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The Star
16-05-2025
- Business
- The Star
Firms flee Delaware in growing ‘Dexit' trend
NEW YORK: In the coming weeks, investors in nine public companies worth at least US$1bil each will vote on proposals to ditch Delaware as their place of incorporation, potentially denting the state's longtime reputation as Corporate America's capital, Reuters has found. Five companies with a stock market value of at least US$1bil have moved their legal home out of Delaware since last year, in what some have nicknamed 'Dexit'. Tesla made a high-profile move to Texas last year and in April, President Donald Trump's social media company Trump Media & Technology, which owns the Truth Social platform, decamped to Florida. Most of the companies are dominated by a significant shareholder or founder. Delaware judges have expanded the court's most stringent legal standard to a growing range of situations involving controllers, increasing the risk of shareholder lawsuits. The decisions culminated with the blockbuster ruling last year that rescinded Elon Musk's US$56bil pay package from Tesla. Less than an hour after the ruling, Musk said on X: 'Never incorporate your company in the state of Delaware.' Musk's SpaceX and Tesla soon reincorporated in Texas. Musk did not respond to a request for comment. Trump Media, which is controlled by a trust that owns shares on behalf of Trump and is overseen by his oldest son, said in its March proxy statement that Delaware's 'increasingly litigious environment facing corporations with controlling stockholders has created unpredictability in decision-making.' The company cited the Musk pay ruling as an example. It is now incorporated in Florida. Dropbox and The Trade Desk, which each have a large shareholder, and Cannae Holdings have moved their charter to Nevada from Delaware. They did not respond to a request for comment. Among the companies set to vote on proposals to leave are Simon Property Group, which is seeking shareholder approval on Wednesday to reincorporate in Indiana, and gaming platform Roblox, which wants to move to Nevada. Unlike many of the other companies that have proposed a 'Dexit', Simon does not have a controlling shareholder. It declined to comment on its reasons for proposing a move, referring to its latest proxy statement. Roblox said that Nevada law provides greater predictability. To be sure, the share of Delaware-based companies in the Russell 3000 index, which covers nearly all public companies, continues to grow, rising to 62% last year from 56% in 2020, according to ISS-Corporate. However, 2024 was the first year that more companies in the Russell Index left Delaware than moved their incorporation to the state. 'On the Richter scale, it's not that high,' said Benjamin Edwards, a professor at the UNLV School of Law, of the changes. 'But it's still shaking the ground.' Delaware, which has no sales tax, gets around a third of its general budget revenue from fees and taxes related to chartering businesses. Fearing an exodus of companies leaving after the judicial rulings, the state enacted legislation in March that limits the role of the state's judges in reviewing certain corporate deals. It also limited the scope of so-called 'books and records' requests, a legal tool often used by shareholder attorneys to try to obtain directors' emails and texts. Despite the recent changes, corporate law in Delaware remains relatively strict when it comes to insiders making deals that would likely benefit them directly, such as a deal to buy assets from a controlling shareholder or Musk and his Tesla pay arrangement, legal experts said. 'That's one area where Delaware has consistently said, 'Look, we're going to kick the tyres of those decisions with a little bit extra force',' said Eric Talley, a professor at Columbia Law School. Delaware law typically requires a company that strikes a deal with a controlling shareholder to prove the arrangement met a strict standard showing the price and process were fair, unless it was negotiated by independent directors or approved by shareholders. In Nevada, the same controlling shareholder deal would likely be protected by a legal standard known as the business judgment rule, which shields against lawsuits, regardless of how it was negotiated and approved, legal experts said. Talley said Nevada directors are protected unless they engage in fraud. 'It's actually okay to engage in self-dealing, as long as you don't lie about it,' he said. A state's corporate law governs a company's relationship with shareholders and typically does not affect legal rights of employees or consumers. In Texas, where Tesla and SpaceX are now incorporated, governor Greg Abbott signed into law on Wednesday amendments to its corporate code that are aimed at reducing the threat of shareholder litigation, in part by allowing companies to set stock ownership thresholds for lawsuits. The plaintiff in the Musk pay case owned just nine shares when he filed suit in 2018. The Texas law is effective immediately. Eric Lentell, the general counsel at Delaware-chartered Archer Aviation, said the aircraft developer is considering reincorporating in Texas and believes directors of other public companies should reconsider Delaware. After a Delaware judge refused last year to recognise a vote by Tesla investors to reinstate Musk's pay, Lentell said it signalled that Delaware judges 'have become kind of activist in nature' by appearing to rewrite settled law. 'I think that's where people get nervous,' he said. — Reuters
