PFIZER INC (PFE.DE) Stock Fundamental Analysis
FRA:PFE - Deutsche Boerse Ag - US7170811035 - Common Stock - Currency: EUR
PFE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 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 quite cheap, but it does not seem to be growing. Finally PFE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PFE had positive earnings in the past year.
In the past year PFE had a positive cash flow from operations.
In the past 5 years PFE has always been profitable.
Each year in the past 5 years PFE had a positive operating cash flow.
1.2 Ratios
PFE has a Return On Assets (1.94%) which is comparable to the rest of the industry.
With a Return On Equity value of 4.61%, PFE perfoms like the industry average, outperforming 45.83% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.08%, PFE is in line with its industry, outperforming 45.83% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PFE is in line with the industry average of 12.45%.
The 3 year average ROIC (12.34%) for PFE is well above the current ROIC(5.08%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.61% | ||
| ROIC | 5.08% |
ROA(3y)9.65%
ROA(5y)8.92%
ROE(3y)21.22%
ROE(5y)20.78%
ROIC(3y)12.34%
ROIC(5y)9.41%
1.3 Margins
The Profit Margin of PFE (7.07%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of PFE has declined.
With a decent Operating Margin value of 21.87%, PFE is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Operating Margin of PFE has grown nicely.
With a decent Gross Margin value of 70.82%, PFE is doing good in the industry, outperforming 60.42% of the companies in the same industry.
PFE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.87% | ||
| PM (TTM) | 7.07% | ||
| GM | 70.82% |
OM growth 3Y-2.8%
OM growth 5Y1.5%
PM growth 3Y-45.18%
PM growth 5Y-33.24%
GM growth 3Y-4.47%
GM growth 5Y-2.32%
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.
The number of shares outstanding for PFE has been increased compared to 1 year ago.
Compared to 5 years ago, PFE has less shares outstanding
PFE has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.93 indicates that PFE is not a great score, but indicates only limited risk for bankruptcy at the moment.
PFE has a Altman-Z score (1.93) which is comparable to the rest of the industry.
PFE has a debt to FCF ratio of 8.23. This is a slightly negative value and a sign of low solvency as PFE would need 8.23 years to pay back of all of its debts.
PFE has a Debt to FCF ratio of 8.23. This is comparable to the rest of the industry: PFE outperforms 43.75% of its industry peers.
PFE has a Debt/Equity ratio of 0.69. This is a neutral value indicating PFE is somewhat dependend on debt financing.
PFE's Debt to Equity ratio of 0.69 is in line compared to the rest of the industry. PFE outperforms 41.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 8.23 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.58
WACC8.72%
2.3 Liquidity
PFE has a Current Ratio of 1.00. This is a normal value and indicates that PFE is financially healthy and should not expect problems in meeting its short term obligations.
PFE's Current ratio of 1.00 is on the low side compared to the rest of the industry. PFE is outperformed by 85.42% of its industry peers.
PFE has a Quick Ratio of 1.00. This is a bad value and indicates that PFE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.73, PFE is doing worse than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
PFE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.10%.
Measured over the past years, PFE shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.41% on average per year.
PFE shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -12.90%.
Measured over the past years, PFE shows a small growth in Revenue. The Revenue has been growing by 7.46% on average per year.
EPS 1Y (TTM)-10.1%
EPS 3Y-12.38%
EPS 5Y-9.41%
EPS Q2Q%723.53%
Revenue 1Y (TTM)-12.9%
Revenue growth 3Y11.99%
Revenue growth 5Y7.46%
Sales Q2Q%33.78%
3.2 Future
The Earnings Per Share is expected to grow by 9.45% on average over the next years. This is quite good.
PFE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.36% yearly.
EPS Next Y61.14%
EPS Next 2Y27.49%
EPS Next 3Y18.8%
EPS Next 5Y9.45%
Revenue Next Year7.2%
Revenue Next 2Y3.59%
Revenue Next 3Y2.52%
Revenue Next 5Y0.36%
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 accelerating.
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
With a Price/Earnings ratio of 10.22, the valuation of PFE can be described as very reasonable.
89.58% of the companies in the same industry are more expensive than PFE, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.47, PFE is valued rather cheaply.
A Price/Forward Earnings ratio of 8.87 indicates a reasonable valuation of PFE.
Based on the Price/Forward Earnings ratio, PFE is valued cheaper than 89.58% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.74, PFE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.22 | ||
| Fwd PE | 8.87 |
4.2 Price Multiples
81.25% of the companies in the same industry are more expensive than PFE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, PFE is valued a bit cheaper than the industry average as 70.83% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.18 | ||
| EV/EBITDA | 9.41 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PFE has a very decent profitability rating, which may justify a higher PE ratio.
PFE's earnings are expected to grow with 18.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.17
PEG (5Y)N/A
EPS Next 2Y27.49%
EPS Next 3Y18.8%
5. Dividend
5.1 Amount
PFE has a Yearly Dividend Yield of 6.39%, which is a nice return.
Compared to an average industry Dividend Yield of 2.69, PFE pays a better dividend. On top of this PFE pays more dividend than 97.92% of the companies listed in the same industry.
