Current Report: Pfizer (PFE)
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Pfizer (PFE) is one of the world's largest pharmaceutical firms, with annual sales close to $50 billion (excluding COVID-19 product sales).
While it historically sold many types of healthcare products and chemicals, now prescription drugs and vaccines account for the majority of sales. Top sellers include the pneumococcal vaccine Prevnar 13, the cancer drug Ibrance, and cardiovascular treatment Eliquis.
Pfizer sells these products globally, with international sales representing close to 50% of total sales. Within international sales, emerging markets are a major contributor.
The company has collaboration agreements with Bristol-Myers Squibb; Astellas Pharma US; Merck Germany, and BioNTech, as well as clinical collaboration with Acepodia Inc. for the development of antibody-cell therapies in autoimmune diseases.
Pfizer Inc. was founded in 1849 and is headquartered in New York, New York.
Three key data points gauge Pfizer or any dividend-paying firm.
The key three are:
(1) Price
(2) Dividends
(3) Returns
Those three keys also best tell whether any company has made, is making, and will make money.
PFE Price
Over the past year, Pfizer's share price fell about 12.7% from $34.07 to $29.75 as of Wednesday’s market close. In the past ten years, the company’s share price has never been less than $25.00 nor higher than $61.71.
If Pfizer shares trade in the range of $25.00 to $35.00 this next year, the recent $29.75 share price might reach $33.00 in a year. Of course, the PFE price could also drop about the same $3.25 estimated amount or more.
My $3.25 upside estimate is based on the median of a one-year target price upside calculated by 22 analysts tracking PFE for brokers.
PFE Dividend
Pfizer has paid variable quarterly dividends increasing annually since March 1986. The most recent $0.42 Q dividend was declared June 25th for shareholders of record July 26th and it was paid September 3rd. A forward-looking $1.68 annual dividend would yield 5.65% at Wednesday’s closing price.
PFE Returns
Putting it all together, a $5.03 estimated one-year gross gain per share shows up when adding Pfizer’s $1.68 annual dividend to the estimated price upside of $3.35, making that $5.03 gross gain per share total.
A little over $1000 buys us 34 shares at the $29.75 share price.
A $10 broker fee (if charged), paid half at purchase and half at sale, might take about $0.29 per share out of the $5.03 annual estimated gross gain to give us a net gain of $4.74 X 34 shares = $161.16 for about a 16% estimated net gain for the year.
Furthermore, the $56.50 annual dividend income from $1K invested is 1.9 times more than the $29.75 share price. By these numbers, PFE may be an ideal dividend dog at this time.
Thus, you might choose to pounce on PFE It is a 176-year-old quarterly dividend-paying New York-based pharmaceuticals manufacturer with a 38-year record paying Q dividends increasing annually.
The exact track of PFE’s future price and dividend will entirely be determined by market action.
Remember the true value of any stock is best realized through personal ownership of shares.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
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