Merck CEO Rob Davis told CNBC’s Jim Cramer that there’s more to the pharmaceutical giant than its lucrative cancer drug, Keytruda, and he described the future of its other ventures.
“Keytruda has truly been transformational in the treatment of cancer,” he said. “But, importantly, we are now in a situation where we can really leverage the strength of Keytruda to go well beyond Keytruda.”
According to Davis, “the breadth and the depth” of Merck’s current pipeline is the most diversified in the company’s recent history, with its portfolio is broadening into the cardiometabolic space, along with ophthalmology and immunology.
He also pointed to Winrevair, a medicine used to treat a rare and life-threatening lung condition that was approved by the Food and Drug Administration last spring. Winrevair is the first drug to target the root cause of the disease, CNBC reported. Davis claimed there is anecdotal evidence that the treatment has allowed some patients to quickly leave transplant lists.
Merck is also known for its Gardasil vaccine, which prevents cancers from HPV, a very common sexually-transmitted infection. The vaccine was first approved to prevent cervical cancers in women, but was later also approved to protect against other HPV-related cancers in men. In its latest quarter at the end of 2024, Merck posted lighter-than-expected Gardasil sales, with management attributing the decline primarily to lower demand for the drug in China. But last week, Gardasil was approved for young men in China, and Merck said there is significant potential for the vaccine in the country, saying there are “200 million males in the demographic that we think we can go after on top of the 120 million females still out there.”
“This is an area where we are continuing to invest, and I think the science and the effectiveness of this drug is proven,” Davis said. “It is truly seen globally as an anti-cancer vaccine. It’s one of the only ones out there.”
