MRK vs SBUX: Which Is the Better Buy?
Side-by-side comparison of Merck & Co., Inc. and Starbucks Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
Merck & Co., Inc. · Healthcare
$113.87
-12.1% upside to fair value
Grade D
High Quality
VS
Starbucks Corporation · Consumer Cyclical
$100.65
-6.1% upside to fair value
Grade D
QuantHub Verdict
SBUX has more upside to fair value
(-6.1%).
MRK trades at a lower forward P/E
(32.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
MRK |
SBUX |
| Current Price |
$113.87 |
$100.65 |
| Fair Value Estimate |
$100.14 |
$94.50 |
| Upside to Fair Value |
-12.1%
|
-6.1%
|
| Market Cap |
$281.2B |
$114.7B |
| Forward P/E |
32.0x
|
76.7x
|
| EV / EBITDA |
17.3x
|
25.6x
|
| Price / Sales |
4.3x
|
3.0x
|
| Price / FCF |
19.9x
|
42.1x
|
| Revenue Growth YoY |
+4.3%
|
+8.8%
|
| Gross Margin |
75.9%
|
20.4%
|
| Operating Margin |
27.6%
|
9.3%
|
| Return on Equity |
17.9%
|
-18.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
5.02%
|
2.38%
|
| Analyst Consensus |
Hold
|
Hold
|
Investment Thesis
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…
Starbucks Corporation operates a global coffeehouse chain with a strong brand and a leading digital/mobile platform, serving approximately 90 million customers weekly through over 28,000 stores in 77 countries. The company benefits from a durable competitive moat based on its extensive store footprint, brand recognition, and digital engagement rather than proprietary products. Despite solid reven…
Accumulation Zones
| Metric |
MRK |
SBUX |
| Zone Low |
$75.11 |
$70.88 |
| Zone High |
$85.12 |
$80.33 |
| In Buy Zone? |
No
|
No
|