Invesco Dorsey Wright Financial Momentum ETF

Pfizer reported first-quarter 2026 revenue of $14.5 billion, an operational increase of 2%; excluding COVID products, underlying business revenue grew approximately 7% operationally. Reported diluted EPS was $0.47 and adjusted diluted EPS was $0.75. Adjusted gross margin was approximately 76%, adjusted operating margin was 38%, and total adjusted operating expenses were $5.5 billion, up 4% operationally. Launch and acquired products contributed $3.1 billion in revenue and grew about 22% operationally. For the full year 2026, Pfizer reaffirmed revenue guidance of $59.5 billion to $62.5 billion and adjusted EPS guidance of $2.80 to $3.00, with adjusted gross margins expected in the mid-70s. Management also said it expects about $700 million of savings from Phase I manufacturing optimization in 2026, around $175 million of which was realized in Q1.

Albert Bourla emphasized that Pfizer had a strong start to the year and said the company is delivering on current commitments while investing for future growth. He highlighted 3 positive Phase III readouts, progress on roughly 20 planned pivotal study starts, and several pipeline updates across oncology, obesity, vaccines and inflammation/immunology. Bourla also pointed to legal wins around Vyndamax and Comirnaty as improving the company’s growth profile and cash flow outlook after 2028, reinforcing confidence in a high single-digit revenue CAGR starting in 2029.

Dave Denton said the quarter reflected disciplined execution, strong commercial performance and cost control. He cited Q1 revenue of $14.5 billion, adjusted EPS of $0.75, adjusted gross margin of about 76%, adjusted operating margin of 38%, and operating cash flow of $2.6 billion; leverage ended at about 2.8x. He said Pfizer remains on track to deliver the majority of $7.2 billion in total net cost savings by the end of 2026, expects about $700 million of manufacturing optimization savings this year, and noted the company returned $2.4 billion to shareholders via the dividend while investing $2.5 billion in internal R&D. He also said the $1.65 billion net proceeds from the ViiV stake sale give Pfizer about $7 billion of business development capacity, and that leverage is expected to stay around current levels or slightly higher through the LOE transition period.

Analysts focused on the timing and scope of upcoming data readouts, including ADHD/obesity-related disclosure at ADA, as well as the outlook for key oncology assets such as SV and mevrometostat. Management said ADA will include detailed VESPER-3 data, VESPER-1 open-label extension data and VESPER-2 weekly danuglipron data, but not amylin mono data until the second half of the year. On oncology, Chris Boshoff said SV’s second-line study is powered for overall survival and should read out midyear, while MEVPRO-1 for mevrometostat is expected to read out in the middle or second half of 2026. Analysts also probed business development, dividends and buybacks; management said it is not pursuing a mega-merger now, is open to value-creating deals, and that share repurchases are coming back into greater consideration as cash flow visibility improves.