q1
- 2.12
- Min
- -4.44
UNH’s Interest Coverage Ratio of 6.14 is positioned comfortably within the norm for the Health Care Providers & Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | MRK | UNH |
|---|---|---|
| Current Ratio (MRQ) | 1.66 | 0.95 |
| Quick Ratio (MRQ) | 1.44 | 0.75 |
| Debt-to-Equity Ratio (MRQ) | 0.80 | 0.84 |
| Interest Coverage Ratio (TTM) | 19.65 | 6.14 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
MRK
3.79%
Pharmaceuticals Industry
- Max
- 7.14%
- Q3
- 3.45%
- Median
- 2.17%
- Q1
- 0.33%
- Min
- 0.00%
With a Dividend Yield of 3.79%, MRK offers a more attractive income stream than most of its peers in the Pharmaceuticals industry, signaling a strong commitment to shareholder returns.
UNH
2.68%
Health Care Providers & Services Industry
- Max
- 5.93%
- Q3
- 2.59%
- Median
- 1.35%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.68%, UNH offers a more attractive income stream than most of its peers in the Health Care Providers & Services industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
MRK
42.60%
Pharmaceuticals Industry
- Max
- 199.58%
- Q3
- 97.17%
- Median
- 53.47%
- Q1
- 22.97%
- Min
- 0.00%
MRK’s Dividend Payout Ratio of 42.60% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
UNH
44.61%
Health Care Providers & Services Industry
- Max
- 185.33%
- Q3
- 74.82%
- Median
- 36.00%
- Q1
- 0.00%
- Min
- 0.00%
UNH’s Dividend Payout Ratio of 44.61% is within the typical range for the Health Care Providers & Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | MRK | UNH |
|---|---|---|
| Dividend Yield (TTM) | 3.79% | 2.68% |
| Dividend Payout Ratio (TTM) | 42.60% | 44.61% |
Valuation
Price-to-Earnings Ratio (TTM)
MRK
11.25
Pharmaceuticals Industry
- Max
- 45.19
- Q3
- 27.91
- Median
- 20.59
- Q1
- 15.08
- Min
- 3.79
In the lower quartile for the Pharmaceuticals industry, MRK’s P/E Ratio of 11.25 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
UNH
16.63
Health Care Providers & Services Industry
- Max
- 40.02
- Q3
- 29.75
- Median
- 21.09
- Q1
- 14.18
- Min
- 7.05
UNH’s P/E Ratio of 16.63 is within the middle range for the Health Care Providers & Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
MRK
3.33
Pharmaceuticals Industry
- Max
- 8.87
- Q3
- 4.56
- Median
- 2.14
- Q1
- 1.58
- Min
- 0.11
MRK’s P/S Ratio of 3.33 aligns with the market consensus for the Pharmaceuticals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
UNH
0.67
Health Care Providers & Services Industry
- Max
- 3.15
- Q3
- 1.87
- Median
- 0.74
- Q1
- 0.27
- Min
- 0.09
UNH’s P/S Ratio of 0.67 aligns with the market consensus for the Health Care Providers & Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
MRK
4.04
Pharmaceuticals Industry
- Max
- 9.78
- Q3
- 4.99
- Median
- 2.48
- Q1
- 1.53
- Min
- 0.59
MRK’s P/B Ratio of 4.04 is within the conventional range for the Pharmaceuticals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
UNH
3.26
Health Care Providers & Services Industry
- Max
- 7.33
- Q3
- 4.45
- Median
- 2.52
- Q1
- 1.15
- Min
- 0.66
UNH’s P/B Ratio of 3.26 is within the conventional range for the Health Care Providers & Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | MRK | UNH |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 11.25 | 16.63 |
| Price-to-Sales Ratio (TTM) | 3.33 | 0.67 |
| Price-to-Book Ratio (MRQ) | 4.04 | 3.26 |
| Price-to-Free Cash Flow Ratio (TTM) | 16.41 | 16.83 |