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Pfizer (PFE) closed the latest trading day at $26.75, indicating a -0.41% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.92%. At the same time, the Dow added 0.31%, and the tech-heavy Nasdaq gained 2.03%.
Shares of the drugmaker have appreciated by 1.67% over the course of the past month, underperforming the Medical sector's gain of 3.83% and outperforming the S&P 500's gain of 0.81%.
The upcoming earnings release of Pfizer will be of great interest to investors. The company's earnings report is expected on February 4, 2025. In that report, analysts expect Pfizer to post earnings of $0.48 per share. This would mark year-over-year growth of 380%. In the meantime, our current consensus estimate forecasts the revenue to be $17.5 billion, indicating a 22.8% growth compared to the corresponding quarter of the prior year.
Investors should also note any recent changes to analyst estimates for Pfizer. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 1.38% fall in the Zacks Consensus EPS estimate. Pfizer currently has a Zacks Rank of #3 (Hold).
Investors should also note Pfizer's current valuation metrics, including its Forward P/E ratio of 9.32. Its industry sports an average Forward P/E of 13.04, so one might conclude that Pfizer is trading at a discount comparatively.
Also, we should mention that PFE has a PEG ratio of 0.66. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 1.37.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 195, finds itself in the bottom 23% echelons of all 250+ industries.