In a report released yesterday, Mohit Bansal from Wells Fargo maintained a Hold rating on Pfizer (PFE – Research Report), with a price target of $28.00.
Mohit Bansal has given his Hold rating due to a combination of factors surrounding Pfizer’s current situation. The recent announcement of discontinuing Danuglipron, an oral GLP1 drug, was not unexpected given its questionable benefit-risk profile. Although this decision might lead to a slight dip in stock value, the impact is not deemed significant as the drug was not a major contributor to Pfizer’s financial projections.
Despite the discontinuation, Pfizer has reiterated its commitment to the Obesity and Diabetes market, with ongoing development in other areas such as GIPR antagonists and early-stage assets. This strategic focus suggests that while Danuglipron’s discontinuation is a setback, it does not fundamentally alter Pfizer’s long-term growth prospects in these therapeutic areas. Therefore, the Hold rating reflects a balanced view of the current challenges and future opportunities for Pfizer.
In another report released yesterday, Morgan Stanley also maintained a Hold rating on the stock with a $31.00 price target.
PFE’s price has also changed moderately for the past six months – from $29.080 to $22.120, which is a -23.93% drop .