Core Investment Strategy - Dividend investing is emphasized as a key strategy for investors seeking steady income and long-term capital appreciation in 2026, particularly in a mixed economic backdrop with stabilizing interest rates [1] Company Analysis: Merck & Co (NYSE: MRK) - Merck is positioned defensively within the healthcare sector, trading at $121.41 with a forward dividend of $3.40 per share, yielding 2.80% [2][3] - The company maintains a forward payout ratio of 34.93%, indicating strong dividend coverage and room for reinvestment [2][3] - Merck has increased its dividend for 15 consecutive years, showcasing its commitment to shareholder returns [4] - The quarterly dividend is currently $0.85, with the next payment scheduled for early April 2026 [4] - Merck benefits from the stability of the healthcare sector and has a strong oncology franchise, particularly with treatments like Keytruda, which supports revenue generation [4] Company Analysis: ConocoPhillips (NYSE: COP) - ConocoPhillips operates in the energy sector, providing exposure to global oil and gas prices, which can lead to both risks and rewards [6][7] - The stock is trading at $111.43, with a forward annual dividend of $3.36 per share, yielding 3.02% [8][9] - The forward payout ratio is 50.06%, reflecting a balance between reinvestment in production assets and returning capital to shareholders [8][9] - ConocoPhillips has structured its capital strategy around disciplined spending and strong free cash flow generation, ensuring sustainability of shareholder returns [7] - The company distributes dividends quarterly, with the next payment of $0.84 scheduled for March 2026 [9]

Group 1 - The biopharma sector experienced a sluggish M&A activity in 2024, but the environment is expected to improve for deals in the remainder of 2025 [1] - The overall industry sentiment is shifting, indicating a potential increase in M&A transactions as market conditions become more favorable [1] - Factors contributing to the improved M&A landscape include evolving market dynamics and strategic interests among companies [1]

Group 1 - The session features Mohit Bansal, a Senior Equity Analyst at Wells Fargo, who specializes in biotech and pharma [1] - Greg Friberg, the EVP and Chief Research and Development Officer at BioMarin, is present for the discussion [1]