2 Stocks That Have Wall Street's Stamp of Approval

NYSE: PFE | Pfizer Inc. News, Ratings, and Charts

PFE – Despite rampant market volatility ahead of the November jobs data, and possible recession fears, experts believe the U.S. economy is resilient enough to handle a potential growth slowdown. Given the possibility of a year-end rally, quality stocks Pfizer (PFE) and AT&T (T) could now be ideal additions to your portfolio. Wall Street analysts expect these stocks to witness a rally shortly. Keep reading….

Markets are significantly volatile ahead of the November jobs data release. However, despite widespread macro headwinds, the S&P 500 secured modest gains over the past month. Moreover, according to Deutsche Bank AG (DB) strategist Binky Chadha, the stock market rally isn’t over yet.

In addition, Sam Stovall, chief investment strategist for CFRA Research, said, “Right now, the stock market is assuming we don’t fall into a recession or, if we do have a recession, it will be mild and that the Fed will likely lower interest rates in the latter part of 2023.”

Veteran investment strategist Ed Yardeni also believes that the U.S. economy is resilient enough to withstand any potential recession. According to him, markets could witness a year-end rally and surge another 8%.

Therefore, investors might now add quality stocks Pfizer Inc. (PFE) and AT&T Inc. (T) to their portfolios. Wall Street analysts expect these stocks to rally in the near term.

Pfizer Inc. (PFE)

Research-based biopharmaceutical company PFE is engaged in discovering, developing, manufacturing, marketing, distributing, and selling biopharmaceutical products worldwide. It offers medicines and vaccines in various therapeutic areas.

On November 3, 2022, PFE’s investigational cancer immunotherapy, elranatamab, received Breakthrough Therapy Designation from the U.S. Food and Drug Administration for treating people with relapsed or refractory multiple myeloma. This approval is yet another milestone achievement for PFE in oncology.

PFE’s trailing-12-month gross profit margin of 66.16% is 20.3% higher than the industry average of 54.99%, and its trailing-12-month net income margin of 29.81% compares to the industry average of negative 6.23%.

PFE’s U.S. revenues came in at $13.85 billion for the third quarter that ended October 2, 2022, up 97.3% year-over-year. Its non-GAAP net income came in at $10.17 billion, up 39.7% year-over-year, while its non-GAAP EPS came in at $1.78, up 40.2% year-over-year.

PFE’s revenue is expected to increase 23.4% year-over-year to $100.28 billion in 2022. Its EPS is expected to increase 46.4% year-over-year to $6.47 for the same period. It surpassed EPS estimates in all four trailing quarters.

Over the past month, the stock has gained 4.3% to close the last trading session at $49.49. Wall Street analysts expect the stock to hit $52.00 in the near term, indicating a potential upside of 5.1%.

PFE’s POWR Ratings reflect its promising outlook. It has an overall A rating representing a Strong Buy in our POWR Ratings system. The POWR Ratings assess stocks by 118 different factors, each with its own weighting.

PFE has an A grade for Value and a B for Growth, Sentiment, and Quality. It is ranked #2 out of 161 stocks in the Medical – Pharmaceuticals industry. Click here to see the additional POWR Ratings for PFE (Momentum and Stability).

AT&T Inc. (T)

T provides telecommunications, media, and technical services worldwide. Its segments are Communications and Latin America.

On October 20, 2022, John Stankey, T’s CEO, said, “We’re investing at record levels to enhance our 5G and fiber connectivity and to deliver the best experience available in the market.”

T’s trailing-12-month gross profit margin of 54.35% is 8% higher than the industry average of 50.32%, while its trailing-12-month net income margin of 12.90% is 186.2% higher than the industry average of 4.51%.

For the third quarter that ended September 30, 2022, T’s equipment revenue came in at $5.31 billion, up 4.6% year-over-year. Its Fiber Broadband additions came in at 338,000, up 17% year-over-year. Moreover, its net income increased marginally year-over-year to $5.98 billion, while its adjusted EPS came in at $0.68, up 3% year-over-year.

T’s revenue and EPS for 2022 are estimated to be $128.73 billion and $2.66, respectively. It surpassed EPS estimates in all four trailing quarters. Over the past month, the stock has gained 2.9% to close the last trading session at $19.01. Wall Street analysts expect the stock to hit $20.20 in the near term, indicating a potential upside of 6.3%.

T’s overall B rating represents a Buy in our POWR Ratings system. The stock also has a B grade for Value and Quality. It is ranked #4 out of 19 stocks in the Telecom – Domestic industry. Click here to see the additional POWR Ratings for T (Growth, Momentum, Stability, Sentiment).


PFE shares fell $0.04 (-0.08%) in premarket trading Wednesday. Year-to-date, PFE has declined -13.47%, versus a -15.82% rise in the benchmark S&P 500 index during the same period.


About the Author: Riddhima Chakraborty


Riddhima is a financial journalist with a passion for analyzing financial instruments. With a master's degree in economics, she helps investors make informed investment decisions through her insightful commentaries. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
PFEGet RatingGet RatingGet Rating
TGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


Where Do Stocks Go from Here?

The S&P 500 (SPY) has already made new highs just above 6,000. However, that seems to be a point of stiff resistance. This begs the question of what happens next? And what should an investor do to stay on the right side of the action? Read on below for Steve Reitmeister’s time answers and top 10 stocks.

3 Streaming Stocks Benefiting from Cord-Cutting Trends

As streaming continues to dominate the digital entertainment landscape, the global streaming market presents a lucrative investment opportunity. So, it could be ideal to invest in fundamentally solid streaming stocks Netflix (NFLX), Walt Disney (DIS), and Roku (ROKU). Read further...

3 Gold Stocks to Buy as Safe-Haven Demand Grows

Gold is a stable investment now due to its role as a safe-haven asset during economic uncertainty, rising demand, industrial use, and growth, bolstered by central bank purchases and interest rate cuts. Therefore, investors should consider investing in top gold stocks such as Newmont (NEM), Barrick Gold (GOLD), and Agnico Eagle Mines (AEM). Read more...

3 AI Stocks Transforming Industries and Driving Future Growth

With rapid digitalization, rapid adoption, and development, as well as surging demand, the AI market is on the rise. Amid this backdrop, investors could buy fundamentally solid AI stocks NVIDIA Corporation (NVDA), Microsoft (MSFT), and Meta Platforms (META) poised for substantial gains. Continue reading...

What Happens After 6,000 for Stocks?

The S&P 500 (SPY) has the petal to the medal after the election and 2nd Fed rate cut. However, stocks are now pressed up against serious resistance at 6,000 which begs the question of what happens next? Investment pro Steve Reitmeister shares his timely market views including a preview of his top 10 stocks. Get the full story below...

Read More Stories

More Pfizer Inc. (PFE) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All PFE News