Pfizer: Growth From Oncology Franchise; Initiate With 'Buy'

Summary

• Pfizer's acquisition of Seagen for $43 billion enhances its ADC technology, potentially expanding its oncology franchise and driving future growth.
• PFE's development of the oral GLP-1 receptor agonist, Danuglipron, aims to capture the growing obesity and diabetes treatment market by 2028.
• The Company anticipates 11.4% revenue growth, driven by oncology investments, M&A activities, and manufacturing optimization, despite challenges from declining COVID-related revenue.
• I rate Pfizer a 'Buy' with a one-year target price of $40 per share, backed by strategic acquisitions and strong growth prospects in oncology.

georgeclerk

Pfizer (NYSE:PFE) has been strategically increasing their business exposure in the oncology franchise by developing more cancer drugs to drive their future growth. I think the acquisition of Seagen could strengthen their Antibody-Drug Conjugate (ADC) technology. I am initiating with a 'Buy' rating with

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.