2024-03-17 21:16:05 ET
Summary
- Pfizer's stock has dropped over the last year+ due to declines in revenue and profit from Covid-related products.
- The company's non-Covid products have shown growth, indicating potential for continued future success.
- While the upcoming patent cliff looks concerning, PFE's pipeline is well stocked with potential Phase-3 winners.
- Trading at a significant discount vs. historical measures and industry peers, PFE looks like a compelling opportunity, with a double-digit upside to our estimated 'Fair Value' range.
- We rate PFE a 'Strong Buy'.
Pfizer ( PFE ) has had a rough few quarters.
Following a massive boom in revenue and profits that was the direct result of the company's prominent Covid products - including the vaccine (Comirnaty) and Paxlovid - shares have plunged as the pandemic has broadly receded as a global threat:
However, as Covid-based revenue and profit has moved from a big chunk of PFE's revenue to a comparably smaller piece of the pie, PFE's stock, at this point, has once again become about the balance between the company's expiring patents and the new drug pipeline, something which we are ultimately bullish on....
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For further details see:
Pfizer: Attractive Valuation And A Strong Pipeline Mitigate Patent Cliff Concerns