At first glance, the multi-month drop in Pfizer (NYSE:PFE) appears to offer an opportunity. After all, the dividend is back to a respectable 3.5%.
When reviewing the big picture, the question is whether buying the stock below $34 is ideal. One needs to consider that the stock traded below $30 earlier this year and the big rally was in part based on the expectation of a company split that now isn't going to occur.
Without the split, Pfizer is back on course to earn this year in the range of $2.43 per share, at the mid point of guidance. One needs to consider that guidance assumes an 11% growth rate, but analysts only forecast 5-year targets of 6.5%.
