WallStSmart

Bristol-Myers Squibb Company (BMY)vsMerck & Company Inc (MRK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 35% more annual revenue ($65.01B vs $48.19B). MRK leads profitability with a 28.1% profit margin vs 14.6%. BMY appears more attractively valued with a PEG of 2.26. BMY earns a higher WallStSmart Score of 64/100 (C+).

BMY

Buy

64

out of 100

Grade: C+

Growth: 10.0Profit: 8.5Value: 10.0Quality: 4.5
Piotroski: 6/9Altman Z: 1.42

MRK

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 9.5Value: 4.7Quality: 4.8
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BMYUndervalued (+63.0%)

Margin of Safety

+63.0%

Fair Value

$161.93

Current Price

$57.48

$104.45 discount

UndervaluedFair: $161.93Overvalued
MRKSignificantly Overvalued (-130.9%)

Margin of Safety

-130.9%

Fair Value

$49.44

Current Price

$114.18

$64.74 premium

UndervaluedFair: $49.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BMY6 strengths · Avg: 9.2/10
Return on EquityProfitability
40.4%10/10

Every $100 of equity generates 40 in profit

Revenue GrowthGrowth
130.0%10/10

Revenue surging 130.0% year-over-year

EPS GrowthGrowth
1392.0%10/10

Earnings expanding 1392.0% YoY

Market CapQuality
$117.06B9/10

Large-cap with strong market position

P/E RatioValuation
16.6x8/10

Attractively priced relative to earnings

Operating MarginProfitability
28.2%8/10

Strong operational efficiency at 28.2%

MRK6 strengths · Avg: 9.2/10
Market CapQuality
$282.30B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
36.9%10/10

Every $100 of equity generates 37 in profit

Operating MarginProfitability
32.8%10/10

Strong operational efficiency at 32.8%

Profit MarginProfitability
28.1%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
15.7x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.82B8/10

Generating 1.8B in free cash flow

Areas to Watch

BMY3 concerns · Avg: 2.3/10
PEG RatioValuation
2.264/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.422/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

MRK3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.492/10

Expensive relative to growth rate

EPS GrowthGrowth
-19.3%2/10

Earnings declined 19.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : BMY

The strongest argument for BMY centers on Return on Equity, Revenue Growth, EPS Growth. Revenue growth of 130.0% demonstrates continued momentum.

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 : BMY

The primary concerns for BMY are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Bear Case : MRK

The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

BMY profiles as a growth stock while MRK is a value play — different risk/reward profiles.

BMY carries more volatility with a beta of 0.27 — expect wider price swings.

BMY is growing revenue faster at 130.0% — sustainability is the question.

MRK generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

BMY scores higher overall (64/100 vs 59/100) and 130.0% revenue growth. 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.

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.

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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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