Bristol-Myers Squibb Company (BMY)vsMerck & Company Inc (MRK)
BMY
Bristol-Myers Squibb Company
$63.64
-0.17%
HEALTHCARE · Cap: $130.00B
MRK
Merck & Company Inc
$143.93
-0.54%
HEALTHCARE · Cap: $355.10B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 35% more annual revenue ($66.57B vs $49.19B). BMY leads profitability with a 18.9% profit margin vs 4.8%. BMY appears more attractively valued with a PEG of 2.41. BMY earns a higher WallStSmart Score of 70/100 (B).
BMY
Strong Buy70
out of 100
Grade: B
MRK
Hold36
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.5%
Fair Value
$72.68
Current Price
$63.64
$9.04 discount
Margin of Safety
-73.7%
Fair Value
$82.84
Current Price
$143.93
$61.09 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 42 in profit
Strong operational efficiency at 34.4%
Earnings expanding 153.1% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Generating 3.1B in free cash flow
Mega-cap, among the largest globally
Generating 4.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Distress zone — elevated risk
Trading at 8.5x book value
ROE of 7.6% — below average capital efficiency
4.8% margin — thin
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BMY
The strongest argument for BMY centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 18.9% and operating margin at 34.4%.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Free Cash Flow.
Bear Case : BMY
The primary concerns for BMY are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.93 is elevated, increasing financial risk.
Bear Case : MRK
The primary concerns for MRK are Price/Book, Return on Equity, Profit Margin. A P/E of 116.1x leaves little room for execution misses. Thin 4.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
BMY profiles as a mature stock while MRK is a value play — different risk/reward profiles.
BMY carries more volatility with a beta of 0.23 — expect wider price swings.
BMY is growing revenue faster at 5.7% — sustainability is the question.
MRK generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
BMY scores higher overall (70/100 vs 36/100), backed by strong 18.9% margins. Both earn "Strong Buy" 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.
Bristol-Myers Squibb Company
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Bristol Myers Squibb (BMS) is an American multinational pharmaceutical company, headquartered in New York City. Bristol Myers Squibb manufactures prescription pharmaceuticals and biologics in several therapeutic areas, including cancer, AIDS, cardiovascular disease, diabetes, hepatitis, rheumatoid arthritis and psychiatric disorders.
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 DRUG MANUFACTURERS - GENERAL Stocks
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