Alkermes Plc (ALKS)vsMerck & Company Inc (MRK)
ALKS
Alkermes Plc
$42.80
-1.34%
HEALTHCARE · Cap: $7.38B
MRK
Merck & Company Inc
$120.79
-3.46%
HEALTHCARE · Cap: $285.64B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 4110% more annual revenue ($65.77B vs $1.56B). MRK leads profitability with a 13.6% profit margin vs 9.8%. ALKS appears more attractively valued with a PEG of 1.96. MRK earns a higher WallStSmart Score of 50/100 (D+).
ALKS
Hold44
out of 100
Grade: D
MRK
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.3%
Fair Value
$73.21
Current Price
$42.80
$30.41 discount
Margin of Safety
-49.3%
Fair Value
$80.88
Current Price
$120.79
$39.91 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 28.2% year-over-year
Mega-cap, among the largest globally
Strong operational efficiency at 38.6%
Generating 2.9B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 67.0%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
4.9% revenue growth
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : ALKS
The strongest argument for ALKS centers on Revenue Growth. Revenue growth of 28.2% demonstrates continued momentum.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.
Bear Case : ALKS
The primary concerns for ALKS are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 49.2x leaves little room for execution misses.
Bear Case : MRK
The primary concerns for MRK are P/E Ratio, Revenue Growth, Debt/Equity.
Key Dynamics to Monitor
ALKS profiles as a growth stock while MRK is a value play — different risk/reward profiles.
ALKS carries more volatility with a beta of 0.33 — expect wider price swings.
ALKS is growing revenue faster at 28.2% — sustainability is the question.
MRK generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
MRK scores higher overall (50/100 vs 44/100). ALKS offers better value entry with a 52.3% margin of safety. 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.
Alkermes Plc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Alkermes plc, a biopharmaceutical company, researches, develops and markets pharmaceutical products to address the unmet medical needs of patients in various therapeutic areas in the United States, Ireland and internationally. The company is headquartered in Dublin, Ireland.
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 DRUG MANUFACTURERS - SPECIALTY & GENERIC Stocks
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