Comprehensive Stock Comparison
Compare Merck & Co., Inc. (MRK) vs Grifols, S.A. (GRFS) Stock
Analyze side-by-side fundamentals, valuation, growth, and profitability to decide which stock is the better buy.
Selected Stocks
Add up to 10 tickers. Use presets or search to get started.
Quick Verdict
| Category | Winner | Why |
|---|---|---|
| Growth | GRFS | 9.4% revenue growth vs MRK's 1.3% |
| Value | GRFS | Lower P/E (10.0x vs 24.0x) |
| Quality / Margins | MRK | 28.1% net margin vs GRFS's 5.0% |
| Stability / Safety | MRK | Beta 0.43 vs GRFS's 0.90 |
| Dividends | GRFS | 0.0% yield; 1-year raise streak; MRK pays no meaningful dividend |
| Momentum (1Y) | MRK | +37.7% vs GRFS's +9.5% |
Who Each Stock Is For
Income & stability
Growth exposure
Long-term compounding (10Y)
Sleep-well-at-night portfolio
Defensive / Recession hedge
Business Model
What each company does and how it makes money
Merck & Co. is a global pharmaceutical company that develops and markets prescription medicines, vaccines, and animal health products. It generates revenue primarily from its Pharmaceutical segment — including blockbuster cancer drug Keytruda — which accounts for roughly 90% of sales, with the remaining 10% coming from Animal Health products. The company's key competitive advantage lies in its deep oncology franchise, particularly Keytruda's dominant position in immuno-oncology, supported by extensive clinical data and patent protection.
Grifols is a global healthcare company that specializes in plasma-derived medicines and diagnostic solutions. It generates revenue primarily from plasma-derived therapies (~70% of sales) and diagnostic products, with additional income from hospital supplies and biological materials for research. The company's competitive advantage lies in its vertically integrated plasma collection network—one of the world's largest—which provides a reliable supply of raw plasma for its proprietary manufacturing processes.
Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Financial Metrics Comparison
Side-by-side fundamentals across 2 stocks. BestLagging
Financial Scorecard
MRK leads in 5 of 6 categories (Financial Metrics, Profitability & Efficiency). GRFS leads in 1 (Valuation Metrics).
Financial Metrics (TTM)
MRK is the larger business by revenue, generating $65.0B annually — 8.6x GRFS's $7.5B. MRK is the more profitable business, keeping 28.1% of every revenue dollar as net income compared to GRFS's 5.0%.
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| RevenueTrailing 12 months | $65.0B | $7.5B |
| EBITDAEarnings before interest/tax | $31.1B | $1.7B |
| Net IncomeAfter-tax profit | $18.3B | $373M |
| Free Cash FlowCash after capex | $10.5B | $851M |
| Gross MarginGross profit ÷ Revenue | +81.5% | +39.5% |
| Operating MarginEBIT ÷ Revenue | +41.2% | +18.3% |
| Net MarginNet income ÷ Revenue | +28.1% | +5.0% |
| FCF MarginFCF ÷ Revenue | +16.2% | +11.3% |
| Rev. Growth (YoY)Latest quarter vs prior year | +5.0% | +4.0% |
| EPS Growth (YoY)Latest quarter vs prior year | -19.6% | +149.7% |
Valuation Metrics
At 17.0x trailing earnings, MRK trades at a 49% valuation discount to GRFS's 33.5x P/E. On an enterprise value basis, GRFS's 6.8x EV/EBITDA is more attractive than MRK's 9.9x.
