We keep our target at $57, 15.8x our 2023 EPS, above $(PFE)$’s historical forward P/E
average. Together with strong Q3 results, the expected CDC approval today of the
Covid-19 vaccine for kids aged 5 to 11 should drive the stock price up, in our view.
From CFRA: We lift our ’21 EPS by $0.07 to $4.19 and our ’22 EPS by $0.13 to $3.68. We keep
our ’23 EPS at $3.60. Q3 EPS of $1.34 vs. $0.59 (+129% Y/Y) was above the $1.09
consensus estimate. Top-line sales rose 134% Y/Y to $24.1B in Q3 above the
consensus estimate of $22.8B as the Covid-19 vaccine brought $13B in sales,
roughly $1.5B above forecasts. Excluding the vaccine impact, operational growth
continued to be moderate (+7% Y/Y), driven by oncology (+11% Y/Y) and hospital
products (+29% Y/Y), counterbalancing the 1% Y/Y and 7% Y/Y drops respectively in
internal medicine and inflammation & immunology. In-line with our expectations,
PFE raised its Covid-19 vaccine sales guidance to $36B for 2021. We now expect
total revenue of $81.7B for 2021