PFE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.39% |
5.2 History
The dividend of PFE has a limited annual growth rate of 3.78%.
Dividend Growth(5Y)3.78%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
222.18% of the earnings are spent on dividend by PFE. This is not a sustainable payout ratio.
The dividend of PFE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP222.18%
EPS Next 2Y27.49%
EPS Next 3Y18.8%
PFIZER INC
FRA:PFE (2/5/2025, 5:23:37 PM)
25.54
+0.68 (+2.76%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners67.53%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap144.73B
Analysts72
Price Target30.46 (19.26%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.39% |
Yearly Dividend1.64
Dividend Growth(5Y)3.78%
DP222.18%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.99%
Min EPS beat(2)30.28%
Max EPS beat(2)69.69%
EPS beat(4)4
Avg EPS beat(4)75.1%
Min EPS beat(4)30.28%
Max EPS beat(4)145.39%
EPS beat(8)8
Avg EPS beat(8)49.93%
EPS beat(12)12
Avg EPS beat(12)39.63%
EPS beat(16)15
Avg EPS beat(16)32%
Revenue beat(2)2
Avg Revenue beat(2)9.37%
Min Revenue beat(2)1.51%
Max Revenue beat(2)17.22%
Revenue beat(4)3
Avg Revenue beat(4)5.44%
Min Revenue beat(4)-2.16%
Max Revenue beat(4)17.22%
Revenue beat(8)4
Avg Revenue beat(8)3.04%
Revenue beat(12)7
Avg Revenue beat(12)3.42%
Revenue beat(16)9
Avg Revenue beat(16)3.19%
PT rev (1m)-1.17%
PT rev (3m)-1.91%
EPS NQ rev (1m)-5.73%
EPS NQ rev (3m)-20.27%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)3.57%
Revenue NQ rev (1m)-0.52%
Revenue NQ rev (3m)-1.84%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.22 | ||
| Fwd PE | 8.87 | ||
| P/S | 2.49 | ||
| P/FCF | 18.18 | ||
| P/OCF | 13.28 | ||
| P/B | 1.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.41 |
EPS(TTM)2.5
EY9.79%
EPS(NY)2.88
Fwd EY11.27%
FCF(TTM)1.4
FCFY5.5%
OCF(TTM)1.92
OCFY7.53%
SpS10.26
BVpS15.76
TBVpS-6.19
PEG (NY)0.17
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.61% | ||
| ROCE | 7.46% | ||
| ROIC | 5.08% | ||
| ROICexc | 5.37% | ||
| ROICexgc | 21.17% | ||
| OM | 21.87% | ||
| PM (TTM) | 7.07% | ||
| GM | 70.82% | ||
| FCFM | 13.68% |
ROA(3y)9.65%
ROA(5y)8.92%
ROE(3y)21.22%
ROE(5y)20.78%
ROIC(3y)12.34%
ROIC(5y)9.41%
ROICexc(3y)14.83%
ROICexc(5y)11.08%
ROICexgc(3y)51.24%
ROICexgc(5y)36.87%
ROCE(3y)17.69%
ROCE(5y)13.61%
ROICexcg growth 3Y6.45%
ROICexcg growth 5Y-2.08%
ROICexc growth 3Y-4.71%
ROICexc growth 5Y0%
OM growth 3Y-2.8%
OM growth 5Y1.5%
PM growth 3Y-45.18%
PM growth 5Y-33.24%
GM growth 3Y-4.47%
GM growth 5Y-2.32%
F-Score5
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 8.23 | ||
| Debt/EBITDA | 3.19 | ||
| Cap/Depr | 44.05% | ||
| Cap/Sales | 5.05% | ||
| Interest Coverage | 4.54 | ||
| Cash Conversion | 56.21% | ||
| Profit Quality | 193.46% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 1.93 |
F-Score5
WACC8.72%
ROIC/WACC0.58
Cap/Depr(3y)59.41%
Cap/Depr(5y)55.97%
Cap/Sales(3y)4.41%
Cap/Sales(5y)5.25%
Profit Quality(3y)148.35%
Profit Quality(5y)126.65%
High Growth Momentum
Growth
EPS 1Y (TTM)-10.1%
EPS 3Y-12.38%
EPS 5Y-9.41%
EPS Q2Q%723.53%
EPS Next Y61.14%
EPS Next 2Y27.49%
EPS Next 3Y18.8%
EPS Next 5Y9.45%
Revenue 1Y (TTM)-12.9%
Revenue growth 3Y11.99%
Revenue growth 5Y7.46%
Sales Q2Q%33.78%
Revenue Next Year7.2%
Revenue Next 2Y3.59%
Revenue Next 3Y2.52%
Revenue Next 5Y0.36%
EBIT growth 1Y-34.77%
EBIT growth 3Y8.85%
EBIT growth 5Y9.07%
EBIT Next Year205.1%
EBIT Next 3Y46.45%
EBIT Next 5Y27.43%
FCF growth 1Y-64.8%
FCF growth 3Y-25.54%
FCF growth 5Y-18.86%
OCF growth 1Y-57.66%
OCF growth 3Y-15.47%
OCF growth 5Y-11.28%