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AMRX vs MRK

AMRX
Amneal Pharmaceuticals, Inc.
BEARISH
Price
$11.83
Market Cap
$3.72B
Sector
Healthcare
AI Confidence
85%
MRK
Merck & Co., Inc.
NEUTRAL
Price
$121.25
Market Cap
$299.79B
Sector
Healthcare
AI Confidence
90%

Valuation

P/E Ratio
AMRX
53.77
MRK
16.66
Forward P/E
AMRX
10.12
MRK
12.42
P/B Ratio
AMRX
-52.58
MRK
5.7
P/S Ratio
AMRX
1.23
MRK
4.61
EV/EBITDA
AMRX
9.62
MRK
11.46

Profitability

Gross Margin
AMRX
37.38%
MRK
77.21%
Operating Margin
AMRX
14.06%
MRK
32.77%
Profit Margin
AMRX
2.39%
MRK
28.08%
ROE
AMRX
--
MRK
36.88%
ROA
AMRX
7.32%
MRK
12.04%

Growth

Revenue Growth
AMRX
11.5%
MRK
5.0%
Earnings Growth
AMRX
--
MRK
-19.3%

Financial Health

Debt/Equity
AMRX
450.95
MRK
0.96
Current Ratio
AMRX
2.17
MRK
1.54
Quick Ratio
AMRX
1.39
MRK
0.96

Dividends

Dividend Yield
AMRX
--
MRK
2.83%
Payout Ratio
AMRX
0.0%
MRK
45.05%

AI Verdict

AMRX BEARISH

AMRX's Piotroski F-Score of 4/9 indicates weak financial health, falling into the 'Weak' range, which raises concerns about operational efficiency and profitability sustainability. The absence of an Altman Z-Score and a Debt/Equity ratio of 450.96 signal extreme leverage and potential distress risk, severely undermining financial stability. Despite strong revenue growth (11.5% YoY) and impressive earnings surprises (average +26.6% over last 4 quarters), the stock trades at a forward P/E of 10.12 but a trailing P/E of 53.77, suggesting overvaluation relative to current earnings. The lack of dividends, negative Price/Book, and bearish insider activity further erode investor confidence. The stock's 1-month decline of 19.5% reflects deteriorating market sentiment despite a strong 3-year return.

Strengths
Strong revenue growth of 11.5% YoY
Consistently beating earnings estimates in 3 of last 4 quarters
High average earnings surprise of 26.64% over last 4 quarters
Risks
Piotroski F-Score of 4/9 indicates weak financial health and operational instability
Debt/Equity ratio of 450.96 is extremely high, signaling severe financial leverage and distress risk
No Altman Z-Score available, but the debt level implies potential bankruptcy risk
MRK NEUTRAL

MRK shows neutral fundamentals based on deterministic rules. Financial strength is weak (F-Score 3/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (28.1% margin)
Strong ROE of 36.9%
Risks
Premium vs Graham Number ($59.01)
Weak financial trend (Piotroski F-Score: 3/9)

Compare Another Pair

AMRX vs MRK: Head-to-Head Comparison

This page compares Amneal Pharmaceuticals, Inc. (AMRX) and Merck & Co., Inc. (MRK) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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