MRK vs. WST: Merck vs. West Pharmaceutical Services Stock Comparison

Company Profile

Merck (MRK) and West Pharmaceutical Services (WST) both fall under the Pharmaceuticals, Biotechnology & Life Sciences industry group, but MRK is classified in Pharmaceuticals while WST is classified in Life Sciences Tools & Services.

Price Performance

Cumulative Growth

Trailing Returns

Calendar-Year Returns

Performance Metrics

Risk Profile

Drawdown History

Return Distribution

Risk Metrics

Merck (MRK) is heavily traded at around 10.24M shares per day, whereas West Pharmaceutical Services (WST) sees a more moderate 603.86K — larger orders in the latter may require more patience and tighter control over order sizing.

Risk-Adjusted Performance

Risk-Return Positioning

Risk-Adjusted Metrics

Profitability

West Pharmaceutical Services (WST) at 21.23% sits in the top ROE quartile, while Merck (MRK) at 5.06% is closer to the peer norm — stronger capital efficiency for WST.

West Pharmaceutical Services (WST) at 18.81% converts revenue to bottom-line profit above its industry’s benchmark range, while Merck (MRK) at 3.64% keeps roughly the typical share for its industry.

Both Merck (MRK) at 35.22% and West Pharmaceutical Services (WST) at 25.37% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

Profitability Metrics

Growth

Both Merck (MRK) at 1.31% and West Pharmaceutical Services (WST) at 6.25% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Both Merck (MRK) at 8.01% and West Pharmaceutical Services (WST) at 1.49% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Growth Metrics

Financial Strength

West Pharmaceutical Services (WST) at 2.82 keeps current ratio within its industry’s typical mid-range, while Merck (MRK) at 1.35 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for MRK.

West Pharmaceutical Services (WST) at 0.11 carries an industry-typical debt-to-equity mix, while Merck (MRK) at 1.20 uses more debt funding than most peers.

Financial Strength Metrics

Dividends

Both Merck (MRK) at 2.29% and West Pharmaceutical Services (WST) at 0.22% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

Merck (MRK) reports payout ratio above 100% at 343.43%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile West Pharmaceutical Services (WST) reports 9.88%, ranking against industry peers normally.

Dividend Metrics

Valuation

Both look expensive on trailing earnings: West Pharmaceutical Services (WST) at 44.87 sits in the richer P/E ratio quartile, and Merck (MRK) at 148.21 is richer still, above its industry range.

On P/S ratio, both Merck (MRK) at 5.37 and West Pharmaceutical Services (WST) at 8.20 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

Both Merck (MRK) at 8.06 and West Pharmaceutical Services (WST) at 9.40 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.

Valuation Metrics