EDAP TMS SA (EDAP)vsMerck & Company Inc (MRK)
EDAP
EDAP TMS SA
$4.31
+0.23%
HEALTHCARE · Cap: $156.30M
MRK
Merck & Company Inc
$144.85
+0.64%
HEALTHCARE · Cap: $355.10B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 89771% more annual revenue ($66.57B vs $74.07M). MRK leads profitability with a 4.8% profit margin vs -41.7%. MRK appears more attractively valued with a PEG of 2.64. MRK earns a higher WallStSmart Score of 36/100 (F).
EDAP
Avoid25
out of 100
Grade: F
MRK
Hold36
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+41.7%
Fair Value
$8.41
Current Price
$4.31
$4.10 discount
Margin of Safety
-73.7%
Fair Value
$82.84
Current Price
$144.85
$62.01 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
No standout strengths identified
Mega-cap, among the largest globally
Generating 4.5B in free cash flow
Areas to Watch
Trading at 8.3x book value
Smaller company, higher risk/reward
Expensive relative to growth rate
ROE of -124.0% — below average capital efficiency
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 : EDAP
Revenue growth of 13.9% demonstrates continued momentum.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Free Cash Flow.
Bear Case : EDAP
The primary concerns for EDAP are Price/Book, Market Cap, PEG Ratio.
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
EDAP profiles as a turnaround stock while MRK is a value play — different risk/reward profiles.
MRK carries more volatility with a beta of 0.23 — expect wider price swings.
EDAP is growing revenue faster at 13.9% — sustainability is the question.
MRK generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
MRK scores higher overall (36/100 vs 25/100). EDAP offers better value entry with a 41.7% margin of safety. Both earn "Hold" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
EDAP TMS SA
HEALTHCARE · MEDICAL DISTRIBUTION · USA
EDAP TMS SA, develops, produces, markets, distributes and maintains a portfolio of minimally invasive medical devices for the treatment of urological diseases in Asia, France, the United States and internationally. The company is headquartered in Lyon, France.
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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