Benzinga - by Surbhi Jain, .
Pfizer Inc (NYSE:PFE) stock has declined significantly due to decreased revenue from its COVID-19 products.
The stock is down 34.61% over the past year, and 10.94% year-to-date.
While Pfizer’s dividend appears to be inexpensive, investors are noting significant risks facing the company ahead of first-quarter earnings on Wednesday.
Wall Street expects 49 cents in EPS and $13.09 billion in revenues as the company reports before market hours.
The stock sports a forward dividend yield of 6.55% currently.
Investors should also monitor management’s plans to reduce debt while maintaining the dividend. Being a pharmaceutical business, focus should also be on the company’s development pipeline to gauge the company’s potential trajectory.
Pfizer is a decent choice in healthcare, especially for those prioritizing current income and appreciating its competitive advantages and strong credit rating. However, the risk-reward balance is currently skewed towards caution.
Let’s look at what the charts indicate for Pfizer stock, and how the stock currently maps against Wall Street estimates.
Pfizer Stock Technical Setup Ahead Of Q1 Earnings
The technical analysis for Pfizer’s stock is reflecting a strongly bearish trend.Chart: Benzinga Pro
Pfizer stock is currently trading below its 8-day, 20-day and 50-day simple moving average, signalling bearish sentiments.
Chart: Benzinga Pro
The Moving Average Convergence Divergence (MACD) indicator is negative at -0.40, indicating bearish sentiments. The Relative Strength Index (RSI) is below 50, having just recovered from oversold conditions below 30.
Additionally, the Bollinger Bands have the price trading in the lower band for most part of April, indicating bearishness related to the stock’s future trajectory. Overall, the technical analysis indicates a bearish trend for Pfizer’s stock with potential for further downside.
Also Read: Pfizer’s Options: A Look at What the Big Money is Thinking
Pfizer Analysts Consensus Ratings
Ratings & Consensus Estimates: The consensus analyst rating on Pfizer stock stands at a Neutral currently with a price target of $40.54. A recent analyst rating from Cantor Fitzgerald, however, has a target price of $45 on the stock, implying an upside of about 75% from current price levels.PFE Price Action: Pfizer stock closed the trading day on Monday at $25.64, up 0.94%.
Read Next: FDA Green Lights Pfizer’s Gene Therapy For Rare Bleeding Disorder Hemophilia
Latest Ratings for PFE
| Feb 2022 | Morgan Stanley | Maintains | Equal-Weight | |
| Jan 2022 | Wells Fargo | Maintains | Overweight | |
| Jan 2022 | B of A Securities | Upgrades | Neutral | Buy |
View the Latest Analyst Ratings
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