PFIZER INC (PFE.DE) Stock Fundamental Analysis
FRA:PFE - Deutsche Boerse Ag - US7170811035 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to PFE. PFE was compared to 52 industry peers in the Pharmaceuticals industry. PFE has a medium profitability rating, but doesn't score so well on its financial health evaluation. PFE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PFE was profitable.
In the past year PFE had a positive cash flow from operations.
Each year in the past 5 years PFE has been profitable.
PFE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PFE's Return On Assets of 3.76% is in line compared to the rest of the industry. PFE outperforms 50.00% of its industry peers.
The Return On Equity of PFE (9.11%) is comparable to the rest of the industry.
PFE's Return On Invested Capital of 6.61% is in line compared to the rest of the industry. PFE outperforms 46.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PFE is below the industry average of 13.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.76% | ||
| ROE | 9.11% | ||
| ROIC | 6.61% |
ROA(3y)6.87%
ROA(5y)7.73%
ROE(3y)14.76%
ROE(5y)17.45%
ROIC(3y)9.9%
ROIC(5y)9.83%
1.3 Margins
PFE has a Profit Margin of 12.62%. This is in the better half of the industry: PFE outperforms 61.54% of its industry peers.
PFE's Profit Margin has declined in the last couple of years.
The Operating Margin of PFE (25.61%) is better than 78.85% of its industry peers.
PFE's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 74.19%, PFE is doing good in the industry, outperforming 65.38% of the companies in the same industry.
In the last couple of years the Gross Margin of PFE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.61% | ||
| PM (TTM) | 12.62% | ||
| GM | 74.19% |
OM growth 3Y-9.04%
OM growth 5Y2.68%
PM growth 3Y-22.43%
PM growth 5Y-20.41%
GM growth 3Y6.02%
GM growth 5Y-1.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PFE is still creating some value.
Compared to 1 year ago, PFE has more shares outstanding
PFE has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PFE has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.08 indicates that PFE is not a great score, but indicates only limited risk for bankruptcy at the moment.
PFE has a Altman-Z score (2.08) which is in line with its industry peers.
The Debt to FCF ratio of PFE is 6.54, which is on the high side as it means it would take PFE, 6.54 years of fcf income to pay off all of its debts.
PFE has a Debt to FCF ratio (6.54) which is comparable to the rest of the industry.
PFE has a Debt/Equity ratio of 0.69. This is a neutral value indicating PFE is somewhat dependend on debt financing.
PFE has a Debt to Equity ratio (0.69) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 6.54 | ||
| Altman-Z | 2.08 |
ROIC/WACC0.76
WACC8.7%
2.3 Liquidity
A Current Ratio of 1.17 indicates that PFE should not have too much problems paying its short term obligations.
PFE's Current ratio of 1.17 is on the low side compared to the rest of the industry. PFE is outperformed by 71.15% of its industry peers.
A Quick Ratio of 0.92 indicates that PFE may have some problems paying its short term obligations.
PFE has a Quick ratio (0.92) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
PFE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 69.95%, which is quite impressive.
The Earnings Per Share has been growing slightly by 1.06% on average over the past years.
The Revenue has been growing slightly by 7.42% in the past year.
The Revenue has been growing by 9.10% on average over the past years. This is quite good.
EPS 1Y (TTM)69.95%
EPS 3Y-11.06%
EPS 5Y1.06%
EPS Q2Q%530%
Revenue 1Y (TTM)7.42%
Revenue growth 3Y-7.84%
Revenue growth 5Y9.1%
Sales Q2Q%24.66%
3.2 Future
The Earnings Per Share is expected to decrease by -2.50% on average over the next years.
The Revenue is expected to decrease by -1.79% on average over the next years.
EPS Next Y-4.06%
EPS Next 2Y-0.15%
EPS Next 3Y-0.45%
EPS Next 5Y-2.5%
Revenue Next Year-0.04%
Revenue Next 2Y0.05%
Revenue Next 3Y-0.44%
Revenue Next 5Y-1.79%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.59 indicates a reasonable valuation of PFE.
Compared to the rest of the industry, the Price/Earnings ratio of PFE indicates a rather cheap valuation: PFE is cheaper than 90.38% of the companies listed in the same industry.
PFE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 8.94, the valuation of PFE can be described as reasonable.
Based on the Price/Forward Earnings ratio, PFE is valued cheaply inside the industry as 94.23% of the companies are valued more expensively.
PFE is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.59 | ||
| Fwd PE | 8.94 |
4.2 Price Multiples
PFE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PFE is cheaper than 86.54% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PFE is valued a bit cheaper than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.37 | ||
| EV/EBITDA | 7.39 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)8.09
EPS Next 2Y-0.15%
EPS Next 3Y-0.45%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.55%, PFE is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.86, PFE pays a better dividend. On top of this PFE pays more dividend than 98.08% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, PFE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.55% |
5.2 History
The dividend of PFE has a limited annual growth rate of 3.30%.
Dividend Growth(5Y)3.3%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
PFE pays out 118.44% of its income as dividend. This is not a sustainable payout ratio.
