NYSE:PFE

Pfizer Inc (PFE)

25.69
+0.35 (1.38%)
as of Jun 4, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconJun 4, 2026, 12:00 am

This summary was created by AI, based on 31 opinions in the last 12 months.

Pfizer Inc. (PFE) is currently facing significant challenges, primarily due to a patent cliff and a lack of earnings momentum following the COVID-19 pandemic. Many experts express concerns over its drug pipeline, indicating that the company is in need of a blockbuster drug to drive future growth. While it maintains an attractive dividend yield—ranging from 6.4% to 7%—there is skepticism about the sustainability of this yield if new profitable drugs are not developed soon. The stock’s valuation is seen as low, trading at around 8-10 times earnings, which some experts believe might make it appealing for patient investors. However, the consensus also points to caution due to the industry-wide challenges, including cost-cutting measures and potential government pressure on drug pricing.

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Consensus
Hold
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Valuation
Undervalued
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Similar
NVO
PAST TOP PICK
(A Top Pick Sept 7/05. Down 18%.) His model is still showing a 50% upside. Still likes.
BUY
There are law suits coming at these companies from different directions. Merck (MRK-N) just got hit with a massive lawsuit in Texas and this has put a big pall over the industry. However, the demograpohics in this industry are fabulous. This one is the biggest in the industry and they have a huge amount of cash on their balance sheet. The options are very cheap and not a bad way to go.
DON'T BUY
Not a fan of the big drug companies. They are under tremendous pressure. One of the biggest expenses the US has to grapple with is health care, so the government is now on the side of the consumer, so it would be very hard for big pharma to have the kind of margins and sales growth they used to have.
BUY
The overall pharmaceutical industry has had a tough time. Yields almost 4%. Trading at close to 10 X earnings. This industry has had bad direction from the FDA. Great balance sheet and lots of free cash flow.
DON'T BUY
The ethical drug companies continue to have a very difficult time. You are seeing a classic compression of the price/earnings multiple. The growth rate of these companies has gone from 25% growth to almost 0% growth in the last 3/4 years.
WAIT
There's a possibility for it to go to $19.65 at which time he will buy more. It's in a bottoming process. Looking for the new earnings estimates to come in during the next few weeks. His model price is $36 which is a 51% differential.
DON'T BUY
Have too many suits hanging over him for his tastes. Doesn't like a sector where there's a lot of potential for a lot of nasty surprises.
BUY
Doesn't feel the FDA hasn't done a good job, but that is changing. Feels the pharmaceutical industry's pipeline is being valued at a very low multiple. At one of the cheapest levels in the last 10 years. Yields about 2.5/3%. Throws off tons of free cash flow. A long term story.
DON'T BUY
Drug stars such as Pfizer (PFE-N) Merck (MRK-N), etc. are attractively valued but are clearly out of favour. They have great long term track records and are in strong financial positions, however, there is a lack of predictability regarding the science. Doesn't like the cash flow dynamics where they spend billions up front with no sure win ahead. Litigation risks.
BUY
Still likes and is a believer in this company. His model price is 50% above the current price, but doesn't know when that value will be recognized.
DON'T BUY
No advantage to be in this stock. The whole drug area has changed in the last few years and they are not as strong as they once were. The market seems to be moving more to generics.
TOP PICK
His model price is $37.65, an 46% differential.
DON'T BUY
Very cheap on the numbers, but they have a patent issue on their largest drug, Lippitor. If they lost Lippitor, you would be looking at a stock below $20 overnight. There's a lot of risk in the name.
BUY
Have recently added this to his fund. Good free cash flow, strong balance sheet. There is some risk right now with their Lipitor drug. A group in India is making a generic version.
HOLD
Have done a lot of restructuring. Will cut their costs which will help. Part of the problem in the pharmaceutical industry has been the poor leadership in the FDA. A cheap stock and you're getting paid a 3.5% yield. Trades at a very low multiple.
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