Itau Unibanco Banco Holding SA (ITUB)vsMerck & Company Inc (MRK)
ITUB
Itau Unibanco Banco Holding SA
$8.37
+2.32%
FINANCIAL SERVICES · Cap: $90.15B
MRK
Merck & Company Inc
$111.38
-0.82%
HEALTHCARE · Cap: $277.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Itau Unibanco Banco Holding SA generates 110% more annual revenue ($138.19B vs $65.77B). ITUB leads profitability with a 33.3% profit margin vs 13.6%. ITUB appears more attractively valued with a PEG of 1.35. ITUB earns a higher WallStSmart Score of 74/100 (B).
ITUB
Strong Buy74
out of 100
Grade: B
MRK
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ITUB.
Margin of Safety
-14.9%
Fair Value
$97.76
Current Price
$111.38
$13.62 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 33.1%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Reasonable price relative to book value
Mega-cap, among the largest globally
Strong operational efficiency at 38.6%
Generating 2.9B in free cash flow
Areas to Watch
Revenue declined 2.1%
Negative free cash flow — burning cash
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 : ITUB
The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 33.3% and operating margin at 33.1%. PEG of 1.35 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 : ITUB
The primary concerns for ITUB are Revenue Growth, Free Cash Flow.
Bear Case : MRK
The primary concerns for MRK are P/E Ratio, Revenue Growth, Piotroski F-Score.
Key Dynamics to Monitor
ITUB profiles as a declining stock while MRK is a value play — different risk/reward profiles.
ITUB carries more volatility with a beta of 0.22 — expect wider price swings.
MRK is growing revenue faster at 4.9% — sustainability is the question.
MRK generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
ITUB scores higher overall (74/100 vs 50/100), backed by strong 33.3% margins. Both earn "Strong 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.
Itau Unibanco Banco Holding SA
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.
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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