Pfizer Inc. (PFE) is a publicly traded company in the Healthcare — Drug Manufacturers - General industry listed on NYSE. This overview shows the latest price, key valuation ratios, profitability metrics and financial-health indicators used by fundamental investors.
Pfizer Inc. is a global biopharmaceutical leader engaged in the research, development, production, marketing, and distribution of a wide array of medicinal and vaccine products worldwide. Its comprehensive portfolio addresses diverse therapeutic areas, including cardiovascular health and women's health, featuring key brands such as the Premarin family and Eliquis.
Is Pfizer Inc. stock overvalued or undervalued in 2026?
Pfizer Inc. (PFE) trades at 40.3× earnings (P/E), against a median of 30.4× across the 246 healthcare companies above $2bn in Kaplio's universe. Note: earnings per share over the last twelve months ($0.76) are far from the consensus for 2027 ($2.89); that is why this range uses expected earnings. No valuation verdict: its last-twelve-month earnings are distorted, so its P/E is no use for comparing it.
Kaplio overview: Pfizer Inc.
Market cap $174B · 52 weeks $24 – $31 (0 % below the high) · P/E 40.3× · 2027 expected P/E 10.6× · Dividend 5.6 % · 11 years rising · Next earnings November 3, 2026 · expected EPS $0.73 · Closing price, Oct 30 · accounts published Aug 4.
- Valuation: P/E 40.2× (no verdict).
- Business: ROIC 10 % (fair).
- Balance sheet: Net debt/EBITDA 4.4× (fragile).
- Earnings: 8 of 8 (on track).
What would it be worth at its usual multiples?
No valuation verdict: its last-twelve-month earnings are distorted, so its P/E is no use for comparing it.
Note: earnings per share over the last twelve months ($0.76) are far from the consensus for 2027 ($2.89); that is why this range uses expected earnings.
What matters in pharma: 3 of 6 pass
- 5y EPS growth −3.7 %, fails.
- ROIC 9.9 %, fails.
- Net debt / EBITDA 4.4×, fails.
- P/E vs own 10y history 40.3×, info.
- R&D / Revenue 19.1 %, passes.
- Gross margin 70.3 %, passes, near the threshold.
- FCF / Net Income 116.8 %, passes.
Against its peers (reference peers) — Pfizer Inc.: P/E 40.3×; EV/EBITDA 17.5×; ROIC 9.9 %; $174B. Bristol-Myers Squibb Company (P/E 13.8×; EV/EBITDA 10.6×; ROIC 15.0 %; $128B), Sanofi (P/E 23.3×; EV/EBITDA 7.8×; ROIC 7.4 %; $106B), AstraZeneca PLC (P/E 28.0×; EV/EBITDA 14.6×; ROIC 12.7 %; $289B).
Dividend
fragile · Yield 5.6 % ($1.72 per share in 2025) · Years raising it ≥ 11 · 5-year growth +2 % a year · Free cash flow coverage 0.8× · With $1,000 invested today you'd collect $56.40 a year ($4.70 a month).
Kaplio's reading: Pfizer Inc.
Updated on October 31, 2026 · accounts published on August 4, 2026
A cash-generating drugmaker with shrinking sales and a heavy debt load
Pfizer trades at a P/E of 40.3 over the last 12 months, 32 % above its sector median of 30.4, while revenue and EPS are shrinking.
- Is Pfizer expensive or cheap? Pfizer's P/E of 40.3 over the last 12 months sits 32 % above the sector median of 30.4 and far above its decade average of 23.0.
- How is the business doing? Revenue fell 1.6 % and EPS 3.5 % over the last 12 months, though the 26.7 % operating margin beats its 25.1 % decade average.
- Does Pfizer invest enough in R&D and turn profit into cash? Pfizer spent 19.1 % of revenue on R&D in fiscal 2025, above the 15 % healthy mark, and turned 117 % of net profit into free cash.
- How strong is the balance sheet? Net debt is 4.4× EBITDA in fiscal 2025, above the 2.5× healthy ceiling, while the 5.6 % dividend takes 126 % of earnings.
- What to expect from the next earnings? Pfizer reports on November 3, 2026, with analysts expecting EPS of $0.73; it has beaten estimates in each of the last 8 quarters.
Is Pfizer expensive or cheap?
