Risk factor
Very poor trading liquidity
Profitability factor
Greatly undervalued vs peers
About
Operating in Indonesia, PT Merck Tbk is a pharmaceutical company focused on the production and distribution of medicinal products. Its business operations are structured into three main divisions: Biopharma, Consumer Health, and an 'Others' segment. The company provides healthcare solutions addressing a broad spectrum of therapeutic areas, including conditions related to the cardiovascular system, metabolism, oncology, endocrinology, fertility, and neurodegenerative disorders, alongside general pharmaceutical offerings. Furthermore, PT Merck Tbk is actively involved in the discovery, development, production, and commercialization of both pharmaceutical and biological prescription drugs. These medicines target specific conditions such as colorectal and head and neck cancers, multiple sclerosis, infertility, growth hormone imbalances, diabetes, and various thyroid conditions like hyperthyroidism and hypothyroidism. Beyond its core pharmaceutical activities, the company also engages in property leasing and management. Established in 1970 and headquartered in East Jakarta, Indonesia, the company was originally known as PT Merck Indonesia Tbk before adopting its current name, PT Merck Tbk, in June 2002. It operates as a subsidiary of Merck Holding GmbH.
Company Valuation
Considering past and projected metrics, the stock is distinctly 'cheaper' than its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBITDA, undervalue