Bristol-Myers Squibb (BMY) closed the most recent trading day at $50.71, moving +0.98% from the previous trading session. This change outpaced the S&P 500's 0.51% gain on the day. Meanwhile, the Dow gained 0.36%, and the Nasdaq, a tech-heavy index, added 0.75%.
Prior to today's trading, shares of the biopharmaceutical company had gained 4.04% over the past month. This has outpaced the Medical sector's loss of 0.42% and the S&P 500's gain of 3.44% in that time.
Investors will be hoping for strength from BMY as it approaches its next earnings release, which is expected to be October 31, 2019. The company is expected to report EPS of $1.06, down 2.75% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.83 billion, up 2.36% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.29 per share and revenue of $24.07 billion. These totals would mark changes of +7.79% and +6.69%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for BMY. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.25% higher within the past month. BMY is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note BMY's current valuation metrics, including its Forward P/E ratio of 11.71. This represents a discount compared to its industry's average Forward P/E of 14.47.
We can also see that BMY currently has a PEG ratio of 2.47. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 2.12 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 101, which puts it in the top 40% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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