WallStSmart

Merck & Company Inc (MRK)vsRadNet Inc (RDNT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 3086% more annual revenue ($65.01B vs $2.04B). MRK leads profitability with a 28.1% profit margin vs -0.9%. RDNT appears more attractively valued with a PEG of 0.96. 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

RDNT

Buy

54

out of 100

Grade: C-

Growth: 8.0Profit: 4.0Value: 5.0Quality: 4.8
Piotroski: 2/9Altman Z: 1.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MRKOvervalued (-13.2%)

Margin of Safety

-13.2%

Fair Value

$96.48

Current Price

$109.18

$12.70 premium

UndervaluedFair: $96.48Overvalued
RDNTSignificantly Overvalued (-71.2%)

Margin of Safety

-71.2%

Fair Value

$40.59

Current Price

$55.89

$15.30 premium

UndervaluedFair: $40.59Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MRK6 strengths · Avg: 9.2/10
Market CapQuality
$274.03B10/10

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
15.2x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.82B8/10

Generating 1.8B in free cash flow

RDNT2 strengths · Avg: 9.0/10
EPS GrowthGrowth
75.0%10/10

Earnings expanding 75.0% YoY

PEG RatioValuation
0.968/10

Growing faster than its price suggests

Areas to Watch

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

Weak financial health signals

PEG RatioValuation
3.362/10

Expensive relative to growth rate

EPS GrowthGrowth
-19.3%2/10

Earnings declined 19.3%

RDNT4 concerns · Avg: 2.5/10
Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-230.86M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.192/10

Distress zone — elevated risk

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 : RDNT

The strongest argument for RDNT centers on EPS Growth, PEG Ratio. Revenue growth of 14.8% demonstrates continued momentum. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bear Case : MRK

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

Bear Case : RDNT

The primary concerns for RDNT are Return on Equity, Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

MRK profiles as a value stock while RDNT is a turnaround play — different risk/reward profiles.

RDNT carries more volatility with a beta of 1.53 — expect wider price swings.

RDNT is growing revenue faster at 14.8% — sustainability is the question.

MRK generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

MRK scores higher overall (59/100 vs 54/100), backed by strong 28.1% margins. 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.

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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RadNet Inc

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

RadNet, Inc., provides outpatient imaging services in the United States. The company is headquartered in Los Angeles, California.

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