Pfizer (PFE) is racing to supply the U.S. with upgraded COVID-19 vaccines targeting the Omicron variant for the fall booster campaign. While Pfizer stock has plummeted recently, the top-performing portfolios on TipRanks have been adding the stock to their holdings ahead of the release of the Omicron booster shots.
The existing COVID-19 vaccines need to be retooled to become more effective against the stubborn Omicron strain. U.S. health authorities asked Pfizer and Moderna (MRNA) to come up with modified shots that target particular Omicron variants that are dominant in the country. The upgraded Omicron booster shots from Pfizer and Moderna for the U.S. market could be ready for distribution by mid-September.
Pfizer secured a $3.2 billion deal for fall supply of vaccines, including the shots targeting the specific Omicron strains the U.S. requested, according to a Wall Street Journal report. Its rival Moderna has a $1.74 billion deal for upgraded vaccine doses for the U.S., according to the report. Pfizer and Moderna are among the leading COVID-19 vaccine providers. Aside from the vaccine, Pfizer also has the Paxlovid pill for COVID-19 treatment.
What Is the Target Price for PFE Stock?
Pfizer shares have declined about 4% over the past month. Wall Street is cautiously optimistic on the stock. According to TipRanks’ analyst rating consensus, PFE stock is a Moderate Buy based on four Buys and eight Holds. The average PFE stock price target of $61.75 implies nearly 26% upside potential.
Even as some investors recently cut their exposure to Pfizer, the stock has remained a favorite among the top retail TipRanks portfolios. The TipRanks Stock Investors tool shows that investor sentiment is currently Positive on Pfizer. In the past 30 days, 2.7% of the best-performing portfolios tracked by TipRanks increased their exposure to PFE stock.
Final Thoughts
The Omicron vaccine booster program is likely to influence trading in Pfizer stock over the next several weeks. The company has secured a huge deal from the U.S. government for the booster shots supply. Many bullish investors are likely to take advantage of any dip in the stock to accumulate more shares.
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