Sectors & Industries HealthcareDrug Manufacturers - General
Best General Drug Manufacturer Stocks to Buy Now (2025)
Top general drug manufacturer stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best general drug manufacturer stocks to buy now. Learn More.

Industry: Drug Manufacturers - Gene...

Growth Financials Momentum Sentiment Forecast Dividends Due Diligence

General Drug Manufacturers is Zen Rated A and is the 4th ranked industry out of 145 stock market industries

Ticker	Company	Price	Graham Fair Value	Graham Fair Value %	P/E	Forward P/E	P/S	P/B	PEG	Free Cash Flow	Free Cash Flow Yield	Book Value	BVPS	EV	EV/EBITDA
NVS	NOVARTIS AG	$110.13	$66.11	66.59%	17.10x	12.67x	4.07x	5.62x	1.25x	$17.70B	8.17%	$38.37B	19.50	$239.98B	9.08
JNJ	JOHNSON & JOHNSON	$155.66	$78.25	98.92%	17.18x	14.68x	4.19x	4.79x	1.91x	$20.37B	5.44%	$78.11B	32.45	$388.31B	11.19
BMY	BRISTOL MYERS SQUIBB CO	$46.88	$42.42	10.53%	17.49x	6.81x	2.00x	5.49x	0.59x	$13.09B	13.72%	$17.39B	8.55	$134.24B	9.47
ABBV	ABBVIE INC	$185.58	$86.14	115.44%	77.33x	15.11x	5.83x	98.53x	0.89x	$17.83B	5.43%	$3.33B	1.88	$389.23B	27.31
AZN	ASTRAZENECA PLC	$67.30	$40.84	64.80%	26.87x	14.97x	3.05x	5.08x	0.87x	$11.16B	5.35%	$41.04B	13.24	$235.05B	13.30
GILD	GILEAD SCIENCES INC	$98.16	$66.17	48.35%	20.58x	12.41x	4.26x	6.37x	0.86x	$9.84B	8.05%	$19.16B	15.38	$139.13B	13.15
GSK	GSK PLC	$36.87	$35.54	3.73%	18.13x	8.24x	1.82x	4.05x	0.53x	$7.17B	9.51%	$18.63B	9.11	$93.74B	15.22
AMGN	AMGEN INC	$272.05	$162.24	67.68%	24.62x	13.11x	4.29x	23.57x	0.94x	$10.92B	7.46%	$6.21B	11.54	$194.85B	12.75
LLY	ELI LILLY & CO	$751.45	$270.00	178.32%	60.90x	34.03x	13.78x	45.18x	1.30x	$3.74B	0.55%	$15.76B	17.54	$747.60B	48.45
PFE	PFIZER INC	$22.97	$22.63	1.51%	16.53x	7.48x	2.09x	1.45x	0.54x	$11.22B	8.61%	$90.34B	15.92	$191.27B	13.41
BIIB	BIOGEN INC	$118.39	$120.21	-1.51%	11.65x	7.84x	1.76x	1.02x	0.64x	$2.38B	13.78%	$16.98B	116.21	$21.37B	8.48
SCLX	SCILEX HOLDING CO	$4.39	N/A	N/A	-0.22x	-0.31x	0.29x	-0.16x	N/A	$19.35M	117.63%	-$192.64M	-51.42	$72.00M	-1.09
SNY	SANOFI	$52.13	$38.42	35.67%	22.54x	11.74x	2.83x	1.63x	0.71x	$7.65B	5.87%	$80.74B	32.26	$142.59B	11.98
GRFS	GRIFOLS SA	$7.30	$21.36	-65.83%	28.52x	7.60x	0.63x	0.77x	0.13x	$357.52M	7.12%	$6.54B	9.51	$15.23B	8.89
MRK	MERCK & CO INC	$77.65	$76.83	1.07%	11.27x	8.70x	3.06x	4.03x	0.70x	$17.04B	8.70%	$48.34B	19.16	$221.20B	8.49
OGN	ORGANON & CO	$9.02	$28.93	-68.82%	3.10x	2.50x	0.37x	4.33x	0.24x	$781.00M	33.58%	$542.00M	2.10	$10.75B	7.26
AMRN	AMARIN CORP PLC	$10.71	N/A	N/A	-2.43x	-2.14x	1.03x	0.47x	N/A	-$30.88M	-13.95%	$473.69M	22.92	$109.89M	-1.40
MIRA	MIRA PHARMACEUTICALS INC	$1.25	N/A	N/A	-2.45x	-2.31x	N/A	9.55x	N/A	-$5.56M	-28.80%	$2.20M	0.14	$18.18M	-2.27

General Drug Manufacturer Stocks FAQ

What are the best general drug manufacturer stocks to buy right now in May 2025?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best general drug manufacturer stocks to buy right now are:

1. Novartis Ag (NYSE:NVS)

Novartis Ag (NYSE:NVS) is the #1 top general drug manufacturer stock out of 18 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Novartis Ag (NYSE:NVS) is: Value: B, Growth: C, Momentum: C, Sentiment: C, Safety: B, Financials: B, and AI: B.

Novartis Ag (NYSE:NVS) has a Due Diligence Score of 37, which is -5 points lower than the general drug manufacturer industry average of 42. Although this number is below the industry average, our proven quant model rates NVS as a "A".

NVS passed 13 out of 38 due diligence checks and has average fundamentals. Novartis Ag has seen its stock return 10.57% over the past year, overperforming other general drug manufacturer stocks by 19 percentage points.

