ISRG vs MRK: Which Is the Better Buy?
Side-by-side comparison of Intuitive Surgical, Inc. and Merck & Co., Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-16.
Intuitive Surgical, Inc. · Healthcare
$388.97
+45.0% upside to fair value
Grade B
High Quality
VS
Merck & Co., Inc. · Healthcare
$113.87
-12.1% upside to fair value
Grade D
High Quality
QuantHub Verdict
ISRG has more upside to fair value
(+45.0%).
MRK trades at a lower forward P/E
(32.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
ISRG |
MRK |
| Current Price |
$388.97 |
$113.87 |
| Fair Value Estimate |
$564.01 |
$100.14 |
| Upside to Fair Value |
+45.0%
|
-12.1%
|
| Market Cap |
$137.8B |
$281.2B |
| Forward P/E |
46.5x
|
32.0x
|
| EV / EBITDA |
31.4x
|
17.3x
|
| Price / Sales |
13.0x
|
4.3x
|
| Price / FCF |
48.6x
|
19.9x
|
| Revenue Growth YoY |
+23.0%
|
+4.3%
|
| Gross Margin |
66.3%
|
75.9%
|
| Operating Margin |
30.5%
|
27.6%
|
| Return on Equity |
17.0%
|
17.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.06%
|
5.02%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
Intuitive Surgical, Inc. operates in the healthcare sector, specializing in medical devices with a strong focus on robotic-assisted surgery systems. The company demonstrates high business quality with a durable competitive moat supported by a 17.0% return on equity, robust gross margin of 66.3%, and solid operating margin of 30.5%. Revenue and earnings growth in the most recent quarter were impre…
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 |
ISRG |
MRK |
| Zone Low |
$423.01 |
$75.11 |
| Zone High |
$479.41 |
$85.12 |
| In Buy Zone? |
Yes
|
No
|