Pfizer Stock Hits 10 Years High: On Its Way To Touch Its All Time High

(StockStudio/Shutterstock) stock-Pfizer-01-shutter Tel Aviv, Israel – March 7, 2016: Pfizer logo on a building. Pfizer develops and produces medicines and vaccines for a wide range of medical disciplines

This year, so far, Pfizer (NYSE:PFE) has been thrashing the S&P 500 Index. This 168 year old drug maker’s stock has soared to a whopping 17% till date, and that is more than twice of what S&P 500 has gained overall. Pfizer stock just hit a 10 year high and is not very far away from touching its all time high set in 2000.

Investors who already own Pfizer stock must now be wondering whether to sell now and gain some profits, or whether to buy now as the stock always seems to be climbing or whether to hold it for better returns in the future?

First and foremost, all investors should understand as to why Pfizer stock is performing so well. Till mid 2018 Pfizer stock wasn’t doing that great. But, starting July its share price started hiking. One reason for this is its second quarter results that were announced on July 31st. The company beat Wall Street’s estimates for both revenue and adjusted earnings per share. Other reasons are the number approvals and expanded approvals it has obtained from FDA as well as other drug controlling authorities in European countries.  

In addition to this, Pfizer along with its partner Spark Therapeutics announced positive results of its last stage of testing tanezumab, a medicine that can help treat osteoarthritis pain. On top of all these, Pfizer is considering to spin off its consumer healthcare business, and a corporate reorganization announced in July should facilitate such decisions if a company decides to spin off its business. Investors, for sure, will remember the kind of gains they have had when Pfizer last spun off its animal health business, Zoetis.

So, the final verdict is…

All the above mentioned points point to the same conclusion, hold the shares and if possible, buy more of them.

Image Credit: StockStudio/Shutterstock

Daily ARG - Your source for all Stock Trading News