Pfizer (NYSE) reported today Q1 sales surpassing expectations, $25.66 Billion vs $24.36 Billion consensus.

Strong performance by COVID-19’s vaccine business drove the beat. It generated $13.23 Billion in sales to surpass the $10.6 billion consensus. Adjusted earnings per share came in at $1.62

Pfizer reiterated its guidance regarding revenue at $98 billion to $102billion and earnings per share of $6.25 to 6.45. For FY2022, vaccine sales are estimated to be around $32 Billion.

Louise Chen, analyst at Cantor Fitzgerald, maintained an Overweight rating with a target price of $75.00 per share.

“We are confident that PFE can meet its guidance for a five-year revenue CAGR of at least 6%, or even higher with its COVID-19 franchise and additional mRNA projects in development, which is above our ~4% estimate for the industry average. PFE’s growth in sales should therefore be driven by innovation and solid execution. Hence, upwards earnings estimate revisions and multiple expansion should move PFE’s shares higher, in our view,” the analyst commented.

Evan David Seigerman from BMO is more careful than Chen.

“Top- and bottom-line beats, but we think investors will be cautious on the reaffirmations of guidance for Paxlovid and Comirnaty. This could mean that Covid-19’s benefits are slowing down. While we still think there is demand for Paxlovid, maintaining the January guide suggests that it is not increasing as we move from pandemic to a more endemic state,” Seigerman told clients.

Pfizer’s shares are half-off in preopen Tuesday

By Senad Karaahmetovic