American's managers have been busy buying unloved large caps.
The sale to Bayer monetizes Merck's consumer unit at a strong valuation, and removes Merck from an area where it lacks scale.
Positive trial data for diabetes drug Januvia and strong first-quarter results keep Merck's stock undervalued and its wide moat intact.
With a rock-solid belief in their strategy, the managers of Homestead Value confidently go about their business.
Two veteran investors discuss the winners and losers of reform and where they're looking for future growth.
Morningstar analysts see pharmaceuticals as 2010's hot zone for mergers and acquisitions.