WallStSmart

Medtronic PLC (MDT)vsMerck & Company Inc (MRK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 85% more annual revenue ($65.77B vs $35.48B). MRK leads profitability with a 13.6% profit margin vs 13.0%. MDT appears more attractively valued with a PEG of 1.36. MDT earns a higher WallStSmart Score of 58/100 (C).

MDT

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 6.5Value: 6.7Quality: 5.0

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

MDTUndervalued (+27.7%)

Margin of Safety

+27.7%

Fair Value

$107.79

Current Price

$76.15

$31.64 discount

UndervaluedFair: $107.79Overvalued
MRKOvervalued (-13.8%)

Margin of Safety

-13.8%

Fair Value

$97.84

Current Price

$111.38

$13.54 premium

UndervaluedFair: $97.84Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MDT4 strengths · Avg: 8.3/10
Market CapQuality
$100.09B9/10

Large-cap with strong market position

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.0%8/10

Strong operational efficiency at 20.0%

Free Cash FlowQuality
$2.30B8/10

Generating 2.3B in free cash flow

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

MDT1 concerns · Avg: 2.0/10
EPS GrowthGrowth
-11.8%2/10

Earnings declined 11.8%

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 : MDT

The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin. PEG of 1.36 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 : MDT

The primary concerns for MDT are EPS Growth.

Bear Case : MRK

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

Key Dynamics to Monitor

MDT carries more volatility with a beta of 0.63 — expect wider price swings.

MDT is growing revenue faster at 8.7% — sustainability is the question.

MRK generates stronger free cash flow (2.9B), providing more financial flexibility.

Monitor MEDICAL DEVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MDT scores higher overall (58/100 vs 50/100). Both earn "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.

Medtronic PLC

HEALTHCARE · MEDICAL DEVICES · USA

Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.

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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