Buy Pfizer shares in Kenya
Investing in stocks is an activity that is gaining more and more popularity all over the world. If earlier only extremely wealthy people were interested in investing, now anyone can invest.
You don't have to be a millionaire and live in New York or Paris to be an investor. You can live in the most remote corner of Kenya and have a starting $ 10 to become a successful investor in the future. Sounds incredible, but it really is.
In this short article, we will look at investing in Pfizer shares in Kenya. Let's consider the online option of buying shares, understand what is an online investment platform and what to look for when buying shares through an online broker.
Pfizer (PFE) is one of the largest drug manufacturers. It offers medicines and vaccines in various therapeutic areas, including cardiovascular and pain relief, as well as biologics. The company serves wholesalers, retailers, pharmacies, hospitals and public institutions.
The list of partners includes many big names: Bristol-Myers Squibb, Astellas Pharma, Akcea Therapeutics and Merck. The company was founded in 1849 with a capitalisation of $190bn.
Revenues declined in 2019 and 2020 from previous years. However, in its Q4 2020 report published on February 2. Pfizer beat its revenue forecast, reporting $11.68bn, up 12% from the same period in 2019.
Net income in 2020 was down 41%. EPS was $0.42 in the latest financial report, 12.5% below expectations at $0.48 per share. At the same time, the consensus forecast expects EPS to rise 106% by December 2021.
Pfizer shares have fallen 19% since their December 2020 peak. The stock is now above support at $34.6. The price has been held below this level for the last two weeks. The stock is near the bottom of the trend channel. These factors indicate that most of the decline has passed, and current prices are optimal for forming a long position.
A buy around $34.5-35 with a potential yield of around 20% for the second half of 2021 could be considered. One Pfizer share is now worth $34.94, up 9.59% from the same period last year.
How to invest in Pfizer shares in Kenya?
You have opted to invest in securities - this means that you cannot do with no broker.
Depending on the law, you can't trade on a market with no intermediary. Transactions can only be reasoned by legal entities that have a brokerage license - banks, investment and brokerage businesses. To Select a Trusted and appropriate broker for you, pay attention to the following points:
- Examine the documents confirming the reliability of the broker. First of all, assess the availability of a permit, and all of the necessary documents which are provided for by existing legislation;
- Check out the rates. Agents can also take a commission for depositing and withdrawing funds, employing the trading platform, voice orders to complete a trade, and so on. The composition of the portfolio, profitability and commission depends upon the selection of the tariff. If you're just beginning to invest, choose the easiest one.
- Check out the online investment platform the agent supplies for work. Check out just which tools you will have access to when using this particular platform. It is also a fantastic bonus for you to have free coaching on the internet platform if you are a beginner.
- Check which stock markets that the broker works with. Accordingly, you need to try to find a broker with access to those stock exchanges, which work with Pfizer shares.
Pfizer's net income in 2020 is down 41%. EPS is $0.42 in the latest financial report, 12.5% below expectations of $0.48 per share. At the same time, according to the consensus forecast, EPS is expected to grow by 106% by December 2021.
Dividend per share (DPS) payments have been rising steadily for the last 10 years. The payout in 2020 was $1.52. The dividend yield at the end of the year is 4.1% per annum. Dividend yield forecast for 2021-2022 is 4.4-4.6% p.a. The Payout ratio is expected to be 46-55% of net income in the coming years. This is an average value that leaves room for potential future dividend increases.
08.02.2021 The European Commission has approved a new contract with Pfizer and BioNTech for 300 million doses of COVID-19 vaccine for the EU. 200 million doses are due to be delivered in 2021, with the remainder still under negotiation.
Pfizer and BioNTech will supply an additional 100 million doses in the US, bringing the total to 300 million. The US government will pay $1.95bn for the additional batch. With expected strong earnings and revenue in 2021, a low forward P/E=10.8 valuation and a steadily increasing dividend cash flow, Pfizer is interesting to consider buying into a dividend portfolio.
Pfizer shares have fallen 19% since the December 2020 peak. Quotes are now above the $34.6 support level. The price has been held below this level for the last two weeks. The stock is near the bottom of the trend channel. These factors indicate that most of the decline has passed, and current prices are optimal for forming a long position.
Another variant of investment is the use of equity instruments. Here you have to be able to forecast the value of the shares. On how accurately you predict the rise or fall of these shares, your profit will depend. Therefore, in this case you have the possibility of receiving a return even if the value of the shares falls.
The use of valuables is a good option, with the help of which you can increase the size of your investments, using the so-called leverage.
Leverage trading is often the quickest way to invest in the stock market. When it comes to trading derivatives, the terms and conditions are the subject of the trade. The advantage of this method of trading is the ability to profit from both an increase in the price of shares and a decrease in the price. Another advantage of CFD trading is that most brokers allow you to use the multiplier function (leverage), thus increasing the size of the invested amount. Please note, however, that this also increases the riskiness of your transaction.
How to buy Pfizer shares in Kenya?
After reviewing the list of available brokers working in Kenya through net platforms, pick one of these and register in their online investment strategy. As we mentioned before, registration is rather straightforward and requires a few minutes. After verifying the email connection, you will be able to log in and see clearly the manner online investing works.
You do not need to immediately start a real account and make real money there. To get starters we strongly advise starting a free demo account. A demo account is a wholly free trial account that gives you the opportunity to try the method by which in which the investment market works without risking your cash. You are going to be able to utilize this type of account for as long as you would like, without limitations in sum and time. Ordinarily, you will be offered a $10,000 amount to start, which it's also feasible to recover, if it ends due to a failed transaction. It is clear you will not have the capacity to draw cash from the trial demo account.
To activate a real trading account, simply replenish it for $10. It is possible to use any online payment methods for it.
It's possible to draw cash from the account utilizing precisely the same payment methods where the deposit was replenished. However, for withdrawing money, you're going to be made to get additional confirmation on the platform for security purposes. State-of-the-art platforms employing a high amount of protection may even require access to a own gadget camera and require video verification.
Type Pfizer's ticker symbol "PFE" in the platform's search box and you will be given access to the share part of the platform. Here you can view up-to-date information about Pfizer shares (price, trading schedule and more) as well as perform buy and sell transactions.
Is it worth investing in Pfizer shares in Kenya?
So, summarizing all the above, let's single out where to start investing:
- find a decent online broker;
- register on the platform for online investing;
- open a demo account;
- get acquainted with the platform and all the tools it offers;
- get acquainted with educational materials online;
- try to trade using a free online account;
- follow the news about the company in which you intend to invest.
If we talk about the feasibility of investing in shares of Pfizer in Kenya, we highlight the main advantages of such investment:
- Pfizer - One of the world's largest pharmaceutical companies;
- Produces the world's most popular drug (we are talking about the drug "Viagra");
- Revenue in the first quarter of 2019 increased by 2% - from $ 12.9 billion to $ 13.1 billion;
- The capitalization today is more than 212 billion €.
Pfizer is also a leader in the development of a vaccine against the COVID-19 virus - together with BioNTech developed a vaccine against coronavirus, which showed an efficiency of over 90%, the drug was purchased in the United States, Britain and Canada.
So investing in Pfizer shares in Kenya is a really good choice.