Pfizer (NYSE:PFE) shares are trending marginally higher today after the global healthcare major delivered a mixed set of fourth-quarter numbers. Lower Paxlovid and Comirnaty sales led to a 41.4% year-over-year decline in revenue to $14.25 billion. The figure missed expectations by $120 million. EPS of $0.10, on the other hand, fared better than estimates by $0.28.
During the quarter, lower U.S. government contracted deliveries led to a 54% decline in Comirnaty sales. Paxlovid sales also declined by $5 billion due to a non-cash reversal. Excluding the declines in Comirnaty and Paxlovid, Pfizer’s fourth-quarter revenue ticked higher by 8%.
This uptick was led by higher sales of Abrysvo, Vyndaqul products, and Eliquis. However, Pfizer experienced sales declines across its Global Pharmaceuticals, Primary Care, and Oncology verticals. The company is banking on new product launches and cost savings to drive performance. It expects $4 billion in annual net cost savings by the end of this year. Revenue for Fiscal Year 2024 is anticipated to be in the range of $58.5 billion to $61.5 billion. Meanwhile, EPS for the year is seen landing between $2.05 and $2.25.
What Is the Future of PFE Stock?
Overall, the Street has a Moderate Buy consensus rating on Pfizer. Following a nearly 37% drop in its share price over the past year, the average PFE price target of $32.56 points to an 18.5% potential upside in the stock.
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