Quest Diagnostics Incorporated (DGX)vsMerck & Company Inc (MRK)
DGX
Quest Diagnostics Incorporated
$189.13
-0.90%
HEALTHCARE · Cap: $21.33B
MRK
Merck & Company Inc
$113.56
+0.36%
HEALTHCARE · Cap: $277.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 483% more annual revenue ($65.77B vs $11.28B). MRK leads profitability with a 13.6% profit margin vs 9.1%. DGX appears more attractively valued with a PEG of 1.49. DGX earns a higher WallStSmart Score of 63/100 (C+).
DGX
Buy63
out of 100
Grade: C+
MRK
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-26.0%
Fair Value
$166.17
Current Price
$189.13
$22.96 premium
Margin of Safety
-15.7%
Fair Value
$97.76
Current Price
$113.56
$15.80 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Strong operational efficiency at 38.1%
Generating 2.9B in free cash flow
Areas to Watch
Weak financial health signals
Premium valuation, high expectations priced in
4.9% revenue growth
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : DGX
The strongest argument for DGX centers on Price/Book. PEG of 1.49 suggests the stock is reasonably priced for its growth.
Bull Case : MRK
The strongest argument for MRK centers on Market Cap, Return on Equity, Operating Margin.
Bear Case : DGX
The primary concerns for DGX are Piotroski F-Score.
Bear Case : MRK
The primary concerns for MRK are P/E Ratio, Revenue Growth, Piotroski F-Score.
Key Dynamics to Monitor
DGX carries more volatility with a beta of 0.65 — expect wider price swings.
DGX is growing revenue faster at 9.2% — sustainability is the question.
MRK generates stronger free cash flow (2.9B), providing more financial flexibility.
Monitor DIAGNOSTICS & RESEARCH industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DGX scores higher overall (63/100 vs 53/100). Both earn "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.
Quest Diagnostics Incorporated
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Quest Diagnostics is an American clinical laboratory. A Fortune 500 company, Quest operates in the United States, Puerto Rico, Mexico, and Brazil. Quest also maintains collaborative agreements with various hospitals and clinics across the globe.
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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