WallStSmart

Compugen (CGEN)vsMerck & Company Inc (MRK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 90420% more annual revenue ($65.77B vs $72.66M). CGEN leads profitability with a 48.0% profit margin vs 13.6%. CGEN appears more attractively valued with a PEG of 1.29. MRK earns a higher WallStSmart Score of 50/100 (D+).

CGEN

Buy

50

out of 100

Grade: C-

Growth: 5.3Profit: 7.5Value: 7.0Quality: 7.0
Piotroski: 5/9Altman Z: -0.74

MRK

Hold

50

out of 100

Grade: D+

Growth: 3.3Profit: 8.0Value: 2.7Quality: 5.0
Piotroski: 3/9Altman Z: 2.30
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CGEN.

MRKSignificantly Overvalued (-49.3%)

Margin of Safety

-49.3%

Fair Value

$80.88

Current Price

$120.79

$39.91 premium

UndervaluedFair: $80.88Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CGEN5 strengths · Avg: 9.6/10
P/E RatioValuation
5.8x10/10

Attractively priced relative to earnings

Return on EquityProfitability
36.5%10/10

Every $100 of equity generates 37 in profit

Profit MarginProfitability
48.0%10/10

Keeps 48 of every $100 in revenue as profit

Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

MRK3 strengths · Avg: 9.3/10
Market CapQuality
$285.64B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
38.6%10/10

Strong operational efficiency at 38.6%

Free Cash FlowQuality
$2.93B8/10

Generating 2.9B in free cash flow

Areas to Watch

CGEN4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$209.98M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-4.7%2/10

Revenue declined 4.7%

Altman Z-ScoreHealth
-0.742/10

Distress zone — elevated risk

MRK4 concerns · Avg: 3.5/10
P/E RatioValuation
32.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

Debt/EquityHealth
1.073/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : CGEN

The strongest argument for CGEN centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 48.0% and operating margin at -414.4%. PEG of 1.29 suggests the stock is reasonably priced for its growth.

Bull Case : MRK

The strongest argument for MRK centers on Market Cap, Operating Margin, Free Cash Flow.

Bear Case : CGEN

The primary concerns for CGEN are EPS Growth, Market Cap, Revenue Growth.

Bear Case : MRK

The primary concerns for MRK are P/E Ratio, Revenue Growth, Debt/Equity.

Key Dynamics to Monitor

CGEN profiles as a declining stock while MRK is a value play — different risk/reward profiles.

CGEN carries more volatility with a beta of 2.74 — expect wider price swings.

MRK is growing revenue faster at 4.9% — sustainability is the question.

Monitor BIOTECHNOLOGY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CGEN scores higher overall (50/100 vs 50/100), backed by strong 48.0% 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.

Compugen

HEALTHCARE · BIOTECHNOLOGY · USA

Compugen Ltd., a clinical-stage therapeutic discovery and development company, is engaged in the research, development, and commercialization of therapeutic candidates and products in Israel, the United States, and Europe. The company is headquartered in Holon, Israel.

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 →

Want to dig deeper into these stocks?