WallStSmart

Bausch + Lomb Corp (BLCO)vsMerck & Company Inc (MRK)

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Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 1189% more annual revenue ($65.77B vs $5.10B). MRK leads profitability with a 13.6% profit margin vs -7.1%. BLCO appears more attractively valued with a PEG of 0.89. MRK earns a higher WallStSmart Score of 50/100 (D+).

BLCO

Hold

47

out of 100

Grade: D+

Growth: 5.3Profit: 3.5Value: 7.7Quality: 4.5
Piotroski: 2/9Altman Z: 0.93

MRK

Hold

50

out of 100

Grade: D+

Growth: 3.3Profit: 8.0Value: 3.3Quality: 4.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BLCOUndervalued (+57.6%)

Margin of Safety

+57.6%

Fair Value

$40.13

Current Price

$16.18

$23.95 discount

UndervaluedFair: $40.13Overvalued
MRKOvervalued (-14.9%)

Margin of Safety

-14.9%

Fair Value

$97.76

Current Price

$111.38

$13.62 premium

UndervaluedFair: $97.76Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BLCO2 strengths · Avg: 9.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

PEG RatioValuation
0.898/10

Growing faster than its price suggests

MRK3 strengths · Avg: 9.3/10
Market CapQuality
$277.36B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
38.6%10/10

Strong operational efficiency at 38.6%

Free Cash FlowQuality
$2.93B8/10

Generating 2.9B in free cash flow

Areas to Watch

BLCO4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-5.4%2/10

ROE of -5.4% — below average capital efficiency

EPS GrowthGrowth
-88.6%2/10

Earnings declined 88.6%

Free Cash FlowQuality
$-68.00M2/10

Negative free cash flow — burning cash

MRK4 concerns · Avg: 3.3/10
P/E RatioValuation
31.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
5.282/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : BLCO

The strongest argument for BLCO centers on Price/Book, PEG Ratio. PEG of 0.89 suggests the stock is reasonably priced for its growth.

Bull Case : MRK

The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.

Bear Case : BLCO

The primary concerns for BLCO are Piotroski F-Score, Return on Equity, EPS Growth.

Bear Case : MRK

The primary concerns for MRK are P/E Ratio, Revenue Growth, Piotroski F-Score.

Key Dynamics to Monitor

BLCO profiles as a turnaround stock while MRK is a value play — different risk/reward profiles.

BLCO carries more volatility with a beta of 0.59 — expect wider price swings.

BLCO is growing revenue faster at 9.8% — sustainability is the question.

MRK generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

MRK scores higher overall (50/100 vs 47/100). BLCO offers better value entry with a 57.6% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Bausch + Lomb Corp

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

Bausch Lomb Corporation is an eye health company in Canada and internationally. The company is headquartered in Vaughan, Canada.

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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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