Bristol-Myers Squibb (BMY -0.08%) is the kind of stock that potentially has a lot to offer to investors looking for wealth-building investments. With a large repertoire of medicines on the market, and a constant stream of programs approaching maturity and a shot at getting approved for sale, there's no question that the business will continue to create drugs that are in demand around the world.
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Given its better prospects, we believe that Bristol Myers Squibb stock (NYSE: BMY) is currently a better pharmaceutical pick over Johnson & Johnson stock (NYSE: JNJ). BMY stock trades at 8.3x its forward expected earnings (2025), versus 14.7x for JNJ.
Bristol-Myers Squibb's price continues to rise due to a confluence of factors, not the least of which is an earnings surprise in Q3 2024. The company's raised guidance for 2024 is also encouraging, as is the FDA's approval for its schizophrenia treatment acquired on buying Karuna Therapeautics earlier this year. Despite a high current P/E ratio, projections for 2025 suggest a massive earnings increase is due, which can potentially double the stock price.
Investors often look to major pharmaceutical stocks as an area that is likely to provide an anchor for their portfolios. Thanks to their supposedly consistent cash flows, they often appear to be capable of steadily growing in value over time.
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Recently, Zacks.com users have been paying close attention to Bristol Myers (BMY). This makes it worthwhile to examine what the stock has in store.
Bristol-Myers Squibb Company (NYSE:BMY ) Jefferies London Healthcare Conference November 19, 2024 4:30 AM ET Company Participants David Elkins - CFO Unidentified Company Representative On to the next fireside chat. And again, thanks, everyone, for your attendance.
Bristol-Myers Squibb's stock price has risen more than 25% over the past six months, reflecting significant progress in its oncology and neuroscience franchises. So, Yervoy's sales amounted to $642 million in the third quarter of 2024, increasing by 10.9% year-on-year and 1.9% quarter-on-quarter. Moreover, on September 26, 2024, the company announced the long-awaited approval of Cobenfy for the treatment of schizophrenia.
Key Points Yields have drifted higher since the Federal Reserve cut rates in September.
Bristol Myers Squibb was hit on Thursday with a $6.7 billion lawsuit claiming it cheated former Celgene shareholders by delaying federal approval for three drugs, 1-1/2 months after a federal judge abruptly dismissed an earlier version of the case.