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Merck & Co., Inc. Dividends Banner

Merck & Co., Inc. Dividends

MRK Stock Analysis

Page title

Section title

Dividend Yield
2.66%
Payout Ratio
54.55%
Dividend Amount Per Share
$3
Last Ex-Dividend Date
Sep 16, 2024

MRK Dividend Safety

MRK paid out 54.55% of its $365M earnings as dividends over the last 12 months.

Very Safe

  1. Very Unsafe

  2. Unsafe

  3. Somewhat Safe

  4. Safe

  5. Very Safe

Dividend Payout Ratio

MRK's Dividend Payout Ratio of 54.545% is considered safe for the Healthcare sector, indicating that the company retains enough earnings to support business growth.

Interest Rate Coverage

MRK's Interest Coverage Ratio of 13.764 indicates strong financial health with easy coverage of interest expenses.

Income Quality

MRK shows excellent income quality with a ratio of 35.633. This indicates high-quality earnings and low risk of dividend cuts.

MRK Dividend Growth

Merck & Co., Inc.(MRK) offers a dividend yield of 2.66% and pays $3 in dividends per share. Explore the historical dividend growth of MRK.

Dividend Stability

MRK has maintained stable dividend payments over the past 10 years with no cuts over 5%.

Dividend Growth

MRK's dividend payments have shown moderate growth, growing by 5.769% annually over the last 5 years.

Earnings Growth

MRK's earnings have shown very poor growth, shrinking by -48.259% over the last 5 years. Poor earnings growth or decline indicates potential struggles to maintain dividend levels, which may lead to cuts and affect overall returns.

MRK Dividend Yield Attractiveness

Merck & Co., Inc.(MRK) provides a dividend yield of 2.66%. Compare this with the averages of its peers, industry, and sector to see how it stacks up.

Yield %

MRK

Peers

Industry

Sector

2.66%

3.40%

3.61%

4.07%

Dividend Yield

MRK's dividend yield of 2.66% is considered good compared to the sector average of 4.065%, providing a strong safety margin for investors.

MRK Cash Flow

Over the past 12 months, MRK generated $62B in revenue, produced $13B in free cash flow, and distributed $8B in dividends.

100%75%50%25%0%

Free Cash Flow Growth

MRK's free cash flow has decreased by -1.711% annually over the last 5 years, indicating a weak ability to generate cash and support dividend payments.

MRK Free Cash Flow and Dividends Paid

This chart shows the Free Cash Flow (FCF) and the portion of FCF used to pay dividends each year by Merck & Co., Inc.. The filled portion of the bar represents the dividends paid, while the remaining portion represents the remaining FCF.