Kinder Morgan Inc (KMI)vsMerck & Company Inc (MRK)
KMI
Kinder Morgan Inc
$33.98
+0.15%
ENERGY · Cap: $75.49B
MRK
Merck & Company Inc
$119.37
+2.58%
HEALTHCARE · Cap: $287.71B
Smart Verdict
WallStSmart Research — data-driven comparison
Merck & Company Inc generates 284% more annual revenue ($65.01B vs $16.94B). MRK leads profitability with a 28.1% profit margin vs 18.0%. MRK appears more attractively valued with a PEG of 3.49. KMI earns a higher WallStSmart Score of 64/100 (C+).
KMI
Buy64
out of 100
Grade: C+
MRK
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+51.0%
Fair Value
$64.12
Current Price
$33.98
$30.14 discount
Margin of Safety
-141.2%
Fair Value
$49.50
Current Price
$119.37
$69.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 30.3%
Large-cap with strong market position
Reasonable price relative to book value
Earnings expanding 49.3% YoY
Generating 1.6B in free cash flow
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 : KMI
The strongest argument for KMI centers on Operating Margin, Market Cap, Price/Book. Profitability is solid with margins at 18.0% and operating margin at 30.3%. Revenue growth of 13.1% demonstrates continued momentum.
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 : KMI
The primary concerns for KMI are PEG Ratio.
Bear Case : MRK
The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
KMI profiles as a mature stock while MRK is a value play — different risk/reward profiles.
KMI carries more volatility with a beta of 0.65 — expect wider price swings.
KMI is growing revenue faster at 13.1% — sustainability is the question.
MRK generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
KMI scores higher overall (64/100 vs 59/100), backed by strong 18.0% margins and 13.1% revenue growth. 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.
Kinder Morgan Inc
ENERGY · OIL & GAS MIDSTREAM · USA
Kinder Morgan, Inc. is one of the largest energy infrastructure companies in North America. The company specializes in owning and controlling oil and gas pipelines and terminals.
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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