(CercleFinance.com) – Pfizer fell sharply on the New York Stock Exchange on Thursday in the wake of the downgrading of UBS’s recommendation on the pharmaceutical giant, which the bank justifies, among other things, by the prospect of a drop of its Covid-related income.
One hour after the opening, the title of the laboratory yields 1.8% while the S&P 500 index progresses by 0.5%.
In a note released in the morning, UBS lowered its value recommendation from ‘buy’ to ‘neutral’ and reduced its price target to $47 from $55 previously.
With the decline in hospitalizations due to Covid, the broker says it expects a downward revision of the forecasts established by the financial community on the Comirnaty vaccine as on the antiviral Paxlovid.
The problem is that the growth drivers available to the group within its portfolio of the most advanced projects, particularly in the respiratory syncytial virus (RSV), are now well integrated by the market, while the earliest projects – such as TTI- 622 in lymphoma – can hardly be assessed given their young age.
On the stock market, Pfizer now shows a decline of almost more than 12% since the beginning of the year.
The fall in the title on Thursday is reflected in the other American players in the health market, whose sector index yields more than 0.3%, one of the largest drops of the day.
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