Merck & Company Inc (MRK)vsOrganon & Co (OGN)
MRK
Merck & Company Inc
$146.72
-0.14%
HEALTHCARE · Cap: $368.89B
OGN
Organon & Co
$13.87
+0.58%
HEALTHCARE · Cap: $3.63B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 1000% more annual revenue ($67.38B vs $6.13B). MRK leads profitability with a 3.6% profit margin vs 3.4%. OGN trades at a lower P/E of 17.7x. OGN earns a higher WallStSmart Score of 49/100 (D+).
MRK
Hold44
out of 100
Grade: D
OGN
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-76.6%
Fair Value
$84.66
Current Price
$146.72
$62.06 premium
Margin of Safety
+36.5%
Fair Value
$12.11
Current Price
$13.87
$1.76 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 41.2%
Generating 4.5B in free cash flow
Every $100 of equity generates 34 in profit
Attractively priced relative to earnings
Strong operational efficiency at 20.7%
Areas to Watch
Trading at 8.6x book value
4.7% revenue growth
ROE of 7.6% — below average capital efficiency
3.6% margin — thin
3.4% margin — thin
Weak financial health signals
Revenue declined 2.3%
Earnings declined 28.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : MRK
The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.
Bull Case : OGN
The strongest argument for OGN centers on Return on Equity, P/E Ratio, Operating Margin.
Bear Case : MRK
The primary concerns for MRK are Price/Book, Revenue Growth, Return on Equity. A P/E of 151.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Bear Case : OGN
The primary concerns for OGN are Profit Margin, Piotroski F-Score, Revenue Growth. Debt-to-equity of 7.17 is elevated, increasing financial risk. Thin 3.4% margins leave little buffer for downturns.
Key Dynamics to Monitor
OGN carries more volatility with a beta of 1.54 — expect wider price swings.
MRK is growing revenue faster at 4.7% — sustainability is the question.
MRK generates stronger free cash flow (4.5B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
OGN scores higher overall (49/100 vs 44/100). Both earn "Hold" 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.
Visit Website →Organon & Co
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Organon & Co. is an American pharmaceutical company headquartered in Jersey City, New Jersey. Organon specializes in the following core therapeutic fields: reproductive medicine, contraception, psychiatry, Hormone replacement therapy (HRT), and anesthesia. The company sells to international markets.
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