The Star
14-05-2025
- Business
- The Star
In Tesla's wake, more big companies propose voting 'Dexit" to depart Delaware
WILMINGTON, DEL. (Reuters) -In the coming weeks, investors in nine public companies worth at least $1 billion each will vote on proposals to ditch Delaware as their place of incorporation, potentially denting the state's longtime reputation as Corporate America's capital, Reuters has found. Five companies with a stock market value of at least $1 billion have moved their legal home out of Delaware since last year, in what some have nicknamed "Dexit." Tesla made a high-profile move to Texas last year and in April, President Donald Trump's social media company Trump Media & Technology, which owns the Truth Social platform, decamped to Florida. Most of the companies are dominated by a significant shareholder or founder. Delaware judges have expanded the court's most stringent legal standard to a growing range of situations involving controllers, increasing the risk of shareholder lawsuits. The decisions culminated with the blockbuster ruling last year that rescinded Musk's $56 billion pay package from Tesla. Less than an hour after the ruling, Musk said on X: 'Never incorporate your company in the state of Delaware.' Musk's SpaceX and Tesla soon reincorporated in Texas. Musk did not respond to a request for comment. Trump Media, which is controlled by a trust that owns shares on behalf of President Trump and is overseen by his oldest son, said in its March proxy statement that Delaware's "increasingly litigious environment facing corporations with controlling stockholders has created unpredictability in decision-making.' The company cited the Musk pay ruling as an example. It is now incorporated in Florida. Dropbox and The Trade Desk, which each has a large shareholder, and Cannae Holdings have moved their charter to Nevada from Delaware. They did not respond to a request for comment. Among the companies set to vote on proposals to leave are Simon Property Group, which is seeking shareholder approval on Wednesday to reincorporate in Indiana, and gaming platform Roblox, which wants to move to Nevada. Unlike many of the other companies that have proposed a "Dexit," Simon does not have a controlling shareholder. It declined to comment on its reasons for proposing a move, referring to its latest proxy statement. Roblox said that Nevada law provides greater predictability. To be sure, the share of Delaware-based companies in the Russell 3000 index, which covers nearly all public companies, continues to grow, rising to 62% last year from 56% in 2020, according to ISS-Corporate. However, 2024 was the first year that more companies in the Russell Index left Delaware than moved their incorporation to the state. 'On the Richter scale, it's not that high,' said Benjamin Edwards, a professor at the UNLV School of Law, of the changes. 'But it's still shaking the ground.' FEARING AN EXODUS Delaware, which has no sales tax, gets around a third of its general budget revenue from fees and taxes related to chartering businesses. Fearing an exodus of companies leaving after the judicial rulings, the state enacted legislation in March that limits the role of the state's judges in reviewing certain corporate deals. It also limited the scope of so-called "books and records" requests, a legal tool often used by shareholder attorneys to try to obtain directors' emails and texts. Despite the recent changes, corporate law in Delaware remains relatively strict when it comes to insiders making deals that would likely benefit them directly, such as a deal to buy assets from a controlling shareholder or Musk and his Tesla pay arrangement, legal experts said. "That's one area where Delaware has consistently said, 'Look, we're going to kick the tires of those decisions with a little bit extra force'," said Eric Talley, a professor at Columbia Law School. Delaware law typically requires a company that strikes a deal with a controlling shareholder to prove the arrangement met a strict standard showing the price and process were fair, unless it was negotiated by independent directors or approved by shareholders. In Nevada, the same controlling shareholder deal would likely be protected by a legal standard known as the business judgment rule, which shields against lawsuits, regardless of how it was negotiated and approved, legal experts said. Talley said Nevada directors are protected unless they engage in fraud. "It's actually okay to engage in self-dealing, as long as you don't lie about it," he said. A state's corporate law governs a company's relationship with shareholders and typically does not affect legal rights of employees or consumers. In Texas, where Tesla and SpaceX are now incorporated, lawmakers last week approved amendments to its corporate law that are aimed at reducing the threat of shareholder litigation, in part by allowing companies to set stock ownership thresholds for lawsuits. The plaintiff in the Musk pay case owned just nine shares when he filed suit in 2018. Governor Greg Abbott has not signed the bill and his office did not respond to a request for comment. Eric Lentell, the general counsel at Delaware-chartered Archer Aviation, said the aircraft developer is considering reincorporating in Texas and believes directors of other public companies should reconsider Delaware. After a Delaware judge refused last year to recognize a vote by Tesla investors to reinstate Musk's pay, Lentell said it signaled that Delaware judges 'have become kind of activist in nature" by appearing to rewrite settled law. 