Latest news with #Keytruda
Yahoo
11 hours ago
- Business
- Yahoo
Merck & Co., Inc. (MRK) Breaks Ground on $1B Biologics Hub to Boost KEYTRUDA Production
We recently published Merck & Co., Inc. stands seventh on our list and recently boosted Keytruda's production. Merck & Co., Inc. (NYSE:MRK), a global biopharmaceutical leader headquartered in Rahway, New Jersey, is renowned for its innovation in oncology, vaccines, and specialty medicines. In June 2025, the FDA approved KEYTRUDA for perioperative use in adults with resectable, locally advanced head and neck squamous cell carcinoma (HNSCC) expressing PD-L1 (CPS ≥1). This marks the first approval of an anti-PD-1 therapy in the perioperative setting, allowing use both before and after surgery, combined with radiotherapy and as a standalone treatment. This milestone supports the company's strategy to move immunotherapy into earlier stages of cancer care. Merck & Co., Inc. (NYSE:MRK) is also expanding its oncology pipeline, sharing promising updates on KRAS G12C inhibitor MK-1084, zilovertamab vedotin, and sacituzumab tirumotecan, as well as new analyses of KEYTRUDA across over 25 cancer types. A pharmacist technician sorting pills in a drug pharmacy. To meet growing demand and support biologics innovation, Merck & Co., Inc. (NYSE:MRK) began construction of a $1 billion Biologics Center of Excellence in Wilmington, Delaware, in April 2025. The 470,000-square-foot facility will focus on next-gen biologics and serve as the U.S. manufacturing hub for KEYTRUDA, bolstering supply chain resilience and production capacity. While we acknowledge the potential of MRK as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Does This Move Make Merck Stock a Buy?
Key Points Merck is seeking ways to prepare for a significant upcoming patent cliff. The company has just announced another acquisition that will help it achieve that goal. With its newer products, strong dividend, and reasonable valuation, Merck still looks attractive. 10 stocks we like better than Merck › Merck (NYSE: MRK), a leading pharmaceutical company, generates consistent revenue and profits. However, the stock has been under pressure over the past year due to its reliance on Keytruda, its famous cancer medicine. It might be the best-selling drug in the world, but Keytruda will experience a patent cliff by the end of the decade -- a significant risk investors have to take into consideration. Merck has been looking for ways to mitigate the risk of competition, and the drugmaker just made a move that could help along those lines. Should investors consider buying the stock? Merck dishes $10 billion to expand its lineup On July 9, Merck announced that it would acquire Verona Pharma, a U.K.-based biotechnology company specializing in the development of medicines for respiratory diseases. Merck will pay $10 billion in cash for this transaction, allowing it to add Ohtuvayre -- which treats chronic obstructive pulmonary disease (COPD) -- to its portfolio. First approved by the U.S. Food and Drug Administration (FDA) last year, Ohtuvayre is a treatment for COPD that looks highly promising. It has so far had a successful launch, and it is still being investigated across other conditions, which could later lead to label expansions. Though estimates vary (as always), some analysts think Ohtuvayre sales could peak at around $4 billion. So, it seems the company has yet another blockbuster on its hands. But will that be enough to replace Keytruda? Merck's multipronged approach Merck has entered into several such agreements in recent years. In 2021, it acquired Acceleron Pharma for $11.5 billion. This deal eventually allowed it to launch Winrevair, a medicine for pulmonary arterial tension. Winrevair is yet another promising therapy, with projected peak sales at around $3 billion. Between Ohtuvayre and Winrevair, that's at most $7 billion in peak annual revenue, though, much lower than the $29.5 billion in sales Keytruda generated last year. Merck will need far more than that, but the company does have a plan. Some of its acquisitions have yet to yield approved products with blockbuster potential. In 2023, the company paid $10.8 billion for Prometheus Biosciences and its promising candidate for ulcerative colitis, MK-7240. That could be another great addition to the company's portfolio, provided it aces enough clinical trials to land regulatory approval from the FDA. Merck isn't just relying on buyouts to plan for its post-Keytruda life, though. One of the company's most important internally developed projects is a subcutaneous (SC) version of its crown jewel. SC Keytruda recently aced a phase 3 clinical trial in which it proved noninferiority compared to the original, intravenous version of the medicine in treating patients with non-small cell lung cancer, one of Keytruda's most important markets. The newer version of the cancer therapy does have some advantages over the old, though, including significantly cutting the time patients spend in the treatment room and the time physicians spend preparing the therapy, administering it, and monitoring patients afterward. SC Keytruda should attract plenty of business across many of the original's indications once all is said and done. And, together with the newer therapies Merck now has under its banner, should allow the company to smooth out the losses once biosimilar competition for Keytruda enters the market. The stock could perform well post-Keytruda Merck currently has more than 80 programs across its phase 2 and phase 3 pipeline. So, even beyond the candidates mentioned, the company should be able to find new gems. Putting aside label expansions for existing medicines, even a 25% success rate on brand-new clinical compounds should translate to several novel launches over the next five years. Not all will be blockbusters, but Merck's deep pipeline and recent moves show that it is capable of moving beyond Keytruda. Additionally, there are other reasons to consider buying the stock. First, Merck's shares look incredibly cheap right now. The company is trading at 9.3 times forward earnings estimates. The average for the healthcare sector is 16.2. Second, Merck is a solid dividend stock. The company's forward yield sits around 4%, and it has increased its payouts by 88.8% in the past decade. Merck's shares have lagged the market over the past year, but the company's prospects are still strong, at least for those willing to hold onto the stock for a while. Should you buy stock in Merck right now? Before you buy stock in Merck, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Merck wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!* Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025 Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Merck. The Motley Fool has a disclosure policy. Does This Move Make Merck Stock a Buy? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Los Angeles Times
