Wolfe Research Says COVID Uncertainty Continues to Weigh Down Pfizer’s (PFE) Outlook

Wolfe Research Says COVID Uncertainty Continues to Weigh Down Pfizer’s (PFE) Outlook
Wolfe Research Says COVID Uncertainty Continues to Weigh Down Pfizer’s (PFE) Outlook

With an annual dividend yield of 6.68%, Pfizer Inc. (NYSE:PFE) is included among the Top 10 Dividend Stocks with Over 5% Yields and Growing Cash Flows.

Wolfe Research Says COVID Uncertainty Continues to Weigh Down Pfizer’s (PFE) Outlook

On May 14, Wolfe Research analyst Alexandria Hammond raised the company’s price recommendation for Pfizer Inc. (NYSE:PFE) to $26 from $25. He reiterated an underperform rating on the stock after what the company described as “a fairly quiet impression.” The analyst said the revenue increase “probably warranted an increase in guidance if not for the unpredictable COVID business.” The target increase reflected the company’s view on five-year sales CAGR and Vyndamax exclusivity through 2031.

During the first quarter 2026 earnings conference call, Pfizer described the quarter as operationally strong. Chairman and CEO Albert Bourla highlighted two legal developments that he said strengthened the company’s long-term prospects. Bourla said recent settlement agreements related to patent infringement claims involving Vyndamax could significantly improve Pfizer’s growth profile after 2028. He added that the agreements increased management’s confidence that the company could achieve five years of single-digit revenue CAGR starting in 2029.

He also pointed to the Belgian court ruling linked to Comirnaty’s EU contracts, saying it should support future earnings per share and cash flow. According to Bourla, greater cash flow visibility gives the company more flexibility in its broader capital allocation strategy, including maintaining and supporting the dividend.

Pfizer Inc. (NYSE:PFE) is a research-based global biopharmaceutical company focused on the discovery, development, manufacturing, marketing, sale and distribution of biopharmaceutical products worldwide.

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