Should you buy Pfizer shares?
- Pfizer has been a stock to watch since the outbreak of COVID-19.
- The share price hit a higher low at $48.34.
- MACD analysis indicates the beginning of bullish momentum.
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Pfizer Inc. (NYSE:PFE) has been a stock to watch since the pandemic began and the company developed a vaccine. PFE has continued to innovate, with the latest product being a pill for high-risk populations. Financial performance has been strong. As research continues on mRNA technologies for drug development, PFE is likely to grow in leaps and bounds. Today’s article analyzes how well PFE’s fundamental strengths reflect on the stock.
Pfizer remained bullish over the last two weeks despite market jitters caused by the invasion of Ukraine by Russia. This trend affirmed market confidence in the fundamental strengths of the company. However, it is worth noting that Pfizer rallied after a losing streak from the beginning of the year. The current price could be considered a market-adjusted higher low. Investors should consider PFE a buy at $48.34.
MACD signals the beginning of a bullish trend on Pfizer
Technical analysis indicates that Pfizer maintains a strong bullish trend considering the MACD line is above 0. The observation is consistent with the moving averages, which confirm an upward trend in the share price. From the MACD histogram, the -1.24 is the lowest divergence of MACD from the signal. This coincides with the higher low recorded on the share price at $48.34 closing. The divergence is a signal to buy as the price is set for a rally.
Pfizer is a recommended buy at the prevailing share price of $48. The share price may have bottomed out at a higher low. The market has adequately discounted the news coming from Ukraine and Russia, and the price may not go any lower.