2. Johnson & Johnson (NYSE:JNJ)

Johnson & Johnson (NYSE:JNJ) is the #2 top general drug manufacturer stock out of 18 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Johnson & Johnson (NYSE:JNJ) is: Value: B, Growth: C, Momentum: C, Sentiment: B, Safety: A, Financials: B, and AI: B.

Johnson & Johnson (NYSE:JNJ) has a Due Diligence Score of 51, which is 9 points higher than the general drug manufacturer industry average of 42.

JNJ passed 18 out of 38 due diligence checks and has strong fundamentals. Johnson & Johnson has seen its stock return 4.5% over the past year, overperforming other general drug manufacturer stocks by 13 percentage points.

Johnson & Johnson has an average 1 year price target of $168.08, an upside of 7.98% from Johnson & Johnson's current stock price of $155.66.

Johnson & Johnson stock has a consensus Buy recommendation according to Wall Street analysts. Of the 12 analysts covering Johnson & Johnson, 16.67% have issued a Strong Buy rating, 33.33% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Bristol Myers Squibb Co (NYSE:BMY)

Bristol Myers Squibb Co (NYSE:BMY) is the #3 top general drug manufacturer stock out of 18 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Bristol Myers Squibb Co (NYSE:BMY) is: Value: A, Growth: C, Momentum: C, Sentiment: A, Safety: B, Financials: B, and AI: A.

Bristol Myers Squibb Co (NYSE:BMY) has a Due Diligence Score of 50, which is 8 points higher than the general drug manufacturer industry average of 42.

BMY passed 18 out of 38 due diligence checks and has strong fundamentals. Bristol Myers Squibb Co has seen its stock return 7.35% over the past year, overperforming other general drug manufacturer stocks by 16 percentage points.

Bristol Myers Squibb Co has an average 1 year price target of $60.00, an upside of 27.99% from Bristol Myers Squibb Co's current stock price of $46.88.

Bristol Myers Squibb Co stock has a consensus Hold recommendation according to Wall Street analysts. Of the 13 analysts covering Bristol Myers Squibb Co, 23.08% have issued a Strong Buy rating, 7.69% have issued a Buy, 61.54% have issued a hold, while 0% have issued a Sell rating, and 7.69% have issued a Strong Sell.

What are the general drug manufacturer stocks with highest dividends?

Out of 11 general drug manufacturer stocks that have issued dividends in the past year, the 3 general drug manufacturer stocks with the highest dividend yields are:

1. Sanofi (NASDAQ:SNY)

Sanofi (NASDAQ:SNY) has an annual dividend yield of N/A, which is N/A percentage points lower than the general drug manufacturer industry average of 3.38%. Sanofi's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Sanofi's dividend has shown consistent growth over the last 10 years.

Sanofi's dividend payout ratio of 88.1% indicates that its dividend yield is sustainable for the long-term.

2. Organon & Co (NYSE:OGN)

Organon & Co (NYSE:OGN) has an annual dividend yield of 6.21%, which is 3 percentage points higher than the general drug manufacturer industry average of 3.38%.

Organon & Co's dividend payout ratio of 38.5% indicates that its high dividend yield is sustainable for the long-term.

3. Gsk (NYSE:GSK)

Gsk (NYSE:GSK) has an annual dividend yield of 4.21%, which is 1 percentage points higher than the general drug manufacturer industry average of 3.38%. Gsk's dividend payout is not stable, having dropped more than 10% nine times in the last 10 years. Gsk's dividend has not shown consistent growth over the last 10 years.

Gsk's dividend payout ratio of 76.2% indicates that its high dividend yield is sustainable for the long-term.

Why are general drug manufacturer stocks down?

General drug manufacturer stocks were down -1.88% in the last day, and down -4.12% over the last week.

We couldn't find a catalyst for why general drug manufacturer stocks are down.

What are the most undervalued general drug manufacturer stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued general drug manufacturer stocks right now are:

1. Organon & Co (NYSE:OGN)

Organon & Co (NYSE:OGN) is the most undervalued general drug manufacturer stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Organon & Co has a valuation score of 71, which is 26 points higher than the general drug manufacturer industry average of 45. It passed 5 out of 7 valuation due diligence checks.

Organon & Co's stock has dropped -55.72% in the past year. It has underperformed other stocks in the general drug manufacturer industry by -47 percentage points.

2. Biogen (NASDAQ:BIIB)

Biogen (NASDAQ:BIIB) is the second most undervalued general drug manufacturer stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Biogen has a valuation score of 100, which is 55 points higher than the general drug manufacturer industry average of 45. It passed 7 out of 7 valuation due diligence checks.

Biogen's stock has dropped -46.12% in the past year. It has underperformed other stocks in the general drug manufacturer industry by -37 percentage points.

3. Merck & Co (NYSE:MRK)

Merck & Co (NYSE:MRK) is the third most undervalued general drug manufacturer stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Merck & Co has a valuation score of 57, which is 12 points higher than the general drug manufacturer industry average of 45. It passed 4 out of 7 valuation due diligence checks.

Merck & Co's stock has dropped -40.06% in the past year. It has underperformed other stocks in the general drug manufacturer industry by -31 percentage points.

Are general drug manufacturer stocks a good buy now?

30.77% of general drug manufacturer stocks rated by analysts are a strong buy right now. On average, analysts expect general drug manufacturer stocks to rise by 61.13% over the next year.

16.67% of general drug manufacturer stocks have a Zen Rating of A (Strong Buy), 27.78% of general drug manufacturer stocks are rated B (Buy), 50% are rated C (Hold), 0% are rated D (Sell), and 5.56% are rated F (Strong Sell).

What is the average p/e ratio of the drug manufacturers - general industry?

The average P/E ratio of the drug manufacturers - general industry is 36.69x.

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Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.