Pfizer's foundation remains solid, based on strong cash flows generated from a basket of diverse drugs. The company's large size confers significant competitive advantages in developing new drugs. This unmatched heft, combined with a broad portfolio of patent-protected drugs, has helped Pfizer build a wide economic moat around its business.
Pfizer's pipeline productivity is improving with several successful recent drug launches. In particular, cardiovascular drug Vyndaqel is a potential game-changer in the rare-disease arena.
Aggressive cost-cutting in research and development could hurt Pfizer's long-term prospects, given the importance of continued investment in innovation.
|
Metric
|
PFE
|
GSK
|
LLY
|
|---|---|---|---|
Price/Earnings (Normalized) | 14.27 | 10.70 | 88.87 |
Price/Book Value | 1.67 | 4.82 | 65.72 |
Price/Sales | 2.53 | 2.25 | 19.74 |
Price/Cash Flow | 13.63 | 10.71 | 92.33 |
|
Metric
|
PFE
|
GSK
|
LLY
|
|---|---|---|---|
Quick Ratio | 0.58 | 0.59 | 0.52 |
Current Ratio | 0.91 | 0.88 | 0.94 |
Interest Coverage | 0.74 | 9.30 | 14.13 |
|
Metric
|
PFE
|
GSK
|
LLY
|
|---|---|---|---|
Return on Assets (Normalized) | 4.98% | 10.54% | 10.22% |
Return on Equity (Normalized) | 10.90% | 50.48% | 52.03% |
Return on Invested Capital (Normalized) | 7.28% | 21.33% | 19.27% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
LLY
| Eli Lilly and Co | Ncjckwwj | Yrgr | $695.3 Bil | |
JNJ
| Johnson & Johnson | Zdrltzvn | Gkh | $359.3 Bil | |
MRK
| Merck & Co Inc | Hwpdhtv | Rvh | $321.5 Bil | |
ABBV
| AbbVie Inc | Thstfqfj | Wys | $297.3 Bil | |
AZN
| AstraZeneca PLC ADR | Gylgzbgccg | Qtyp | $215.8 Bil | |
RHHBY
| Roche Holding AG ADR | Bgnqpvyt | Styc | $203.2 Bil | |
NVS
| Novartis AG ADR | Lgrkgvsx | Zxtjh | $196.0 Bil | |
AMGN
| Amgen Inc | Ytvxwhfvj | Qhn | $145.8 Bil | |
SNY
| Sanofi SA ADR | Fplbypz | Fplw | $117.3 Bil |
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