Pfizer Raises Profit Forecast Amid Acquisition and Strategic Focus on Cancer Treatments

Pfizer has increased its annual profit forecast due to successful acquisitions including a $43 billion deal for Seagen and robust sales of its heart disease drug. Despite a significant drop in COVID-19 related revenue, the company’s strategic focus on cancer treatments aims to revive investor confidence and stabilize stock performance.

Pfizer has raised its annual profit forecast, bolstered by cancer treatments acquired through a $43 billion deal for Seagen and strong sales of its heart disease medication. The company faces diminishing revenue from COVID-19 products, but strategic acquisitions and cost-cutting measures aim to offset this decline.

CEO Albert Bourla responded to declining COVID-19 concerns with multiple acquisitions, including Seagen, and an intensified focus on cancer treatments. Investors seek reassurance amid Pfizer's shifting market position, with shares currently trading at about half their pandemic highs.

Bourla emphasizes ongoing efforts in cost containment, pipeline development, and new product launches to uplift the company's stock price. However, analysts like Chris Schott from J.P. Morgan suggest that significant changes in Pfizer's narrative require stronger performance in new launches and pipeline advancements.

(With inputs from agencies.)