What’s the most attractive Big Pharma stock right now?
We asked Seeking Alpha analysts The Value Portfolio and ALLKA Research for their picks.
The Value Portfolio: I’d say the most attractive Big Pharma stock right now is Pfizer (NYSE: NYSE:PFE) for three reasons.
First, valuation. A great company needs a great valuation. Pfizer (PFE) has a single-digit forward P/E, a more than 6% dividend yield that it’s committed to paying, and a strong balance sheet to support that dividend.
Second, government support. The current administration is heavily involved in bringing manufacturing back to the U.S., and it’s using massive regulatory burdens and tariffs to encourage that goal. Pfizer’s key standing in the latest drug pricing initiatives positions the company as a Trump administration favorite, which should help it avoid regulatory pressure.
Last, drug portfolio. While Pfizer (PFE) faces loss of exclusivity on several major drugs, it’s actively solving that with acquisitions like Metsera (MTSR), which expands its portfolio in the exciting obesity market. We expect that to enable the company to maintain its strong shareholder returns.
ALLKA Research: Last month, Pfizer (PFE) announced that it had reached an agreement with the White House to lower prices on some of its medications. The event triggered a return of Wall Street optimism toward Big Pharma players, among whom I believe Sanofi (SNY), Bristol-Myers Squibb (NYSE:BMY), and Novo Nordisk (NVO) retain the greatest potential for continuing the bull run.
If I had to choose among the three, Bristol-Myers Squibb (NYSE:BMY) is my favorite. It trades with a P/E ratio [FWD] of 7.27x, which is one of the lowest values among its competitors in the PD-1/PD-L1 checkpoint inhibitor market that includes Merck (MRK), AstraZeneca (AZN), Regeneron (REGN), Roche (OTCQX:RHHBY), and GSK (GSK).
Moreover, Bristol-Myers Squibb (BMY), with a dividend yield exceeding 5%, seems to remain unnoticed by Mr. Market, especially if we consider the performance of Opdivo Qvantig, whose sales reached $30 million in just the second quarter since its launch.
And of course, the accelerating pace of Camzyos’s clinical adoption for the treatment of obstructive HCM has begun to impact its sales, which were $260 million in Q2 2025, up 63.5% quarter-over-quarter. I also believe the influence of its potential competitor, Cytokinetics’ aficamten (CYTK), on Bristol-Myers Squibb’s cardiovascular franchise will be limited.