Please ensure Javascript is enabled for purposes of website accessibility
Free Article Join Over 1 Million Premium Members And Get More In-Depth Stock Guidance and Research

Better Buy: Universal Display vs. Merck

By Simon Erickson and Dave Williamson - Mar 20, 2014 at 11:25AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

We've collected the most popular companies among Fool.com readers and put them head to head in a good old-fashioned challenge we're calling The Motley Fool Better-Buy Tournament.

In today's ­first round match-up of The Motley Fool Better-Buy Tournament, Universal Display squares off against Merck in a battle to determine which stock is the better buy now. The 64-company tournament pits two Motley Fool analysts against each as they make the case for their stocks with the winner determined by you, the readers.

Universal Display ( OLED -0.97% ) is bringing things to light, according to Motley Fool analyst Simon Erickson. The company's organic light emitting diodes ("OLED"s) shine brighter and consume less power than traditional technologies. A boatload of new opportunities are coming online in 2014 -- including LG's big-screen televisions, Samsung's Smartphones and tablets, and a new class of wearable electronic devices. This spells big growth for the company's OLED material sales, which increased 115% last year and drove revenue and profits to record levels. As the world becomes increasingly mobile and power-conscious, look for OLED to continue to shine.

Motley Fool healthcare analyst David Williamson argues that despite near-term challenges, Merck's ( MRK -0.74% ) strong pipeline and exciting reorganization makes it an easy winner. Merck's underated pipeline is teaming with blockbuster potential, but no drug is more exciting than its groundbreaking immuno-oncology asset MK3475. Also, Merck has its famed consumer unit -- maker of Dr. Scholl's, Claritin, and Coppertone sunscreen -- on the block for a rumored $11 billion, which if completed should lead to more share buybacks, increased dividends, or both.

Watch these analysts square off in the video below and then vote for a winner. Then check out the other companies in the Motley Fool Better-Buy Bracket

This year's winning stock?
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.

Cast your vote in the poll below the video!

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Merck & Co., Inc. Stock Quote
Merck & Co., Inc.
MRK
$73.34 (-0.74%) $0.55
Universal Display Corporation Stock Quote
Universal Display Corporation
OLED
$144.53 (-0.97%) $-1.42

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
624%
 
S&P 500 Returns
141%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 12/04/2021.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Our Most Popular Articles

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.