Pfizer (PFE, $38.26) will receive $1.95 billion for the first 100 million doses of covid-19 vaccine

Pharmaceutical company Pfizer Inc. agreed to provide 600 million doses of its developing coronavirus vaccine to the U.S. government. 

In an agreement with the U.S. Department of Health and Human Services and the Department of Defense, Pfizer, and its German partner, BioNTech BNTX, will receive $1.95 billion for the first 100 million doses of its BNT162 mRNA-based vaccine. The contract also has the potential for 500 million more doses to be made further. The vaccine is subject to regulatory approval.

Last week, Pfizer’s  BNT162 vaccine candidates received 'fast track' designation by the U.S. Food and Drug Administration, based on preliminary data from Phase 1 and Phase 2 studies.

According to Tickeron, PFE's price moved above its 50-day Moving Average on July 15, 2020

This price move indicates a change in the trend, and may be a buy signal for investors. In 24 of 47 cases where PFE's price crossed above its 50-day Moving Average, its price rose further within the subsequent month. The odds of a continued Uptrend are 51%

Current price $38.30 crossed the support line at $37.37 and is trading between $38.46 resistance and $37.37 support lines. Throughout the month of 06/18/20 - 07/21/20, the price experienced a +10% Uptrend. During the week of 07/14/20 - 07/21/20, the stock enjoyed a +4% Uptrend growth.

Technical Analysis (Indicators)

Bullish Trend Analysis

The Momentum Indicator exceeded the 0 level on July 01, 2020. Traders may consider buying the ticker or exploring call options. In 43 of 91 cases where the ticker's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 47%.

The Moving Average Convergence Divergence (MACD) just turned positive. Considering data from situations where PFE's MACD histogram became positive, in 23 of 51 cases, the price rose further within the following month. The odds of a continued Uptrend are 45%.

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PFE advanced for three days, in 133 of 318 cases, the price rose further within the following month. The odds of a continued Uptrend are 42%.

Bearish Trend Analysis

The RSI Indicator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.

The Stochastic Indicator demonstrated that the ticker has stayed in the overbought zone for 5 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.

The 50-day Moving Average crossing below its 200-day Moving Average indicates a sell signal, due to the trend repositioning lower. In 1 of 4 cases where PFE's 50-day Moving Average crossed below its 200-day Moving Average, its price fell further within the subsequent month. The odds of a continued Downtrend are 25%.

The higher Bollinger Band was broken -- a price fall is expected as the ticker heads toward the middle band, which invites the trader to consider selling or shorting the ticker, or exploring put options. In 19 of 37 cases where PFE's price broke its higher Bollinger Band, its price dropped further during the following month. The odds of a continued Downtrend are 51%.

The Aroon Indicator entered a Downtrend today. In 89 of 182 cases where PFE Aroon's Indicator entered a Downtrend, the price fell further within the following month. The odds of a continued Downtrend are 49%.

Fundamental Analysis (Ratings)

Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 64%. During the last month, the daily ratio of advancing to declining volumes was 2.24 to 1.

The Tickeron Valuation Rating of 1 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.47) is normal, around the industry mean (-3.05). P/E Ratio (13.13) is within average values for comparable stocks, (215.05). Projected Growth (PEG Ratio) (0.25) is also within normal values, averaging (35.76). PFE's Dividend Yield (3.73) is considerably higher than the industry average of (0.26). P/S Ratio (3.42) is also within normal values, averaging (227.14).

The Tickeron SMR rating for this company is 22 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Price Growth Rating for this company is 51 (best 1 - 100 worst), indicating steady price growth. PFE’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is 51 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 95, placing this stock slightly better than average.

The Tickeron PE Growth Rating for this company is 87 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.