Merck & Company Inc (MRK)vsTeva Pharma Industries Ltd ADR (TEVA)
MRK
Merck & Company Inc
$111.38
-0.82%
HEALTHCARE · Cap: $277.36B
TEVA
Teva Pharma Industries Ltd ADR
$35.73
-0.78%
HEALTHCARE · Cap: $41.93B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 279% more annual revenue ($65.77B vs $17.35B). MRK leads profitability with a 13.6% profit margin vs 9.0%. TEVA appears more attractively valued with a PEG of 1.50. TEVA earns a higher WallStSmart Score of 62/100 (C+).
MRK
Hold50
out of 100
Grade: D+
TEVA
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-14.9%
Fair Value
$97.76
Current Price
$111.38
$13.62 premium
Margin of Safety
+46.3%
Fair Value
$63.92
Current Price
$35.73
$28.19 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 38.6%
Generating 2.9B in free cash flow
Earnings expanding 72.2% YoY
Every $100 of equity generates 22 in profit
Areas to Watch
Premium valuation, high expectations priced in
4.9% revenue growth
Weak financial health signals
Expensive relative to growth rate
Moderate valuation
2.3% revenue growth
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : MRK
The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.
Bull Case : TEVA
The strongest argument for TEVA centers on EPS Growth, Return on Equity.
Bear Case : MRK
The primary concerns for MRK are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : TEVA
The primary concerns for TEVA are P/E Ratio, Revenue Growth, Free Cash Flow.
Key Dynamics to Monitor
TEVA carries more volatility with a beta of 0.86 — expect wider price swings.
MRK is growing revenue faster at 4.9% — sustainability is the question.
MRK generates stronger free cash flow (2.9B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TEVA scores higher overall (62/100 vs 50/100). 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.
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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