Pfizer stock (PFE) rose after the earnings release on Tuesday but may have further downside potential.
Pfizer shares were initially lower with the news but rallied with disappointing covid vaccine sales data dragging the stock lower.
PFE – Monthly Chart
On the monthly chart, Pfizer is creating a very bearish setup for January. Traders should look to sell rallies on lower time frames when they see a technical form such as a double top.
“As we turn to 2023, we expect to once again set records, with potentially the largest number of new product and indication launches that we’ve ever had in such a short period,” said CEO Albert Bourla.
Pfizer said adjusted earnings for the three months to December were $1.14 per share, a 5.6% increase from last year’s period, with the consensus forecast at $1.05 per share. Revenues at Pfizer rose 2% to $24.3 billion, which matched analysts’ estimates of $24.3 billion after a pullback in sales of its Paxlovid antiviral treatment.
Looking ahead to 2023, Pfizer predicted group revenues in the region of $67 billion to $71 billion, with around $13.5 billion in sales of its Covid vaccine and $8 billion in sales for its antiviral treatment known as Paxlovid.
“As we turn to 2023, we expect to once again set records, with potentially the largest number of new product and indication launches that we’ve ever had in such a short time,” said CEO Albert Bourla. “We believe that the combination of these expected near-term launches, additional pipeline products that could potentially come to market in the medium-term, and anticipated contributions from business development, has the potential to set the company up for continued robust growth through the rest of this decade and beyond.”
Pfizer shares dropped but eventually saw a higher close around the $43.50 level. A breach of the $43 level can open the door for a drop to the $30 level as we move further into 2023.