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| Market CapShares × price | $307.2B | $2.3B |
| Enterprise ValueMkt cap + debt − cash | $307.2B | $13.1B |
| Trailing P/EPrice ÷ TTM EPS | 17.00x | 33.54x |
| Forward P/EPrice ÷ next-FY EPS est. | 24.05x | 9.97x |
| PEG RatioP/E ÷ EPS growth rate | 0.80x | — |
| EV / EBITDAEnterprise value multiple | 9.89x | 6.81x |
| Price / SalesMarket cap ÷ Revenue | 4.73x | 0.28x |
| Price / BookPrice ÷ Book value/share | 5.98x | 0.61x |
| Price / FCFMarket cap ÷ FCF | — | 3.75x |
Profitability & Efficiency
MRK delivers a 35.2% return on equity — every $100 of shareholder capital generates $35 in annual profit, vs $5 for GRFS. On the Piotroski fundamental quality scale (0–9), GRFS scores 8/9 vs MRK's 2/9, reflecting strong financial health.
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| ROE (TTM)Return on equity | +35.2% | +4.9% |
| ROA (TTM)Return on assets | — | +1.9% |
| ROICReturn on invested capital | +32.6% | +5.0% |
| ROCEReturn on capital employed | — | +6.3% |
| Piotroski ScoreFundamental quality 0–9 | 2 | 8 |
| Debt / EquityFinancial leverage | — | 1.17x |
| Net DebtTotal debt minus cash | $0 | $9.1B |
| Cash & Equiv.Liquid assets | — | $980M |
| Total DebtShort + long-term debt | $0 | $10.1B |
| Interest CoverageEBIT ÷ Interest expense | 25.93x | 2.58x |
Total Returns (with DRIP)
A $10,000 investment in MRK five years ago would be worth $20,074 today (with dividends reinvested), compared to $5,827 for GRFS. Over the past 12 months, MRK leads with a +37.7% total return vs GRFS's +9.5%. The 3-year compound annual growth rate (CAGR) favors MRK at 7.8% vs GRFS's 2.2% — a key indicator of consistent wealth creation.
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| YTD ReturnYear-to-date | +16.3% | -1.5% |
| 1-Year ReturnPast 12 months | +37.7% | +9.5% |
| 3-Year ReturnCumulative with dividends | +25.3% | +6.7% |
| 5-Year ReturnCumulative with dividends | +100.7% | -41.7% |
| 10-Year ReturnCumulative with dividends | +210.2% | -31.4% |
| CAGR (3Y)Annualised 3-year return | +7.8% | +2.2% |
Risk & Volatility
MRK is the less volatile stock with a 0.43 beta — it tends to amplify market swings less than GRFS's 0.90 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. MRK currently trades 98.9% from its 52-week high vs GRFS's 81.7% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.43x | 0.90x |
| 52-Week HighHighest price in past year | $125.14 | $11.14 |
| 52-Week LowLowest price in past year | $73.31 | $6.19 |
| % of 52W HighCurrent price vs 52-week peak | +98.9% | +81.7% |
| RSI (14)Momentum oscillator 0–100 | 56.0 | 43.0 |
| Avg Volume (50D)Average daily shares traded | 10.8M | 390K |
Analyst Outlook
Wall Street rates MRK as "Buy" and GRFS as "Buy".
| Metric | MRKMerck & Co., Inc. | GRFSGrifols, S.A. |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $123.92 | — |
| # AnalystsCovering analysts | 36 | 8 |
| Dividend YieldAnnual dividend ÷ price | — | +0.0% |
| Dividend StreakConsecutive years of raises | 13 | 1 |
| Dividend / ShareAnnual DPS | — | $0.00 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | 0.0% |
Historical Charts
Charts are rendered on first load. Hover for details.
Chart 1Total Return — 5 Years (Rebased to 100)
| Stock | Mar 20 | Feb 26 | Change |
|---|---|---|---|
| Merck & Co., Inc. (MRK) | 100 | 146.11 | +46.1% |
| Grifols, S.A. (GRFS) | 100 | 40.82 | -59.2% |
Merck & Co., Inc. (MRK) returned +101% over 5 years vs Grifols, S.A. (GRFS)'s -42%. A $10,000 investment in MRK 5 years ago would be worth $20,074 today (including dividends reinvested).
