Pfizer (NYSE:PFE) stock is a biopharmaceutical firm that had a magnificent breakout in 2021 as the worst of the pandemic sent COVID vaccine demand through the roof.
PFE's oncology portfolio, boosted by Seagen and late-stage pipeline assets, may fuel growth amid lackluster stock performance.
Investing capital means balancing risk, goals, and timing, especially when markets face uncertainty and shifting global dynamics. I focus on long-term value and income. I highlight two undervalued opportunities with strong dividends that have suffered recent setbacks but show solid growth potential in key sectors like real estate and healthcare. Both picks combine resilience and strategic advantages, offering attractive yields and upside for dividend investors seeking quality income in a complex market environment.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Investors interested in stocks from the Large Cap Pharmaceuticals sector have probably already heard of Pfizer (PFE) and Eli Lilly (LLY). But which of these two stocks is more attractive to value investors?
PFE's new drug launches and Seagen acquisition are driving revenue gains despite COVID declines and market headwinds.
Alexandros Michailidis / iStock Editorial via Getty Images Pfizer Pharmaceutical company Pfizer Inc.
Pfizer offers a high 7.4% dividend yield and trades at low valuation multiples, making it attractive for income-focused investors despite recent underperformance. The company faces significant patent cliffs, risking about $20 billion in annual revenue, and is unlikely to avoid revenue declines in the next few years. Management is responding with cost cuts, acquisitions, and licensing deals, but growth prospects remain limited and stability is a key concern.
PFE lags the market as COVID sales drop and patent losses loom, but new drugs and cost cuts may fuel a comeback.
Pfizer Inc. (NYSE:PFE ) Goldman Sachs 46th Annual Global Healthcare Conference June 9, 2025 8:00 AM ET Company Participants Albert Bourla - Chairman of the Board & CEO Conference Call Participants Asad Haider - Goldman Sachs Group, Inc., Research Division Asad Haider Great. Good morning, everyone, and welcome to our 46th Annual Global Healthcare Conference.
Pfizer (PFE) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
PFE's meltdown has already triggered the richer forward dividend yields, made secure by the growing cash flow and the ongoing cost optimizations. The same has been observed in the FQ1'25 adj EPS outperformance, reiterated FY2025 guidance, and them "currently trending toward the upper end of the adjusted diluted EPS guidance range." While there is no avoiding the COVID-19 sales erosion and the upcoming patent cliff with ~$29B in revenues at stake, PFE has optimized its R&D efforts indeed.