Quick Take: PFE 3Q26 - Solid Execution; 2027/8 Catalysts hold the key to growth

PFE beat Q3 revenue expectations ($16.6bn, +4% vs. cons. of $15.9bn) and adjusted EPS ($0.87, +18% vs. cons. of $0.74), despite R&D expense running 4% above consensus. Gross margin was ~130bp better, driving a 10% operating income beat. Products: Upside was led by Eliquis ($2.52bn, +4% vs. cons., +25% YoY; ~50% of yoy growth), Ibrance ($1.08bn, +9% vs. cons., +2% YoY) Padcev ($720mn, +10% vs. cons., +55% YoY), Nurtec ($547mn, +14%, +33%) and Lorbrena ($387mn, +8%, +44%). While growth products delivered 32% growth, they only contribute 23% of the base-business. Key offsets were Elrexfio ($83mn, -16%, -2%), Prevnar ($1.56bn, -4%, -10%) - aligned with MRK's comments on US vx market. Guidance raised; R&D investment up. Revenue guidance increased $1.5bn at the midpoint to $62-64bn, while adjusted EPS guidance rose to $2.95-3.05 from $2.80-3.00 despite absorbing the $0.10 Innovent charge. R&D guidance increased $300mn to $10.8-11.8bn, reflecting accelerated oncology and obesity investment; t