Chart 2Revenue Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Merck & Co., Inc. (MRK) | $39.8B | $65.0B | +63.3% |
| Grifols, S.A. (GRFS) | $4.0B | $7.2B | +78.1% |
Merck & Co., Inc.'s revenue grew from $39.8B (2016) to $65.0B (2025) — a 5.6% CAGR.
Chart 3Net Margin Trend — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Merck & Co., Inc. (MRK) | 9.8% | 28.1% | +185.1% |
| Grifols, S.A. (GRFS) | 13.5% | 2.2% | -83.8% |
Merck & Co., Inc.'s net margin went from 10% (2016) to 28% (2025).
Chart 4P/E Ratio History — 9 Years
| Stock | 2017 | 2025 | Change |
|---|---|---|---|
| Merck & Co., Inc. (MRK) | 57.7 | 14.5 | -74.9% |
| Grifols, S.A. (GRFS) | 23.6 | 32.3 | +36.9% |
Merck & Co., Inc. has traded in a 15x–58x P/E range over 8 years; current trailing P/E is ~17x. Grifols, S.A. has traded in a 21x–128x P/E range over 8 years; current trailing P/E is ~34x.
Chart 5EPS Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Merck & Co., Inc. (MRK) | 2.04 | 7.28 | +256.9% |
| Grifols, S.A. (GRFS) | 0.8 | 0.23 | -71.3% |
Merck & Co., Inc.'s EPS grew from $2.04 (2016) to $7.28 (2025) — a 15% CAGR.
Chart 6Free Cash Flow — 5 Years
Merck & Co., Inc. generated $0M FCF in 2025 (-100% vs 2021). Grifols, S.A. generated $531M FCF in 2024 (+52% vs 2021).
MRK vs GRFS: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is MRK or GRFS a better buy right now?
Merck & Co., Inc. (MRK) offers the better valuation at 17.0x trailing P/E (24.0x forward), making it the more compelling value choice. Analysts rate Merck & Co., Inc. (MRK) a "Buy" — based on 36 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — MRK or GRFS?
On trailing P/E, Merck & Co., Inc. (MRK) is the cheapest at 17.0x versus Grifols, S.A. at 33.5x. On forward P/E, Grifols, S.A. is actually cheaper at 10.0x — notably different from the trailing picture, reflecting expected earnings growth.
03Which is the better long-term investment — MRK or GRFS?
Over the past 5 years, Merck & Co., Inc. (MRK) delivered a total return of +100.7%, compared to -41.7% for Grifols, S.A. (GRFS). A $10,000 investment in MRK five years ago would be worth approximately $20K today (assuming dividends reinvested). Over 10 years, the gap is even starker: MRK returned +210.2% versus GRFS's -31.4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — MRK or GRFS?
By beta (market sensitivity over 5 years), Merck & Co., Inc. (MRK) is the lower-risk stock at 0.43β versus Grifols, S.A.'s 0.90β — meaning GRFS is approximately 109% more volatile than MRK relative to the S&P 500.
05Which has better profit margins — MRK or GRFS?
Merck & Co., Inc. (MRK) is the more profitable company, earning 28.1% net margin versus 2.2% for Grifols, S.A. — meaning it keeps 28.1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MRK leads at 41.2% versus 16.5% for GRFS. At the gross margin level — before operating expenses — MRK leads at 81.5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is MRK or GRFS more undervalued right now?
On forward earnings alone, Grifols, S.A. (GRFS) trades at 10.0x forward P/E versus 24.0x for Merck & Co., Inc. — 14.1x cheaper on a one-year earnings basis.
07Which pays a better dividend — MRK or GRFS?
None of the stocks in this comparison currently pay a material dividend. All are effectively zero-yield and should be held for capital appreciation rather than income.
08Is MRK or GRFS better for a retirement portfolio?
For long-horizon retirement investors, Merck & Co., Inc. (MRK) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.43), +210.2% 10Y return). Both have compounded well over 10 years (MRK: +210.2%, GRFS: -31.4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between MRK and GRFS?
Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. In terms of investment character: MRK is a large-cap deep-value stock; GRFS is a small-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that beat both.