The most recent trading session ended with Pfizer (PFE) standing at $22.36, reflecting a -0.78% shift from the previouse trading day's closing. This move lagged the S&P 500's daily gain of 1.67%. Elsewhere, the Dow saw an upswing of 1.07%, while the tech-heavy Nasdaq appreciated by 2.5%.
The the stock of drugmaker has fallen by 11.82% in the past month, lagging the Medical sector's loss of 9.34% and the S&P 500's loss of 6.57%.
The investment community will be paying close attention to the earnings performance of Pfizer in its upcoming release. The company is slated to reveal its earnings on April 29, 2025. The company is forecasted to report an EPS of $0.67, showcasing a 18.29% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.88 billion, down 6.68% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.99 per share and a revenue of $63.48 billion, representing changes of -3.86% and -0.22%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Pfizer. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.55% rise in the Zacks Consensus EPS estimate. Pfizer currently has a Zacks Rank of #2 (Buy).
In the context of valuation, Pfizer is at present trading with a Forward P/E ratio of 7.54. This expresses a discount compared to the average Forward P/E of 13.42 of its industry.
It's also important to note that PFE currently trades at a PEG ratio of 0.55. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Large Cap Pharmaceuticals industry stood at 1.18 at the close of the market yesterday.
The Large Cap Pharmaceuticals industry is part of the Medical sector. With its current Zacks Industry Rank of 42, this industry ranks in the top 17% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Pfizer Inc. (PFE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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