AbbVie Inc. (ABBV) vs Merck & Co., Inc. (MRK)
A side-by-side comparison of AbbVie Inc. and Merck & Co., Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 28, 2026. Differences are shown without an overall score or investment verdict.
ABBV
AbbVie Inc.
$263.48HealthcareDelayed quote: Jul 28, 2026, 4:00 PM EDT
MRK
Merck & Co., Inc.
$131.84HealthcareDelayed quote: Jul 28, 2026, 3:59 PM EDT
Total return — ABBV vs MRK
growth of $100 · dividends reinvested · last 14yABBV +1164.7%MRK +375.8%ABBV compounded faster
ABBV MRK
ABBV vs MRK: by the numbers
- •ABBV is the larger company ($465.51B vs $325.61B market cap).
- •MRK trades at the lower trailing earnings multiple (36.83 vs 125.98 P/E), one valuation lens rather than an overall verdict.
- •MRK converts more revenue to profit (13.62% vs 5.79% net margin).
- •MRK grew revenue faster over the past five years (8.60% vs 4.59% CAGR).
- •ABBV pays the higher dividend yield (2.62% vs 2.57%).
Metrics side by side
Valuation
| Metric | ABBV | MRK |
|---|---|---|
| P/E ratio | 125.98 | 36.83 |
| Forward P/E | N/A | 47.09 |
| P/S ratio | 7.26 | 4.93 |
| P/B ratio | 16.57 | 7.05 |
| PEG ratio | N/A | 1.81 |
| EV / EBITDA | 20.46 | 15.16 |
| FCF yield | 4.58% | 4.37% |
Profitability
| Metric | ABBV | MRK |
|---|---|---|
| Gross margin | 70.68% | 75.91% |
| Operating margin | 27.60% | 36.17% |
| Net margin | 5.79% | 13.62% |
| ROE | 13.23% | 19.48% |
| ROIC | 12.97% | 18.27% |
Dividends
| Metric | ABBV | MRK |
|---|---|---|
| Dividend yield | 2.62% | 2.57% |
| Payout ratio | 284.39% | 46.03% |
Growth (annualized)
| Metric | ABBV | MRK |
|---|---|---|
| Revenue CAGR (5Y) | 4.59% | 8.60% |
| EPS CAGR (5Y) | -2.79% | 21.21% |
| FCF CAGR (5Y) | 3.24% | 15.69% |
| Total return CAGR (5Y) | 21.24% | 14.44% |
Frequently asked
- Which has the lower trailing P/E, ABBV or MRK?
- MRK has the lower trailing P/E: ABBV trades at 125.98 and MRK at 36.83. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, ABBV or MRK?
- Over the past five years, MRK grew revenue faster — ABBV at a 4.59% CAGR versus MRK at 8.60%.
- Does ABBV or MRK pay a bigger dividend?
- ABBV yields 2.62% and MRK yields 2.57% based on trailing dividends and the latest price.
- Is ABBV or MRK more profitable?
- MRK runs the higher net margin — ABBV at 5.79% versus MRK at 13.62%.
- How have ABBV and MRK total returns compared?
- Over the past 10 years, ABBV delivered 19.57% and MRK delivered 12.27% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
AbbVie P/E ratioMerck & P/E ratioAbbVie dividend yieldMerck & dividend yieldAbbVie ROEMerck & ROEAbbVie operating marginMerck & operating marginAbbVie revenue growthMerck & revenue growthAbbVie free cash flowMerck & free cash flow
AbbVie & Merck & appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified July 28, 2026.