Filed under: Pfizer (PFE), Johnson and Johnson (JNJ), Novartis AG ADS (NVS), Merck and Co (MRK)
According to Reuters, big pharma concern Pfizer Inc. (NYSE: PFE) is planning ahead for growth. The company has been plagued by generic competition and a falling stock price, so management knows that it’s got to tell investors something good so that they will realize that the drug maker is still in the game.
Pfizer wants to use the theme of international growth to boost its potential shareholder value. The company is looking at Asia and the emerging markets as catalysts. Can’t blame Pfizer for that; not only is that theme not played out yet, but with the weak dollar, shareholders should welcome any aggressive stance in this regard (so long as the company can execute properly). Then there’s the pipeline, which Pfizer is aiming to expand, hoping to get as many late-stage trials going as it can.
Shareholders will have to wait and see how Pfizer’s rhetoric plays out, but you can’t dismiss the stock as an interesting long-term idea. By now, I don’t need to tell you that pharmaceuticals and providers of healthcare products will always be in need; in fact, stocks like Johnson & Johnson (NYSE: JNJ), Merck & Co., Inc. (NYSE: MRK), and Novartis AG (ADR) (NYSE: NVS) are all interesting for this very reason. I happen to be prone to Johnson & Johnson myself, but the thing I like about Pfizer is its juicy yield, which sits well above 5% right now. Also, the stock is near its lows, and it is in a narrow 52-week range. I don’t necessarily expect it to rocket higher tomorrow, but if you are looking for a drug company to add to your portfolio, definitely check this one out as a potential value, and keep yourself informed about Pfizer’s plans for the emerging markets.
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