While shares of healthcare giant Pfizer (NYSE:PFE) were already worth buying and holding for many years, the onset of the Covid-19 pandemic only made PFE stock more interesting for sensible investors.
As you may be aware, Pfizer developed a popular Covid-19 vaccine with German biotech company BioNTech SE (NASDAQ:BNTX). Moreover, in August, the U.S. Food and Drug Administration (FDA) approved the companies’ Covid-19 vaccine for people ages 16 and up.
That’s great news, but the Covid-19 drama is still unfolding. Due to the emergence of the Delta and other variant strains, there has been a lot of hand wringing as the FDA considers whether Americans really need booster shots now.
Yet, you don’t have to base your investment decisions on this. Just open your mind and look beyond U.S. borders, and you should find reasons to own a stake in Pfizer with confidence.
PFE Stock at a Glance
Not long ago, the PFE stock bulls broke through an important resistance level. They attempted to break through the $43 level in the year 1999, and then again in 2000. Two more attempts were made in September 2018 and December 2020.
The buyers couldn’t be rejected forever, though, and finally they pushed PFE stock to a 52-week high of $51.86 in August 2021.
Don’t celebrate yet, though. As of Sept. 17, the share price had retraced back to $44 and change. So, the $43 level could still be in play for a while longer.
In other news, value-focused investors should appreciate PFE stock’s trailing 12-month price-to-earnings ratio. It’s quite low at 18.8x, so it looks like there’s a compelling bargain here.
And for all of you dividend collectors out there, here’s something you’ll enjoy. Currently, Pfizer offers a forward annual dividend yield of 3.48%. That’s a nice bonus for the long-term shareholders.
Beyond the Northern Border
Is FDA approval make-or-break for Covid-19 vaccine makers?
That’s a tough question to answer. Without a doubt, it was a major news event when the FDA gave the green light to Pfizer’s vaccine for people ages 16 and up.
However, there are other horizons to consider, and other geographies for Pfizer to conquer.
Take Canada, for example. There, Health Canada is the regulatory equivalent of the FDA in the U.S.
And while U.S.-based market traders might obsess over the FDA’s consideration of booster shots and other issues, we need to remember that Pfizer is a global company.
Therefore, it’s important to know that Pfizer’s Covid-19 vaccine (again, developed with BioNTech) has received full authorization by Health Canada for people aged 12 or older.
A New Approval … and a New Name
This recent development happened in the nick of time. Pfizer’s Covid-19 shots were authorized for use in Canada months ago under an interim order, but that order ended on Sept. 16.
Canadians still seeking to get the Pfizer/BioNTech jab were undoubtedly relieved — as was BioNTech CEO Ugur Sahin.
He called the latest Health Canada approval “a testament to the vaccine’s efficacy and safety profile,” while adding that “[o]ur companies have shipped more than 1.4 billion doses worldwide.”
Perhaps to celebrate Health Canada’s seal of approval, Pfizer has given its Covid-19 vaccine a new name in Canada.
That vaccine will henceforth be known as Comirnaty. It’s an unusual name, but the vaccine remains the same.
“There are no changes to the vaccines themselves,” Health Canada reassured.
Still, there’s more progress to be made as Pfizer and BioNTech tackle a disease of national and global proportions. To quote Fabien Paquette, the vaccines lead for Pfizer Canada: “While a significant number of eligible Canadians are fully vaccinated, there is still much work to be done as infection and hospitalization rates continue to rise across the country, primarily among unvaccinated populations.”
Go ahead, pick your favorite reason to invest in Pfizer.
Maybe it’s the generous dividend yield. Or, perhaps you like PFE stock’s low valuation.
Then there’s the progress that Pfizer’s making on the regulatory front. It’s not necessarily in the U.S., but informed investing requires us to consider different regions sometimes … and different ways of thinking.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.
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