Merck’s (MRK) Deep Drug Pipeline Could Power its Next Chapter

Merck & Co., Inc. (NYSE:MRK) is included among the 15 Best Dividend Paying Stocks to Buy Right Now. 

Merck & Co., Inc. (NYSE:MRK) is one of the world’s largest healthcare companies, with a portfolio that spans prescription medicines, biologic therapies, vaccines, and animal health products.

Yet much of the investment story continues to revolve around Keytruda, the company’s blockbuster cancer treatment. The drug generated $32 billion in sales in 2025, accounting for nearly half of Merck’s total revenue. With US patent protection set to expire in 2028 and European patents following in 2030, investors have become increasingly focused on what comes next.

That looming patent cliff has weighed on the stock since 2024, as the market looks ahead to the eventual loss of exclusivity for Merck’s biggest product. The company has been moving to strengthen its pipeline before that happens. Earlier this month, Merck acquired Terns Pharmaceuticals, adding TERN-701, an experimental treatment for chronic myeloid leukemia. The drug remains in early-stage clinical testing, but its FDA breakthrough therapy designation highlights the potential management sees in the program.

Merck & Co., Inc. (NYSE:MRK) is not relying on a single successor to Keytruda. Its development pipeline includes more than 50 clinical trials, with over 30 programs already in Phase 3 studies and five candidates currently under FDA review. Management has repeatedly pointed to a pipeline capable of generating as much as $70 billion in annual revenue over time, helping offset the eventual decline in Keytruda sales. The challenge is timing, as those replacement products are not expected to reach that level of commercial scale until the middle of the next decade.

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