Exelixis Inc (EXEL)vsMerck & Company Inc (MRK)
EXEL
Exelixis Inc
$44.46
-0.51%
HEALTHCARE · Cap: $11.35B
MRK
Merck & Company Inc
$109.18
-1.60%
HEALTHCARE · Cap: $274.03B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 2702% more annual revenue ($65.01B vs $2.32B). EXEL leads profitability with a 33.7% profit margin vs 28.1%. EXEL appears more attractively valued with a PEG of 2.27. EXEL earns a higher WallStSmart Score of 70/100 (B-).
EXEL
Strong Buy70
out of 100
Grade: B-
MRK
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+74.0%
Fair Value
$165.35
Current Price
$44.46
$120.89 discount
Margin of Safety
-13.2%
Fair Value
$96.48
Current Price
$109.18
$12.70 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 36 in profit
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 39.4%
Earnings expanding 84.2% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
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
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Expensive relative to growth rate
Earnings declined 19.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : EXEL
The strongest argument for EXEL centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 33.7% and operating margin at 39.4%.
Bull 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%.
Bear Case : EXEL
The primary concerns for EXEL are PEG Ratio.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
EXEL profiles as a mature stock while MRK is a value play — different risk/reward profiles.
EXEL carries more volatility with a beta of 0.42 — expect wider price swings.
EXEL is growing revenue faster at 5.6% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
EXEL scores higher overall (70/100 vs 59/100), backed by strong 33.7% 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.
Exelixis Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Exelixis, Inc., an oncology-focused biotechnology company, is focused on the discovery, development, and commercialization of new drugs to treat cancers in the United States. The company is headquartered in Alameda, California.
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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