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On Tuesday 27 January, before the US equity markets open, Pfizer is due to post its fourth-quarter figures. The company’s adjusted earnings per share are expected to fall from $0.57 down to $0.529; sales are forecast to increase from $12.296 billion up to $12.94 billion, while pre-tax profits are anticipated to jump from $3.587 billion up to $4.587 billion.
At the moment institutional consensus is still supportive of the company, with 17 firms rating it a buy, nine a hold and only one a sell. The average price target for the firm over the next 12 months is $34.38, still leaving a premium as the shares are currently trading at $32.99.
So where is Pfizer at the moment? A number of its drugs have or are about to lose their exclusivity patents, opening up competitors into their markets. The company has cut costs as much as it can and has had to increase its research and development spending in order to keep developing new products.