Merck & Company Inc (MRK)vsWilliams Companies Inc (WMB)
MRK
Merck & Company Inc
$119.37
+2.58%
HEALTHCARE · Cap: $287.71B
WMB
Williams Companies Inc
$73.81
-0.87%
ENERGY · Cap: $90.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 450% more annual revenue ($65.01B vs $11.83B). MRK leads profitability with a 28.1% profit margin vs 22.1%. WMB appears more attractively valued with a PEG of 2.47. WMB earns a higher WallStSmart Score of 67/100 (B-).
MRK
Buy59
out of 100
Grade: C
WMB
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-141.2%
Fair Value
$49.50
Current Price
$119.37
$69.87 premium
Margin of Safety
+29.0%
Fair Value
$100.15
Current Price
$73.81
$26.34 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
Strong operational efficiency at 41.2%
Earnings expanding 50.8% YoY
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
Negative free cash flow — burning cash
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 : WMB
The strongest argument for WMB centers on Operating Margin, EPS Growth, Market Cap. Profitability is solid with margins at 22.1% and operating margin at 41.2%.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Bear Case : WMB
The primary concerns for WMB are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
MRK profiles as a value stock while WMB is a mature play — different risk/reward profiles.
WMB carries more volatility with a beta of 0.65 — expect wider price swings.
WMB is growing revenue faster at 8.7% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
WMB scores higher overall (67/100 vs 59/100), backed by strong 22.1% 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 →Williams Companies Inc
ENERGY · OIL & GAS MIDSTREAM · USA
The Williams Companies, Inc., is an American energy company based in Tulsa, Oklahoma. Its core business is natural gas processing and transportation, with additional petroleum and electricity generation assets.
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