13 Best Pharma Dividend Stocks To Buy In 2024

5. Pfizer Inc. (NYSE:PFE)

Dividend Yield as of December 28: 6.53%

Number of Hedge Fund Holders: 80

Pfizer Inc. (NYSE:PFE), founded in 1849 and headquartered in New York, develops, manufactures, and markets biopharmaceutical products globally. It offers medicines and vaccines across multiple therapeutic areas, including cardiovascular, women’s health, and infectious diseases, with key brands like Eliquis, Nurtec ODT/Vydura, and the Prevnar family. Pfizer Inc. (NYSE:PFE) is one of the best dividend stocks to consider.

Oncology is achieving significant growth, with a 31% year-over-year increase driven by strong demand for legacy Pfizer Inc. (NYSE:PFE) and Seagen products. Pfizer Inc. (NYSE:PFE) is now the third-largest US oncology biopharma by revenue. XTANDI, a market leader in advanced prostate cancer, grew 28% year-over-year, while TALZENNA saw a 77% increase, supported by positive survival data from the TALAPRO-2 study for metastatic castration-resistant prostate cancer. PADCEV with pembrolizumab has become the leading first-line treatment for advanced bladder cancer, while LORBRENA achieved 31% growth in thoracic cancer.

Pfizer Inc. (NYSE:PFE) reported Q3 revenues of $17.7 billion, a 32% operational increase. COVID-19 products contributed significantly, with PAXLOVID generating $2.7 billion and COMIRNATY adding $1.4 billion. Non-COVID products also saw strong growth, with revenues of $13.6 billion, up 14% year-over-year. Adjusted EPS was $1.06, benefiting from strong revenues, cost efficiency, and a favorable tax rate, while GAAP EPS was $0.78, impacted by a $420 million charge for a facility sale tied to the discontinued DMD program.

Capital allocation focused on deleveraging, dividends, and reinvestment. Pfizer Inc. (NYSE:PFE) returned $7.1 billion to shareholders via dividends, invested $7.8 billion in R&D, and reduced debt by $4.4 billion year-to-date. It also monetized Helion shares, reducing its stake from 23% to 15%, yielding $3.5 billion in proceeds. The company remains committed to its gross leverage target of 3.25x to enhance shareholder value.

Among the hedge funds tracked by Insider Monkey, Pfizer Inc. (NYSE:PFE) was part of 80 public stock portfolios, compared to 84 in the last quarter. Two Sigma Advisors is one of the leading stakeholders of the company, with a position worth nearly $491 million.