Pfizer Stock: Chart Indicates a Long-Term Bottom , But Is the Dividend Safe?

Pfizer Inc News

Pfizer Stock: Chart Indicates a Long-Term Bottom , But Is the Dividend Safe?
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Stocks Analysis by Brian Gilmartin covering: Pfizer Inc. Read Brian Gilmartin's latest article on Investing.com

A couple of weeks ago, this blog’s technician shot me a message, noting that he thought Pfizer shows the stock “oversold” on a monthly basis, and not that many stocks ever get truly oversold on a monthly basis, so you can say it’s an important technical indicator when it happens.

Is the dividend sustainable, and will the pharma giant be able to sustain the current $0.42 per quarter dividend pace and also continue to boost that dividend at the $0.04 per year rate ?The Pfizer common stock dividend in dollars per year is a little over $9 billion being returned currently to shareholders.

Morningstar did note that Pfizer is on track for $4 billion in cost cuts in ’24, which represents 50% of the current dividend payout in dollars. The stock is not yet a big holding for clients, but is held in more conservative accounts with more interest in dividend and interest income. a 4.8% – 5% dividend yield is about on par with where investment-grade ETF’s is yielding, but with a mid-A credit rating, PFE that is.)

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