Merck & Company Inc (MRK)vsUnited Therapeutics Corporation (UTHR)
MRK
Merck & Company Inc
$116.37
+0.60%
HEALTHCARE · Cap: $282.30B
UTHR
United Therapeutics Corporation
$531.82
+2.03%
HEALTHCARE · Cap: $22.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 1943% more annual revenue ($65.01B vs $3.18B). UTHR leads profitability with a 41.9% profit margin vs 28.1%. UTHR appears more attractively valued with a PEG of 2.18. UTHR earns a higher WallStSmart Score of 67/100 (B-).
MRK
Buy59
out of 100
Grade: C
UTHR
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-135.4%
Fair Value
$49.44
Current Price
$116.37
$66.93 premium
Margin of Safety
+62.9%
Fair Value
$1282.02
Current Price
$531.82
$750.20 discount
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
Keeps 42 of every $100 in revenue as profit
Strong operational efficiency at 45.0%
Safe zone — low bankruptcy risk
Earnings expanding 24.5% YoY
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Expensive relative to growth rate
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 : UTHR
The strongest argument for UTHR centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 41.9% and operating margin at 45.0%.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Bear Case : UTHR
The primary concerns for UTHR are PEG Ratio.
Key Dynamics to Monitor
MRK profiles as a value stock while UTHR is a mature play — different risk/reward profiles.
UTHR carries more volatility with a beta of 0.86 — expect wider price swings.
UTHR is growing revenue faster at 7.4% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
UTHR scores higher overall (67/100 vs 59/100), backed by strong 41.9% margins. Both earn "Strong Buy" and "Buy" 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 →United Therapeutics Corporation
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
United Therapeutics Corporation, a biotechnology company, is dedicated to the development and commercialization of products to address the unmet medical needs of patients with chronic and life-threatening diseases in the United States and internationally. The company is headquartered in Silver Spring, Maryland.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
Want to dig deeper into these stocks?