It can be difficult to assess both the pros and cons of a potential investment, but SWOT analysis is a powerful framework that can be used at the very start of that analysis. SWOT stands for strengths, weaknesses, opportunities, threats, and it's a simple way to broadly understand a new business. In the following video, health care analyst Max Macaluso illustrates SWOT analysis using Dow component Merck (MRK +0.42%) as an example.
1 Simple Way to Be a Better Investor
By Max Macaluso – Apr 25, 2013 at 6:30PM
NYSE: MRK
Merck
Market Cap
$219B
Today's Change
(0.42%) $0.37
Current Price
$87.55
Price as of October 24, 2025 at 3:58 PM ET
Trying to weight the pros and cons of a potential investment? SWOT away your worries and try this approach.
About the Author
Max is the Technology, Biopharma & Health Care Bureau Chief at Fool.com. Prior to joining the Fool, he completed a PhD in chemistry at the University of Cambridge and an MBA at the College des Ingenieurs.
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