10 Innovative Healthcare Stocks to Watch in 2025

7. Merck & Co., Inc. (NYSE:MRK)

Number of Hedge Fund Holders: 91

Merck & Co., Inc. (NYSE:MRK) is a biopharmaceutical company that delivers health solutions to advance the treatment and prevention of diseases in animals and people. Vaccines and pharmaceutical goods for human health, which usually include therapeutic and preventive substances, are available through its pharmaceutical section. Its Animal Health division creates, finds, produces, and sells a variety of vaccinations and veterinary medications.

Merck & Co., Inc. (NYSE:MRK)’s sales outlook is being adversely affected by certain factors. For example, because of low discretionary spending, it has temporarily halted the distribution of its HPV vaccine, Gardasil, to China until the middle of 2025. The business maintains excellent operations despite these short-term difficulties, which are bolstered by high demand for its inventive and varied portfolio. The company’s Keytruda cancer treatment medication is doing well, and the introduction of Winrevair, a medication for pulmonary arterial hypertension (PAH), is also helping to increase revenue growth.

Asad Haider, a Goldman Sachs analyst, remained optimistic about the stock and rated it as a Buy on April 8. The analyst feels that Merck & Co., Inc. (NYSE:MRK)’s Animal Health division, which makes a substantial amount of money and is expected to expand in the future, is being undervalued by the present market valuation, which is unduly gloomy. The analyst believes that this offers investors a mispricing opportunity.