By Pfizer, a leading pharmaceutical company, has acknowledged the persistent decline in demand for its Covid-19 products, leading to a decrease in the company’s stock value. In the premarket trading, the stock witnessed a 7% dip to $26.65, adding to the overall decline of approximately 44% over the course of this year.
Moderna, Pfizer’s rival vaccine-maker, also experienced a 5% fall in its stock value during the premarket session. Year to date, Moderna’s stock has witnessed a decline of nearly 57%.
Both Pfizer and Moderna have been cautioning investors about the diminishing sales of their Covid-19 vaccines and related products, which were once seen as key revenue drivers.
Pfizer expects to generate around $8 billion in revenue next year from its Covid-19 vaccine and Paxlovid treatment. In comparison, these products are projected to contribute approximately $12.5 billion in revenue this year.
Looking ahead, Pfizer is targeting a total revenue range of $58.5 billion to $61.5 billion by 2024. This falls slightly below the $62.66 billion expectation set by analysts surveyed by FactSet. Furthermore, the company expects its revenue for this year to fall between $58 billion and $61 billion.
Pfizer also revealed that it aims for adjusted earnings of $2.05 to $2.25 per share in 2024, which is lower than the expected $3.17 per share according to analysts surveyed by FactSet.
These challenges indicate a need for Pfizer to adapt and strategize to overcome the ongoing decline in demand for its Covid-19 products.
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