5 Defensive Healthcare Dividend Stocks To Buy

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

Dividend Yield as of December 12: 2.68%

An American multinational pharmaceutical company, Merck & Co., Inc. (NYSE:MRK) announced a 6% hike in its quarterly dividend to $0.73 per share. This marked the company’s 12th consecutive year of dividend growth. The stock’s dividend yield on December 12 came in at 2.68%. Its strong dividend history and dividend growth track make it one of the best dividend stocks in the healthcare sector.

In Q3 2022, Merck & Co., Inc. (NYSE:MRK) reported revenue of $15 billion, which showed a 14% growth from the prior-year period. It posted an EPS of $1.85, which beat estimates by $0.14.

In November, Credit Suisse initiated its coverage of Merck & Co., Inc. (NYSE:MRK) with an Outperform rating and a $120 price target, calling the company one of its top ideas among the US large-cap biopharma peer group.

As of the close of Q3 2022, 82 hedge funds tracked by Insider Monkey presented a bullish stance on Merck & Co., Inc. (NYSE:MRK), up from 79 in the previous quarter. The stakes owned by these hedge funds have a total value of over $4.7 billion.

Chartwell Investment Partners mentioned Merck & Co., Inc. (NYSE:MRK) in its Q2 2022 investor letter. Here is what the firm has to say:

“In the Dividend Equity accounts, the three best performers in Q2 includes Merck (NYSE:MRK, 3.6%), up 12.0%. Merck, like other pharma companies, is in a defensive business, but the stock also did well as peak-sales estimates for their flagship drug, Keytruda, have gone up (JPMorgan estimates $32 billion in sales by 2026).”