Pfizer (NYSE:PFE) Stock Price Down 2.4% - Should You Sell?

Key Points

• Pfizer shares fell 2.4% to $27.78 in midday trading, though the stock remains above its 50-day and 200-day moving averages.
• The company recently beat quarterly earnings and revenue expectations, while its approximately 6.2% dividend yield continues to attract income-focused investors. However, the payout ratio exceeds 226%, raising concerns about long-term dividend sustainability and growth.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an average price target of $28.28. Investors remain focused on Pfizer’s post-COVID growth strategy, drug pipeline and upcoming management presentation for potential catalysts.

Pfizer Inc. (NYSE:PFE - Get Free Report)'s share price was down 2.4% on Tuesday . The company traded as low as $27.72 and last traded at $27.78. 31,717,839 shares traded hands during mid-day trading, a decline of 24% from the average daily volume of 41,495,664 shares. The stock had previously closed at $28.45.

More Pfizer News

Here are the key news stories impacting Pfizer this week:

• Positive Sentiment: Pfizer’s recent rebound was supported by a quarterly earnings report that exceeded analyst expectations on both earnings and revenue, helping restore confidence in the beaten-down pharmaceutical stock. Why Pfizer Stock Was so Healthy in August
• Positive Sentiment: Commentary remains constructive on Pfizer’s approximately 6% dividend yield and the possibility that a strengthening drug pipeline could provide upside beyond income. One analyst cited a $32.72 12-month price target, implying potential appreciation from recent levels. Forget the Dividend: This Could Be the Real Reason to Buy Pfizer Stock Now
• Positive Sentiment: Novartis India agreed to acquire Pfizer brands for $132 million, including an established hypertension treatment. The transaction could provide cash and further streamline Pfizer’s portfolio toward higher-priority products, although its overall financial impact appears limited relative to Pfizer’s size. Novartis India Acquires Pfizer Brands for $132 Million
• Neutral Sentiment: CEO Albert Bourla is scheduled to discuss Pfizer at Morgan Stanley’s Global Healthcare Conference on September 14. Investors may look for updates on the pipeline, strategy, and outlook, but no new operating information was provided in the announcement. Pfizer Invites Public to Listen to Webcast
• Negative Sentiment: Pfizer’s high yield is attracting attention, but investors are being encouraged to choose AbbVie instead because of its stronger dividend-growth profile. This reinforces concerns that Pfizer may offer income today without comparable long-term dividend growth. Move Aside, Pfizer: This Stock Is the Smarter Dividend Buy Right Now
• Negative Sentiment: Broader commentary describes Pfizer as still struggling and highlights uncertainty surrounding its post-COVID growth strategy and next-generation drug pipeline. These concerns can limit investor enthusiasm despite the earnings beat and attractive valuation. This Is What I’d Do With Pfizer Stock Right Now

Analyst Upgrades and Downgrades

PFE has been the subject of several analyst reports. Weiss Ratings raised Pfizer from a "hold (c-)" rating to a "hold (c)" rating in a research report on Monday, August 31st. JPMorgan Chase & Co. decreased their target price on Pfizer from $30.00 to $28.00 and set a "neutral" rating for the company in a research note on Wednesday, July 8th. Wolfe Research reaffirmed an "underperform" rating and issued a $26.00 price target on shares of Pfizer in a report on Thursday, May 14th. Royal Bank Of Canada raised shares of Pfizer from an "underperform" rating to a "sector perform" rating and set a $25.00 price objective on the stock in a report on Tuesday, June 9th. Finally, Guggenheim reduced their price objective on shares of Pfizer from $35.00 to $31.00 and set a "buy" rating for the company in a research report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, fourteen have given a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, Pfizer currently has a consensus rating of "Hold" and a consensus target price of $28.28.

Pfizer Trading Down 2.4%

The company has a debt-to-equity ratio of 0.71, a current ratio of 1.27 and a quick ratio of 0.96. The firm has a market capitalization of $158.34 billion, a PE ratio of 36.55, a price-to-earnings-growth ratio of 1.91 and a beta of 0.34. The business's 50-day moving average price is $26.06 and its 200-day moving average price is $26.34.

Pfizer (NYSE:PFE - Get Free Report) last released its quarterly earnings results on Tuesday, August 4th. The biopharmaceutical company reported $0.77 EPS for the quarter, beating the consensus estimate of $0.68 by $0.09. The firm had revenue of $15.03 billion during the quarter, compared to the consensus estimate of $14.40 billion. Pfizer had a net margin of 6.80% and a return on equity of 19.63%. Pfizer's revenue for the quarter was up 2.6% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.78 EPS. Pfizer has set its FY 2026 guidance at 2.800-3.000 EPS. As a group, analysts expect that Pfizer Inc. will post 2.98 earnings per share for the current fiscal year.

Pfizer Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Friday, July 24th were issued a $0.43 dividend. The ex-dividend date of this dividend was Friday, July 24th. This represents a $1.72 dividend on an annualized basis and a dividend yield of 6.2%. Pfizer's payout ratio is presently 226.32%.

Hedge Funds Weigh In On Pfizer

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Godfrey Financial Associates Inc. purchased a new stake in Pfizer in the 4th quarter valued at approximately $26,000. Keb Asset Management LLC acquired a new position in Pfizer during the 2nd quarter worth approximately $26,000. Field & Main Bank purchased a new position in shares of Pfizer during the 2nd quarter worth approximately $27,000. HFM Investment Advisors LLC lifted its holdings in shares of Pfizer by 61.0% in the 4th quarter. HFM Investment Advisors LLC now owns 1,127 shares of the biopharmaceutical company's stock valued at $28,000 after buying an additional 427 shares during the period. Finally, Evolution Wealth Management Inc. lifted its holdings in shares of Pfizer by 132.2% in the 1st quarter. Evolution Wealth Management Inc. now owns 994 shares of the biopharmaceutical company's stock valued at $28,000 after buying an additional 566 shares during the period. 68.36% of the stock is currently owned by hedge funds and other institutional investors.

Pfizer Company Profile

Pfizer Inc NYSE: PFE is a multinational biopharmaceutical company headquartered in New York City. Founded in 1849 by Charles Pfizer and Charles Erhart, the company researches, develops, manufactures and commercializes a broad range of medicines and vaccines for human health. Its activities span discovery research, clinical development, regulatory affairs, manufacturing and global commercial distribution across multiple therapeutic areas.

Pfizer's portfolio and pipeline cover oncology, immunology, cardiology, endocrinology, rare diseases, hospital acute care and anti-infectives, along with a substantial vaccine business.

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