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5 Pharma Stocks to Buy for Big Dividends

Don't assume pharmaceutical companies can't offer attractive dividends

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dividends-stocks-MRKYou may know it as the company that brought you the diabetes drug Januvia and asthma treatment Singulair. But some investors know Merck (MRK) as the pharmaceutical stock that paid out 3.6% of the stock’s current price in the form of dividends over the past twelve months.

But what about the fact that its former-top-selling drug Singulair is now facing generic competition from every direction, while Januvia’s revenue has been falling for a few months? Both are legitimate concerns. However, Merck has a couple of compelling antivirals in the pipeline, while ovarian cancer therapy vintafolide and insomnia treatment suvorexant are currently receiving their final reviews by the FDA. The market is optimistic about each.

Some experts suggest suvorexant could be driving $700 million in sales in just a few years, while vintafolide could be a $2.5 billion-per-year therapy. That should help keep the dividends flowing.

Article printed from InvestorPlace Media,

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