How Merck & Co. (MRK) Turns Robust Free Cash Flow Into Shareholder Value

Merck & Co., Inc. (NYSE:MRK) is included among the 10 Cash-Rich Dividend Stocks to Buy Right Now.

Merck & Co., Inc. (NYSE:MRK) is an American multinational pharmaceutical company. Concerns are growing, however, as its top-selling cancer drug, Keytruda, starts losing patent protections in 2028. Since Keytruda is approximately half of Merck’s revenue, this is a potential risk.

To mitigate said risks, Merck & Co., Inc. (NYSE:MRK) is developing an injectable version of Keytruda, which is expected to expand its drug pipeline through internal development and acquisitions. Most recently, the company won approval for Winrevair, a therapy for pulmonary arterial hypertension, and it has potential blockbuster status. The company is also buying Verona Pharma for $10 billion, acquiring Ohtuvayre, a promising drug for chronic obstructive pulmonary disease (COPD) as well.

Merck & Co., Inc. (NYSE:MRK)’s dividend policy is also a positive feature that grabs investors’ attention. The company has raised its dividends for 16 consecutive years, and it currently offers a quarterly dividend of $0.81 per share. As of September 27, the stock supports a dividend yield of 4.12%.

READ NEXT: 10 Best Recession-Proof Dividend Stocks to Buy and 11 Best Value Dividend Stocks to Buy Now.

Disclosure: None.