Verona Pharma plc (VRNA) Is Unlikely To Face Antitrust Action For Merck Deal, Says Jim Cramer

We recently published Jim Cramer Analyzed These 9 Stocks As He Said Tariffs Are Better Than CIA Coups. Verona Pharma plc (NASDAQ:VRNA) is one of the stocks Jim Cramer recently discussed.

Verona Pharma plc (NASDAQ:VRNA)’s shares experienced a boost in July when pharmaceutical giant Merck announced that it would acquire the firm for a $10 billion price tag. The stock experienced a healthy 20.6% gain after the announcement, which added to its 80% year-to-date gains at that point. Cramer discussed the Verona Pharma plc (NASDAQ:VRNA) acquisition after it was announced. He called the firm’s COPD drug a “first in class” compound that would help Merck with its drug portfolio, particularly as investors worry about KEYTRUDA’s patent expiration. This time, he discussed antitrust approval of the acquisition:

“Did you see the Merck deal the other day? Verona? Two gentlemen? Getting together, Merck and Verona. You know they’re not gonna block that. That doesn’t even hit the radar, whoever’s in antitrust.”

Verona Pharma plc (VRNA) Is Unlikely To Face Antitrust Action For Merck Deal, Says Jim Cramer

A patient in a clinic, taking a medication dose from a nebulizer to treat a respiratory disease.

After the Verona Pharma plc (NASDAQ:VRNA) acquisition was announced, here is what Cramer said:

“Yeah, I talked to Rob this morning, really liked this. He thinks he’s got about 50 billion dollars worth of new drugs, which would therefore make it so you should stop worrying about the Keytruda patent expiration in 2028. I am with Rob. I think this COPD is a really important, another important franchise for them the alternative use steroids. And we’ve all be discovering that if you have trouble using steroids, one it becomes less effective over time, and two, the side effects are much worse than people realize. So I think this is a first in class, novel, compound that will make it so. . .I like this acquisition very much.”

While we acknowledge the risk and potential of VRNA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than VRNA and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.