Pfizer (PFE 0.73%) offers a rare mix of scale, stability, and a 6% dividend yield that few large caps can match. With steady cash flow, modest valuation, and analyst upside, this defensive giant may be quietly positioning for a rebound.

Pfizer offers a 6.3% yield, but its high dividend reflects weak growth prospects and looming patent cliffs. PFE's dividend is currently covered by cash flow, but payout ratios are stretched, and sustainability is questionable beyond 2027 without new revenue streams. Recent acquisitions, notably Metsera, increase leverage and are dilutive near-term but aim to offset $17–18B annual patent expirations by 2028.

The stock offers a lofty 6.2% yield, and management has declared its intent to support its dividend. The pharmaceutical giant has fallen behind competitors, but is making aggressive moves to catch up.

AZN's stronger growth outlook and 2030 revenue target may outshine PFE's yield and cheaper valuation.

Pfizer has reached a transition point following declines of some of its biggest blockbusters. The pharma giant is paving the way to growth through new products and acquisitions.

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PFE's oncology sales rose 8% in 2025 as Padcev, Lorbrena and new launches offset Ibrance declines.

Pfizer has made the investments needed to get its drug pipeline back on track. United Parcel Service's turnaround effort is starting to show progress.

Our comprehensive evaluation suggests that divesting from Pfizer stock (NYSE: PFE) may be the most prudent course of action. Our analysis points a bearish outlook on the stock, with a plausible price target of $20.

Despite the recent recovery, I explain why Pfizer remains materially undervalued, trading near 10-year lows with a 6.4% dividend yield. Pfizer faces multi-year headwinds from loss of exclusivity and COVID franchise decline, but management highlights transformative M&A and pipeline optionality. Obesity drugs, particularly via Metsera, represent a potential $150B TAM, though market skepticism persists until Phase III data matures.