Merck & Company Inc (MRK)vsTeva Pharma Industries Ltd ADR (TEVA)
MRK
Merck & Company Inc
$150.91
+0.94%
HEALTHCARE · Cap: $355.10B
TEVA
Teva Pharma Industries Ltd ADR
$40.06
-1.35%
HEALTHCARE · Cap: $45.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 284% more annual revenue ($66.57B vs $17.32B). MRK leads profitability with a 4.8% profit margin vs 4.1%. TEVA appears more attractively valued with a PEG of 0.71. TEVA earns a higher WallStSmart Score of 46/100 (D+).
MRK
Hold36
out of 100
Grade: F
TEVA
Hold46
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-77.2%
Fair Value
$83.04
Current Price
$150.91
$67.87 premium
Intrinsic value data unavailable for TEVA.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Generating 4.5B in free cash flow
Earnings expanding 72.2% YoY
Growing faster than its price suggests
Areas to Watch
Trading at 8.9x book value
ROE of 7.6% — below average capital efficiency
4.8% margin — thin
Elevated debt levels
4.1% margin — thin
Operating margin of 4.0%
Premium valuation, high expectations priced in
Revenue declined 0.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : MRK
The strongest argument for MRK centers on Market Cap, Free Cash Flow.
Bull Case : TEVA
The strongest argument for TEVA centers on EPS Growth, PEG Ratio. PEG of 0.71 suggests the stock is reasonably priced for its growth.
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 : TEVA
The primary concerns for TEVA are Profit Margin, Operating Margin, P/E Ratio. A P/E of 65.0x leaves little room for execution misses. Debt-to-equity of 2.18 is elevated, increasing financial risk.
Key Dynamics to Monitor
TEVA carries more volatility with a beta of 0.80 — 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.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TEVA scores higher overall (46/100 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 →Teva Pharma Industries Ltd ADR
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Teva Pharmaceutical Industries Limited, a pharmaceutical company, develops, manufactures, markets, and distributes generic drugs, specialty drugs, and biopharmaceuticals in North America, Europe, and internationally. The company is headquartered in Petach Tikva, Israel.
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