PFE's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP118.44%
EPS Next 2Y-0.15%
EPS Next 3Y-0.45%
FRA:PFE (3/10/2025, 11:18:48 AM)
24.565
+0.04 (+0.14%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners67.49%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap139.22B
Analysts71.11
Price Target29.49 (20.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.55% |
Yearly Dividend1.55
Dividend Growth(5Y)3.3%
DP118.44%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)51.1%
Min EPS beat(2)32.52%
Max EPS beat(2)69.69%
EPS beat(4)4
Avg EPS beat(4)46.88%
Min EPS beat(4)30.28%
Max EPS beat(4)69.69%
EPS beat(8)8
Avg EPS beat(8)53.03%
EPS beat(12)12
Avg EPS beat(12)40.38%
EPS beat(16)16
Avg EPS beat(16)34.9%
Revenue beat(2)2
Avg Revenue beat(2)9.27%
Min Revenue beat(2)1.31%
Max Revenue beat(2)17.22%
Revenue beat(4)4
Avg Revenue beat(4)6.3%
Min Revenue beat(4)1.31%
Max Revenue beat(4)17.22%
Revenue beat(8)5
Avg Revenue beat(8)3.32%
Revenue beat(12)8
Avg Revenue beat(12)3.78%
Revenue beat(16)10
Avg Revenue beat(16)3.34%
PT rev (1m)-3.18%
PT rev (3m)-5.7%
EPS NQ rev (1m)-0.44%
EPS NQ rev (3m)-4.2%
EPS NY rev (1m)0.32%
EPS NY rev (3m)0.99%
Revenue NQ rev (1m)0.8%
Revenue NQ rev (3m)1.28%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.59 | ||
| Fwd PE | 8.94 | ||
| P/S | 2.38 | ||
| P/FCF | 15.37 | ||
| P/OCF | 11.86 | ||
| P/B | 1.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.39 |
EPS(TTM)2.86
EY11.64%
EPS(NY)2.75
Fwd EY11.19%
FCF(TTM)1.6
FCFY6.51%
OCF(TTM)2.07
OCFY8.43%
SpS10.34
BVpS14.33
TBVpS-5.81
PEG (NY)N/A
PEG (5Y)8.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.76% | ||
| ROE | 9.11% | ||
| ROCE | 9.56% | ||
| ROIC | 6.61% | ||
| ROICexc | 7.49% | ||
| ROICexgc | 39.31% | ||
| OM | 25.61% | ||
| PM (TTM) | 12.62% | ||
| GM | 74.19% | ||
| FCFM | 15.46% |
ROA(3y)6.87%
ROA(5y)7.73%
ROE(3y)14.76%
ROE(5y)17.45%
ROIC(3y)9.9%
ROIC(5y)9.83%
ROICexc(3y)11.35%
ROICexc(5y)11.61%
ROICexgc(3y)45.27%
ROICexgc(5y)42.26%
ROCE(3y)14.25%
ROCE(5y)14.1%
ROICexcg growth 3Y-11.81%
ROICexcg growth 5Y26.33%
ROICexc growth 3Y-25.3%
ROICexc growth 5Y9.29%
OM growth 3Y-9.04%
OM growth 5Y2.68%
PM growth 3Y-22.43%
PM growth 5Y-20.41%
GM growth 3Y6.02%
GM growth 5Y-1.61%
F-Score8
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 6.54 | ||
| Debt/EBITDA | 2.6 | ||
| Cap/Depr | 41.48% | ||
| Cap/Sales | 4.57% | ||
| Interest Coverage | 5.05 | ||
| Cash Conversion | 54.68% | ||
| Profit Quality | 122.46% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 2.08 |
F-Score8
WACC8.7%
ROIC/WACC0.76
Cap/Depr(3y)55.83%
Cap/Depr(5y)55.63%
Cap/Sales(3y)4.83%
Cap/Sales(5y)4.9%
Profit Quality(3y)143.88%
Profit Quality(5y)138.86%
High Growth Momentum
Growth
EPS 1Y (TTM)69.95%
EPS 3Y-11.06%
EPS 5Y1.06%
EPS Q2Q%530%
EPS Next Y-4.06%
EPS Next 2Y-0.15%
EPS Next 3Y-0.45%
EPS Next 5Y-2.5%
Revenue 1Y (TTM)7.42%
Revenue growth 3Y-7.84%
Revenue growth 5Y9.1%
Sales Q2Q%24.66%
Revenue Next Year-0.04%
Revenue Next 2Y0.05%
Revenue Next 3Y-0.44%
Revenue Next 5Y-1.79%
EBIT growth 1Y114.49%
EBIT growth 3Y-16.17%
EBIT growth 5Y12.02%
EBIT Next Year20.75%
EBIT Next 3Y5.7%
EBIT Next 5Y4.25%
FCF growth 1Y105.2%
FCF growth 3Y-30.95%
FCF growth 5Y-0.32%
OCF growth 1Y46.48%
OCF growth 3Y-26.87%
OCF growth 5Y0.25%