'I think that's where people get nervous,' he said. (Reporting by Tom Hals in Wilmington, Delaware; editing by Amy Stevens, Noeleen Walder and Anna Driver )
Yahoo
14-05-2025
- Business
- Yahoo
In Tesla's wake, more big companies propose voting 'Dexit" to depart Delaware
By Tom Hals WILMINGTON, DEL. (Reuters) -In the coming weeks, investors in nine public companies worth at least $1 billion each will vote on proposals to ditch Delaware as their place of incorporation, potentially denting the state's longtime reputation as Corporate America's capital, Reuters has found. Five companies with a stock market value of at least $1 billion have moved their legal home out of Delaware since last year, in what some have nicknamed "Dexit." Tesla made a high-profile move to Texas last year and in April, President Donald Trump's social media company Trump Media & Technology, which owns the Truth Social platform, decamped to Florida. Most of the companies are dominated by a significant shareholder or founder. Delaware judges have expanded the court's most stringent legal standard to a growing range of situations involving controllers, increasing the risk of shareholder lawsuits. The decisions culminated with the blockbuster ruling last year that rescinded Musk's $56 billion pay package from Tesla. Less than an hour after the ruling, Musk said on X: 'Never incorporate your company in the state of Delaware.' Musk's SpaceX and Tesla soon reincorporated in Texas. Musk did not respond to a request for comment. Trump Media, which is controlled by a trust that owns shares on behalf of President Trump and is overseen by his oldest son, said in its March proxy statement that Delaware's "increasingly litigious environment facing corporations with controlling stockholders has created unpredictability in decision-making.' The company cited the Musk pay ruling as an example. It is now incorporated in Florida. Dropbox and The Trade Desk, which each has a large shareholder, and Cannae Holdings have moved their charter to Nevada from Delaware. They did not respond to a request for comment. Among the companies set to vote on proposals to leave are Simon Property Group, which is seeking shareholder approval on Wednesday to reincorporate in Indiana, and gaming platform Roblox, which wants to move to Nevada. Unlike many of the other companies that have proposed a "Dexit," Simon does not have a controlling shareholder. It declined to comment on its reasons for proposing a move, referring to its latest proxy statement. Roblox said that Nevada law provides greater predictability. To be sure, the share of Delaware-based companies in the Russell 3000 index, which covers nearly all public companies, continues to grow, rising to 62% last year from 56% in 2020, according to ISS-Corporate. However, 2024 was the first year that more companies in the Russell Index left Delaware than moved their incorporation to the state. 'On the Richter scale, it's not that high,' said Benjamin Edwards, a professor at the UNLV School of Law, of the changes. 'But it's still shaking the ground.' FEARING AN EXODUS Delaware, which has no sales tax, gets around a third of its general budget revenue from fees and taxes related to chartering businesses. Fearing an exodus of companies leaving after the judicial rulings, the state enacted legislation in March that limits the role of the state's judges in reviewing certain corporate deals. It also limited the scope of so-called "books and records" requests, a legal tool often used by shareholder attorneys to try to obtain directors' emails and texts. Despite the recent changes, corporate law in Delaware remains relatively strict when it comes to insiders making deals that would likely benefit them directly, such as a deal to buy assets from a controlling shareholder or Musk and his Tesla pay arrangement, legal experts said. "That's one area where Delaware has consistently said, 'Look, we're going to kick the tires of those decisions with a little bit extra force'," said Eric Talley, a professor at Columbia Law School. Delaware law typically requires a company that strikes a deal with a controlling shareholder to prove the arrangement met a strict standard showing the price and process were fair, unless it was negotiated by independent directors or approved by shareholders. In Nevada, the same controlling shareholder deal would likely be protected by a legal standard known as the business judgment rule, which