Pfizer stock price surged 1.46% on Monday to close at $30.55. The price surged over 1% but still closed below the last day’s opening. The PFE price slipped nearly 3% on Friday.
Moreover, the Pfizer stock price has been going down in recent sessions. The price is continuously maintained below the 50-day EMA signifying the bearish grip over the trend. The price is falling from a high of $54 and rolling down. The earning days are near and could change the narrative if it outperforms the expectations.
Can Pfizer Quarterly Earnings Change the Narrative?
Pfizer stock price is down over 40% this year and has tumbled below a 52-week low price. Many analysts say that the sales of Pfizer Inc. are down which might be the main factor behind the price decline this year.
In mid-October, the management of Pfizer Inc. acknowledged that its initial projections for 2023 Covid-19 sales were too optimistic. However, the company now expects $1 Billion in 2023 sales of antiviral Paxlovid which was earlier estimated at $8 Billion.
In mid-October, Pfizer Inc. cut its forecast for full-year profit and adjusted the diluted earnings between $1.45 and $1.65 per share. Moreover, it implies a loss in the second half of the financial year 2023. The company registered diluted earnings of $1.90 in the first half of the year.
According to FactSet, analysts expect Pfizer Inc. to report sales of $13.3 Billion and are expecting a negative EPS of $0.08 which was previously expected to be $0.58. The Pfizer share price tumbled over 10% after the new forecast emerged.
Pfizer May Be Good Choice For Dividend Investors
Pfizer stock price is already in a discounted zone as it has slumped below a 52-week low and is headed towards a three-year low price. The price is already down over 40% on a year-to-date basis. Hence, it might be a good value for money for the dividend Investors.
Moreover, the PFE company provides dividends regularly. The dividend is paid to the Investors just after the release of earnings in every quarter. The dividend yield is at 5.37% which signifies that Pfizer is a good dividend-yielding company.
Pfizer Inc. is yet to deliver dividends to its investors on Thursday, 9th November. The company has announced a dividend of $0.41. The ex-date for the dividends is Thursday, 9th November, whereas, the payment date is on Monday, 4th December.
Pfizer Inc. Businesses and Revenues Breakdown
Pfizer Inc. is a biopharmaceutical company. It is involved in the research, development, manufacture, marketing, sales, and distribution of biopharmaceutical products worldwide. PFE Inc. holds a market cap of over $172.48 Billion. The company maintains a good price-to-earning ratio of 8.02 and an EPS of $3.82.
Moreover, the financial data states that the revenue curve and net income curve have been rising continuously for the past three years after a drop in the year 2020. However, the PE and PS ratio curves are slightly inclined downwards which is a major area of concern. All in all, the company holds a strong fundamental and enjoys being a market leader in its sector.
Pfizer Stock Price Slides Below 52-Week Low
The price trend of the Pfizer stock elaborates that the stock price has been in a sharp declining phase as observed in the last three quarters. The year 2023 has not been a fruitful year for Pfizer stock investors as the price turned bearish from the very start of the current year and declined.
The investors are waiting for the current quarterly results that might decide the next trend from the CMP. If the quarterly results are promising, then it will be surely welcomed by the investors and the stock may show recovery in the upcoming sessions.
Pfizer Stock Price Technical Analysis
The Pfizer stock price fell below the 50-day EMA indicating the dominance of bears in the short-term. Moreover, the price is already below the 200-day EMA, indicating the weakness in the long term as well.
The technical indicators imply that the RSI is recovering after entering the oversold zone. This signals a weakness in the charts. The RSI is also forming a divergence which might be early signs of a reversal in the stock price.
Conclusion
Pfizer stock price gained over 1.46% on Monday to recover the 3% decline of last Friday. The stock price has been facing strong bearish pressure in the past six months. The company is yet to announce the quarterly results that might play a key role in the trend change.
The PFE stock price is already down by over 40% on a year-to-date basis which makes the price discounted. The discounted price may be favorable for the dividend investors and a good opportunity to add the Pfizer stock to their portfolio.
Technical Levels
- Support levels: $30.02 and $29.14
- Resistance levels: $31.39 and $32.66
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
Source: https://www.thecoinrepublic.com/2023/10/31/earnings-and-dividends-ahead-is-pfizer-stock-a-buy-now/