In a report released yesterday, Tim Anderson from Bank of America Securities maintained a Hold rating on Pfizer (PFE – Research Report), with a price target of $26.00.
Tim Anderson has given his Hold rating due to a combination of factors related to Pfizer’s recent performance and future outlook. The Q1 results were mixed, with revenues falling short of expectations primarily due to weaker performance in several key products. However, the earnings per share exceeded expectations due to lower costs and expenses, which provided some positive news.
Despite the low price-to-earnings ratio and a healthy dividend yield that could support the stock price, there are concerns about the long-term growth prospects for Pfizer’s major franchises. Upcoming patent expirations and competitive pressures contribute to this uncertainty, leading to a cautious outlook. While the company has reaffirmed its guidance and increased cost-saving measures, these factors collectively justify a Hold rating, as the potential for significant upside appears limited.
In another report released yesterday, Goldman Sachs also maintained a Hold rating on the stock with a $25.00 price target.
PFE’s price has also changed moderately for the past six months – from $28.460 to $23.790, which is a -16.41% drop .