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Publication date: July 28, 2025
Merck KGaA is a global leader in the chemical and pharmaceutical sectors, providing innovative solutions for healthcare, science and technology. The company has a strong position in the digital and biological health technology markets and is active in the development of breakthrough products and treatments. In this article, you can read all about Merck KGaA shares: share price, performance, business strategy and expectations for 2025. If you like to receive weekly updates on European stocks, subscribe to our newsletter here and stay informed.
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- Year founded: 1668
- Year added to the DAX 40: 2007
-Highest price ever: €231.50 December 2021
- Average trading volume: approximately 295,000 shares per day
- Share price performance over the past 12 months: -31,27%
Introduction about the company
Merck KGaA is a global science and technology company headquartered in Darmstadt, Germany. The company operates in three main segments: Healthcare, Life Science, and Electronics. Within these areas, Merck develops innovative medicines, advanced laboratory technology and high-performance materials for the semiconductor industry. The company supplies industries ranging from pharmaceutical companies to chip manufacturers and academic research. Merck KGaA is known for its technological depth and long-term vision and is represented worldwide with more than 60 locations.
Key figures & achievements
In 2024, Merck KGaA achieved sales of €21.15 billion, with a net profit of €3.53 billion, highlighting the company's strong position in various knowledge-intensive sectors. Worldwide, Merck employs more than 64,000 people. In June 2025, the company's market capitalization was €48.65 billion.
History & development
Merck was founded in 1668, making it the oldest chemical and pharmaceutical company in the world. What began as a small pharmacy in Darmstadt grew into a global player in science and technology. In 2007, Merck KGaA was included in the DAX index. The past decades mark a transformation from traditional pharma to a broadly diversified technology company. Important milestones include the acquisitions of Millipore (2010), Sigma-Aldrich (2015) and Versum Materials (2019), with which Merck strategically strengthened its presence in biotech, laboratory technology and chip materials, respectively.
In particular, the acquisition of Millipore and Sigma-Aldrich heralded Merck's advance within the global biotech sector. The company has developed into an essential partner of biotech and pharma companies, with products and solutions for cell therapy, gene therapy, protein production and biosynthesis, among others. Biotechnology is also playing an increasingly important role within its own Healthcare division, with clinical programs focused on immuno-oncology and neurological disorders. Merck thus combines deep scientific knowledge with industrial scalability, positioning itself as a driver of the next generation of biotech innovations.
Sector & competition
Merck KGaA operates in three innovative sectors: pharmaceuticals, semiconductor technology and life sciences. Within biotechnology and laboratory technology, the company competes with international players such as Thermo Fisher, Danaher and Sartorius. In the pharmaceutical division, particularly in specialty treatments and biologics, companies such as Roche, Amgen and Novartis are direct competitors.
What sets Merck apart is its combination of in-house biotech production, clinical drug development and the supply of advanced tools to external customers. In doing so, the company combines scientific depth with industrial scalability. This unique positioning at the intersection of science, technology and manufacturing provides both stable revenues and significant long-term growth opportunities.
Influence of Merck KGaA on the DAX 40
Merck KGaA has a weighting of approximately 0,87% in the DAX 40 (measured in June 2025). View the composition of the DAX 40 and the weighting of all companies in the DAX 40 here. As a leading company in both biotech and electronics, Merck influences various index sectors. The share price reacts strongly to developments in the pharmaceutical pipeline, scientific breakthroughs and global trends in semiconductor manufacturing. Investments by biotech startups and academic institutions - often customers of Merck - also contribute to market sentiment around the stock. Furthermore, the geopolitical environment, particularly with respect to China and the U.S., plays a role in the group's valuation.
Investment analysis & outlook
Merck experienced a difficult stock market year in 2024, with a share price decline of about 31%. This decline was mainly caused by weakening demand in the electronics division, combined with rising costs and pressure on margins within Life Science. The attached price chart clearly shows the peak in early 2022, when the stock benefited from strong growth in biotech products and laboratory technology, especially during and immediately after the corona pandemic.
From mid-2022, however, the stock began a downward trend, falling more than 40% from its peak. Macroeconomic uncertainties reinforced this trend, disappointing chip sales and falling margins. While the broader DAX 40 index has since recovered strongly, Merck clearly lags. The DAX has risen more than 79% since 2020, while Merck currently stands at around a 6% gain. Still, Merck's fundamental position remains solid. Its biotechnology division is a key driver of growth, and its pharmaceutical pipeline contains promising treatments for cancer and immune diseases, with several potential drugs in advanced clinical stages.
Looking ahead to 2025, analysts expect a recovery fueled by rising investments in biotech, an expected resurgence in the chip industry and a more predictable regulatory environment for pharmaceuticals. Merck is also focusing on AI-driven drug development, automation of laboratory processes and the pursuit of climate-neutral manufacturing, which are strategic choices that can strengthen its long-term competitive advantage.
News & updates
In May 2025, Merck announced a strategic collaboration with a French biotech startup to jointly develop RNA-based therapies. It was also announced that Merck is investing €3 billion to expand production facilities for both chip chemicals and biotech products in Germany and the US.
The proposed dividend for 2024 is €2.20 per share, underscoring Merck's long-term vision of shareholder value. At the same time, the company presented new ESG goals, including climate neutrality by 2040 and greater transparency in clinical data. Merck thus positions itself as a sustainable innovator at the intersection of science, technology and biotechnology.
Disclaimer: Investing involves risk. Our analysts are not financial advisors. Always consult an advisor when making financial decisions. The information and tips provided on this website are based on our analysts' own insights and experiences. They are therefore for educational purposes only.
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