Merck & Co., Inc.Opportunity Rank #97(MRK) Intrinsic Value & DCF Analysis (2026)
Current Price
$115.67
Last updated: Mar 24, 2026
Price vs Intrinsic Value
Fundamental Score
Weighted across 6 signals
Narrative Score
No change vs previous
The intrinsic value of Merck & Co., Inc. (MRK) is estimated at $147.54 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $115.67, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 3.83% long-term growth rate and an 8.00% discount rate (calculated: 6.87%), reflecting expected future free cash flow and cost of capital.
The intrinsic value of Merck & Co., Inc. (MRK) is estimated at $147.54 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $115.67, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 3.83% long-term growth rate and an 8.00% discount rate (calculated: 6.87%), reflecting expected future free cash flow and cost of capital.Valuation Details
Capital Efficiency
The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.
Fundamental Details
Narrative Details
Investment Coach
- Monitor whether valuation discount remains above 10%.
- Track ROIC vs WACC spread for sustained improvement.
- Follow narrative trend for meaningful shifts in the score direction.
Free Cash Flow (in millions)
How Intrinziq Estimates Fair Value
Intrinziq estimates Merck & Co., Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.
Merck & Co., Inc.Healthcare
Merck & Co., Inc. operates as a healthcare company worldwide. It operates through two segments, Pharmaceutical and Animal Health. The Pharmaceutical segment offers human health pharmaceutical products in the areas of oncology, hospital acute care, immunology, neuroscience, virology, cardiovascular, and diabetes, as well as vaccine products, such as preventive pediatric, adolescent, and adult vaccines. The Animal Health segment discovers, develops, manufactures, and markets veterinary pharmaceuticals, vaccines, and health management solutions and services, as well as digitally connected identification, traceability, and monitoring products. It serves drug wholesalers and retailers, hospitals, and government agencies; managed health care providers, such as health maintenance organizations, pharmacy benefit managers, and other institutions; and physicians and physician distributors, veterinarians, and animal producers. The company has collaborations with AstraZeneca PLC; Bayer AG; Eisai Co., Ltd.; Ridgeback Biotherapeutics; and Gilead Sciences, Inc. to jointly develop and commercialize long-acting treatments in HIV. Merck & Co., Inc. was founded in 1891 and is headquartered in Kenilworth, New Jersey.