Merck Banks On R&D Pipeline And Immunology Drugs As Pricing Pressure Grows

The competition from generics has resulted in severe pricing pressure in the U.S. and Europe. The combined sales for the aforementioned drugs fell by 10.9% during the quarter, amounting to $1,555 million. So where should investors place their faith? We believe that the answer lies in Merck's advancement in diabetes and immunology, and its reasonably good R&D pipeline.