Pfizer Inc., as one of the leaders in the global pharmaceutical industry, has become a household name synonymous with healthcare innovation.
From developing vaccines to essential medicines, the company continues to deliver medical solutions that have a broad impact on society.
Its popularity is also reflected in the stock market, where Pfizer (PFE) shares are often targeted by investors who see great potential in the healthcare sector.
In this article, you will find a complete discussion of Pfizer shares, starting from its past performance journey, the investment opportunities offered, to practical steps to start investing in this company.
Pfizer (PFE) Stock Profile
Pfizer Inc. is one of the largest pharmaceutical companies in the world, founded in 1849. Starting from a small chemical manufacturing company, Pfizer is now a global leader in the development of innovative medicines and vaccines.
One of its leading products that dominates the market is the COVID-19 vaccine developed with BioNTech, which has significantly increased the company’s revenue in recent years.
In addition, Pfizer is also known for various popular drugs such as Lipitor, Prevnar, and Eliquis. With a focus on global health innovation, Pfizer continues to strive to provide relevant medical solutions for various community needs.
As a pioneer in medical research and development, Pfizer has contributed greatly to the advancement of health science.
The company allocates a large portion of its budget to research to create new, effective and safe therapies.
The success of its products has not only improved the quality of life of millions of people, but has also contributed greatly to the global economy through job creation and driving the health industry.
With a strong track record and continuous innovation, Pfizer remains a major player influencing the direction of the development of the global pharmaceutical industry.
Pfizer Stock Performance: Data and Trends
Pfizer (PFE) stock reflects the dynamics of the healthcare sector with price movements influenced by product innovation and market sentiment.
Here are the latest historical data, long-term trends, and factors that influence the volatility and stability of this stock.
Historical Stock Data
Quoting the id.investing.com page, over the past year, Pfizer (PFE) stock has shown quite dynamic fluctuations.
In the period from December 19, 2024 to January 18, 2025, the stock price ranged from $24.48 (lowest in 52 weeks) to $31.54 (highest in 52 weeks).
The short-term trend shows volatility with some significant ups and downs. For example:
- On December 20, 2024, the stock price jumped +2.29% to $26.36 from opening at $25.70.
- In contrast, on January 14, 2025, the stock price fell -1.46% to $26.41 from the previous day.
The latest close on January 18, 2025 was $26.30, with a daily change of -0.72%. This trend reflects market pressure, but also an opportunity for investors to enter at a lower price than the previous peak of $27.57.
Volatility and Stability
Compared to other healthcare sectors, Pfizer shares show fairly moderate volatility. Stock price movements are often influenced by news related to new product developments, clinical trial results, or regulatory policies.
- Short-term volatility is seen in high trading volumes, such as 116.34 million shares on December 20, 2024, indicating investor interest in this stock.
- Long-term stability can be seen from the price’s resilience above $25.00, despite global market pressures.
Factors such as the success of new product launches, global economic conditions, and market sentiment toward the pharmaceutical sector are the main drivers of Pfizer’s stock price movements.
Despite its decline from its peak, Pfizer shares remain attractive as a defensive investment in the healthcare sector.
Pfizer Stock Fundamental Analysis
As one of the major players in the pharmaceutical industry, Pfizer has solid financial indicators and offers attractive dividends for investors.
This analysis will discuss key financial ratios, the potential for passive income through dividends, and how the company’s fundamentals support its appeal as a long-term investment option.
Key Financial Indicators
Pfizer stock has several important fundamental indicators for investors to consider:
- Price-to-Earnings (P/E) ratio: 35.02. This ratio shows that Pfizer’s current stock price is 35 times higher than its earnings per share (EPS) of $0.751. A high P/E ratio usually reflects market expectations for future profit growth.
- Market Capitalization: $149,040,000,000, making Pfizer one of the largest companies in the pharmaceutical sector with strong resilience in the market.
- Book Value per Share: $16.29, provides an overview of the company’s net asset value compared to its stock price. With a Price/Book ratio of 1.61, Pfizer shares are valued slightly higher than their book value, but still within reasonable limits for an established company.
- Gross Profit Margin: 69.8%, reflecting high operational efficiency, especially in generating profits from revenue.
For investors, these indicators show that Pfizer is a company with solid fundamentals, although its valuation may be higher than some competitors in the same sector.
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Stock Dividends
Pfizer offers an annual dividend of $1.72 per share with a dividend yield of 6.54%, which is one of the highest yields in the healthcare sector.
The company is also known for its consistent track record of increasing its dividend payout for 14 consecutive years.
This dividend makes Pfizer stock attractive to investors seeking passive income, especially amid market uncertainty.
This dividend-based investment strategy can provide stable cash flow, especially for long-term investors who focus on a defensive portfolio in the healthcare sector.
With the combination of potential earnings growth and attractive dividends, Pfizer stock remains a relevant choice for investors looking to balance risk and return in their portfolio.
