AstraZeneca PLC (AZN)vsMerck & Company Inc (MRK)
AZN
AstraZeneca PLC
$188.93
+0.27%
HEALTHCARE · Cap: $296.55B
MRK
Merck & Company Inc
$114.50
-0.26%
HEALTHCARE · Cap: $285.39B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 11% more annual revenue ($65.01B vs $58.74B). MRK leads profitability with a 28.1% profit margin vs 17.4%. AZN appears more attractively valued with a PEG of 1.56. AZN earns a higher WallStSmart Score of 64/100 (C+).
AZN
Buy64
out of 100
Grade: C+
MRK
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+32.8%
Fair Value
$306.07
Current Price
$188.93
$117.14 discount
Margin of Safety
-130.7%
Fair Value
$49.50
Current Price
$114.50
$65.00 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Earnings expanding 53.9% YoY
Every $100 of equity generates 23 in profit
Strong operational efficiency at 21.6%
Generating 1.4B 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
4.1% revenue growth
Distress zone — elevated risk
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : AZN
The strongest argument for AZN centers on Market Cap, EPS Growth, Return on Equity. Profitability is solid with margins at 17.4% and operating margin at 21.6%.
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 : AZN
The primary concerns for AZN 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
MRK carries more volatility with a beta of 0.26 — expect wider price swings.
MRK is growing revenue faster at 5.0% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AZN scores higher overall (64/100 vs 59/100), backed by strong 17.4% 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.
AstraZeneca PLC
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
AstraZeneca PLC discovers, develops, manufactures and markets prescription drugs in the areas of oncology, cardiovascular, renal and metabolism, respiratory, infections, neuroscience and gastroenterology worldwide. The company is headquartered in Cambridge, the United Kingdom.
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.
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