WallStSmart

Merck & Company Inc (MRK)vsOmnicell Inc (OMCL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Merck & Company Inc generates 5207% more annual revenue ($65.01B vs $1.23B). MRK leads profitability with a 28.1% profit margin vs 1.7%. MRK appears more attractively valued with a PEG of 3.36. MRK earns a higher WallStSmart Score of 59/100 (C).

MRK

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 9.5Value: 4.7Quality: 4.8
Piotroski: 3/9

OMCL

Hold

46

out of 100

Grade: D+

Growth: 3.3Profit: 4.5Value: 4.7Quality: 6.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MRKOvervalued (-13.2%)

Margin of Safety

-13.2%

Fair Value

$96.48

Current Price

$109.18

$12.70 premium

UndervaluedFair: $96.48Overvalued
OMCLUndervalued (+67.3%)

Margin of Safety

+67.3%

Fair Value

$115.56

Current Price

$41.42

$74.14 discount

UndervaluedFair: $115.56Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MRK6 strengths · Avg: 9.2/10
Market CapQuality
$274.03B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
36.9%10/10

Every $100 of equity generates 37 in profit

Operating MarginProfitability
32.8%10/10

Strong operational efficiency at 32.8%

Profit MarginProfitability
28.1%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
15.2x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.82B8/10

Generating 1.8B in free cash flow

OMCL2 strengths · Avg: 8.5/10
Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Areas to Watch

MRK3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.362/10

Expensive relative to growth rate

EPS GrowthGrowth
-19.3%2/10

Earnings declined 19.3%

OMCL4 concerns · Avg: 2.5/10
Return on EquityProfitability
1.6%3/10

ROE of 1.6% — below average capital efficiency

Profit MarginProfitability
1.7%3/10

1.7% margin — thin

PEG RatioValuation
15.402/10

Expensive relative to growth rate

P/E RatioValuation
103.4x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : OMCL

The strongest argument for OMCL centers on Debt/Equity, Price/Book. Revenue growth of 14.9% demonstrates continued momentum.

Bear Case : MRK

The primary concerns for MRK are Piotroski F-Score, PEG Ratio, EPS Growth.

Bear Case : OMCL

The primary concerns for OMCL are Return on Equity, Profit Margin, PEG Ratio. A P/E of 103.4x leaves little room for execution misses. Thin 1.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

OMCL carries more volatility with a beta of 0.86 — expect wider price swings.

OMCL is growing revenue faster at 14.9% — sustainability is the question.

MRK generates stronger free cash flow (1.8B), providing more financial flexibility.

Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MRK scores higher overall (59/100 vs 46/100), backed by strong 28.1% margins. OMCL offers better value entry with a 67.3% margin of safety. 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.

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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Omnicell Inc

HEALTHCARE · HEALTH INFORMATION SERVICES · USA

Omnicell, Inc., provides medication management automation solutions and adherence tools for health care systems and pharmacies in the United States and internationally. The company is headquartered in Mountain View, California.

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