UBS Cite Efficient Capital Allocation and Rising Profits in Viatris Inc. (VTRS) Upgrade

Viatris Inc. (NASDAQ:VTRS) is among the 7 Cheap Pharmaceutical Stocks to Buy According to Hedge Funds.

UBS Cite Efficient Capital Allocation and Rising Profits in Viatris Inc. (VTRS) Upgrade

The third stock on our list of cheap pharmaceutical stocks is Viatris Inc. (NASDAQ:VTRS).

TheFly reported on February 9 that UBS upgraded VTRS to Buy from Neutral and raised the price target to $18 from $11. The company’s stronger growth prospects are reflected in the upgrade. VTRS’ new product pipeline and continuous cost-cutting initiatives are expected to increase shareholder value, according to investors. The company’s growing pipeline, rising profits, and efficient capital allocation are cited by the firm as the main reasons for the upgrade.

Additionally, earlier on January 20, Viatris Inc. (NASDAQ:VTRS) announced the launch of Inpefa (sotagliflozin) in the United Arab Emirates, which is the first market outside the U.S. to commercialize the treatment. Additional launches are planned globally.

Inpefa is a first-in-class dual SGLT1/2 inhibitor that has been approved to reduce the risk of cardiovascular death, heart failure hospitalizations, and urgent visits in people with heart failure, including those with type 2 diabetes or chronic renal illness.

With regulatory files already made in Canada, Australia, and Mexico, VTRS’s capacity to implement its innovative product pipeline is demonstrated by the UAE launch. Before a significant Investor Event on March 19, 2026, the business is anticipated to make this global rollout a primary focus when it releases its fourth-quarter and full-year 2025 results on February 26, 2026.

Viatris Inc. (NASDAQ:VTRS) is a global healthcare company providing access to medicines, including generics, biosimilars, and specialty products. It focuses on improving patient health worldwide through reliable manufacturing, distribution, and partnerships across various therapeutic areas.

While we acknowledge the potential of VTRS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VTRS and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 12 Unstoppable Dividend Stocks to Buy According to Analysts and Dividend Champions, Contenders and Challengers list: 15 Highest Yielding Stocks.

Disclosure: None.