Barclays Initiates Viatris (VTRS) with Overweight as Pharma Sentiment Improves

Viatris Inc. (NASDAQ:VTRS) is included among the 14 Best Pharma Dividend Stocks to Buy in 2026.

On December 9, Barclays analyst Glen Santangelo initiated coverage of Viatris Inc. (NASDAQ:VTRS) with an Overweight rating and a $15 price target. The firm launched coverage of the specialty pharmaceuticals industry with a neutral view, noting that investor sentiment is starting to improve as companies place more emphasis on innovation, margin expansion, and de-leveraging. In a research note, the analyst said pricing pressure across the group is easing, while debt leverage is moving lower. Barclays sees “plenty of opportunity” in the space, adding that the sector “remains in a transition phase.” That transition, in the firm’s view, is beginning to show through both balance sheets and operating focus.

Earlier in December, Viatris Inc. (NASDAQ:VTRS) announced it had entered into definitive agreements with Biocon Limited to sell its equity stake in Biocon Biologics Limited. Under the terms, Biocon will acquire all of Viatris’ convertible preferred equity in Biocon Biologics for total consideration of $815 million. The transaction includes $400 million in cash and $415 million in newly issued equity shares of Biocon.

Scott A. Smith, Chief Executive Officer, Viatris, made the following statement:

“This agreement is another important step in Viatris’ evolution. Monetizing the value of our equity stake in Biocon Biologics and regaining access to the biosimilars market globally provides significant additional optionality as we continue to build a portfolio of generics, established brands and innovative brands that can contribute to our future growth.”

Citi is acting as financial advisor to Viatris. Cravath, Swaine & Moore LLP and Indian law firm Khaitan & Co. are serving as legal advisors to the company.

Viatris Inc. (NASDAQ:VTRS) is a global pharmaceutical company that provides a wide range of medicines, including generics, branded drugs, biosimilars, OTC products, and active pharmaceutical ingredients (APIs).

While we acknowledge the potential of VTRS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Cash-Rich Stocks to Buy Now and 15 Global Dividend Stocks to Diversify Your Portfolio.

Disclosure: None.