WallStSmart

Merck & Company Inc (MRK)vsNational HealthCare Corporation (NHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 4210% more annual revenue ($65.77B vs $1.53B). MRK leads profitability with a 13.6% profit margin vs 8.1%. NHC appears more attractively valued with a PEG of 0.82. NHC earns a higher WallStSmart Score of 56/100 (C).

MRK

Hold

50

out of 100

Grade: D+

Growth: 3.3Profit: 8.0Value: 2.7Quality: 5.0
Piotroski: 3/9Altman Z: 2.30

NHC

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 6.0Value: 5.3Quality: 9.0
Piotroski: 5/9Altman Z: 3.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MRKSignificantly Overvalued (-49.3%)

Margin of Safety

-49.3%

Fair Value

$80.88

Current Price

$120.79

$39.91 premium

UndervaluedFair: $80.88Overvalued
NHCSignificantly Overvalued (-73.9%)

Margin of Safety

-73.9%

Fair Value

$96.80

Current Price

$192.13

$95.33 premium

UndervaluedFair: $96.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MRK3 strengths · Avg: 9.3/10
Market CapQuality
$285.64B10/10

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

NHC4 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.7010/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.828/10

Growing faster than its price suggests

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Areas to Watch

MRK4 concerns · Avg: 3.5/10
P/E RatioValuation
32.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

Debt/EquityHealth
1.073/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

NHC1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull Case : MRK

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

Bull Case : NHC

The strongest argument for NHC centers on Debt/Equity, Altman Z-Score, PEG Ratio. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bear Case : MRK

The primary concerns for MRK are P/E Ratio, Revenue Growth, Debt/Equity.

Bear Case : NHC

The primary concerns for NHC are Revenue Growth.

Key Dynamics to Monitor

NHC carries more volatility with a beta of 0.65 — expect wider price swings.

MRK is growing revenue faster at 4.9% — sustainability is the question.

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

Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NHC scores higher overall (56/100 vs 50/100). Both earn "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.

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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National HealthCare Corporation

HEALTHCARE · MEDICAL CARE FACILITIES · USA

National HealthCare Corporation operates, manages, and provides services to skilled nursing facilities, assisted living facilities, independent living facilities, home health programs, and a behavioral health hospital. The company is headquartered in Murfreesboro, Tennessee.

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