Pfizer Inc.

What they do

Pfizer discovers, develops, manufactures, and sells biopharmaceutical products worldwide, selling primarily to wholesalers, retailers, hospitals, clinics, government agencies, and pharmacies. Its vaccines are sold directly to the U.S. federal government, wholesalers, provider offices, and retail pharmacies, and outside the U.S. mainly to government institutions. The company also markets to payors and healthcare providers, and participates in the TrumpRx.gov platform for discounted patient purchases.

Revenue drivers

• Eliquis — Anticoagulant; contributed to operational revenue growth in Q2 2026.
• Padcev — Oncology product; drove operational revenue growth in Q2 2026.
• Vyndaqel family — Cardiology product family; contributed to operational revenue growth in Q2 2026.
• Comirnaty and Paxlovid — COVID-19 products; revenues declined in Q2 2026, but excluding them total revenues grew 5% operationally.

Recent performance

In Q2 2026, total revenues were $15.0 billion, up 3% (1% operationally) from $14.7 billion in Q2 2025. Reported net loss was $(248) million, or $(0.04) per share, reflecting $4.3 billion non-cash intangible asset impairments. Adjusted diluted EPS was $0.77, flat year-over-year. For the first six months of 2026, revenues rose 4% to $29.5 billion, and reported net income fell 58% to $2.4 billion.

Strategy

Pfizer is focused on advancing its pipeline, with several key pivotal readouts expected over the next 12 months, and on maximizing value of existing products. It entered a global licensing and collaboration with Innovent in May 2026 for 12 early-stage cancer medicines, with a $650 million upfront payment and potential milestones up to $9.85 billion. The company announced $2.5 billion in additional productivity savings from ongoing initiatives, including $1.0 billion from cost base realignment and $1.5 billion from manufacturing optimization, to be realized from 2027 through 2029. It also raised full-year 2026 revenue guidance by $500 million at the midpoint.

Risks

• Competitive product launches — Competitor launches could erode sales of existing products, including those under development.
• Government price constraints — Government contracts may be renegotiated or terminated, and pricing and reimbursement pressures are subject to regulatory changes.
• Intangible asset impairments — Q2 2026 included $4.3 billion in non-cash impairments, indicating risk of further write-downs.
• COVID-19 product revenue decline — Comirnaty and Paxlovid revenues are declining, with 2026 guidance reduced to approximately $4 billion from $5 billion.

Outlook

For full-year 2026, management raised revenue guidance to $60.5–$62.5 billion, up $500 million at the midpoint, driven by non-COVID product performance. Adjusted diluted EPS guidance is reaffirmed at $2.80–$3.00, absorbing an approximate $0.10 impact from the Innovent transaction. Additional productivity savings of $2.5 billion are expected from 2027 through 2029.