Merck & Company Inc (MRK)vsTempus AI, Inc. Class A Common Stock (TEM)
MRK
Merck & Company Inc
$110.95
+0.84%
HEALTHCARE · Cap: $276.38B
TEM
Tempus AI, Inc. Class A Common Stock
$50.02
-2.11%
HEALTHCARE · Cap: $9.35B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 5012% more annual revenue ($65.01B vs $1.27B). MRK leads profitability with a 28.1% profit margin vs -19.3%. MRK earns a higher WallStSmart Score of 59/100 (C).
MRK
Buy59
out of 100
Grade: C
TEM
Avoid31
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-15.1%
Fair Value
$96.48
Current Price
$110.95
$14.47 premium
Margin of Safety
-71.3%
Fair Value
$31.29
Current Price
$50.02
$18.73 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Strong operational efficiency at 32.8%
Keeps 28 of every $100 in revenue as profit
Attractively priced relative to earnings
Generating 1.8B in free cash flow
Revenue surging 83.0% year-over-year
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Trading at 18.1x book value
0.0% earnings growth
ROE of -89.5% — below average capital efficiency
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull 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 : TEM
The strongest argument for TEM centers on Revenue Growth. Revenue growth of 83.0% demonstrates continued momentum.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Bear Case : TEM
The primary concerns for TEM are Price/Book, EPS Growth, Return on Equity. Debt-to-equity of 2.63 is elevated, increasing financial risk.
Key Dynamics to Monitor
MRK profiles as a value stock while TEM is a hypergrowth play — different risk/reward profiles.
TEM is growing revenue faster at 83.0% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MRK scores higher overall (59/100 vs 31/100), backed by strong 28.1% margins. Both earn "Buy" and "Avoid" 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 →Tempus AI, Inc. Class A Common Stock
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
Tempus AI, Inc is a healthcare technology company. The company is headquartered in Chicago, Illinois.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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