Merck & Company Inc (MRK)vsSurgery Partners Inc (SGRY)
MRK
Merck & Company Inc
$144.85
+0.64%
HEALTHCARE · Cap: $355.10B
SGRY
Surgery Partners Inc
$14.38
+1.84%
HEALTHCARE · Cap: $1.85B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 1878% more annual revenue ($66.57B vs $3.37B). MRK leads profitability with a 4.8% profit margin vs -2.6%. SGRY appears more attractively valued with a PEG of 1.66. SGRY earns a higher WallStSmart Score of 49/100 (D+).
MRK
Hold36
out of 100
Grade: F
SGRY
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-73.7%
Fair Value
$82.84
Current Price
$144.85
$62.01 premium
Margin of Safety
+44.7%
Fair Value
$27.13
Current Price
$14.38
$12.75 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Generating 4.5B in free cash flow
Reasonable price relative to book value
Areas to Watch
Trading at 8.5x book value
ROE of 7.6% — below average capital efficiency
4.8% margin — thin
Elevated debt levels
Expensive relative to growth rate
2.7% revenue growth
0.0% earnings growth
Smaller company, higher risk/reward
Comparative Analysis Report
WallStSmart ResearchBull Case : MRK
The strongest argument for MRK centers on Market Cap, Free Cash Flow.
Bull Case : SGRY
The strongest argument for SGRY centers on Price/Book.
Bear Case : MRK
The primary concerns for MRK are Price/Book, Return on Equity, Profit Margin. A P/E of 116.1x leaves little room for execution misses. Thin 4.8% margins leave little buffer for downturns.
Bear Case : SGRY
The primary concerns for SGRY are PEG Ratio, Revenue Growth, EPS Growth. Debt-to-equity of 2.40 is elevated, increasing financial risk.
Key Dynamics to Monitor
MRK profiles as a value stock while SGRY is a turnaround play — different risk/reward profiles.
SGRY carries more volatility with a beta of 1.92 — expect wider price swings.
MRK is growing revenue faster at 5.1% — sustainability is the question.
MRK generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
SGRY scores higher overall (49/100 vs 36/100). 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 →Surgery Partners Inc
HEALTHCARE · MEDICAL CARE FACILITIES · USA
Surgery Partners, Inc. owns and operates a network of surgical facilities and ancillary services in the United States. The company is headquartered in Brentwood, Tennessee.
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