Research and development or hedge fund?
The question of R&D remains central to understanding the company's evolution. Funding for R&D increased from 12.9% of sales in 2013 to 16.9% ($8.3 billion) of sales in 2014. However, this is nowhere near the funds allocated to shareholders: $11.6 billion in 2014 ($6.6 billion for dividends and $5 billion for share repurchases) and $22.9 billion in 2013 ($6.6 billion for dividends and $16.3 billion for share repurchases). It’s a disparity that begs the question whether Pfizer has much interest in what was once its core business or whether it wants to become an investment fund.