Pfizer CEO Albert Bourla Emphasizes National Security In US Drug Manufacturing
On Tuesday, Pfizer Inc. (NYSE:PFE) reported first-quarter 2025 adjusted EPS of 92 cents, compared to 82 cents a year ago, beating the consensus of 67 cents. Sales fell 8% year over year to $13.71 billion, slightly below the consensus of $13.95 billion.
Pfizer said it plans to save an extra $1.2 billion through its ongoing cost-cutting efforts, aiming to reach that goal by the end of 2027.
The company still plans to achieve $4.5 billion in savings by the end of 2025. With the new target, total program savings are expected to reach about $5.7 billion by 2027.
Goldman Sachs maintains a Neutral rating, citing a sustained stock re-rate that will require greater clarity on how the company will leverage those additional cash flows to generate new product revenues, as well as the emergence of a new product cycle to drive growth.
Analyst Asad Haider highlights that management maintained its previous guidance of having $10–$15 billion available for business development, with a continued focus on expanding its immunology and cardiometabolic portfolios.
After the recent decision to stop developing danuglipron, obesity remains a key area of interest for ‘external innovation’.
On the broader M&A environment, management noted that sellers are still adjusting to lower market valuations. However, many potential deals—especially from China—are pushing some companies to become more open to accepting lower prices.
Haider pointed out that investors paid close attention to CEO Albert Bourla’s comments on tariffs. Bourla said the government’s primary concern is national security — ensuring that essential medicines are not produced outside the U.S. He also emphasized that it is crucial to understand which products come from which places when considering national security.
Unlike its peers, Pfizer did not highlight investments in new manufacturing plants; it noted they already have significant capacity and flexibility to manufacture their products in the U.S.
Price Action: PFE stock is up 1.74% at $24.21 at the last check Wednesday.
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