3 days ago
- Business
- Los Angeles Times
Trump aims tariff double whammy at industries and nations
President Donald Trump is readying plans for industry-specific tariffs to kick in alongside his country-by-country duties in two weeks, ramping up his push to reshape the U.S.'s standing in the global trading system by penalizing purchases from abroad. Administration officials could release details of Trump's planned 50% duty on copper in the days before they're set to take effect Aug. 1, according to a person familiar with the matter. Trump said Tuesday he is likely to impose tariffs on pharmaceuticals by month's end, adding that import taxes on semiconductors could come soon as well. One person familiar with the process said after copper, Trump's team has discussed making announcements on lumber, chips, critical minerals and drugs in that order, though that cadence has not been finalized and may change. Those would follow existing duties on steel, aluminum, automobiles and car parts. Once fully implemented, all the sectoral tariffs would cover 30% to 70% of a country's imports, with much of the rest being hit by country-specific charges, according to a person familiar with the matter. The European Union, Japan, India and others have sought to lower both their reciprocal and sectoral rates. That's complicating talks, given that U.S. Trade Representative Jamieson Greer handles country-based rates, while Commerce Secretary Howard Lutnick oversees tariffs on industries, according to people familiar with the dynamics. Here's where tariffs on each industry stand: Pharmaceuticals Trump told reporters Tuesday that drug duties would come 'probably at the end of the month, and we're going to start off with a low tariff and give the pharmaceutical companies a year or so to build, and then we're going to make it a very high tariff.' Last month, he said duties on pharmaceuticals could grow as high as 200%. Lutnick said on July 8 that the phase-in period could last up to two years. A staff draft document has focused levies on between 80 and 90 generic essential medicines, as well as specialty chemicals and precursors, according to a person familiar with it. Levies on generic medicines that have slim profit margins could hit companies including Teva Pharmaceutical Industries Ltd and Sandoz Group AG. A broader hit that includes brand-name drugs like Ozempic and Keytruda will weigh on the largest manufacturers, such as Eli Lily & Co., Merck & Co. and Pfizer Inc. Semiconductors Chips tariffs are on a 'similar' timeline to drugs and are 'actually less complicated,' Trump said Tuesday. Semiconductors were exempted earlier this year from U.S. tariffs on China to give the administration time to develop separate duties. The wide array of exempted products, including inputs for consumer electronics, suggests a very broad consideration of items that could get hit later. Tech companies, auto manufacturers, boat makers and cryptocurrency enthusiasts are among those who have registered complaints over potential levies, according to public comments on the probe, which started in April. The charges won't just hit the chips themselves, but popular products including Apple Inc. and Samsung Electronics Co. smartphones and laptops. It's even brought together rivals Tesla Inc., General Motors Co. and Ford Motor Co., which have all voiced reservations. Copper Copper duties are set to include all refined metal as well as semi-finished products used in power grids, data centers and the military, Bloomberg has reported. The outcome of the investigation that started in March could have an outsize effect on consumer prices, because the metal is in automobiles, homebuilding materials, appliances and many other products. While domestic copper producers competing with foreign suppliers may benefit, U.S. buyers of copper targeted with levies will face higher costs. Lumber The administration's lumber investigation is proceeding on a separate track from existing duties on the material from Canada — by far the U.S.'s top source of imports. The probe is expected to conclude by summer's end, trade attorney Luke Meisner said during a Wednesday panel. More than a dozen lawmakers have pushed the Commerce Department to implement tariffs of at least 60% on imported wood products, such as cabinets and vanities. Some have urged the administration to tariff cabinets at 100% tariffs. Republicans from Alabama, North Carolina and Pennsylvania have written letters to the administration that their home-state manufacturers are threatened by cheap foreign imports. Senator Tommy Tuberville said he expects the administration to fulfill their requests. Critical Minerals The critical minerals investigation has proved difficult, according to people familiar with the process. The administration has made several moves to speed domestic mineral extraction and processing in order to reduce dependence on China. But in the short term, there is little domestic industry to protect with tariffs. Only one U.S.-based company operates a rare-earth mine and processing operation. America remains reliant on imports and tariffs could create supply crunches. Deaux, Leonard, Diaz and Wingrove write for Bloomberg.
