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How do professionals look at PFE stock?

Pfizer: a cheap multiple and heavy free cash flow — and the most bearish analyst coverage in this group

A 2-of-4 scorecard pairs cash-backed profits and a 19.6% free-cash-flow margin with declining revenue and earnings. The stock trades at 19x earnings, 8% below its high — but only 23% of 12 analysts rate it Buy, against 60% Hold and 17% Sell. Current price: $25.92.

Educational content only — not financial advice. Always do your own research. Fundamentals from restnvest (SEC 10-K, 2026-02-26) · Analyst data from Anachart (2026-06-10)
pharmadividendpatent-cliff
Three lenses on Pfizer. Are they aligned?
The business Mixed
Financial health 2/4 · Revenue +5.4% · FCF margin 19.6% · ROIC 8.3%
The stock Caution
Valuation 1/4 · P/E 19.3x · 9.8% below 52-week high · Timing 1/3
The analysts Bearish
12 analysts · 23.33% Buy · 60% Hold · 16.67% Sell · Avg target $28.80 (+11.1% upside)
A cash-rich but shrinking business at a low multiple, met by the most skeptical coverage in this group
Pfizer pairs cash-backed profits, a 19.6% free-cash-flow margin and a ~6.6% dividend yield at just 19x earnings with a declining top line into known patent cliffs. The Street is the most bearish here — 60% Hold and 17% Sell, the latest action an RBC Sell at $25. The $28.80 average target implies about 11% upside, but conviction is low.
The case for the value
What the business fundamentals say
Mixed

Changes over time: 2 discontinued (Chantix/Champix and Sutent, both after patents expired by 2022), 2 New & Sustained, 2 Evolved, 2 New Products — a portfolio rotating from off-patent products toward oncology and rare-disease franchises.

From the 10-K filing · 2026-02-26
Investment thesis — PFE
Strong emphasis
Moderate
Strategic themes
Drug DevelopmentVaccinesOncologyRare Diseases
Competitive moats
PatentsBrand PowerScale Economies
Market opportunity

Pfizer addresses large markets in oncology, vaccines, immunology and rare disease, funded by a portfolio of established brands. The challenge framed in the filing is replacement: revenue and earnings are declining as COVID-era products fade and key patents — including Eliquis and Ibrance over the coming years — approach expiry, putting the weight on the oncology and rare-disease pipeline to offset the erosion.

Value creation

Pfizer still converts revenue to cash efficiently — a 19.6% free-cash-flow margin supports a dividend yielding around 6.6% — but an 8.3% return on equity and a declining top line keep restnvest's read mixed rather than strong. Value creation depends on deploying that cash, and recent acquisitions, into a pipeline that can replace maturing blockbusters faster than patents erode them. Two of four Financial Scorecard signals are rated strong.

Extracted from SEC 10-K. Full thesis on restnvest →
Stage 2 · Financial performance
Financial scorecard
2 of 4 strong
Growth quality
Declining
Profit quality
Cash-Backed Profits
Debt safety
Comfortable Coverage
Owner value quality
High Returns, Limited Reinvestment
Rev growth +5.4% · FCF margin 19.6% · ROIC 8.3%
Bottom line: Cash-backed profits, a 19.6% free-cash-flow margin and a roughly 6.6% dividend yield at just 19x earnings — a cheap, cash-generative pharma with comfortable debt coverage.
versus
The case for caution
What the stock price and analysts say
Caution
Stage 3 · Valuation
Valuation scorecard
1 of 4 sensible
✗ Price discipline
Euphoric Entry — 8% below high, above 200-day trend
✗ Price tag
Caution — P/E 19.3x
✓ Capital discipline
Sensible
✗ Doubling potential
Risky
Stage 4 · Timing
Timing signals
1 of 3 supportive
Trend
Unresolved
Momentum
Mixed
Stretch
Bounce Setup
Trend: Highs and lows are both mixed — no clear direction yet
Momentum: Short-term and long-term pressure are both flat, with the gap narrowing
Stretch: RSI balanced with selling pressure cooling — a setup for a bounce
Analyst conviction · Anachart · 2026-06-10
Where do analysts stand — and how much runway is left?

Y = price target. X = days remaining on call (negative = past expected hit window). Bubble size = Anachart Performance Score. Dashed vertical = the expected-hit boundary.

Buy
Hold
Sell
Upper-left · Fading signal
High target, window closing.
Upper-right · Most interesting
Bold call, plenty of runway.
Lower-left · Stale or wrong
Modest target, window closed.
Lower-right · Cautious coverage
Modest target, time left.

Chart shows 5 of 12 covering analysts. See all on Anachart →

Bottom line: Revenue and earnings are declining into known patent cliffs, and the Street is the most bearish here — 60% Hold and 17% Sell, with the most recent rating a Sell at $25.

The reconciliation

Pfizer pits a cheap, cash-generative profile against a genuinely skeptical Street. The supportive side is concrete: restnvest scores fundamentals 2-of-4, with cash-backed profits and comfortable coverage, a 19.6% free-cash-flow margin funding a roughly 6.6% dividend yield, and a low 19x P/E. The cautious side is just as concrete: revenue and earnings are declining as COVID-era products fade and patents (Eliquis, Ibrance) approach expiry, return on equity is a modest 8.3%, and valuation scores only 1-of-4 sensible with the stock near its high. The analyst lens is the most bearish here — across 12 firms, 60% Hold, 16.67% Sell and just 23.33% Buy, a 56.43% hit ratio, and the latest rating a Sell from RBC's Trung Huynh at $25. The $28.80 average target implies about 11% upside, but the range is narrow ($25-$36) and the conviction is low. A long-term investor weighs a cheap, high-yield, cash-rich business against a declining top line and a professional consensus that is, unusually, leaning negative. Two data notes: Anachart's headline showed a stray dollar upside figure inconsistent with its own average target, so the 11% upside to the $28.80 average is used; and Anachart exposed native performance scores for Pfizer on a roughly 0-3 scale, but for consistency across this group the performanceScore values use the same hit-ratio-based 0-10 proxy applied to the other tickers.

Dive deeper into the fundamentals

See Pfizer's full 6-stage analysis on restnvest →
Sources
Fundamentals: restnvest — SEC 10-K, 2026-02-26. | Analysts: Anachart — 2026-06-10.
This is educational content only — not financial advice.