MRK dividend yield: 3.25%. PM dividend yield: 4.27%. Merck is a Dividend Aristocrat with 14+ consecutive years of increases. Keytruda (pembrolizumab) is the world's best-selling cancer drug and drives exceptional cash generation. The company's oncology and vaccines pipeline provides long-term growth visibility beyond the Keytruda patent cliff in the 2030s. Philip Morris International operates outside the US with an accelerating shift to smoke-free products. IQOS heated tobacco and ZYN nicotine pouches now represent 40%+ of revenue. PM has raised its dividend 16+ consecutive years since spinning off from Altria in 2008. The company targets $15B+ in smoke-free revenues by 2030.
Merck is a Dividend Aristocrat with 14+ consecutive years of increases. Keytruda (pembrolizumab) is the world's best-selling cancer drug and drives exceptional cash generation. The company's oncology and vaccines pipeline provides long-term growth visibility beyond the Keytruda patent cliff in the 2030s.
Philip Morris International operates outside the US with an accelerating shift to smoke-free products. IQOS heated tobacco and ZYN nicotine pouches now represent 40%+ of revenue. PM has raised its dividend 16+ consecutive years since spinning off from Altria in 2008. The company targets $15B+ in smoke-free revenues by 2030.
MRK currently offers a 3.25% yield (3.08/share/year) while PM offers 4.27% (5.40/share/year). PM provides higher current income. However, MRK has grown its dividend faster (8.2% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in MRK vs PM earn per year?
With $10,000 invested today: MRK pays approximately $325/year. PM pays approximately $427/year. With DRIP reinvestment over 10 years, these grow to $950/year (MRK) and $722/year (PM).
Does MRK or PM pay monthly dividends?
MRK pays quarterly dividends. PM pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
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