ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities. That being said, if you’re a long-term investor, this can still be a stock worth taking a position in right now, simply because its valuation is so low. Pfizer hasn’t been trading at its current levels in years, and the business is by no means in bad shape. Its top line grew by 10% last quarter, and its adjusted earnings rose by 30%. Pfizer’s stock has fallen close to 30% in the past five years, but despite its low valuation, investors haven’t been taking the bait. However, the company has been reporting solid results in its recent quarters.
Select to analyze similar companies using key performance metrics; select up to 4 stocks. In the Specialty Care unit, while sales of Vyndaqel are likely to have remained strong, driven by continued demand growth, sales of Xeljanz and Enbrel are likely to have declined. There’s no mistaking the continuous downward trend for the stock, with earnings reports doing little to stop the tailspin in recent years. The pharma giant is slated to report its latest quarterly numbers next week. Novo Nordisk and Pfizer have revised their bids for Metsera , the obesity Umarkerts Review drug developer said on Tuesday.
Novo Nordisk loses more ground in obesity market
Hertz (HTZ) stock skyrockets after the company reported a surprise profit. To watch more expert insights and analysis on the latest market action, check out more Market Catalysts. From a valuation standpoint, Pfizer appears attractive relative to the industry and is trading below its 5-year mean. Going by the price/earnings ratio, the shares currently trade at 7.75 forward earnings, lower than 15.23 for the industry and the stock’s 5-year mean of 10.54. Higher sales of products like Vyndaqel family, Padcev and Lorbrena are likely to have driven top-line growth.
Expect Pfizer bid to beat Novo for Metsera, says BMO’s Evan David Seigerman
- For example, if a stock pays an annual dividend of $2 and is currently priced at $50, the dividend yield would be 4% ($2/$50).
- It even raised its guidance when it last reported its numbers in August.
- With the recent buzz around Pfizer, some investors may be eyeing potential dividend gains.
- And with healthcare stocks, it’s usually strong clinical trial results that can send them soaring, rather than an impressive earnings report.
Metsera said Novo Nordisk’s new bid for the obesity biotech is “superior” to a revised offer from Pfizer, escalating a heated tussle over the startup between the two pharmaceutical giants. A Delaware judge said on Tuesday she did not see in a preliminary evaluation the need to involve the court in the bidding war for Metsera between Pfizer and Novo Nordisk, but did schedule another hear… Pfizer has removed some conditions in its bid for Metsera as it tries to overcome a rival $10 billion bid by Novo Nordisk for the obesity drug developer, the U.S. drug giant said in a letter to a Dela…
- Pfizer records direct sales and alliance revenues from its partner, BioNTech, for the COVID-19 vaccine, Comirnaty.
- The healthcare bellwether’s performance has been solid, with the company exceeding earnings expectations in each of the trailing four quarters.
- However, investors with a long-term horizon should stay invested in this stock due to its cheap valuation, significant upside potential, high dividend yield, and significant growth prospects.
- I don’t anticipate that Pfizer’s Q3 earnings will prove to be a significant catalyst for the stock.
- The firm works across developed and emerging markets to advance wellness, prevention, treatments and cures that challenge the most feared diseases.
- For a more modest $100 per month or $1,200 per year, you would need $17,206 or around 698 shares.
How To Earn $500 A Month From Pfizer Stock Ahead Of Q3 Earnings
Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return. The monthly returns are then compounded to arrive at the annual return. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations.
Nonetheless, a single quarter’s results are not so important for long-term investors. Let us delve deeper to understand whether to buy, sell or hold Pfizer stock. Our estimate for direct sales and alliance revenues from Comirnaty is $1.19 billion, while that for Paxlovid is $1.73 billion. The Zacks Consensus Estimate for direct sales and alliance revenues from Comirnaty is $1.14 billion, while that for Paxlovid is $1.17 billion. It trades at a price-to-earnings multiple of only 13, while the S&P 500 average is 25. But Pfizer has been trading at a discount for a while, and that hasn’t been enough to get investors on board and believing that it’s a good buy.
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I don’t anticipate that Pfizer’s Q3 earnings will prove to be a significant catalyst for the stock. While the company has been building out its pipeline and investing in companies to help further its growth, those are steps that will take time. And with healthcare stocks, it’s usually strong clinical trial results that can send them soaring, rather than an impressive earnings report. With the recent buzz around Pfizer, some investors may be eyeing potential dividend gains.
