Why Pfizer Stock Is Lower After a Beat-and-Raise Quarter
Pfizer stock is down Tuesday even after the drugmaker reported higher-than-expected Q3 earnings and raised its full-year outlook.


Pfizer (PFE) stock is lower in Tuesday's session even after the pharmaceutical giant beat top- and bottom-line expectations for its third quarter and raised its full-year outlook.
In the three months ended September 29, Pfizer's revenue increased 31.3% year over year to $17.7 billion. What's more, the company swung to a net profit of $1.06 per share from a loss of 17 cents per share in the year-ago period.
"We delivered another strong quarter of results as we continued to execute with discipline, strengthen our commercial position and advance our pipeline," said Pfizer CEO Dr. Albert Bourla in a statement. "Our performance through the first three quarters of the year is the result of our focus on our most important strategic priorities."

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The results handily beat analysts' expectations. Wall Street was anticipating revenue of $15 billion and earnings of 62 cents per share, according to Yahoo Finance.
"The focus on execution excellence is starting to deliver results with market share gains in the U.S. and International, as well as robust growth in revenues and earnings per share," Bourla said in prepared remarks. "As a result, we are raising guidance ranges for our full-year 2024 total revenue and adjusted diluted earnings per share."
Pfizer now anticipates revenue in the range of $61 billion to $64 billion and earnings per share to arrive between $2.75 to $2.95. This is higher than its previous forecast for revenue of $59.5 billion to $62.5 billion and earnings per share to land between $2.45 to $2.65.
"I'm confident that we will deliver on our financial commitments in 2024 and that we are well positioned to continue advancing scientific breakthroughs meaningful to our patients and our company, as well as creating long-term shareholder value, in the years to come," Bourla said.
Despite the strong results, some media outlets are pointing to the outsized boost from Pfizer's Covid-19 treatments on its quarterly results and guidance raise. "Investors don't have much faith in the long-term value of the company's Covid-19 business, and those results are unlikely to inspire much investor optimism," as Barron's explains.
Is Pfizer stock a buy, sell or hold?
Pfizer shares are up nearly 5% for the year to date on a total return basis (price change plus dividends), lagging the S&P 500's 23% gain. But several on Wall Street think PFE is one of the best stocks to buy at current levels.
According to S&P Global Market Intelligence, the average analyst target price for the healthcare stock is $33.20, representing implied upside of more than 16% to current levels. Additionally, the consensus recommendation is Buy.
Related Content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Why Losing Your Job Could Be the Best Opportunity to Plan Your Future
Amid this uncertainty lies an opportunity for strategic reassessment and personal growth.
By Mario Hernandez Published
-
Can a New Manager Cure Vanguard Health Care Fund?
Vanguard Health Care Fund has assets of $40.5 billion but has been ailing in recent years. With a new manager in charge, what's the prognosis?
By Nellie S. Huang Published
-
Can a New Manager Cure Vanguard Health Care Fund?
Vanguard Health Care Fund has assets of $40.5 billion but has been ailing in recent years. With a new manager in charge, what's the prognosis?
By Nellie S. Huang Published
-
What You Don't Know About Annuities Can Hurt You
Lack of awareness leads many to overlook these potent financial tools, and with the possibility of running out of money in retirement, that could really hurt.
By Ken Nuss Published
-
Three Keys to Logical Investing When Markets Are Volatile
Focusing on these market fundamentals can help investors stay grounded rather than being swayed by emotion or market hysteria.
By Dennis D. Coughlin, CFP, AIF Published
-
Yes, the Markets Are Spooked, But You Don't Have to Be
It's human nature for investors to freak out in a downturn. But with a little discipline, you can overcome the urge to sell and stay focused on long-term goals.
By Jimmy Lee, IAR Published
-
Remembering Bogle: A New Standard for Municipal Investing
Improvements in technology, data, systematic trading and risk analytics have led to more successful municipal indexing.
By Paul Malloy Published
-
Stock Market Today: Stocks Are Mixed Before Liberation Day
Markets are getting into the freewheeling rhythm of a second Trump administration.
By David Dittman Published
-
How to Invest in Sports
If it's springtime, Forbes is out with its annual list of baseball franchise values. The billions involved might make you wonder how to invest in sports.
By David Dittman Published
-
Winning Strategies for Financial Advisers as Clients' Lives Evolve
How can the wealth management industry help make life transitions easier for the adviser and the client?
By David Conti, CPRC Published