DE vs MRK: Which Is the Better Buy?
Side-by-side comparison of Deere & Company and Merck & Co., Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-09.
Deere & Company · Industrials
$596.74
-29.8% upside to fair value
Grade C
High Quality
VS
Merck & Co., Inc. · Healthcare
$113.87
-12.1% upside to fair value
Grade D
High Quality
QuantHub Verdict
MRK has more upside to fair value
(-12.1%).
MRK trades at a lower forward P/E
(32.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
DE |
MRK |
| Current Price |
$596.74 |
$113.87 |
| Fair Value Estimate |
$418.72 |
$100.14 |
| Upside to Fair Value |
-29.8%
|
-12.1%
|
| Market Cap |
$161.1B |
$281.2B |
| Forward P/E |
33.7x
|
32.0x
|
| EV / EBITDA |
19.0x
|
17.3x
|
| Price / Sales |
3.4x
|
4.3x
|
| Price / FCF |
42.8x
|
19.9x
|
| Revenue Growth YoY |
+6.7%
|
+4.3%
|
| Gross Margin |
35.4%
|
75.9%
|
| Operating Margin |
18.4%
|
27.6%
|
| Return on Equity |
18.3%
|
17.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.34%
|
5.02%
|
| Analyst Consensus |
Hold
|
Hold
|
Investment Thesis
Deere & Company operates in the agricultural machinery sector, providing durable equipment critical to farming and construction industries. The business quality is high, supported by a strong 18.3% return on equity and solid gross and operating margins of 35.4% and 18.4%, respectively. However, the stock is currently overvalued, trading approximately 30% above its fair value estimate of $418.72, …
Merck & Co., Inc. is a leading global healthcare company specializing in pharmaceuticals, vaccines, and animal health products. Its business quality is high, supported by a durable competitive moat anchored in the dominant global position of Keytruda in PD-1/PD-L1 oncology, a strong vaccines portfolio including Gardasil, and scale in R&D and manufacturing. The company benefits from a seasoned lea…
Accumulation Zones
| Metric |
DE |
MRK |
| Zone Low |
$314.04 |
$75.11 |
| Zone High |
$355.91 |
$85.12 |
| In Buy Zone? |
No
|
No
|