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Pfizer undervalued with 7% dividend yield and strong growth from new products post-Seagen acquisition

Analyst Insights
11 Jul 2026
Seeking Alpha
View Source
Bullish
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Pfizer is currently undervalued, trading at just over 8 times its projected 2026 earnings and offering a 7% dividend yield. Its core business, excluding COVID-related drugs, grew 7% in Q1, while new products, especially from its acquisition of Seagen, are driving over 20% growth. The Seagen acquisition is reshaping Pfizer’s growth trajectory, with oncology drug Padcev leading momentum and a strong cost-saving program underway. Despite challenges like patent expirations and debt, Pfizer is expected to see a positive turnaround as cost cuts and new product pillars scale, making it a buy recommendation.

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