Merck & Company Inc (MRK)vsTransMedics Group Inc (TMDX)
MRK
Merck & Company Inc
$146.99
-0.16%
HEALTHCARE · Cap: $368.89B
TMDX
TransMedics Group Inc
$92.00
-0.01%
HEALTHCARE · Cap: $3.16B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 9160% more annual revenue ($67.38B vs $727.65M). TMDX leads profitability with a 19.9% profit margin vs 3.6%. TMDX appears more attractively valued with a PEG of 0.80. TMDX earns a higher WallStSmart Score of 62/100 (C+).
MRK
Hold44
out of 100
Grade: D
TMDX
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-72.9%
Fair Value
$84.87
Current Price
$146.99
$62.12 premium
Margin of Safety
+56.3%
Fair Value
$304.76
Current Price
$92.00
$212.76 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 41.2%
Generating 5.5B in free cash flow
Every $100 of equity generates 35 in profit
Revenue surging 41.1% year-over-year
Growing faster than its price suggests
Areas to Watch
Trading at 8.7x book value
4.7% revenue growth
ROE of 5.5% — below average capital efficiency
3.6% margin — thin
Distress zone — elevated risk
Elevated debt levels
Earnings declined 29.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : MRK
The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.
Bull Case : TMDX
The strongest argument for TMDX centers on Return on Equity, Revenue Growth, PEG Ratio. Profitability is solid with margins at 19.9% and operating margin at 13.9%. Revenue growth of 41.1% demonstrates continued momentum.
Bear Case : MRK
The primary concerns for MRK are Price/Book, Revenue Growth, Return on Equity. A P/E of 151.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Bear Case : TMDX
The primary concerns for TMDX are Altman Z-Score, Debt/Equity, EPS Growth. Debt-to-equity of 1.67 is elevated, increasing financial risk.
Key Dynamics to Monitor
MRK profiles as a value stock while TMDX is a growth play — different risk/reward profiles.
TMDX carries more volatility with a beta of 2.10 — expect wider price swings.
TMDX is growing revenue faster at 41.1% — sustainability is the question.
MRK generates stronger free cash flow (5.5B), providing more financial flexibility.
Bottom Line
TMDX scores higher overall (62/100 vs 44/100), backed by strong 19.9% margins and 41.1% revenue growth. 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 →TransMedics Group Inc
HEALTHCARE · MEDICAL DEVICES · USA
TransMedics Group, Inc., a commercial-stage medical technology company, is dedicated to transforming organ transplant therapy for patients with end-stage organ failure in the United States and internationally. The company is headquartered in Andover, Massachusetts.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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