|Bid||42.72 x 800|
|Ask||0.00 x 2200|
|Day's Range||42.48 - 43.07|
|52 Week Range||42.48 - 63.69|
|Beta (3Y Monthly)||0.73|
|PE Ratio (TTM)||13.71|
|Earnings Date||Jul 25, 2019|
|Forward Dividend & Yield||1.64 (3.83%)|
|1y Target Est||55.63|
Investors are looking forward to Revlimid's performance and updates on the acquisition by Bristol-Myers, when Celgene Corporation (CELG) reports Q2 results.
Investors will focus on the performance of Opdivo and Eliquis along with updates on the Celgene merger, when Bristol-Myers (BMY) reports second-quarter results.
Celgene Corp., Bristol-Myers Squibb Co. and AbbVie Inc. are all reporting earnings later this week. Companies are facing several potential changes in health policy, including a proposal to shift the risk of Medicare Part D catastrophic coverage from patients and the federal government to health plans and manufacturers. Biopharma companies, many of which rely on just one or two drugs for a big chunk of revenue, are also facing increasingly fierce generic competition.
Ahead of its quarterly earnings report scheduled for July 25, Bristol-Myers Squibb (NYSE:BMY) found itself trading at fresh 52-week lows. While BMY stock has kept up with the iShares Nasdaq Biotechnology ETF (NASDAQ:IBB) in that time, investors are getting increasingly negative on the company. With that in mind, what should we expect in the upcoming report and should investors still be bearish?Source: Shutterstock Thus far, the outlook for BMY isn't so great. Even if Bristol-Myers were to report a blowout quarter, shareholders may not even react at all. And if it issued a stronger outlook, BMY stock may barely nudge higher.Investors are deeply fixated on the Celgene (NASDAQ:CELG) acquisition, where BMY is paying $74 billion for the company and the fact that it needs this massive acquisition to offset its own clinical setbacks. Its cancer immunotherapy drug Opdivo is losing ground to Merck's (NYSE:MRK) Keytruda. Celgene's key myeloma drug, Revlimid, faces generic competition starting in March 2022.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBristol-Myers reportedly must divest Celgene's arthritis medicine Oteza to get the U.S. Federal Trade Commission's sign off on the deal. This compromise is devastating for the companies because the drug brought in 10%, or nearly $400 million, in sales in Celgene's first quarter. Celgene's disposition of this unit ahead of the deal will hurt Bristol-Myers, which needs all the cash flow generation to pay down debt. Although BMY said it will find $2.5 billion in cost synergies, the $1.6 billion in lost annualized revenue makes the Celgene buyout less attractive. * 10 Stocks to Buy From This Superstar Fund Investors continued to vote against the deal by selling BMY stock overall. The stock tried, on two occasions, to breakout and rally back to the $50 - $55 level, only to fail. And after each failed breakout, trading volume increased. Strong FundamentalsBristol Myers shares may bring pain for investors, but the company is a fundamentally strong company with a top-notch management team. It completed the divestment deal with its consumer health business (UPSA) on July 1 -- a deal that brings in $1.6 billion. And BMY is streamlining operations to cut costs ahead of the Celgene deal's closing. Once the deal is complete, expect Bristol Myers to use as much available free cash flow to pay down its debt quickly. AbbVie (NYSE:ABBV) has the same strategy with its Allergan (NYSE:AGN) buyout. It will use all cash flow generation from Humira to pay off the mountain of debt related to the acquisition. Second-Quarter Earnings ExpectationsIn the first quarter, BMY earned $1.10 a share as revenue grew 14% to $5.92 billion, beating consensus estimates in both cases. Analysts expect the company will report earnings of $1.06, up just slightly from last year's earnings-per-share of $1.01. Despite the flat earnings growth, analysts are very bullish and have an average price target of $57.67. This is ~35% higher than its recent closing price of $42.77.The company may give an updated view of its expectations stemming from the Celgene integration. With respect to the RCC (Renal Cell Carcinoma) market, BMY saw very strong tailwinds in the U.S. in the last quarter. It grew Opdivo, Yervoy market share to just over 40% in the U.S. And positive feedback from early launches in Germany and France are encouraging. Expect access to Canada, Australia and the U.K. to add to its market share and revenue growth. * 7 Great Sector ETFs to Buy for the Short or Long Term For the full year, Bristol-Myers expects operating expenses consistent with historical trends. It plans to continue increasing its dividend even though it pays down its debt rapidly over the next few years. All the while, it seeks to improve its credit metrics. Management forecasts growth of the combined company will offset the expected drop in Revlimid sales starting in 2022. It believes it may drive continued annual growth through 2025. Valuation and Your TakeawayBMY stock has upside of 35% if income investors use a dividend discount model to value the company. Assuming modest perpetuity growth of just 2.7% - 3.7%, the stock clearly trades at a discount. Investors are punishing the company more than they need to. If the company forecasts a stronger outlook for the rest of the year, look for the stock to reverse its 12.5% monthly drop and 17.7% year-to-date declines.As of this writing, Chris Lau owned shares in ABBV. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy From This Superstar Fund * 7 Stocks to Buy This Summer Earnings Season * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk The post Why Bristol-Myers Squibb Stock Is Stumbling Ahead of Earnings appeared first on InvestorPlace.
