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INSP vs MRK

INSP
Inspire Medical Systems, Inc.
BULLISH
Price
$55.11
Market Cap
$1.59B
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
INSP
11.27
MRK
16.66
Forward P/E
INSP
21.32
MRK
12.42
P/B Ratio
INSP
2.02
MRK
5.7
P/S Ratio
INSP
1.74
MRK
4.61
EV/EBITDA
INSP
20.02
MRK
11.46

Profitability

Gross Margin
INSP
85.39%
MRK
77.21%
Operating Margin
INSP
17.14%
MRK
32.77%
Profit Margin
INSP
15.95%
MRK
28.08%
ROE
INSP
19.77%
MRK
36.88%
ROA
INSP
3.71%
MRK
12.04%

Growth

Revenue Growth
INSP
12.2%
MRK
5.0%
Earnings Growth
INSP
308.4%
MRK
-19.3%

Financial Health

Debt/Equity
INSP
0.04
MRK
0.96
Current Ratio
INSP
6.08
MRK
1.54
Quick Ratio
INSP
4.46
MRK
0.96

Dividends

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

AI Verdict

INSP BULLISH

INSP exhibits strong fundamental health with a Piotroski F-Score of 7/9 and an exceptionally clean balance sheet (Debt/Equity 0.04). While the stock has suffered a severe multi-year price collapse, it is currently trading almost exactly at its Graham Number ($54.84), suggesting it has reached a defensive valuation floor. The massive disconnect between the current price ($55.11) and the growth-based intrinsic value ($144.25), coupled with explosive earnings growth (308.4% YoY), presents a compelling value-growth opportunity. Despite bearish technicals and insider selling, the underlying profitability and liquidity metrics are superior to sector averages.

Strengths
Strong financial health indicated by Piotroski F-Score of 7/9
Exceptional gross margins (85.39%) and healthy ROE (19.77%)
Negligible debt levels (Debt/Equity 0.04) and high liquidity (Current Ratio 6.08)
Risks
Severe long-term price deterioration (5Y Change: -77.1%)
Bearish insider sentiment with recent selling activity
Strongly bearish technical trend (0/100 score)
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

INSP vs MRK: Head-to-Head Comparison

This page compares Inspire Medical Systems, Inc. (INSP) 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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