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MRK vs PHAT

MRK
Merck & Co., Inc.
NEUTRAL
Price
$121.25
Market Cap
$299.79B
Sector
Healthcare
AI Confidence
90%
PHAT
Phathom Pharmaceuticals, Inc.
BULLISH
Price
$12.61
Market Cap
$1.0B
Sector
Healthcare
AI Confidence
75%

Valuation

P/E Ratio
MRK
16.66
PHAT
--
Forward P/E
MRK
12.42
PHAT
8.17
P/B Ratio
MRK
5.7
PHAT
-2.06
P/S Ratio
MRK
4.61
PHAT
5.72
EV/EBITDA
MRK
11.46
PHAT
-9.12

Profitability

Gross Margin
MRK
77.21%
PHAT
87.09%
Operating Margin
MRK
32.77%
PHAT
-10.29%
Profit Margin
MRK
28.08%
PHAT
-126.35%
ROE
MRK
36.88%
PHAT
--
ROA
MRK
12.04%
PHAT
-31.37%

Growth

Revenue Growth
MRK
5.0%
PHAT
94.1%
Earnings Growth
MRK
-19.3%
PHAT
--

Financial Health

Debt/Equity
MRK
0.96
PHAT
--
Current Ratio
MRK
1.54
PHAT
1.73
Quick Ratio
MRK
0.96
PHAT
1.58

Dividends

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

AI Verdict

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)
PHAT BULLISH

PHAT presents a classic high-growth biotechnology profile, anchored by a stable Piotroski F-Score of 4/9 and an impressive 94.10% YoY revenue growth. While the company currently operates with deeply negative profit margins (-126.35%) and negative book value, the Forward P/E of 8.17 is exceptionally attractive compared to the healthcare sector average of 88.62. Strong analyst conviction with a target price of $23.70 and a consistent track record of earnings beats suggest a rapid transition toward profitability. The primary headwinds are technical bearishness and negative insider sentiment, which contrast with the strong fundamental growth trajectory.

Strengths
Hyper-growth revenue expansion (94.10% YoY)
Strong gross margins (87.09%) indicating high product value
Significant analyst upside with a target price of $23.70 (Strong Buy)
Risks
Severe current net losses (Profit Margin -126.35%)
Negative shareholder equity (Price/Book -2.06)
Bearish insider trading activity

Compare Another Pair

MRK vs PHAT: Head-to-Head Comparison

This page compares Merck & Co., Inc. (MRK) and Phathom Pharmaceuticals, Inc. (PHAT) 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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