Acadia Healthcare Company Inc (ACHC)vsMerck & Company Inc (MRK)
ACHC
Acadia Healthcare Company Inc
$28.36
-0.60%
HEALTHCARE · Cap: $2.66B
MRK
Merck & Company Inc
$144.85
+0.64%
HEALTHCARE · Cap: $355.10B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 1877% more annual revenue ($66.57B vs $3.37B). MRK leads profitability with a 4.8% profit margin vs -33.4%. ACHC appears more attractively valued with a PEG of 1.38. ACHC earns a higher WallStSmart Score of 47/100 (D+).
ACHC
Hold47
out of 100
Grade: D+
MRK
Hold36
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+83.0%
Fair Value
$91.60
Current Price
$28.36
$63.24 discount
Margin of Safety
-73.7%
Fair Value
$82.84
Current Price
$144.85
$62.01 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Generating 4.5B in free cash flow
Areas to Watch
Elevated debt levels
ROE of -56.5% — below average capital efficiency
Revenue declined 0.4%
Earnings declined 63.6%
Trading at 8.5x book value
ROE of 7.6% — below average capital efficiency
4.8% margin — thin
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : ACHC
The strongest argument for ACHC centers on Price/Book. PEG of 1.38 suggests the stock is reasonably priced for its growth.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Free Cash Flow.
Bear Case : ACHC
The primary concerns for ACHC are Debt/Equity, Return on Equity, Revenue Growth.
Bear Case : MRK
The primary concerns for MRK are Price/Book, Return on Equity, Profit Margin. A P/E of 116.1x leaves little room for execution misses. Thin 4.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
ACHC profiles as a turnaround stock while MRK is a value play — different risk/reward profiles.
ACHC carries more volatility with a beta of 0.62 — expect wider price swings.
MRK is growing revenue faster at 5.1% — sustainability is the question.
MRK generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
ACHC scores higher overall (47/100 vs 36/100). Both earn "Hold" 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.
Acadia Healthcare Company Inc
HEALTHCARE · MEDICAL CARE FACILITIES · USA
Acadia Healthcare Company, Inc. develops and operates inpatient psychiatric facilities, residential treatment centers, group homes, substance abuse facilities, and outpatient behavioral health facilities to serve the behavioral health and recovery needs of the communities in the United States. United States and Puerto Rico. The company is headquartered in Franklin, Tennessee.
Visit Website →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 →Compare with Other MEDICAL CARE FACILITIES Stocks
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