HON vs MRK: Which Is the Better Buy?
Side-by-side comparison of Honeywell International Inc. and Merck & Co., Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-20.
Honeywell International Inc. · Industrials
$213.17
-14.5% upside to fair value
Grade D
VS
Merck & Co., Inc. · Healthcare
$114.27
+3.3% upside to fair value
Grade C
High Quality
QuantHub Verdict
MRK has more upside to fair value
(+3.3%).
MRK trades at a lower forward P/E
(22.4x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
HON |
MRK |
| Current Price |
$213.17 |
$114.27 |
| Fair Value Estimate |
$182.35 |
$118.00 |
| Upside to Fair Value |
-14.5%
|
+3.3%
|
| Market Cap |
$135.1B |
$282.2B |
| Forward P/E |
33.0x
|
22.4x
|
| EV / EBITDA |
23.9x
|
13.5x
|
| Price / Sales |
3.7x
|
4.3x
|
| Price / FCF |
32.4x
|
20.2x
|
| Revenue Growth YoY |
-6.9%
|
+5.0%
|
| Gross Margin |
36.9%
|
81.9%
|
| Operating Margin |
14.9%
|
27.5%
|
| Return on Equity |
23.6%
|
5.6%
|
| Dividend Yield |
0% |
2.91% |
| FCF Yield |
3.09%
|
4.95%
|
| Analyst Consensus |
Buy
|
Overweight
|
Investment Thesis
Honeywell International Inc. is a diversified industrial conglomerate operating across Aerospace Technologies, Building Automation, Process Automation and Technology, and Safety and Productivity Solutions. The company benefits from a strong leadership team with deep internal experience and a history of strategic acquisitions that have expanded its portfolio into high-growth areas such as aerospac…
Merck delivered a clean Q1 2026 operational beat on April 30, with revenue of 16.3 billion dollars growing 5 percent year over year and Keytruda sales rising 12 percent to 8.0 billion dollars. The reported loss of 1.28 dollars per share, though better than the negative 1.47 dollar consensus estimate, reflected a 3.62 dollar per share IPR and D charge tied to the Cidara Therapeutics acquisition an…
Accumulation Zones
| Metric |
HON |
MRK |
| Zone Low |
$136.76 |
$88.50 |
| Zone High |
$155.00 |
$100.30 |
| In Buy Zone? |
No
|
No
|