Merck diversifying with $50 billion pipeline to reduce dependence on Keytruda

From Nasdaq.: 2025-06-29 11:29:00

Merck faces a Keytruda patent cliff in 2028 but is diversifying with a $50 billion potential pipeline. Recent drug and vaccine launches are already contributing significantly to revenue. The company’s acquisition strategy shows intent to move beyond oncology, positioning Merck for sustained growth and reduced dependence on Keytruda.

Investors see Merck’s potential upside in successfully advancing its pipeline and making strategic acquisitions. The company’s valuation at 3.2 times its trailing revenues indicates some challenges are already factored in. With a historical P/S ratio suggesting nearly 40% upside potential, Merck’s transition from single-drug dependence to diversified growth presents an intriguing investment opportunity.



Read more at Nasdaq.: Merck’s Upside Potential: Beyond The Keytruda Cliff