WallStSmart

Merck & Company Inc (MRK)vsPfizer Inc (PFE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 4% more annual revenue ($65.01B vs $62.58B). MRK leads profitability with a 28.1% profit margin vs 12.4%. MRK appears more attractively valued with a PEG of 3.52. MRK earns a higher WallStSmart Score of 59/100 (C).

MRK

Buy

59

out of 100

Grade: C

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

PFE

Hold

49

out of 100

Grade: D+

Growth: 2.0Profit: 6.5Value: 4.7Quality: 4.8
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MRKSignificantly Overvalued (-130.7%)

Margin of Safety

-130.7%

Fair Value

$49.50

Current Price

$114.50

$65.00 premium

UndervaluedFair: $49.50Overvalued
PFESignificantly Overvalued (-196.3%)

Margin of Safety

-196.3%

Fair Value

$9.25

Current Price

$27.32

$18.07 premium

UndervaluedFair: $9.25Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MRK6 strengths · Avg: 9.2/10
Market CapQuality
$285.39B10/10

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
15.9x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.82B8/10

Generating 1.8B in free cash flow

PFE4 strengths · Avg: 8.3/10
Market CapQuality
$151.31B9/10

Large-cap with strong market position

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.9%8/10

Strong operational efficiency at 23.9%

Free Cash FlowQuality
$4.50B8/10

Generating 4.5B in free cash flow

Areas to Watch

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

Weak financial health signals

PEG RatioValuation
3.522/10

Expensive relative to growth rate

EPS GrowthGrowth
-19.3%2/10

Earnings declined 19.3%

PFE4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
13.772/10

Expensive relative to growth rate

Revenue GrowthGrowth
-120.0%2/10

Revenue declined 120.0%

EPS GrowthGrowth
-21.3%2/10

Earnings declined 21.3%

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : PFE

The strongest argument for PFE centers on Market Cap, Price/Book, Operating Margin.

Bear Case : MRK

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

Bear Case : PFE

The primary concerns for PFE are Piotroski F-Score, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

MRK profiles as a value stock while PFE is a declining play — different risk/reward profiles.

PFE carries more volatility with a beta of 0.41 — expect wider price swings.

MRK is growing revenue faster at 5.0% — sustainability is the question.

PFE generates stronger free cash flow (4.5B), providing more financial flexibility.

Bottom Line

MRK scores higher overall (59/100 vs 49/100), backed by strong 28.1% margins. 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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Pfizer Inc

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Pfizer Inc. is an American multinational pharmaceutical and biotechnology corporation headquartered on 42nd Street in Manhattan, New York City. The name of the company commemorates its co-founder, Charles Pfizer (1824-1906). Pfizer develops and produces medicines and vaccines for immunology, oncology, cardiology, endocrinology, and neurology. The company has several blockbuster drugs or products that each generate more than 1 billion USD in annual revenues.

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