Yahoo
5 days ago
- Business
- Yahoo
Merck Just Announced a $10 Billion Deal That Will Help Diversify Its Business
Key Points Merck aims to boost its business by buying Verona Pharma for $10 billion. Through the deal, it will add Ohtuvayre -- a treatment for COPD -- to its portfolio. With the stock valued at only 12 times earnings and yielding over 4%, it's a steal of a deal. 10 stocks we like better than Merck › One of the biggest concerns with healthcare giant Merck (NYSE: MRK) is its dependence on top-selling cancer drug Keytruda. While it has been a beast for the business over the years, generating billions in revenue, investors are always concerned about what else is ahead for the business in the long run and how strong the company's growth prospects will be, especially as patents run out. Recently, Merck announced an important acquisition, which may alleviate some of those concerns around its future growth. For the price of $10 billion, it's acquiring Verona Pharma (NASDAQ: VRNA). Here's what that might mean for Merck's operations, and whether it makes the stock a no-brainer buy right now. What Merck gets with the Verona Pharma deal For $10 billion, Merck is acquiring a promising healthcare company which is in the early stages of its growth. Key to its potential is Ohtuvayre, a blockbuster drug that regulators approved last year as a treatment for chronic obstructive pulmonary disease (COPD). Analysts estimate that it could generate $1 billion in annual revenue by 2029. Verona has already been generating strong results of late. Sales through the first three months of the year for Ohtuvayre totaled $71.3 million, which was nearly double what it generated in the previous period. The product's growth has been exciting, and that's ultimately the big hope for Merck -- that Ohtuvayre becomes a key pillar for its overall growth. Verona's CEO, David Zaccardelli, believes that with the help of Merck, Ohtuvayre could take off. He said: "We believe Merck's commercial footprint and industry-leading clinical capabilities will help accelerate the potential of Ohtuvayre to reach more patients living with COPD." There is hope that Ohtuvayre may be a possible treatment option for other indications as well, with Verona involved in multiple other trials for the drug, including as a treatment for cystic fibrosis and asthma. Merck expects the deal to close before the end of the year. Merck could use another growth catalyst A key problem for Merck is that its business simply hasn't been generating strong growth in recent years. In its most recent quarter (ended in March), sales were down by nearly 2% year over year. The good news is that with Winrevair, which is approved for pulmonary arterial hypertension, still in its early stages and now with potentially Ohtuvayre in the mix, Merck's top line may receive a boost on multiple fronts in the near future. A new injectable version of Keytruda may soon become available as well (Keytruda is currently administered intravenously). While Merck may not have been an exciting growth stock to own of late, its future does appear to be getting brighter, especially as it diversifies its operations. Has Merck become a no-brainer buy? Merck's business is stronger with the acquisition of Verona, and with the stock trading at only 12 times its trailing earnings, it's one of the best healthcare stocks you can buy right now. Not only is it cheap, but with underrated growth prospects and a dividend that yields more than 4%, it may be a steal of a deal. The stock was arguably a good buy even before the Verona acquisition news, and it's an even better-looking buy right now. Although shares of Merck are down 16% this year and there are headwinds facing drugmakers today due to tariffs and trade wars, if you're in it for the long haul, buying and holding Merck stock could pay off significantly in the years ahead. Should you buy stock in Merck right now? Before you buy stock in Merck, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Merck wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $679,653!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,308!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 179% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Merck. The Motley Fool has a disclosure policy. Merck Just Announced a $10 Billion Deal That Will Help Diversify Its Business was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Verona Pharma plc (VRNA) Is Unlikely To Face Antitrust Action For Merck Deal, Says Jim Cramer
We recently published . Verona Pharma plc (NASDAQ:VRNA) is one of the stocks Jim Cramer recently discussed. Verona Pharma plc (NASDAQ:VRNA)'s shares experienced a boost in July when pharmaceutical giant Merck announced that it would acquire the firm for a $10 billion price tag. The stock experienced a healthy 20.6% gain after the announcement, which added to its 80% year-to-date gains at that point. Cramer discussed the Verona Pharma plc (NASDAQ:VRNA) acquisition after it was announced. He called the firm's COPD drug a 'first in class' compound that would help Merck with its drug portfolio, particularly as investors worry about KEYTRUDA's patent expiration. This time, he discussed antitrust approval of the acquisition: 'Did you see the Merck deal the other day? Verona? Two gentlemen? Getting together, Merck and Verona. You know they're not gonna block that. That doesn't even hit the radar, whoever's in antitrust.' A patient in a clinic, taking a medication dose from a nebulizer to treat a respiratory disease. After the Verona Pharma plc (NASDAQ:VRNA) acquisition was announced, here is what Cramer said: 'Yeah, I talked to Rob this morning, really liked this. He thinks he's got about 50 billion dollars worth of new drugs, which would therefore make it so you should stop worrying about the Keytruda patent expiration in 2028. I am with Rob. I think this COPD is a really important, another important franchise for them the alternative use steroids. And we've all be discovering that if you have trouble using steroids, one it becomes less effective over time, and two, the side effects are much worse than people realize. So I think this is a first in class, novel, compound that will make it so. . .I like this acquisition very much.' While we acknowledge the potential of VRNA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
