Top 5 Stock Picks of Samuel Isaly’s OrbiMed Advisors

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

OrbiMed Advisors Stake Value: $280,341,000
Percentage of OrbiMed Advisors’ 13F Portfolio: 3.08%
Number of Hedge Fund Holders: 77

Merck & Co., Inc. (NYSE:MRK) is a multinational pharmaceutical corporation that develops, manufactures, and distributes medications for humans and animals. In December, Goldman Sachs analyst Chris Shibutani initiated coverage of Merck & Co., Inc. (NYSE:MRK), rating the stock as “Buy” and initiating a price target of $93.

The hedge fund of Samuel Isaly entered the third quarter of 2021 with 3.73 million shares of Merck & Co., Inc. (NYSE:MRK), worth around $280.34 million. The company has featured on Isaly’s portfolio since the fourth quarter of 2010.

Of the 77 hedge funds that were bullish on Merck & Co., Inc. (NYSE:MRK) according to the third quarter database of Insider Monkey, Ken Fisher’s Fisher Asset Management is the leading stakeholder of the company, holding 10.63 million shares worth $798.67 million.

In its third-quarter 2021 investor letter, Miller Howard Investments mentioned Merck & Co., Inc. (NYSE:MRK). Here is what the fund said:

“While optimistic about a recovery, we continue to balance our cyclical holdings with dividend-payers in stable, less economically-sensitive industries. We hold three pharmaceutical companies, (which includes) Merck (MRK). All three have strong cash flows and balance sheets, making their high dividends reasonably safe. The investment controversy surrounding these pharma companies is whether they can develop or acquire new products to replace their current blockbuster drugs. The low valuations on these stocks reflects what we believe to be undue pessimism by investors on the prospects for new drugs.”