Pfizer’s Falling Share Price Couldn’t Be Cured & Kindler is Out

PharmaGossip, WSJ and Forbes all offer tidbits about why Jeff Kindler chose to leave Pfizer - but mainly it appears to be a case where the stock price was suffering and the road to recovery is still projected to be a long one.  Couple that with the pressures of the executive suite -- particularly as lead executive and a decision to leave is probably quite rational.

PharmaGossip: Pfizer’s Falling Share Price Couldn’t Be Cured.

Keep in mind, Pfizer's stock price has declined by more than 20% sinceKindler began his tenure.  Lipitor and its $11 B in 2009 revenue will soon lose a large part of its value after its patent expiration.  The Wyeth acquisition has yet to pay dividends - albeit - the jury is still out on the final grade for that deal.  Forbes also points out that Pfizer's PE ratio (7.3) is lower than 91 percent of pharmaceutical companies and 97 percent of the S&P 500 index.  Ouch!  Is there really an doubt to the decision when pondering "Should I stay or should I go?"  Afterall, if I stay it could be double.

 

Posted by Bruce Lehr December 7th 2010.

 

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[bigredbruce]

Boston.com wrties about Kindler's micromanager style and failure to accept changes/suggestions by board
http://www.boston.com/business/healthcare/articles/2010/12/08/ceo_rebuffed_pfizer_plan_source_says/?

[bigredbruce]

More from FT.com on trials and tribulations of Pfizer (and Merck) and the tolls of executive burnout
http://www.ft.com/cms/s/3/bc1ef256-0149-11e0-8846-00144feab49a.html?ftcamp=rss#axzz17Sy2yArO