Pfizer stock rises as BMO Capital reiterates Outperform rating

Investing.com - Pfizer (NYSE:PFE) stock gained after BMO Capital reiterated an Outperform rating with a $30.00 price target on the pharmaceutical giant. Trading at a P/E of 13x and showing GREAT financial health according to InvestingPro metrics, Pfizer appears undervalued based on its Fair Value analysis.

BMO Capital analyst Evan David Seigerman maintained the positive outlook following Pfizer’s recent deal announcement with Metsera, which the firm described as "a thoughtful re-entry into the obesity metabolic space."

The analyst characterized the Metsera acquisition as "one of Pfizer’s better BD opportunities," noting it comes after previous setbacks with the company’s lotiglipron and danuglipron programs.

BMO highlighted that while still in early stages, Metsera’s long-acting GLP-1 and amylin agents appear competitive with similar products from industry rivals Lilly and Novo, specifically mentioning eloralintide/cagrilintide and tirzepatide/semaglutide.

The deal structure includes contingent value rights (CVRs), which BMO noted "gives Pfizer the opportunity to de-risk its position while again competing in obesity," a rapidly growing therapeutic market.

In other recent news, Pfizer Inc. is set to present research from 46 abstracts across its infectious disease portfolio at IDWeek 2025, highlighting its work on COVID-19, RSV, pneumococcal disease, and more. Guggenheim has reiterated its Buy rating on Pfizer ahead of the company’s third-quarter 2025 earnings report, projecting revenues of approximately $15.7 billion, which is below the Visible Alpha Consensus estimate of $17.2 billion. The firm also forecasts earnings per share of $0.58, compared to the consensus expectation of $0.72. In addition, Pfizer has declared a fourth-quarter 2025 dividend of $0.43 per share, payable on December 1, 2025, to shareholders of record by November 7, 2025. Meanwhile, BMO Capital has maintained an Outperform rating on Pfizer following a drug pricing agreement with President Trump, calling it a "meaningful win" for both the company and patients, as it involves discounts for Medicaid programs. This agreement was discussed with Pfizer CFO Dave Denton and investor relations representatives. These developments come as Pfizer prepares for its upcoming earnings report and continues to engage in strategic agreements.

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