Deutsche Bank Raises Pfizer Price Target; Sees 11% Upside
In a research report sent to investors today, Deutsche Bank analyst Gregg Gilbert reiterated a Buy rating on Pfizer Inc (NYSE:PFE) and raised price target target of $35, which implies an upside of 11% from current levels.
Gilbert wrote, “PFE has been a big underperformer in 2014 and following recent conversations/meetings with investors we believe investor apathy surrounding PFE is higher than it has been in years. This is due in part to confusion around the AZ acquisition attempt, the perception of a mediocre pipeline, and a large revenue base that will be hard to grow in the face of ‘15/16 patent expirations. With that as a backdrop, coupled with undemanding valuation and a 3.6% dividend yield following the planned 8% dividend hike, we believe PFE is poised to perform well in ’15. We would be very surprised if PFE does not deploy its balance sheet strength in a significant way in ’15, potentially via significant acquisitions and/or share buyback.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Gregg Gilbert has a total average return of 22.4% and a 81.5% success rate. Gilbert has a 6.4% average return when recommending PFE, and is ranked #215 out of 3417 analysts.