Pfizer Stock Technical Analysis
Technical analysis helps investors understand the price movement of Pfizer (PFE) stock through chart patterns and indicators such as RSI and support and resistance levels.
With this approach, investors can determine more effective trading and investment strategies, both for the short and long term. Here is the technical analysis.
Price Chart and Technical Indicators
Pfizer’s stock chart shows a price movement that has been in the range of $24.48 to $31.54 over the past 52 weeks.
The most recent close on January 18, 2025 was $26.30, with a daily range between $26.22 and $26.56, reflecting short-term price stability.
- Relative Strength Index (RSI): With a value of 47.20, Pfizer stock is in the neutral zone, indicating that the stock is neither overbought nor oversold.
- Moving Average: The current price is below the analyst’s price target of $31.18, giving it an upside potential of 18.54%.
- Trading Volume: The three-month average volume of 43,140,000 shares indicates good liquidity for the stock.
Investment Strategy
- Support and Resistance: Strong support is seen around $24.48, while resistance is around $31.54, which is the highest price in the last 52 weeks.
- Short-Term Recommendation: For traders, Pfizer shares can be utilized for day trading by paying attention to support and resistance levels as well as the RSI indicator to identify optimal entry or exit moments.
- Long-Term Recommendation: With an upside potential of 18.54% based on analyst price targets, this stock is suitable for long-term investors seeking capital growth with additional income from attractive dividends.
Why Is Pfizer Stock Attractive to Investors?
Pfizer stock offers a combination of healthcare sector stability and growth potential through medical innovation.
As one of the leaders in the pharmaceutical industry, Pfizer is an attractive choice for investors looking for a defensive asset with long-term profit opportunities.
Benefits of Investing in the Healthcare Sector
The healthcare sector is known as one of the stable sectors, especially amid economic uncertainty.
Pfizer, as one of the global leaders in the pharmaceutical industry, offers such stability with its innovative products that are in high demand, such as vaccines and important medicines.
Pfizer stock also acts as a defensive asset, which tends to hold up well during market volatility, making it an attractive choice for investors looking for long-term security.
Growth Drivers
Pfizer continues to invest in medical research and development, which is a major driver of the company’s growth. Innovations such as the development of new vaccines and treatments for chronic diseases have a positive impact on the company’s revenue.
Based on industry reports, the global healthcare sector growth projections remain high, and Pfizer, with its broad product portfolio, is strategically positioned to capitalize on these opportunities.
The combination of healthcare sector stability and growth potential from innovation makes Pfizer stock an attractive choice for investors looking to balance risk and return in their portfolio.
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How to Start Investing in Pfizer Stocks
To start investing in Pfizer stocks, you first need to open an account on an investment platform that allows global stock trading.
Choose a platform that is safe, has a good reputation, and provides access to international stock markets such as the New York Stock Exchange (NYSE), where Pfizer shares are listed under the code PFE.
Make sure the platform has supporting features, such as market analysis, transparent transaction costs, and responsive customer service.
Once your account is active, make a deposit according to your investment needs. Before buying stocks, review market conditions, technical analysis, and Pfizer stock fundamentals to determine the right time to invest.
It should also be understood that portfolio diversification is key to managing risk. In addition to Pfizer stocks, consider allocating investments to other sectors or assets to reduce the impact of market fluctuations on your portfolio.
For Pfizer stocks, consider a long-term strategy by considering the company’s fundamentals, such as financial performance and dividends.
Use stop-loss to protect your capital from potential significant price declines, and adjust your investment to your personal risk tolerance.
With the right steps and good risk management, you can maximize the potential profit from investing in Pfizer stock.
Conclusion
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In conclusion, Pfizer (PFE) shares offer attractive investment opportunities, especially for those of you who want to participate in the health sector.
As one of the global leaders in the pharmaceutical industry, Pfizer has a stable track record of performance, supported by continuous medical innovation and relevant superior products.
In addition, competitive dividend yields make it an ideal choice for investors looking for passive income.
With solid growth potential, Pfizer shares can be an important element in your investment portfolio, both for the short and long term.
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FAQ
1.What is Pfizer (PFE) stock?
Pfizer stock is a publicly traded stock that represents your ownership in the global pharmaceutical company Pfizer Inc.
2.Does Pfizer stock pay dividends?
Yes, Pfizer consistently pays dividends to its shareholders.
3.What makes Pfizer stock attractive for investment?
The company’s stability in the healthcare sector, attractive dividends, and long-term growth potential make this stock attractive to investors.
4.How to read a Pfizer stock chart?
You can use technical indicators such as Moving Average and RSI to understand the trend and momentum of Pfizer stock.
5.Is Pfizer stock good for beginners?
Yes, Pfizer stock is a good choice for beginners because of its stability and position in a defensive sector such as healthcare.