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Pfizer's 6% dividend yield faces risks from patent expirations and tight cash flow.

Market News
14 Sep 2026
24/7 Wall Street
View Source
Neutral
Pfizer's 6% dividend yield faces risks from patent expirations and tight cash flow.

Pfizer offers a high 6.19% dividend yield, attractive to income investors, but the sustainability of this payout is uncertain due to upcoming patent expirations that threaten revenue. The company covers dividends with free cash flow, but the margin is thin, and buybacks have been paused to preserve cash. New product launches show growth but have yet to fully replace lost COVID-19 related revenues. Pfizer's significant debt and tight cash flow coverage mean any sustained drop in operating cash flow could pressure the dividend in the future.

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