WallStSmart

Merck & Company Inc (MRK)vsVir Biotechnology Inc (VIR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 94729% more annual revenue ($65.01B vs $68.56M). MRK leads profitability with a 28.1% profit margin vs 0.0%. MRK earns a higher WallStSmart Score of 59/100 (C).

MRK

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 9.5Value: 4.7Quality: 4.8
Piotroski: 3/9

VIR

Hold

43

out of 100

Grade: D

Growth: 7.3Profit: 2.5Value: 5.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MRKOvervalued (-13.2%)

Margin of Safety

-13.2%

Fair Value

$96.48

Current Price

$109.18

$12.70 premium

UndervaluedFair: $96.48Overvalued

Intrinsic value data unavailable for VIR.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MRK6 strengths · Avg: 9.2/10
Market CapQuality
$274.03B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
36.9%10/10

Every $100 of equity generates 37 in profit

Operating MarginProfitability
32.8%10/10

Strong operational efficiency at 32.8%

Profit MarginProfitability
28.1%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
15.2x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.82B8/10

Generating 1.8B in free cash flow

VIR3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
417.8%10/10

Revenue surging 417.8% year-over-year

EPS GrowthGrowth
58.5%10/10

Earnings expanding 58.5% YoY

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

MRK3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.362/10

Expensive relative to growth rate

EPS GrowthGrowth
-19.3%2/10

Earnings declined 19.3%

VIR4 concerns · Avg: 2.5/10
Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Return on EquityProfitability
-45.7%2/10

ROE of -45.7% — below average capital efficiency

Free Cash FlowQuality
$-30.36M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull 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 : VIR

The strongest argument for VIR centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 417.8% demonstrates continued momentum.

Bear Case : MRK

The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.

Bear Case : VIR

The primary concerns for VIR are Market Cap, Profit Margin, Return on Equity.

Key Dynamics to Monitor

MRK profiles as a value stock while VIR is a hypergrowth play — different risk/reward profiles.

VIR carries more volatility with a beta of 1.66 — expect wider price swings.

VIR is growing revenue faster at 417.8% — sustainability is the question.

MRK generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

MRK scores higher overall (59/100 vs 43/100), backed by strong 28.1% margins. 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.

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Vir Biotechnology Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Vir Biotechnology, Inc., a clinical-stage immunology company, develops therapeutic products to treat and prevent serious infectious diseases. The company is headquartered in San Francisco, California.

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