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HIMS vs MRK

HIMS
Hims & Hers Health, Inc.
NEUTRAL
Price
$29.39
Market Cap
$6.7B
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
HIMS
57.63
MRK
16.66
Forward P/E
HIMS
21.31
MRK
12.42
P/B Ratio
HIMS
12.35
MRK
5.7
P/S Ratio
HIMS
2.85
MRK
4.61
EV/EBITDA
HIMS
41.23
MRK
11.46

Profitability

Gross Margin
HIMS
73.83%
MRK
77.21%
Operating Margin
HIMS
2.72%
MRK
32.77%
Profit Margin
HIMS
5.47%
MRK
28.08%
ROE
HIMS
25.23%
MRK
36.88%
ROA
HIMS
5.29%
MRK
12.04%

Growth

Revenue Growth
HIMS
28.4%
MRK
5.0%
Earnings Growth
HIMS
-17.4%
MRK
-19.3%

Financial Health

Debt/Equity
HIMS
2.07
MRK
0.96
Current Ratio
HIMS
1.9
MRK
1.54
Quick Ratio
HIMS
1.51
MRK
0.96

Dividends

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

AI Verdict

HIMS NEUTRAL

HIMS demonstrates strong operational health with a Piotroski F-Score of 7/9, signaling robust financial trends and efficiency. However, the stock is severely overvalued from a deterministic standpoint, trading at $29.39 against a Graham Number of $5.23 and an Intrinsic Value of $3.57. While revenue growth is strong (28.4%) and gross margins are impressive (73.83%), the valuation premium is extreme. This, combined with bearish insider selling and a negative technical trend, offsets the company's fundamental operational strengths.

Strengths
Strong Piotroski F-Score (7/9) indicating high financial health
Excellent Gross Margins (73.83%) providing significant pricing power
Consistent Revenue Growth (28.4% YoY and Q/Q)
Risks
Extreme valuation gap between current price and deterministic fair value
Bearish insider activity, specifically consistent selling by the CFO
Negative Year-over-Year earnings growth (-17.40%)
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

HIMS vs MRK: Head-to-Head Comparison

This page compares Hims & Hers Health, Inc. (HIMS) 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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