Bristol Myers (BMY) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
The healthcare sector has long been a sanctuary for income investors seeking stability and growth. Within this realm, Bristol-Myers Squibb (BMY -2.81%) and Merck & Co. (MRK -1.33%) stand out for their combination of above-average dividend yields and proven business models.
Bristol-Myers Squibb Stock: Clearly Undervalued, Excellent 2H24 Culminates In Opdivo 'Subcu' Approval
The U.S. Food and Drug Administration said on Friday that it has approved an injectable version of Bristol Myers Squibb's blockbuster cancer drug, Opdivo.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
The European Commission approves Bristol Myers' Opdivo plus Yervoy for first-line treatment of MSI-H or dMMR unresectable or metastatic colorectal cancer.
BMY has had a robust H1'24 stock price performance, aided by the July/ August 2024 market rotation and the US FDA timely approval of its acquired schizophrenia therapy. These build upon the 8 new oncology registrational trials added in past year, as the management seeks to deliver new growth opportunities in the face of upcoming patent cliff. These developments also lend strength to BMY's Growth portfolio outperformance by +20% YoY, with the growth-to-legacy portfolio ratio increasingly skewed to the former at 48.7%.
Bristol-Myers Squibb remains a "Buy" despite recent price increases, with intrinsic value calculations showing the stock is still undervalued. The company faces risks from patent expirations but has promising new drugs like Cobenfy to offset potential revenue declines. Recent quarterly results show solid revenue growth, though earnings per share have declined, and management has raised revenue guidance for the fiscal year.
Bristol Myers Squibb (BMY) closed the most recent trading day at $56.30, moving -0.95% from the previous trading session.
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It isn't easy to find steady and reliable dividend payers in the pharmaceutical industry. The key reason is simple: Drug development is a frequently laborious and expensive process that can swallow vast amounts of capital.