Over the last 12 months, Pfizer has traded at a P/E of 40.3. That is 32 % above the median of 246 healthcare companies (30.4) and far above its own ten-year average of 23.0. The stock is up 32 % in a year and sits within 1 % of its 52-week high of $30.52, so the multiple rose while earnings fell. Cash-based measures look less extreme: EV/EBITDA is 17.5× and the free cash flow yield is 4.4 %. Cash generation is holding up better than reported profit, but the earnings yield of 3.8 % shows how little profit each dollar of share price buys today.
How is the business doing?
Pfizer is shrinking slightly: revenue is down 1.6 % and EPS down 3.5 % over the last 12 months. Operating profitability is holding firm. The operating margin is 26.7 %, against 24.7 % in fiscal 2025 and an average of 25.1 % for 2014-2025. Much of that is lost below the operating line, since net margin is only 6.8 % and ROE 4.9 %. ROIC of 9.9 % is 4.3 points above the sector median of 5.6 %. Even so, it has topped 10 % in only 3 of the last 10 fiscal years, with a low of 2.8 % in 2023.
Does Pfizer invest enough in R&D and turn profit into cash?
In healthcare the drug pipeline is the invisible asset. Patents that expire take their revenue with them, so the sector is judged on innovation and cash, not on one year's earnings. Pfizer passes the first test: R&D was 19.1 % of revenue in fiscal 2025, against a healthy floor of 15 %. Free cash flow equalled 117 % of net profit, above the 90 % benchmark. Gross margin of 70.3 % clears the 70 % line for branded pharma by a whisker. Pfizer fails on growth and returns: EPS fell 3.7 % a year over fiscal 2020-2025, against the 8 % annual growth seen as healthy, and ROIC of 9.9 % is below the 12 % mark.
How strong is the balance sheet?
Leverage is the weak point. Net debt stood at 4.4× EBITDA in fiscal 2025, well above the 2.5× that counts as healthy in healthcare. It comes to $9.94 per share, about 33 % of the current price. Liquidity is adequate, with a current ratio of 1.27. Over the last 12 months, though, the Altman Z of 2.0 sits in the grey zone and the Piotroski score is 4 of 9. The dividend yields 5.6 % and has risen for 11 consecutive fiscal years. The fiscal 2025 payout of 126 % means it exceeded earnings. Free cash flow at 117 % of profit narrows that gap without closing it.
What to expect from the next earnings?
Pfizer publishes results on November 3, 2026, and analysts expect EPS of $0.73 for the quarter. Its track record is consistent: it has beaten EPS estimates in 8 of the last 8 quarters. The latest was on August 4, 2026, with $0.77 against $0.68 expected, a 13 % surprise. Full-year expectations are edging lower: the 2026 EPS consensus has fallen 0.7 % in 30 days to $2.95, while the revenue consensus has barely moved. Opinion is cautious: of 39 analysts, 15 recommend buying, 23 holding and 1 selling.
How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.
Investor methods verdict
Would Buffett approve Pfizer today?
The Buffett Method would not approve Pfizer today: it fails its quality rules. Business quality: 65 out of 100 (price not included). Kaplio assessment with data from the week of 2026-10-26; not investment advice.
Would Peter Lynch approve Pfizer today?
The Lynch Method approves Pfizer today. Business quality: 80 out of 100 (price not included). Lynch classifies it as a turnaround. Kaplio assessment with data from the week of 2026-10-26; not investment advice.
Profitability
| Return on Equity | 4.89% |
| Return on Invested Capital | 9.94% |
| Return on Assets | 2.15% |
| Gross Margin | 73.18% |
| Operating Margin | 26.72% |
| Net Margin | 6.80% |
Financial Health
| Debt / Equity | 0.74 |
| Current Ratio | 1.27 |
| Piotroski F-Score | 4 |
| Altman Z-Score | 2.05 |
Compare it with
Price Performance
| 1 month | +8.53% |
| 3 months | +22.03% |
| Year-to-date | +22.57% |
| 1 year | +23.81% |
| 3 years | +0.03% |
| 5 years | -30.06% |
| 10 years | +5.10% |
Dividend History
Paid in the last 12 months: $1.7200 per share in 4 payments.
| Date | Amount |
|---|---|
| 2026-11-06 | $0.4300 |
| 2026-07-24 | $0.4300 |
| 2026-05-08 | $0.4300 |
| 2026-01-23 | $0.4300 |
| 2025-11-07 | $0.4300 |
| 2025-07-25 | $0.4300 |
| 2025-05-09 | $0.4300 |
| 2025-01-24 | $0.4300 |
| 2024-11-08 | $0.4200 |
| 2024-07-26 | $0.4200 |
Amounts adjusted for stock splits.
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Explore sector: Healthcare · Drug Manufacturers - General
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