Abbott Laboratories (ABT)vsMerck & Company Inc (MRK)
ABT
Abbott Laboratories
$104.83
+0.74%
HEALTHCARE · Cap: $180.82B
MRK
Merck & Company Inc
$119.37
+2.58%
HEALTHCARE · Cap: $287.71B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 47% more annual revenue ($65.01B vs $44.33B). MRK leads profitability with a 28.1% profit margin vs 14.7%. ABT appears more attractively valued with a PEG of 1.52. MRK earns a higher WallStSmart Score of 59/100 (C).
ABT
Buy51
out of 100
Grade: C-
MRK
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-315.5%
Fair Value
$25.23
Current Price
$104.83
$79.60 premium
Margin of Safety
-141.2%
Fair Value
$49.50
Current Price
$119.37
$69.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Strong operational efficiency at 21.6%
Generating 2.6B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Strong operational efficiency at 32.8%
Keeps 28 of every $100 in revenue as profit
Attractively priced relative to earnings
Generating 1.8B in free cash flow
Areas to Watch
Expensive relative to growth rate
Moderate valuation
4.4% revenue growth
Weak financial health signals
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : ABT
The strongest argument for ABT centers on Market Cap, Operating Margin, Free Cash Flow.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.1% and operating margin at 32.8%.
Bear Case : ABT
The primary concerns for ABT are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
ABT carries more volatility with a beta of 0.74 — expect wider price swings.
MRK is growing revenue faster at 5.0% — sustainability is the question.
ABT generates stronger free cash flow (2.6B), providing more financial flexibility.
Monitor MEDICAL DEVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MRK scores higher overall (59/100 vs 51/100), backed by strong 28.1% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Abbott Laboratories
HEALTHCARE · MEDICAL DEVICES · USA
Abbott Laboratories is an American multinational medical devices and health care company with headquarters in Abbott Park, Illinois, United States. The company was founded by Chicago physician Wallace Calvin Abbott in 1888 to formulate known drugs; today, it sells medical devices, diagnostics, branded generic medicines and nutritional products. It split off its research-based pharmaceuticals business into AbbVie in 2013.
Visit Website →Merck & Company Inc
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Merck & Co. is an American multinational pharmaceutical company headquartered in Kenilworth, New Jersey. It is named after the Merck family, which set up Merck Group in Germany in 1668.
Visit Website →Compare with Other MEDICAL DEVICES Stocks
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