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MRK
Merck & Co., Inc. · Healthcare
$127.77
-1.38% this month
VERSUS
⟷
COMPARE
ABBV
AbbVie Inc. · Healthcare
$245.10
-6.12% this month
Scoreboard verdict
Across AI score, momentum, valuation, upside, operating margin
MRK
2
ABBV
3
Comparison scoreboard
ABBV LEADS 3/5AI Score
MRK 49.9
ABBV ✓52.7
1Y Return
MRK ✓+61.14%
ABBV +25.55%
Fwd P/E
MRK ✓13.45
ABBV 15.45
Target Up.
MRK +3.83%
ABBV ✓+7.75%
Op. Margin
MRK 38.60%
ABBV ✓39.57%
Metrics last refreshed: 8/4/2026
Quick take
MRK vs ABBV Stock Comparison: AI Score, Valuation, Performance and Upside
Merck and AbbVie are both large-cap pharma income investments with major franchise drugs facing patent cliffs at different points in time. AbbVie is already in the middle of its Humira LOE — and navigating it successfully with Skyrizi and Rinvoq. Merck's Keytruda cliff is still years away, giving Merck stronger near-term earnings growth. Both pay dividends and invest in pipeline diversification.
MRK vs ABBV compares the forward-looking Keytruda cliff risk (Merck, 2028) against the already-in-progress and being-managed Humira cliff (AbbVie) — AbbVie has demonstrated successful LOE navigation, while Merck is earlier in its post-LOE planning phase with Winrevair and ADCs as mitigation vehicles.
Live analysis · updated 8/4/2026
ABBV holds the edge across 3 of 5 key metrics in this comparison. MRK leads on both 1-year return (+61.14%) and forward P/E quality (13.45x vs 15.45x for ABBV), a relatively favorable combination of momentum and valuation. ABBV leads on both revenue growth (10.20%) and operating margin (39.57%), suggesting a stronger fundamental setup on both dimensions. Analyst consensus implies meaningfully more upside for ABBV (+7.75%) than for MRK (+3.83%).
Normalized 1Y performance
MRK
ABBV
Recent returns
MRK
ABBV
Analyst price targets & sentiment
MRK · 24 analysts
STRONG BUYHOLDSTRONG SELL
Buy (2.0/5.0)
Price target range
analyst low$82.00
analyst high$138.00
analyst mean$135.19
current price$127.77
+3.8% upside to analyst mean
ABBV · 27 analysts
STRONG BUYHOLDSTRONG SELL
Buy (2.0/5.0)
Price target range
analyst low$170.00
analyst mean$270.39
current price$245.10
+7.8% upside to analyst mean
Who should consider this stock?
MRK may suit investors who:
- →prefer the Keytruda oncology franchise as the current global leader in cancer immunotherapy with peak revenue years ahead
- →value Winrevair's PAH market opportunity and ADC pipeline as Keytruda cliff mitigation beyond 2028
- →want dividend income from a pharma company with stronger near-term earnings growth than AbbVie while Keytruda peaks
- →are comfortable with Keytruda IRA pricing negotiation and the 2028 US patent cliff as medium-term risks
ABBV may suit investors who:
- →prefer AbbVie's demonstrated LOE management success — Skyrizi and Rinvoq are already replacing Humira revenue at high growth rates
- →value the 3%+ dividend yield as among the highest sustainable yields in quality large-cap biopharma
- →want exposure to immunology platform leadership with Botox aesthetics as consumer healthcare diversification
- →are comfortable with Humira net revenue drag continuing near-term before Skyrizi/Rinvoq fully offset the erosion
Performance & AI score
| Metric | MRK | ABBV |
|---|---|---|
| AI score | 49.9 | 52.7 |
| AI rank | #483 | #328 |
| Latest close | $127.77 | $245.10 |
| 1M return | -1.38% | -6.12% |
| 6M return | +12.70% | +8.62% |
| 1Y return | +61.14% | +25.55% |
$10,000 invested — hypothetical growth (dividends reinvested)
How much would $10,000 be worth today if invested at the start of each period, with all dividends reinvested?
| Period | MRK | ABBV |
|---|---|---|
| 1Y ago | $16K (+60.0%) started 2025-08-04 | $12.43K (+24.3%) started 2025-08-04 |
| 5Y ago | $21.31K (+113.1%) started 2021-08-05 | $28.73K (+187.3%) started 2021-08-05 |
| 10Y ago | $36.87K (+268.7%) started 2016-08-05 | $83.48K (+734.8%) started 2016-08-05 |
Hypothetical — past performance does not guarantee future results.
