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GEHC vs MRK

GEHC
GE HealthCare Technologies Inc.
NEUTRAL
Price
$72.91
Market Cap
$33.27B
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
GEHC
16.2
MRK
16.66
Forward P/E
GEHC
13.1
MRK
12.42
P/B Ratio
GEHC
3.2
MRK
5.7
P/S Ratio
GEHC
1.61
MRK
4.61
EV/EBITDA
GEHC
10.82
MRK
11.46

Profitability

Gross Margin
GEHC
39.98%
MRK
77.21%
Operating Margin
GEHC
15.72%
MRK
32.77%
Profit Margin
GEHC
10.1%
MRK
28.08%
ROE
GEHC
22.38%
MRK
36.88%
ROA
GEHC
5.47%
MRK
12.04%

Growth

Revenue Growth
GEHC
7.1%
MRK
5.0%
Earnings Growth
GEHC
-17.7%
MRK
-19.3%

Financial Health

Debt/Equity
GEHC
0.99
MRK
0.96
Current Ratio
GEHC
1.37
MRK
1.54
Quick Ratio
GEHC
1.01
MRK
0.96

Dividends

Dividend Yield
GEHC
0.19%
MRK
2.83%
Payout Ratio
GEHC
3.08%
MRK
45.05%

AI Verdict

GEHC NEUTRAL

GEHC presents a stark contrast between analyst optimism and deterministic fundamental health. The Piotroski F-Score of 3/9 indicates weak financial health, and the current price of $72.91 trades at a significant premium to both the Graham Number ($48.02) and the Intrinsic Value ($31.50). While the company maintains strong ROE (22.38%) and consistent earnings beats, the negative YoY earnings growth (-17.70%) and bearish technical trend suggest a period of instability. The stock is fundamentally overvalued based on deterministic models, though it remains cheaper than the broader healthcare sector average P/E.

Strengths
Strong Return on Equity (ROE) of 22.38%
Consistent track record of beating quarterly earnings estimates (3/4 last year)
Low P/E ratio (16.20) relative to the healthcare sector average (44.85)
Risks
Weak Piotroski F-Score (3/9) signaling deteriorating fundamentals
Significant negative earnings growth (-17.70% YoY)
Current price is substantially higher than Graham and Intrinsic value estimates
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

GEHC vs MRK: Head-to-Head Comparison

This page compares GE HealthCare Technologies Inc. (GEHC) 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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