9 Most Undervalued Pharma Stocks to Buy Right Now

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

Forward P/E Ratio: 10.67

Price Target Upside: 4.69%

Merck & Co., Inc. (NYSE:MRK) is among the most undervalued stocks.

On December 12, 2025, Morgan Stanley analyst Terence Flynn reiterated an Equal Weight rating on MRK and raised the price target from $100 to $102 in a research note to investors.

On the same day, the European Medicines Agency’s Committee for Medicinal Products for Human Use (CHMP) issued a positive opinion recommending an expanded indication for MRK’s WINREVAIR (sotatercept) for adults with Pulmonary Arterial Hypertension (PAH) covering WHO Functional Classes II–IV. This recommendation will now be reviewed by the European Commission, with a final decision expected in the first quarter of 2026.

Earlier on December 10, 2025, TheFly reported that HSBC analyst Rajesh Kumar reiterated a Buy rating on Merck & Co., Inc. (NYSE:MRK) and raised the price target to $120

In addition, MRK’s Animal Health segment received conditional approval from the U.S. Food and Drug Administration (FDA) in early December 2025 for EXZOLT CATTLE‑CA1, a pour‑on parasiticide formulation effective against cattle infestations.

Merck & Co., Inc. (NYSE:MRK) is a global health care company that delivers innovative health solutions through its prescription medicines, vaccines, biologic therapies, and animal health products.