Pfizer Inc (PFE) Stock: A Deeper Look at Its True Potential

BofA Securities has recently resumed Pfizer Inc (PFE) stock to Neutral rating, as announced on December 10, 2024, according to Finviz. Earlier, on November 15, 2024, Wolfe Research had initiated the stock to Underperform, setting a price target of $25. Citigroup also resumed Neutral rating with a price target of $30. Additionally, Bernstein initiated Mkt Perform rating on October 17, 2024, with a target price of $32. Daiwa Securities analysts, in their report published on August 7, 2024, also raised Outperform rating for Pfizer Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.

Pfizer Inc (PFE) Stock Trading Recap

On Friday, Pfizer Inc (PFE) stock saw a decline, ending the day at $26.3 which represents a decrease of $-0.19 or -0.72% from the prior close of $26.49. The stock opened at $26.4 and touched a low of $26.22 during the day, reaching a high of $26.56. The volume of shares traded was 35.11 million falling short of the average volume of 43.08 million.

PFE Stock Performance and Moving Averages

In recent trading, Pfizer Inc (PFE) stock price has shown some volatility, fluctuating -1.57% over the last five trades and 4.16% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -11.48%, and it has plunged by -11.36% in the previous three months. Currently, PFE is trading at -0.87%, 0.59%, and -5.65% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.

As of the latest trading close, PFE, a Healthcare sector stock, is trading -16.61% below its 52-week high but remains 7.43% above its 52-week low. The Average True Range (ATR) (14 days) of 0.52 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.

Pfizer Inc’s Profitability and Valuation Ratios

Pfizer Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of 16.32% and a profit margin of 7.11%, with a gross margin of -11.48%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.

In terms of valuation, Pfizer Inc’s market capitalization stands at $149.04 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 35.35, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 9.11. Additionally, the Price-to-Sales Ratio is 2.48, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 1.61, comparing the market value to the company’s book value.

Understanding Insider Trading

Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 0.03% of Pfizer Inc (PFE)’s shares, while financial institutions hold 67.49%.

Notable insider trades include DAMICO JENNIFER B., SVP & Controller at Pfizer Inc (PFE), who sold 5154 shares on Aug 13 ’24, at $28.66 each, totaling $0.15 million.