didcrywolf

A Contrarian Look at Pfizer

First of all, I own the stock but do not necessarily recommend it!
Pfizer needs to rework its organization. There was an interesting article in the Harvard Business review last month that suggest big pharma needs to separate best of breed vs. first to show into separate organizations. Pfizer isn't really excelling at either today.
Tomorrow
Of those 102 medecines in the pipeline which are which?
Of the successful ones, how much money will they need to generate just to cover the coming off patents?
How many have a market for $3BB/yr?
PUNDITRY
I believe with such a big cash hoard, the company could reinvent itself and take advantage of much more promising areas in best of breed than waste time in US litigation laden high risk and poor reward scenarios for new products...
In conclusion, stock is at 10 year low because market realizes that what was once low picking fruit and easier to solve medical issues, is now a much tougher market with patent expiry coming ever faster and you need to beat people at their own game otherwise generics will have you for lunch. Now if they insist on spending investor money, they should look at the Monsanto play book for a clue on how to run a successful organization in the 21st century.