12 Best Affordable Stocks To Buy Right Now

6. Pfizer Inc. (NYSE:PFE)

Forward P/E Ratio: 8.96

Earnings Growth This Year: 58.98%

Number of Hedge Fund Holders: 80 

Pfizer Inc. (NYSE:PFE) is an international research-based biopharmaceutical company that operates through the discovery, development, manufacturing, and sale of pharmaceutical products segments. It focuses on oncology, primary care, and specialty care treatments and has a portfolio of more than 100 drugs, circulating internationally.

One might think that with COVID-19 vaccine demand subsiding, the glory days of this company are history. While it’s true that Pfizer Inc. (NYSE:PFE) grew its sales exponentially and generated $100 billion in 2022 on the back of COVID-19 vaccine sales, the company still has growth potential. Management sees opportunities in its oncology segment. The company acquired Seagen for $43 billion in 2023 and plans to develop eight potential cancer treatments by 2030.

Moreover, Pfizer Inc.’s (NYSE:PFE) recent third-quarter earnings release for fiscal 2024 also indicated robust performance, the company generated $17.7 Billion in revenue, up 32% year-over-year. Its oncology revenues were also impressive and improved by more than 31% during the same time.

In addition to its focus on becoming a market leader in oncology, management is also prioritizing cost saving and anticipates at least $4 billion in savings by the end of 2024 as part of its Cost Realignment Program. Considering its robust oncology pipeline and encouraging performance of its existing portfolio, Pfizer Inc.’s (NYSE:PFE) remains an attractive investment opportunity.

Parnassus Value Equity Fund stated the following regarding Pfizer Inc. (NYSE:PFE) in its first quarter 2024 investor letter:

“During the quarter, we added new positions in Pfizer Inc. (NYSE:PFE), NICE and Charter Communications. We purchased Pfizer to capture the potential upside from any turnaround following the COVID-induced boom-bust cycle of the last few years. Pfizer’s stock price sank by more than 40% in 2023 as COVID-19 vaccine revenues rolled off, providing an attractive entry point for us. The company completed its acquisition of Seagen, which should strengthen Pfizer’s pipeline in antibody-drug conjugates (ADC). Pfizer also offers an attractive dividend yield.”