GE Aerospace (GE)vsMerck & Company Inc (MRK)
GE
GE Aerospace
$296.56
+2.04%
INDUSTRIALS · Cap: $306.56B
MRK
Merck & Company Inc
$119.37
+2.58%
HEALTHCARE · Cap: $287.71B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 42% more annual revenue ($65.01B vs $45.85B). MRK leads profitability with a 28.1% profit margin vs 19.0%. MRK appears more attractively valued with a PEG of 3.49. GE earns a higher WallStSmart Score of 65/100 (C+).
GE
Buy65
out of 100
Grade: C+
MRK
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.3%
Fair Value
$376.74
Current Price
$296.56
$80.18 discount
Margin of Safety
-141.2%
Fair Value
$49.50
Current Price
$119.37
$69.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 45 in profit
17.6% revenue growth
Earnings expanding 37.4% YoY
Generating 1.8B 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
Premium valuation, high expectations priced in
Trading at 16.7x book value
Distress zone — elevated risk
Expensive relative to growth rate
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : GE
The strongest argument for GE centers on Market Cap, Return on Equity, Revenue Growth. Profitability is solid with margins at 19.0% and operating margin at 19.6%. Revenue growth of 17.6% 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 : GE
The primary concerns for GE are P/E Ratio, Price/Book, Altman Z-Score.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
GE profiles as a growth stock while MRK is a value play — different risk/reward profiles.
GE carries more volatility with a beta of 1.37 — expect wider price swings.
GE is growing revenue faster at 17.6% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
GE scores higher overall (65/100 vs 59/100), backed by strong 19.0% margins and 17.6% 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.
GE Aerospace
INDUSTRIALS · AEROSPACE & DEFENSE · USA
General Electric Company (GE) is an American multinational conglomerate incorporated in New York City and headquartered in Boston. As of 2018, the company operates through the following segments: aviation, healthcare, power, renewable energy, digital industry, additive manufacturing and venture capital and finance.
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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