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Why Pfizer Stock Is Lower After a Quarter of Beats and Growth

Online Niel October 30, 2024

Pfizer (FE) shares are lower in the session on Tuesday, even after the pharmaceutical giant beat the top and bottom expectations for the third quarter and raised its outlook for the full year.

In the three months ended September 29Pfizer’s revenue rose 31.3% year over year to $17.7 billion. Additionally, the company posted net income of $1.06 per share, down from a loss of 17 cents per share in the year-ago period.

“We delivered another strong quarter of results as we continued to execute with discipline, strengthen our commercial position and advance our pipeline,” Pfizer CEO Dr. Albert Bourla said in a statement. “Our performance in the first three quarters of the year is the result of our focus on our most important strategic priorities.”

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The results easily beat analysts’ expectations. Wall Street had expected revenue of $15 billion and earnings of 62 cents per share, according to the report Yahoo Finance.

“The focus on execution excellence is starting to pay off with US and international market share gains, as well as robust revenue and earnings per share growth,” Bourla said. in prepared remarks. “As a result, we are raising our guidance ranges for our full-year 2024 total revenue and adjusted diluted earnings per share.”

Pfizer now expects revenue in the range of $61 billion to $64 billion, and earnings per share to reach between $2.75 and $2.95. That’s higher than the previous forecast for revenue of $59.5 billion to $62.5 billion and earnings per share to come in between $2.45 and $2.65.

“I am confident that we will meet our financial commitments in 2024 and that we are well-positioned to continue to advance meaningful scientific discoveries for our patients and our company, as well as create long-term shareholder value, in the years ahead,” Bourla said.

Despite the strong results, some media outlets highlight the huge growth of Pfizer’s Covid-19 treatments in terms of quarterly results and guidance growth. “Investors don’t have much faith in the long-term value of the company’s COVID-19 business, and these results are unlikely to inspire much investor optimism,” as Barron’s explains.

Is Pfizer stock a buy, sell or hold?

Pfizer shares are up nearly 5% for the year to date on a total return (price change plus dividend) basis, trailing the S&P 500’s 23% gain. But many on Wall Street believe PFE is one of the best bu stocksy at current levels.

Conformable S&P Global Market Intelligenceaverage analyst price target for health stock is $33.20, representing an implied upside of over 16% from current levels. Furthermore, the consensus recommendation is Buy.

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Why Pfizer Stock Is Lower After a Quarter of Beats and Growth

Online Niel

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Why Pfizer Stock Is Lower After a Quarter of Beats and Growth

Online Niel

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