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HRMY vs MRK

HRMY
Harmony Biosciences Holdings, Inc.
NEUTRAL
Price
$28.89
Market Cap
$1.67B
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
HRMY
10.74
MRK
16.66
Forward P/E
HRMY
4.99
MRK
12.42
P/B Ratio
HRMY
1.92
MRK
5.7
P/S Ratio
HRMY
1.93
MRK
4.61
EV/EBITDA
HRMY
4.55
MRK
11.46

Profitability

Gross Margin
HRMY
77.16%
MRK
77.21%
Operating Margin
HRMY
15.82%
MRK
32.77%
Profit Margin
HRMY
18.27%
MRK
28.08%
ROE
HRMY
20.75%
MRK
36.88%
ROA
HRMY
11.47%
MRK
12.04%

Growth

Revenue Growth
HRMY
21.1%
MRK
5.0%
Earnings Growth
HRMY
-55.0%
MRK
-19.3%

Financial Health

Debt/Equity
HRMY
0.19
MRK
0.96
Current Ratio
HRMY
3.6
MRK
1.54
Quick Ratio
HRMY
3.46
MRK
0.96

Dividends

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

AI Verdict

HRMY NEUTRAL

HRMY presents a dichotomy between a rock-solid balance sheet and deteriorating earnings performance. The Piotroski F-Score of 4/9 indicates stable financial health, supported by an exceptionally low Debt/Equity ratio (0.19) and strong liquidity (Current Ratio 3.60). However, these strengths are offset by a severe -55% YoY earnings contraction and a bearish insider sentiment characterized by C-suite selling. While the stock trades near its Graham Number ($30.21) and boasts an attractive Forward P/E of 4.99, the disconnect between analyst targets ($42.00) and current growth trends suggests significant volatility ahead.

Strengths
Very low leverage with a Debt/Equity ratio of 0.19
Strong liquidity position with a Current Ratio of 3.60
High gross profit margins at 77.16%
Risks
Severe earnings decline (-55% YoY and -64.8% Q/Q EPS growth)
Bearish insider activity with significant selling by the CEO and CFO
Poor recent earnings track record, beating only 1 of the last 4 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

HRMY vs MRK: Head-to-Head Comparison

This page compares Harmony Biosciences Holdings, Inc. (HRMY) 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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