shields against lawsuits, regardless of how it was negotiated and approved, legal experts said. Talley said Nevada directors are protected unless they engage in fraud. "It's actually okay to engage in self-dealing, as long as you don't lie about it," he said. A state's corporate law governs a company's relationship with shareholders and typically does not affect legal rights of employees or consumers. In Texas, where Tesla and SpaceX are now incorporated, lawmakers last week approved amendments to its corporate law that are aimed at reducing the threat of shareholder litigation, in part by allowing companies to set stock ownership thresholds for lawsuits. The plaintiff in the Musk pay case owned just nine shares when he filed suit in 2018. Governor Greg Abbott has not signed the bill and his office did not respond to a request for comment. Eric Lentell, the general counsel at Delaware-chartered Archer Aviation, said the aircraft developer is considering reincorporating in Texas and believes directors of other public companies should reconsider Delaware. After a Delaware judge refused last year to recognize a vote by Tesla investors to reinstate Musk's pay, Lentell said it signaled that Delaware judges 'have become kind of activist in nature" by appearing to rewrite settled law. 'I think that's where people get nervous,' he said. 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Yahoo
28-03-2025
- Business
- Yahoo
Potomac Bancshares, Inc. Participates in VirtualBankConference.com
CHARLES TOWN, March 28, 2025 /PRNewswire/ -- (OTC: PTBS) – Potomac Bancshares, Inc. ("the Company") (OTC: PTBS), the bank holding company for Bank of Charles Town, also known as The Community's Bank (the "Bank" or "BCT"), announced its recent participation in the successful online conference for bank investors and industry professionals, held on Thursday, March 13, 2025. Potomac Bancshares joined other esteemed banks, including CB Financial Services, Inc. (CBFV), FinWise Bancorp (FINW), First Savings Financial Group, Inc. (FSFG), and Meridian Corporation (MRBK), in presenting at this event. The conference provided valuable insights and connections between banks and investors in an efficient and engaging manner. Keynote speaker Melissa Roberts, Managing Director at Stephens, Inc., delivered a keynote address on the impact of the Russell Index on bank stocks and upcoming changes to the index methodology. Alice Frazier, President and CEO of Potomac Bancshares, presented on behalf of the company. Joining Alice was Shane Bell, EVP and CFO. A copy of their presentation can be found at To learn more about Potomac Bancshares, visit was founded by Julienne Cassarino and Ian Green to facilitate meaningful connections between banks and investors. Potomac Bancshares, Inc. is proud to have been part of this innovative platform and looks forward to continued engagement with industry professionals and investors. For more information about the conference, in general, please visit or contact: Julienne Coe Cassarino, Sycamore Analytics, 860-349-1557 Ian Green, Pendragon Capital, Ian@ 917-837-2287 NON-GAAP FINANCIAL MEASURES In addition to financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), the Company uses certain non-GAAP financial measures that the Company's management believes provide useful information for financial and operational decision making, evaluating trends, and comparing financial results to other financial institutions. The non-GAAP financial measures presented in this document include adjusted net income, adjusted basic and diluted earnings per share, adjusted return on average assets, adjusted return on average equity, pre-provision pre-tax earnings, adjusted pre-provision pre-tax earnings, fully taxable equivalent interest income, the net interest margin, the efficiency ratio, tangible book value per share, and tangible common equity to tangible assets. The Company believes certain non-GAAP financial measures enhance the understanding of its business, performance, and financial position. Non-GAAP financial measures are supplemental and not a substitute for, or more important than, financial measures prepared in accordance with GAAP and may not be comparable to those reported by other financial institutions. A reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measure is included at the end of this release. ABOUT POTOMAC BANCSHARES, INC. Potomac Bancshares, Inc. (OTCPK: PTBS) is the bank holding company of Bank of Charles Town, which was founded in 1871. The Bank also does business under the names BCT and The Community's Bank. The Bank conducts operations through its main office, an additional eight branch offices, and two loan production offices. The Bank's offices are in Jefferson and Berkeley Counties (WV), Washington County (MD), and Loudoun and Stafford Counties (VA). The Bank offers commercial lines and term loans, residential and commercial construction loans, commercial real estate loans, agricultural loans, and government contractor loans. The Bank is also a Small Business Administration (SBA) Preferred Lender. The Residential Lending division offers secondary market and portfolio mortgage loans, one-time close construction to