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Pfizer Inc. (PFE) Stock Analysis

Score B

Value · Grade D · Bullish

Healthcare · Drug Manufacturers - General

$25.66

Fair Value

$25.20

-1.8%

Conviction

4/10

Quality

D

Classification

Value

Investment Thesis

Price is above modeled value range. Quality supports holding but not attractive for new positions.

Trading near modeled fair value. No strong quantitative signal.

For New Investors

Price above modeled value range

For Current Holders

Quantitative score: neutral

Buy if

  • Price drops 15-20% (improves asymmetry)
  • Bull scenario catalysts materialize
  • Market-wide correction creates opportunity

Sell if

  • Bear scenario triggers occur
  • Quality metrics deteriorate (ROIC declining)
  • Better alternatives emerge

Valuation

Fair Value estimate: $25.20 (-1.8%). Approximately at fair value.

PEG-Based EPS

$33.36

FCF DCF Model

$33.36

EV/EBITDA

$11.59

Blended Fair Value

$25.20

Confidence

Medium

Methods

PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA

Quality Analysis

D

59/120 points

Low Quality

ROE (3Y Avg)

6.8%

ROIC-WACC Spread

2.4%

D/E Ratio

0.8x

Current Ratio

1.2x

Interest Coverage

6x

FCF Positive Years

3/3

Quality Flags

  • Low ROE: 6.8% (need >15%, got 4/20 pts)
  • ROIC spread: 2.4pp (got 6/25 pts)
  • Leverage: D/E 0.8x (9/15 pts)
  • Volatile gross margins: std dev 7.5pp (need <5.0pp)

Market Sentiment

Wall Street Consensus

$27.00

+5.2% Upside

27 analysts

Range: $25.00$35.00

Rating: Buy

Our model is slightly more cautious than Wall Street.

Trend & Technical

Bullish

Price ($25.66) is 2.7% above SMA 200 ($24.99). Bullish trend confirmed.

Technical Score61/100

Tech Score 61/100 — Neutral technical picture. Mixed signals across indicators.

Risk & Reward

Asymmetry Ratio

2.09:1

Expected Return

+6.9%

Bull Upside

+33.7%

Bear Downside

-16.1%

Good asymmetry: 2.09:1 ratio. Upside justifies risk.

Verdict: Favorable

Scenario Analysis

Bear

Base

Bull

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Frequently Asked Questions

What is the fair value of PFE?

Based on our multi-method conviction analysis, the estimated fair value of Pfizer Inc. (PFE) is $25.20. This is calculated by blending PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA and applying a quality premium of 0% based on the company's fundamentals. The confidence level of this estimate is medium.

Is PFE a buy, sell, or hold?

PFE currently has a HOLD rating with a conviction score of 4/10. Price is above modeled value range. Quality supports holding but not attractive for new positions. Price above modeled value range.

Is PFE a high-quality stock?

Pfizer Inc. has a quality grade of D (59/120 points), rated as Low Quality. Key metrics include ROE of 6.8%, ROIC-WACC spread of 2.4%, and D/E ratio of 0.8x.

What type of stock is PFE?

PFE is classified as a "value" in our framework. High dividend: 6.7%, Mature growth: -14.9%, High revenue volatility: 27.2% std dev, Large cap: $146.2B, Consistent FCF: 3/3 years positive

What do Wall Street analysts say about PFE?

27 Wall Street analysts have a consensus price target of $27.00 for PFE, representing +5.2% upside. Targets range from $25.00 to $35.00. The consensus recommendation is "Buy". Our model is slightly more cautious than Wall Street.

What are the risks of investing in PFE?

The risk/reward asymmetry ratio for PFE is 2.09:1, rated as Favorable. Good asymmetry: 2.09:1 ratio. Upside justifies risk. The expected return is +6.9%, with bull case upside of +33.7% and bear case downside of -16.1%.

What is the current trend for PFE?

PFE is in a bullish trend. Price ($25.66) is 2.7% above SMA 200 ($24.99). Bullish trend confirmed. The technical score is 61/100.

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Last updated: May 19, 2026 · Framework version 3.7

This analysis is for informational purposes only and should not be considered financial advice. Always do your own research before making investment decisions.