Pfizer Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Pfizer Ltd trades at ₹4,824, in a downtrend and 30 weeks into that stage. That is +0.8% against its own 200-day average. It sits at 43% of a 52-week range of ₹4,422 to ₹5,354. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 1 straight week.

Today the stock is in a downtrend — week 30 of stage 4, confirmed. At ₹4,824 it trades +0.8% versus its 200-day average and sits at 43% of its 52-week range (₹4,422–₹5,354).

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +150% while the NIFTY 500 moved +276% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 1 straight week — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Pfizer Ltd trades at 28.7× P/E, near the bottom of its own range — cheaper only 7% of the time. Its long-run median P/E is 34.8×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 28.7× is near the bottom of its own range — cheaper only 7% of the time, against a long-run median of 34.8× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

One caveat before moving on: margins are the best this company has ever printed — cheap against its own history on record margins is not the same thing as cheap. If profitability mean-reverts, today's multiple is higher than it looks.

Why the multiple sits where it does: over the past year annual EPS moved −5.9% against a −4.6% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 5y, of the −3.9%/yr price move, ~+6.1%/yr came from earnings growth and ~−10.0 pp from the multiple (compressing); over 10y, of the +9.2%/yr price move, ~+10.1%/yr came from earnings growth and ~−0.9 pp from the multiple (roughly flat). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Deteriorating Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Pfizer Ltd reads as deteriorating on its fundamental arc. Deteriorating — profit and EPS growth are shrinking (profit growth −9.1% latest against +39.1% at its 12-quarter best), ROCE slipping at 22.8%. The read is built from 12 quarters across 4 curves, on full evidence.

🚨 Why it matters: falling curves mean every cheap-looking ratio below needs a discount for direction.

4-Factor Sector Score

53.7/100 — rank 3 of 8 in Pharma - MNC bulk Drugs · 100% evidence confidence

Pfizer Ltd scores 53.7 out of 100 against the 8 companies it is compared with in Pharma - MNC bulk Drugs, ranking 3. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 19.1 + 13.8 + 18.7 + 2.1 = 53.7. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Pfizer Ltd reported ₹653 Cr of revenue in the Jun 26 quarter, +8.3% year on year. That is the 6th straight quarter of year-on-year growth. Over 10 years it has compounded at 2.3% a year. The last full year, FY26, came in at ₹2,520 Cr. The last four reported quarters add to ₹2,569 Cr.

FY26 revenue came in at ₹2,520 Cr (+10.5% on the year), capping 10 years at 2.3% compound. The latest quarter (Jun 26) printed ₹653 Cr, +8.3% year on year — the 6th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +10.9% growth against the decade's 2.3% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +10.6% over the last 4 quarters against +7.5%/yr over the last 8 — accelerating; TTM profit −9.1% vs +9.9%/yr — rolling over.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Pfizer Ltd's operating margin is 38.0% in the Jun 26 quarter, +3.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 13 fiscal years the operating margin has ranged 18.0% to 36.0%. The current quarter is running above every full year in that window.

The latest quarter's operating margin is 38.0%, +3.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 18.0%–36.0%, and FY26's 36.0% is the top of that band — a record year.

Why the margin moved: operating margin went +3.1 pp year on year while gross margin went −1.7 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Pfizer Ltd earned ₹204 Cr of net profit in the Jun 26 quarter, +6.3% year on year. Full-year FY26 profit was ₹722 Cr. The 10-year compound rate is 9.0%. That is 31.2% of the quarter's revenue. The same quarter a year earlier earned ₹192 Cr.

Jun 26 profit was ₹204 Cr, +6.3% year on year. On the full year, FY26 printed ₹722 Cr (−6.0%), and the 10-year compound rate is 9.0%.

Why profit moved: revenue contributed +8.3% and the margin +3.0 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit −0.7% vs revenue +10.9%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 92% of Pfizer Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹968 Cr of operating cash against ₹722 Cr of profit. After ₹24.0 Cr of capital spending, ₹944 Cr was left as free cash.

FY26: operating cash of ₹968 Cr against reported profit of ₹722 Cr, leaving free cash of ₹944 Cr after ₹24.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 92% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 92%: the cash cycle stretched 45 days between FY21 and FY26 — more of each rupee of profit waits inside the cycle before arriving.

Router verdict: no single sink dominates — the next section checks both the working-capital cycle and the capital spending.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Pfizer Ltd's cash conversion cycle runs 132 days in FY26, up from 87 days in FY21. Capital spending ran ₹122 Cr over the last 3 years. At FY26 sales of ₹2,520 Cr each day of that cycle holds about ₹6.9 Cr, so roughly ₹911 Cr sits inside the business at any moment.

FY26: debtors at 26 days, inventory at 195 days — roughly 6.4 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 132 days, looser than FY21's 87.

The full loop: cash goes out to suppliers and production on day 0; stock waits 195 days to sell; customers pay about 26 days after that; and suppliers themselves are paid at 89 days — netting out to the 132-day cycle.

In money terms: at FY26 sales of ₹2,520 Cr, each day of the cycle holds about ₹6.9 Cr — so the 132-day loop keeps roughly ₹911 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹122 Cr over the last 3 fiscal years against ₹181 Cr of depreciation — spending at or below maintenance level. Capital work-in-progress stands at ₹20.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: neither the cycle nor the build-out is hoarding the cash — the machine is reasonably clean.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Pfizer Ltd earns a ROCE of 24% in FY26. That is up from a trough of 17% in FY17. Return on invested capital clears the cost of that capital by +43.3 percentage points, so growth here adds value rather than only size. The wiring behind it is 28.7% net margin on 0.51× asset turns.

FY26 ROCE is 24%, recovered from a FY17 trough of 17% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 28.7% net margin × 0.51× asset turns × 1.17× balance-sheet leverage ≈ 17.1% on equity. Margin is doing the heavy lifting; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 55.3% − 12.0% = a +43.3 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Pfizer Ltd carries total debt of ₹70.0 Cr against shareholder equity of ₹4,203 Cr as of Mar 26, a debt-to-equity of 0.02 — effectively unlevered. On the annual view that ratio went from 0.06 in FY22 to 0.02 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹70.0 Cr against shareholder equity of ₹4,203 Cr — a debt-to-equity of 0.02. On the annual view, debt-to-equity went from 0.06 (FY22) to 0.02 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Domestic institutions added 2.0 points of Pfizer Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 17.8% of the company. Foreign institutions moved −1.6 points over the same window, to 1.6%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: +2.0 points over 8 quarters to 17.8%; Foreign institutions: −1.6 points over 8 quarters to 1.6%; Promoters: +0.0 points over 8 quarters to 63.9%.

Why the register moved: rotation — foreign institutions −1.6 points against domestic institutions +2.0 points over 8 quarters, with promoters holding steady — one class of institutions handing the register to the other, not a verdict change by the people closest to the numbers.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Pfizer Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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