Research

PFE – Market expectations are for Uniform ROA to decline, but management is confident about the value of their M&A

  • Pfizer Inc. (PFE:USA) currently trades near recent averages relative to UAFRS-based (Uniform) Earnings, with a 15.2x Uniform P/E. At these levels, the market has bearish expectations for the firm, but management is confident about their Array and Mylan transactions
  • Specifically, management is confident Array’s assets fit neatly into Pfizer’s existing business and that the Array deal will close in the near term. Furthermore, they are confident their Mylan deal will unlock significant shareholder value.