Is Pfizer Stock a Bargain for Long-Term Investors?

The Federal Reserve's ongoing rate-cutting cycle is already triggering a major shift in investor sentiment. As yields on fixed-income investments decline, institutional investors are clearly rotating into dividend-paying stocks, particularly those trading at reasonable valuations and above-average yields. In fact, several high-yield dividend stocks have outperformed the S&P 500 in 2024. This environment makes Pfizer's (NYSE: PFE) hefty 5.9% dividend yield and rock-bottom valuation especially intriguing.The pharmaceutical giant's stock has severely lagged the broader market in 2024, falling 2.43% while the S&P 500 has surged 21.4% this year. Trading at just 9.4 times forward earnings-a steep discount to its peer group average of 17 times-Wall Street seems fixated on Pfizer's uneven COVID revenues, competitive positioning in key areas like oncology, and recent business development activities.Image Source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool