WallStSmart

Mednax Inc (MD)vsMerck & Company Inc (MRK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 3305% more annual revenue ($65.77B vs $1.93B). MRK leads profitability with a 13.6% profit margin vs 9.0%. MD appears more attractively valued with a PEG of 0.24. MD earns a higher WallStSmart Score of 68/100 (B-).

MD

Strong Buy

68

out of 100

Grade: B-

Growth: 5.3Profit: 6.5Value: 10.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.56

MRK

Hold

50

out of 100

Grade: D+

Growth: 3.3Profit: 8.0Value: 3.3Quality: 4.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MDUndervalued (+72.2%)

Margin of Safety

+72.2%

Fair Value

$77.27

Current Price

$23.51

$53.76 discount

UndervaluedFair: $77.27Overvalued
MRKOvervalued (-14.9%)

Margin of Safety

-14.9%

Fair Value

$97.76

Current Price

$111.38

$13.62 premium

UndervaluedFair: $97.76Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MD5 strengths · Avg: 9.0/10
PEG RatioValuation
0.2410/10

Growing faster than its price suggests

P/E RatioValuation
11.1x10/10

Attractively priced relative to earnings

Return on EquityProfitability
20.9%9/10

Every $100 of equity generates 21 in profit

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

EPS GrowthGrowth
48.3%8/10

Earnings expanding 48.3% YoY

MRK3 strengths · Avg: 9.3/10
Market CapQuality
$277.36B10/10

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

MD4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
3.9%4/10

3.9% revenue growth

Altman Z-ScoreHealth
1.564/10

Distress zone — elevated risk

Market CapQuality
$1.88B3/10

Smaller company, higher risk/reward

Free Cash FlowQuality
$-135.75M2/10

Negative free cash flow — burning cash

MRK4 concerns · Avg: 3.3/10
P/E RatioValuation
31.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
5.282/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : MD

The strongest argument for MD centers on PEG Ratio, P/E Ratio, Return on Equity. PEG of 0.24 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 : MD

The primary concerns for MD are Revenue Growth, Altman Z-Score, Market Cap.

Bear Case : MRK

The primary concerns for MRK are P/E Ratio, Revenue Growth, Piotroski F-Score.

Key Dynamics to Monitor

MD carries more volatility with a beta of 0.71 — 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.

Monitor MEDICAL CARE FACILITIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MD scores higher overall (68/100 vs 50/100). 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.

Mednax Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

MEDNAX, Inc., provides neonatal, maternal-fetal, pediatric cardiology, and other pediatric subspecialties in the United States and Puerto Rico. The company is headquartered in Sunrise, Florida.

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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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