GS vs MRK: Which Is the Better Buy?
Side-by-side comparison of The Goldman Sachs Group, Inc. and Merck & Co., Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-25.
The Goldman Sachs Group, Inc. · Financial Services
$923.29
+25.9% upside to fair value
Med Conviction
Grade C
High Quality
VS
Merck & Co., Inc. · Healthcare
$147.17
-4.1% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
GS has more upside to fair value
(+25.9%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
GS |
MRK |
| Current Price |
$923.29 |
$147.17 |
| Fair Value Estimate |
$1,162.79 |
$141.07 |
| Upside to Fair Value |
+25.9%
|
-4.1%
|
| Market Cap |
$272.4B |
$363.5B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
26.3x
|
29.6x
|
| Price / Sales |
2.3x
|
5.5x
|
| Price / FCF |
—
|
22.6x
|
| Revenue Growth YoY |
+22.9%
|
+5.1%
|
| Gross Margin |
57.3%
|
75.4%
|
| Operating Margin |
24.8%
|
16.7%
|
| Return on Equity |
17.0%
|
6.6%
|
| Dividend Yield |
1.95% |
2.31% |
| FCF Yield |
—
|
4.42%
|
| Analyst Consensus |
Hold
|
Buy
|
Investment Thesis
Goldman Sachs is a global financial services firm operating four divisions: Investment Banking, Global Markets, Asset Management, and Consumer & Wealth Management, with 46,200 full-time employees and a market cap of $272.38 billion at a current price of $923.29. The business quality is high because of its leading franchise in advisory, underwriting, and trading, evidenced by a 17.0% ROE, a 57.3% …
Merck & Co., Inc. is a global healthcare leader with two core divisions, Pharmaceuticals and Animal Health, spanning oncology, vaccines, acute hospital care, immunology, neuroscience, virology, cardiovascular and diabetes, and it employs roughly 74,000 people under CEO Robert Davis. The business quality is medium: TTM gross margin of 75.4% and TTM operating margin of 16.7% reflect a genuinely hig…
Accumulation Zones
| Metric |
GS |
MRK |
| Zone Low |
$872.09 |
$105.80 |
| Zone High |
$988.37 |
$119.91 |
| In Buy Zone? |
Yes
|
No
|