The price of any publicly traded stock is directly tied to its earnings and future increases in earnings.
However, there are rare times when the share price of a particular company plummets not because of a change in earnings potential, or the underlying economics of a business, but a drastic change in public sentiment.
Scandals, fear, safety scares, moral revulsion or disgust, and one-time events are enough to send any stock into free fall for at least a short time.
Recent reports suggest that while Pfizer is forecasting a $54 billion year in sales for the fiscal year of 2022, the share price may see significant downwards price action due to ‘unfavorable’ safety data.
Revenues themselves may potentially dry up if enough people become weary of Pfizer as a whole and refuse their other market leading products.
I have long suspected that this drop in share price and potentially revenues altogether would occur once we began receiving reports on the duplicity of Pfizer, and the fraudulent nature of the Covid-19 vaccines and pandemic altogether.
Once these reports pass from the realm of independent journalism to the mainstream media sphere, incredibly negative public sentiment is almost sure to follow.
I may be right, or I may be wrong, and this is not investment advice, but something tells me that it might pay to start placing short bets on Pfizer soon.
Here’s what we currently know:
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"…challenges related to public confidence or awareness of our COVID-19 vaccine or Paxlovid, including challenges driven by misinformation, access, CONCERNS ABOUT CLINICAL DATA INTEGRITY and prescriber and pharmacy education;"(all-caps are mine) pic.twitter.com/bAKH4iqiKs
— Kelly Brown (@rubiconcapital_) February 8, 2022
Zero Hedge explains:
Two weeks ago, the FDA begged a Texas judge to delay production on the first monthly batch of 55,000 pages of Covid-19 vaccine data submitted to the agency by Pfizer. Originally, the agency was set to produce just 500 pages-per-month.
Now, Pfizer – which just forecast $54 billion in Covid-related sales in 2022, appears to be anticipating some bad news, as evidenced by several redline changes in their Q4 earnings releases.
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New risk disclosure regarding Covid-19 itself:"…the possibility that COVID-19 will diminish in severity or prevalence, or disappear entirely;" pic.twitter.com/1nOK8fu8HQ
— Kelly Brown (@rubiconcapital_) February 8, 2022
Links to Pfizer's earnings releases referenced above:
— Kelly Brown (@rubiconcapital_) February 8, 2022
The Epoch Times reports that Pfizer is still forecasting roughly $54 billion in sales for the fiscal year of 2022:
The American pharmaceutical and biotechnology giant said it expects to sell $32 billion of its vaccinations and $22 billion of its antiviral COVID-19 treatment pill Paxlovid in 2022 as demand for the products continues.
Those numbers are based on contracts signed or close to being signed as of late January, Pfizer said.
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