Pfizer Shares Are Up as They Submit Vaccine for Full FDA Approval – Is Now a Good Time to Buy?
Pfizer released its first quarter earnings today, beating both earnings per share and revenue estimates. The company also announced it expects to submit this month a biologics license application to the U.S. Food and Drug Administration seeking full approval for its COVID-19 vaccine for individuals 16 years of age and older, as opposed to the current emergency use authorization.
See: Is the American Families Plan Too Expensive? Take Our Poll
Find: Is a Fourth Stimulus Check Ever Coming? Does Biden’s New Plan Change Anything? Here’s the (Harsh) Truth
Shares were up 1.1% in premarket trading. Pfizer shares have risen 8.2% so far this year and 9.2% over the past 12 months, according to Barron’s.
Pfizer reported EPS of $0.93 and revenue of $14.58 billion — a 45% increase compared to the prior-year quarter, according to the earnings release. This compares to analysts’ consensus estimates of EPS of $0.77 and revenue of $13.51 billion, according to Seeking Alpha.
“I am extremely proud of the way we have begun 2021, delivering strong financial results in the first quarter. Even excluding the growth provided from BNT162b2, our revenues grew 8% operationally, which aligns with our stated goal of delivering at least a 6% compound annual growth rate through 2025,” Dr. Albert Bourla, Chairman and CEO said in the earnings release.
As of May 3, 2021, Pfizer, along with its partner BioNTech, has shipped approximately 430 million doses of its COVID-19 vaccine to 91 countries and territories around the world. As of mid-April, it has contracted for approximately 1.6 billion doses of its COVID-19 vaccine expected to be delivered in 2021.
See: Vaccine Roll-Outs Are Expensive – But Not Vaccinating the World Would Cost $9 Trillion
Find: How Each Generation Has Been Affected Financially By the Pandemic
The company also increased its projected full-year revenue from the vaccine full-to $26 billion, up from its previous forecast of $15 billion.
“As a result, based on the contracts signed through mid-April, we are increasing our revenue guidance and now expect revenues of approximately $26 billion dollars from the vaccine in 2021. We also are in ongoing discussions with multiple countries around the world about their needs, and we expect these discussions to lead to additional supply agreements,” Bourla said in the release.
While Pfizer’s earnings saw a bump because of their work on the COVID-19 vaccine, as one of the largest pharmaceutical companies in the world they remain a strong high dividend investment choice. Prior to this report, the company was reporting a 4.33% dividend yield.
More From GOBankingRates
Money’s Most Influential: Where Do Americans Get Their Financial Advice?
‘Rich Dad Poor Dad’ Author Robert Kiyosaki: You Should Never Say ‘I Can’t Afford That’
This article originally appeared on GOBankingRates.com: Pfizer Shares Are Up as They Submit Vaccine for Full FDA Approval – Is Now a Good Time to Buy?