Valuation & upside potential
| Metric | MRK | ABBV |
|---|---|---|
| Market cap | $314.9B | $443.36B |
| Trailing P/E | 36.68 | 70.89 |
| Forward P/E | 13.45 | 15.45 |
| Price/Sales | 3.10 | 5.85 |
| EV/Revenue | 5.55 | 7.87 |
| Analyst target | $135.19 | $270.39 |
| Target upside | +3.83% | +7.75% |
Growth, profitability & risk
| Metric | MRK | ABBV |
|---|---|---|
| Revenue growth | 4.90% | 10.20% |
| Earnings growth | -19.30% | 290.40% |
| EPS growth | -19.30% | +290.40% |
| FCF margin | +21.36% | +32.32% |
| Operating margin | 38.60% | 39.57% |
| Profit margin | 13.59% | 9.80% |
| ROIC proxy | 18.94% | 6225.00% |
| Return on equity | 18.94% | 6225.00% |
| Dividend yield | 2.61% | 2.76% |
| Beta | 0.20 | 0.28 |
| Debt/equity | 106.94 | 4789.60 |
| Current ratio | 1.30 | 0.80 |
| Quick ratio | 0.70 | 0.52 |
Drawdown & downside risk
Lower drawdown and smaller single-period drops generally indicate a smoother ride, though they do not guarantee lower future risk.
1Y risk snapshot
MRK max drawdown11.90%
ABBV max drawdown19.23%
MRK max wkly drop6.49%
ABBV max wkly drop8.49%
5Y risk snapshot
MRK max drawdown43.44%
ABBV max drawdown21.92%
MRK max wkly drop13.42%
ABBV max wkly drop17.30%
10Y risk snapshot
MRK max drawdown43.44%
ABBV max drawdown45.09%
MRK max wkly drop13.71%
ABBV max wkly drop19.39%
Performance metrics by period
| Period | Metric | MRK | ABBV |
|---|---|---|---|
| 1Y | Growth | +59.99% | +24.30% |
| CAGR | +60.17% | +24.36% | |
| Sharpe ratio | 1.68 | 0.79 | |
| Max drawdown | 11.90% | 19.23% | |
| Max daily drop | 4.06% | 5.20% | |
| Max wkly drop | 6.49% | 8.49% | |
| 5Y | Growth | +89.28% | +145.97% |
| CAGR | +13.62% | +19.74% | |
| Sharpe ratio | 0.47 | 0.70 | |
| Max drawdown | 43.44% | 21.92% | |
| Max daily drop | 9.86% | 12.57% | |
| Max wkly drop | 13.42% | 17.30% | |
| 10Y | Growth | +173.01% | +433.96% |
| CAGR | +10.57% | +18.24% | |
| Sharpe ratio | 0.36 | 0.61 | |
| Max drawdown | 43.44% | 45.09% | |
| Max daily drop | 9.86% | 16.25% | |
| Max wkly drop | 13.71% | 19.39% |
Business comparison
| Category | MRK | ABBV |
|---|---|---|
| Company | Merck & Co., Inc. | AbbVie Inc. |
| Sector | Healthcare | Healthcare |
| Industry | Drug Manufacturers - General | Drug Manufacturers - General |
| Core business | Merck's Keytruda is the world's most prescribed cancer immunotherapy, approved in 30+ cancer types and generating $25B+ annually. Gardasil HPV vaccine and Winrevair (PAH) supplement the oncology franchise. Keytruda loses US patent protection beginning around 2028, representing the primary medium-term challenge for Merck's earnings. The ADC pipeline (MK-2870) and Winrevair are key diversification vehicles. | AbbVie's Skyrizi (IL-23 inhibitor) and Rinvoq (JAK1 inhibitor) are collectively generating $15B+ and growing rapidly as they offset Humira biosimilar erosion. Botox (aesthetic and therapeutic) from the Allergan acquisition provides consumer healthcare diversification. AbbVie's 3%+ dividend yield is among the highest in large-cap biopharma. The Humira LOE is already well underway, and AbbVie has successfully navigated it — unlike Merck's forward-looking Keytruda cliff. |
| Investor focus | Investors track Keytruda global expansion, Gardasil China recovery, Winrevair launch, and the strategic path to filling the Keytruda 2028 revenue gap with new products or M&A. | Investors track Skyrizi and Rinvoq combined revenue growth, Humira net erosion pace, Botox aesthetic revenue, and total revenue stabilization as Humira erosion is offset by immunology growth. |
MRK strengths
- →Keytruda first-line approvals in NSCLC, melanoma, and bladder cancer make it the standard of care in the most common cancer types globally
- →Winrevair's differentiated PAH mechanism provides a large new cardiovascular drug category independent of oncology
- →Strong balance sheet and cash flow support both R&D investment and M&A to address the Keytruda cliff
ABBV strengths
- →Skyrizi and Rinvoq immunology duo is growing at 50%+ annually from an already large base, successfully replacing Humira
- →Allergan aesthetics business (Botox cosmetic) is recession-resilient and consumer-brand-driven, uncorrelated with typical pharma patent cliffs
- →Dividend yield (3%+) is among the highest in quality large-cap biopharma, supported by immunology franchise cash flows
Risks to watch — MRK
- →Keytruda IRA drug price negotiation for US Medicare Part D reduces US pricing power from 2028 onward
- →Gardasil China demand has been weak due to regulatory and reimbursement uncertainty
- →Pipeline needs significant clinical successes before 2028 to sustainably bridge the Keytruda LOE impact
Risks to watch — ABBV
- →Net revenue impact from Humira erosion is still being absorbed — total AbbVie revenue is growing but the Humira drag is significant
- →Skyrizi and Rinvoq face long-term JAK and IL-23 biosimilar and next-generation competitor pressure after their own eventual LOEs
- →Allergan aesthetics sensitivity to consumer discretionary spending cycles can create short-term revenue volatility
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