From Yahoo Finance: 2025-04-28 09:19:00

Merck & Co., Inc. (NYSE:MRK) is among the most profitable blue chip stocks to buy now. The company focuses on human and animal health, delivering strong growth in 2024 despite challenges in China. With a net profit margin of 26.7% and $19.44 billion in net income, MRK ranks 4th on the list.

Blue chip stocks are large, stable companies with consistent profitability and dividend payments. They offer stability in volatile markets and are often included in the Dow Index. The Fama-French Three-Factor Model suggests blue chips can outperform in economic downturns due to their financial stability and market dominance.

Recession fears and unpredictable US policy decisions continue to favor blue chip stocks. The VIX volatility index remains high, while consumer spending is expected to slow. Holding shares of profitable blue chips like MRK can provide protection against economic turmoil and potential recessions.

Hedge funds show interest in blue chip stocks like MRK, which has 91 hedge fund holders. MRK has made advancements in research, with promising developments in various therapeutic areas. While MRK ranks high for profitability, AI stocks may offer higher returns in a shorter timeframe, making them an attractive investment option.

Read more: Is Merck & Co., Inc. (MRK) the Most Profitable Blue Chip Stock to Buy Now?