The Coca-Cola Company (KO) vs Merck & Co., Inc. (MRK)
A side-by-side comparison of The Coca-Cola Company and Merck & Co., Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of September 13, 2026. Differences are shown without an overall score or investment verdict.
Different business models: KO is classified in Consumer Defensive; MRK is classified in Healthcare. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
KO
The Coca-Cola Company
$89.37Consumer DefensiveDelayed quote: Sep 14, 2026, 3:59 PM EDT
MRK
Merck & Co., Inc.
$144.84HealthcareDelayed quote: Sep 14, 2026, 3:59 PM EDT
Total return — KO vs MRK
growth of $100 · dividends reinvested · last 10yKO +176.5% (+10.7%/yr)MRK +226.9% (+12.6%/yr)MRK compounded faster over this window
KO MRK
KO vs MRK: by the numbers
- •KO is the larger company ($384.50B vs $357.73B market cap).
- •KO trades at the lower trailing earnings multiple (26.84 vs 115.87 P/E), one valuation lens rather than an overall verdict.
- •KO converts more revenue to profit (28.56% vs 4.78% net margin).
- •MRK grew revenue faster over the past five years (7.87% vs 6.60% CAGR).
- •KO pays the higher dividend yield (2.36% vs 2.33%).
Metrics side by side
Valuation
| Metric | KO | MRK |
|---|---|---|
| P/E ratio | 26.84 | 115.87 |
| Forward P/E | 27.04 | 52.74 |
| P/S ratio | 7.67 | 5.39 |
| P/B ratio | 10.64 | 8.53 |
| EV / EBITDA | 26.13 | 22.88 |
| FCF yield | 3.72% | 4.49% |
Profitability
| Metric | KO | MRK |
|---|---|---|
| Gross margin | 61.89% | 75.38% |
| Operating margin | 29.63% | 36.17% |
| Net margin | 28.56% | 4.78% |
| ROE | 39.60% | 7.57% |
| ROIC | 13.91% | 5.80% |
Dividends
| Metric | KO | MRK |
|---|---|---|
| Dividend yield | 2.36% | 2.33% |
| Payout ratio | 62.46% | 268.80% |
Growth (annualized)
| Metric | KO | MRK |
|---|---|---|
| Revenue CAGR (5Y) | 6.60% | 7.87% |
| EPS CAGR (5Y) | 11.12% | 21.21% |
| FCF CAGR (5Y) | -9.38% | 23.61% |
| Total return CAGR (5Y) | 12.98% | 18.01% |
Frequently asked
- Which has the lower trailing P/E, KO or MRK?
- KO has the lower trailing P/E: KO trades at 26.84 and MRK at 115.87. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, KO or MRK?
- Over the past five years, MRK grew revenue faster — KO at a 6.60% CAGR versus MRK at 7.87%.
- Does KO or MRK pay a bigger dividend?
- KO yields 2.36% and MRK yields 2.33% based on trailing dividends and the latest price.
- Is KO or MRK more profitable?
- KO runs the higher net margin — KO at 28.56% versus MRK at 4.78%.
- How have KO and MRK total returns compared?
- Over the past 10 years, KO delivered 11.05% and MRK delivered 12.62% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Coca-Cola P/E ratioMerck P/E ratioCoca-Cola dividend yieldMerck dividend yieldCoca-Cola ROEMerck ROECoca-Cola operating marginMerck operating marginCoca-Cola revenue growthMerck revenue growthCoca-Cola free cash flowMerck free cash flow
Coca-Cola & Merck appear in these rankings
Highest Dividend Yield Stocks25+ Year Dividend GrowersHighest ROE StocksHighest Operating Margin Stocks
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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 September 13, 2026.