The Long Investor
Airline Captain & Investment Analyst, Technical/Fundamental Analysis
Pfizer looks to be forming a multi-year low and should be a major beneficiary of AI. It pays a 6.3% dividend at a forward P/E of 8, though one more low may come in the fall. x.comÂ
Pfizer is a true safe haven that looks cheap at $28 a share, trading below 10 times adjusted earnings. Its 6.1% dividend has been paid for more than 349 quarters in a row, a remarkable record, and sentiment across biotech is strong after news from Moderna and Merck. x.comÂ
Pfizer has reached the point where all the negative news is priced in, and its 6-7% dividend pays holders while they wait. Earnings are done, though the stock has tested patience. x.comÂ
Pfizer is the kind of stock that should heavily outperform when the AI bubble pops. A dip on news that its CFO is returning to the consumer sector leaves it below 9x earnings with a 6.7% dividend yield, a payout of only around 60% of earnings. x.comÂ
Pfizer is cheap against its cash earnings at about 8 times, while drugmakers usually get 14 times. Fourteen times next year's cash earnings, give or take 12%, puts fair value at about $48.49-$61.71, so the $27.02 price sits 44% under the low end. This is a levels-only screen off reported earnings and revenue estimates, with no fundamental work. x.comÂ
Pfizer looks set to rebound toward $30-$35 after about $2M of insider buying around $25. If Moderna can rally this year, so can this once-beloved pharma name. x.comÂ
Grab's CEO bought $30 million of shares at $2.89, an insider purchase worth following. @Mike_S_222 points to a 4 billion float, but a big float doesn't stop a stock from moving big, as Microsoft, Apple and Nvidia show. x.com x.comÂ
Johnson & Johnson is not the S&P 500 laggard its five-year sideways chart suggests once dividends and longer timelines are counted: over 20 years it trails the index by only the tiniest amount. That says something for a very low-beta stock with one of only two AAA credit ratings, alongside Microsoft. It is a strong anchor for when momentum and growth stocks get clobbered. x.com x.com x.comÂ