permanent loans, as well as home equity loans and lines of credit. For over 70 years, BCT Wealth Advisors has provided caring and personalized trust services, growing into a premier financial management, investments, and estate services provider. The Bank also provides convenient online and mobile banking for individuals, businesses, and local governments plus free access to over 55,000 ATMs through the Allpoint® network plus another approximately 675 free access ATMs through another partnership. BCT was voted WINNER in the LoudounNow 2024 Loudoun's Favorites readers' poll in four categories: Bank, Mortgage Company, Banker, and Financial Planner. In 2023, American Banker selected BCT as a "Top 200 Community Bank," an annual listing of the best performing banks in the United States with assets under $2 billion. BCT was voted a "Best of the Best" winner in the 2024 Journal-News Readers' Choice Awards in three categories: Bank, Loan Services, and Financial Planning. The Bank was named a "Best Bank to Work For" by American Banker five of the last six years. The Company's shares are quoted on the OTC Pink Sheet marketplace under the symbol "PTBS." For more information about Potomac Bancshares, Inc., and the Bank, please visit our website at FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company's growth strategy and deployment of capital. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance, or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ from those discussed in such forward-looking statements include, but are not limited to, the following: (1) general economic conditions, especially in the communities and markets in which the Company conducts its business; (2) credit risk, including risk that negative credit quality trends may lead to a deterioration of asset quality, risk that our allowance for credit losses may not be sufficient to absorb actual losses in the Company's loan portfolio, and risk from concentrations in the Company's loan portfolio; (3) changes in the real estate market, including the value of collateral securing portions of the Company's loan portfolio; (4) changes in the interest rate environment; (5) operational risk, including cybersecurity risk and risk of fraud, data processing system failures, and network breaches; (6) changes in technology and increased competition, including competition from non-bank financial institutions; (7) changes in consumer preferences, spending and borrowing habits, demand for our products and services, and customers' performance and creditworthiness; (8) difficulty growing loan and deposit balances; (9) the Company's ability to effectively execute its business plan; (10) changes in regulations, laws, taxes, government policies, monetary policies and accounting policies affecting bank holding companies and their subsidiaries, including changes in deposit insurance premiums; (11) deterioration in the financial condition of the U.S. banking system may impact the valuations of investments the Company has made in the securities of other financial institutions; (12) regulatory enforcement actions and adverse legal actions; (13) difficulty attracting and retaining key employees; and (14) other economic, competitive, technological, operational, governmental, regulatory, and market factors affecting the Company's operations. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events or otherwise, except as required by applicable law. View original content to download multimedia: SOURCE Potomac Bancshares, Inc. Sign in to access your portfolio
Yahoo
08-03-2025
- Business
- Yahoo
Merck & Co., Inc. (MRK) Among The Best Cheap Dividend Stock To Buy Right Now
We recently published a list of . In this article, we are going to take a look at where Merck & Co., Inc. (NYSE:MRK) stands against other best cheap dividend stocks to buy right now. Value investing has remained a favored approach among investors for years, largely popularized by Warren Buffett, who continues to focus on stocks he believes are undervalued relative to their true worth. While growth investing has dominated market sentiment in recent times, the long-term performance of value stocks remains solid. Former professor-turned-investment manager Josef Lakonishok and value investing specialist David Dreman strongly advocated for a patient, long-term approach to investing, believing that steady, disciplined strategies often outperform rapid, high-growth ones. Their research indicated that value investing tends to outperform growth strategies approximately 70% of the time, regardless of a company's size. After analyzing companies across different market capitalizations, they found that, over long periods, value stocks consistently generated average annual returns slightly above 7%, surpassing the performance of growth stocks. READ ALSO: Much of the Russell Index's gains this year have been concentrated in a handful of mega-cap stocks, particularly the tech-heavy 'Magnificent Seven.' These companies now make up over 25% of the index and were responsible for nearly 40% of its 21% total return in the first three quarters of 2024. However, market dynamics have started to shift in recent months, with value stocks gaining