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In a move that’ll increase competition, lower drug prices, and save million of patients, the FDA approved the country’s first “biosimilar” drug.

Generic drug makers are developing them at low-cost, as an alternative to brand name biologic drugs that are developed from living cells.

At the moment, biologic drugs costs the country about $82 billion a year, accounting for up to 22% of annual spending on drugs. But biosimilar drugs could lop an estimated $47 billion off that price tag, and save consumers quite a bit of money.

In fact, the FDA just approved the first one last week.

While we’re searching for inexpensive stocks to buy, one of our favorite companies involved is Merck (MRK). As the story heats up, so should the stock at recent lows.

MRK 3-year Chart

MRK 3-year Chart