Revenues from Pfizer/BioNTech’s COVID vaccine, Comirnaty, as well as antiviral pill for COVID, Paxlovid, are likely to have risen in the third quarter, similar to the second quarter. Per our proven model, companies with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) have a good chance of delivering an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Market Catalysts host Julie Hyman takes a closer look at some of the trending tickers during Tuesday’s trading session. Pfizer (PFE) and Novo Nordisk (NVO) have boosted their bids to buy Metsera (MTSR).
There’s been a lot of talk from the Trump administration about lowering drug prices. The government has also imposed tariffs on some imported pharmaceuticals. Last month, Pfizer reached a “landmark agreement” with the government to work on lowering drug prices. And it also committed to spending $70 billion on research and development efforts in the U.S. to avoid tariffs. Pfizer’s recent acquisitions and licensing deals, like the proposed Metsera buyout and the global, ex-China licensing agreement with 3SBio, among others, are weighing on near-term earnings expectations. While these transactions will broaden Pfizer’s pipeline reach, they are likely to have added substantial near-term expenses, thus weighing on profitability and triggering downward revisions in EPS estimates.
Its primary care products include Eliquis, Nurtec ODT/Vydura, Zavzpret, the Prevnar family, Comirnaty, Abrysvo, FSME/IMMUN-TicoVac, Nimenrix, Trumenba, and Paxlovid. Pfizer Inc. discovers, develops, manufactures, markets, distributes, and sells biopharmaceutical products in the United States and internationally. In addition, the company involved in the contract manufacturing business. It serves wholesalers, retailers, hospitals, clinics, government agencies, pharmacies, individual provider offices, retail pharmacies, and integrated delivery systems. The company has collaboration agreements with Bristol-Myers Squibb Company; Astellas Pharma US, Inc.; Merck KGaA; and BioNTech SE.
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It even raised its guidance when it last reported its numbers in August. According to 10 analysts, the average rating for PFE stock is “Hold.” The 12-month stock price target is $27.44, which is an increase of 11.50% from the latest price. Though Pfizer does not expect strong top-line growth over the next three years due to the LOEs, it expects EPS growth.
Pfizer Inc. was founded in 1849 and is headquartered in New York, New York. Pfizer Inc. is a research-based global biopharmaceutical company, which engages in the discovery, development, manufacture, marketing, sales and distribution of biopharmaceutical products worldwide. The firm works across developed and emerging markets to advance wellness, prevention, treatments and cures that challenge the most feared diseases.
Sales of some other key products like Prevnar, Xeljanz and Eliquis also improved in the second quarter from first-quarter levels. We expect the positive trend to have continued in the third quarter, with these products also contributing to top-line growth. Pfizer (PFE Quick QuotePFE – Free Report) will report its third-quarter 2025 earnings on Nov. 4, before market open.
Investors may be looking for some reassurance from Pfizer about its growth opportunities in both the short and long term. If the company is able to paint a more promising picture for the future, then there could finally be a rally forthcoming for this beaten-down stock. Pfizer Inc. remains materially undervalued despite recent volatility, with its recovery momentum challenged by the ongoing Metsera bidding war. Pfizer is preparing to sweeten its offer again for Metsera, the weight-loss drug startup at the center of a bidding war that also involves Novo Nordisk. Evan David Seigerman, BMO, joins ‘Fast Money’ to talk bidding wars in the pharma space, Novo Nordisk dropping on earnings, and more.
The healthcare bellwether’s performance has been solid, with the company exceeding earnings expectations in each of the trailing four quarters. It delivered a four-quarter earnings surprise of 43.78%, on average. In the last reported quarter, the company delivered an earnings surprise of 34.48%, as seen in the chart below. Pfizer’s Q3 results showed a 5.9% year-over-year decline in sales, totaling $16.65 billion, but the company exceeded EPS estimates by 37%.
The company was founded by Charles Pfizer Sr. and Charles Erhart in 1849 and is headquartered in New York, NY. In Primary Care, alliance revenues and direct sales from Eliquis are likely to have risen, driven by higher demand trends globally, partially offset by IRA-driven lower pricing and price erosion in some ex-U.S. Sales of the key vaccine Prevnar are likely to have risen, driven by strong uptake of the adult indication.