traction. In the third quarter, the Russell Value Index surged 9.4%, significantly outpacing the 3.2% rise in the Russell Growth Index, according to a report from BlackRock. The report highlighted several key drivers behind this trend. Strong employment numbers, easing inflation, and the Federal Reserve's move to start cutting interest rates have bolstered investor confidence, prompting a broader market rally beyond the dominant mega-cap stocks. Additionally, sectors that are more sensitive to interest rates—such as financials, utilities, and real estate investment trusts (REITs)—have benefited from a lower-rate environment. Analysts advise investors against favoring a single investment strategy. JP Morgan noted that large technology companies are widely held both individually and within major indices. As a result, significant market fluctuations can occur when developments—such as the recent introduction of a Chinese large language model in late January—impact the sector. However, the firm does not recommend actively betting against the dominant tech giants that hold the largest weightings in the broader market. Drawing comparisons to the dot-com bubble of 2000, JP Morgan highlighted that the leading companies of that era traded at forward price-to-earnings ratios between 50x and 75x. In contrast, most of today's mega-cap stocks are valued at roughly half of those peak multiples. The firm further advised investors to diversify beyond growth equities, particularly by considering financial stocks. Alongside industrials, a balanced approach between growth and value stocks remains its preferred strategy. Stocks that pay dividends are often associated with value investing, as they generally provide higher yields and demonstrate stronger financial stability compared to growth stocks. According to a report by S&P Dow Jones Indices, investment strategies centered on generating income tend to share traits commonly found in value stocks. Companies with attractive dividend yields and lower valuations often capture investor attention. However, the report also pointed out that the Dividend Aristocrats Index does not adhere strictly to a value-focused approach. Instead, it maintains a mix of both growth and value stocks. A long-term review of the index, covering the period from 1999 to 2022, indicated that, on average, 59.04% of its holdings were classified as value stocks, while 40.94% fell into the growth category. For this list, we used a Finviz screener and identified dividend companies with forward P/E ratios below 15, as of March 6. The low price-to-earnings ratio shows that they are traded below their intrinsic value. From the resultant dataset, we selected 13 companies that have the highest number of hedge fund investors at the end of Q4 2023. The stocks are ranked in ascending order of hedge funds having stakes in them. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A close-up of a person's hand holding a bottle of pharmaceuticals. Number of Hedge Fund Holders: 91 Forward P/E Ratio: 10.34 Merck & Co., Inc. (NYSE:MRK) is an American multinational pharmaceutical company, based in New Jersey. The company is widely known for its broad range of treatments spanning oncology, diabetes, cardiovascular diseases, vaccines, and infectious diseases. In addition to its pharmaceutical business, the company has a significant animal health division and is actively involved in biotechnology beyond traditional drug development. This diversified portfolio, along with its strong track record of innovation, makes Merck an appealing investment option. Since the beginning of 2025, Merck & Co., Inc. (NYSE:MRK) has declined by over 5%, primarily due to the company's revenue forecast for the year falling short of market expectations. The company projected revenue between $64.1 billion and $65.6 billion, below analysts' estimates of $67.31 billion. In addition, its outlook has been impacted by the temporary suspension of Gardasil shipments to China, though deliveries are expected to resume by mid-2025. Though the company's guidance did not meet investors' expectations, Merck & Co., Inc. (NYSE:MRK) delivered solid results in the fourth quarter of 2024. The company posted $15.6 billion in revenue, reflecting a 7% rise compared to the same period last year. Merck has strengthened its foothold in specialty pharmaceuticals and oncology, with Keytruda, its flagship cancer treatment, making a substantial impact on cancer care while contributing to significant revenue gains. Its strong market position has helped the company generate healthy cash flow, reinforcing its commitment to shareholder returns. In fiscal 2024, Keytruda sales climbed 18% year-over-year, totaling $29.5 billion. Merck & Co., Inc. (NYSE:MRK) currently offers a quarterly dividend of $0.81 per share and has a dividend yield of 3.45%, as of March 6. It is one of the best dividend stocks on our list as the company has raised its payouts for 14 years in a row. Overall, MRK ranks 4th on our list of best cheap dividend stocks to buy right now. While we acknowledge the potential for MRK as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MRK but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
