Street View: Pfizer’s pipeline progress sparks long-term optimism despite margin risks

** Pfizer PFE.N said on Tuesday its full-year profit should benefit from cost cuts across research and manufacturing operations, after it posted higher-than-expected Q2 earnings

** Total quarterly sales of $14.65 billion top analysts' estimate by more than $1 billion - data compiled by LSEG

** Average stock rating by 25 analysts is "hold"; median PT is $28

ROAD AHEAD RUNS THROUGH PIPELINE

** J.P.Morgan ("neutral") is closely focused on upcoming data for Pfizer, including results for Sigvotatug Vedotin in lung cancer expected in 2026 and interim data for Padcev in bladder cancer later this year, which could expand company's treatment reach and market potential

** "We see several assets in PFE’s pipeline (particularly in oncology) that could make the story more interesting over time," says JPM

** Wells Fargo ("equal weight", PT: $28) says Pfizer’s upcoming product launches can pressure margins in its core business, with many targeting competitive areas and more pipeline value expected later in the decade

** Jefferies ("buy", PT: $33) says long-term outlook for Pfizer is improving, supported by clearer product revenue visibility and promising oncology catalysts, including upcoming data from Padcev and other key pipeline assets

** Morningstar (fair value: $30) says Pfizer is on track to achieve significant cost cuts by 2027. "We think the market is more interested in pipeline progress and the ability to grow beyond upcoming patent expirations for key drugs in 2027 (Ibrance—breast cancer) and 2028 (Vyndaqel—heart disease and Eliquis—blood thinner)"