Pfizer Inc. (PFE) AI Stock Analysis
PFE AI stock analysis summary
AI ResearchPfizer Inc. (PFE) is a global biopharmaceutical company with a market capitalization of $168.60B. Over the trailing twelve months, the company generated $63.70B in revenue and an operating margin of 27.9%. Its forward dividend yield stands at 5.81%, supported by 55 consecutive years of dividend payments.
- Market cap
- $168.60B
- Revenue (TTM)
- $63.70B
- P/E
- 38.9x fwd 9.7x
- 1Y return
- 30.6% S&P 500 16.8%
- Avg. target
- $29.26 -1.1% vs last close
Bull case
- Pfizer generated $9.08B in free cash flow in FY2025 while expanding its gross margin to 70.3%.
- The stock offers an annualized forward dividend yield of 5.81% backed by 55 consecutive years of dividend payments.
- Pfizer trades at a forward P/E of 9.7x, which is lower than the S&P 500 Healthcare peer median of 16.6x.
Bear case
- Quarterly earnings fell 10.1% year-over-year in the latest quarter ending June 30, 2026.
- Consensus estimates from 23 analysts project revenue to contract 3.8% to $59.86B next fiscal year.
- The company holds $63.19B in total debt and $51.49B in net debt as of June 30, 2026.
What Pfizer does
Pfizer Inc. operates as a leading global biopharmaceutical company, specializing in the discovery, development, manufacturing, marketing, distribution, and sale of medicines and vaccines. Its portfolio spans cardiovascular metabolic health, women's health, oncology, immunology, and infectious diseases, featuring brands such as Eliquis, Ibrance, and the COVID-19 vaccine Comirnaty. Pfizer also provides sterile injectables, anti-infectives, oral COVID-19 treatments, and biosimilar therapies like Xeljanz and Enbrel. In addition to biopharmaceuticals, the company provides contract manufacturing services to wholesalers, retailers, hospitals, clinics, and government agencies globally, collaborating with partners such as Bristol-Myers Squibb, BioNTech, and Merck KGaA.
Growth and profitability
Pfizer's revenue shifted from $81.29B in FY2021 to a peak of $100.33B in FY2022 before dropping to $59.55B in FY2023. Annual revenue rebounded to $63.63B in FY2024 before decreasing 1.6% to $62.58B in FY2025. Gross margin expanded over this period, reaching 70.3% in FY2025 alongside an operating margin of 24.7% and net income of $7.77B. Diluted earnings per share were $3.23 in FY2025, compared to $3.11 in FY2024. Over the trailing twelve months, revenue reached $63.70B with net margin of 6.8%. In the latest quarter ending June 30, 2026, revenue increased 2.6% year-over-year, while quarterly earnings declined 10.1%.
Balance sheet and cash flow
As of June 30, 2026, Pfizer held $11.70B in cash and short-term investments against $63.19B in total debt, resulting in net debt of $51.49B. Total assets stood at $201.13B and shareholders' equity was $85.19B. The company maintained a current ratio of 1.27 and a debt-to-equity ratio of 0.74. In FY2025, operating cash flow reached $11.71B and free cash flow was $9.08B. Cash deployment in FY2025 included $2.63B in capital expenditures and $9.77B in dividends paid, while share count changed -1.2% over 5 years.
Valuation and performance
At a last close of $29.58, Pfizer trades at a trailing price-to-earnings ratio of 38.9x, above the 27.2x median of its S&P 500 Healthcare peers. However, its forward P/E ratio of 9.7x is lower than the peer median of 16.6x. The company's price-to-sales ratio is 2.6x versus the peer median of 3.4x, and its EV-to-EBITDA ratio is 15.7x compared to the peer median of 15.0x. Over the past year, Pfizer delivered a return of 30.6%, outperforming the S&P 500 SPY return of 16.8%, but its 5-year return of -7.1% trails the S&P 500 SPY return of 83.0%.
PFE dividend
Pfizer pays an annualized forward dividend of $1.72 per share, yielding 5.81% as of October 16, 2026. Dividends are distributed on a quarterly frequency, with the payout ratio at 56.4%. Pfizer has paid dividends for 55 consecutive years and generated a 5-year annualized dividend growth rate of 3.6%. The company paid $9.77B in total dividends during FY2025, and its last ex-dividend date was November 6, 2026.
What analysts expect
Wall Street coverage includes 8 Strong Buy, 2 Buy, 16 Hold, 1 Sell, and 1 Strong Sell ratings. The mean price target is $29.26, which sits 1.1% below the last close of $29.58. For the fiscal year ending December 31, 2026, analysts estimate EPS of $2.96 on revenue of $62.22B. For the following fiscal year, 23 analysts project EPS of $2.89 on revenue of $59.86B. Pfizer beat EPS estimates in all 4 of its last 4 quarters, with its next earnings report scheduled for November 3, 2026.
Key risks and what to watch
- Total debt of $63.19B exceeds cash and short-term investments of $11.70B as of June 30, 2026.
- Dividends paid of $9.77B in FY2025 exceeded annual free cash flow of $9.08B.
- Analyst consensus expects EPS to decline 8.1% in FY2026 to $2.96 and drop another 2.5% in FY2027.
- Trailing twelve-month return on equity is relatively low at 5.0% compared to an operating margin of 27.9%.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this PFE AI stock analysis
This page is an AI-written research summary of Pfizer Inc. (PFE). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: PFE income statement, PFE balance sheet, PFE key metrics, PFE analyst forecast, PFE chart. See the PFE stock overview for the latest quote and news.
PFE AI stock analysis FAQ
What is Pfizer's dividend yield and payout schedule?
Pfizer pays a quarterly dividend totaling $1.72 annually per share, representing a forward dividend yield of 5.81%. The company has paid dividends for 55 consecutive years, with a payout ratio of 56.4%.
What are analysts' earnings and revenue forecasts for Pfizer?
For FY2026, analysts project EPS of $2.96 on revenue of $62.22B. For the following fiscal year, 23 analysts project EPS of $2.89 and revenue of $59.86B, representing a 3.8% revenue decline.
How much debt does Pfizer have on its balance sheet?
As of June 30, 2026, Pfizer carried $63.19B in total debt and $11.70B in cash and short-term investments, resulting in net debt of $51.49B and a debt-to-equity ratio of 0.74.
When is Pfizer's next earnings announcement?
Pfizer is scheduled to release its next quarterly earnings on November 3, 2026. The company beat EPS estimates in each of the last 4 quarters.