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ELMD vs MRK

ELMD
Electromed, Inc.
BULLISH
Price
$26.39
Market Cap
$218.4M
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
ELMD
25.62
MRK
16.66
Forward P/E
ELMD
43.26
MRK
12.42
P/B Ratio
ELMD
4.81
MRK
5.7
P/S Ratio
ELMD
3.17
MRK
4.61
EV/EBITDA
ELMD
15.89
MRK
11.46

Profitability

Gross Margin
ELMD
78.23%
MRK
77.21%
Operating Margin
ELMD
19.16%
MRK
32.77%
Profit Margin
ELMD
13.06%
MRK
28.08%
ROE
ELMD
20.2%
MRK
36.88%
ROA
ELMD
13.62%
MRK
12.04%

Growth

Revenue Growth
ELMD
16.3%
MRK
5.0%
Earnings Growth
ELMD
45.5%
MRK
-19.3%

Financial Health

Debt/Equity
ELMD
0.0
MRK
0.96
Current Ratio
ELMD
4.86
MRK
1.54
Quick Ratio
ELMD
4.39
MRK
0.96

Dividends

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

AI Verdict

ELMD BULLISH

ELMD exhibits exceptional financial health, anchored by a strong Piotroski F-Score of 8/9 and a debt-free balance sheet (Debt/Equity 0.00). While the Graham Number suggests a defensive value of $11.28, the stock's growth profile—highlighted by a very low PEG ratio of 0.35 and consistent earnings beats—justifies its current premium. With an intrinsic value of $30.39 and an analyst target of $37.00, the stock is well-positioned for further upside. The combination of high gross margins (78.23%) and strong ROE (20.20%) indicates a highly efficient business model.

Strengths
Exceptional financial health with a Piotroski F-Score of 8/9
Zero debt and high liquidity (Current Ratio 4.86)
Strong profitability with 78.23% gross margins and 20.20% ROE
Risks
Forward P/E (43.26) is significantly higher than current P/E (25.62), suggesting potential earnings deceleration
Low insider sentiment and lack of recent insider buying activity
Small market cap ($0.22B) may lead to higher price volatility
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

ELMD vs MRK: Head-to-Head Comparison

This page compares Electromed, Inc. (ELMD) 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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