Bristol-Myers Squibb stock has badly trailed behind the market this year, but the drugmaker’s next earnings report, due on Thursday, is a chance for management to restore confidence among investors, according to JPMorgan Chase.
“While we are not necessarily fans of consolidation for its own sake, we see AbbVie bringing discipline and decisiveness to Allergan’s portfolio,” SVB Leerink analyst Geoffrey Porges said.
Bristol-Myers Squibb will release its second-quarter earnings on Thursday. The revenues will likely rise 7.16% YoY to $6.11 billion in the second quarter.
Steady rise in demand for Humira in the United States and strong growth of Imbruvica are expected to drive AbbVie's (ABBV) second-quarter sales.
With earnings surprise in cards, the healthcare sector is expected to witness earnings growth of 1.7% in the second quarter, suggesting continued outperformance for healthcare ETFs.
While Allergan's (AGN) Q2 sales are likely to be driven by new as well as established products like Botox, generic competition for some key products is expected to hurt sales.
Rising demand for Humira in the United States and strong growth of Imbruvica are expected to drive AbbVie's (ABBV) second-quarter sales.
Details the 52-week lows for the following companies: Bristol-Myers Squibb, Simon Property Group, Carnival Corp, Halliburton, Kroger and Apache Continue reading...
Bristol-Myers Squibb Co., Vodafone Group PLC, Iron Mountain Inc. and Molson Coors Brewing Co. have declined to their respective three-year lows Continue reading...
These are the clinical trial readouts, FDA decisions, and blockbuster-drug launches that will set the tone for the entire industry.
Investors will focus on regular top- and bottom-line numbers along with updates on the Celgene merger, when Bristol-Myers (BMY) reports second-quarter results.
Bristol-Myers (BMY), Ono Pharmaceutical and Bayer ink a collaboration deal to evaluate the combination of Opdivo plus Stivarga for treating micro-satellite stable metastatic colorectal cancer.
Gilead Sciences should acquire Celgene's psoriasis drug Otezla, but only for less than $9.6 billion, analysts said Thursday. Celgene is divesting Otezla ahead of its Bristol-Myers merger.
Market-based pricing is disappearing in US investment grade lending as Credit Default Swaps (CDS) become a less relevant measurement of risk, and lenders feel less need to buy protection against the loans as top companies continue to perform in a stable economy. The practice was introduced after the 2008 financial crisis when several blue-chip companies drew down on revolving credit facilities, shocking banks that had charged minimal interest margins on the assumption that the loans would remain undrawn. Market-based pricing was endorsed by banks such as JP Morgan and Bank of America Merrill Lynch and was designed to make significantly low pricing on investment grade loans more dynamic.
Bristol-Myers (BMY) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
- Combination of regorafenib and nivolumab vs. regorafenib alone to be evaluated in patients with micro-satellite stable metastatic colorectal cancer - Companies plan indication-seeking trial WHIPPANY, ...
WHIPPANY, N.J. & PRINCETON, N.J. & OSAKA, Japan-- -- Combination of regorafenib and nivolumab vs. regorafenib alone to be evaluated in patients with micro-satellite stable metastatic colorectal cancer Companies plan indication-seeking trial Bayer, Bristol-Myers Squibb Company and Ono Pharmaceutical Co., Ltd. announced today the three companies have entered into a clinical collaboration agreement ...
Investors will focus on regular top- and bottom-line numbers along with pipeline updates when Novartis (NVS) reports second-quarter results.
Exelixis (EXEL) adds four cohorts and expands two cohorts in the early-stage study evaluating lead drug, Cabometyx, in combination with Tecentriq.
Bristol-Myers Squibb Co NYSE:BMYView full report here! Summary * Perception of the company's creditworthiness is positive * Bearish sentiment is moderate and increasing * Economic output for the sector is expanding but at a slower rate Bearish sentimentShort interest | NeutralShort interest is moderate for BMY with between 5 and 10% of shares outstanding currently on loan. This represents an increase in short interest as investors who seek to profit from falling equity prices added to their short positions on July 12. Money flowETF/Index ownership | NeutralETF activity is neutral. ETFs that hold BMY had net inflows of $8.49 billion over the last one-month. While these are not among the highest inflows of the last year, the rate of inflow is increasing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Healthcare sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. BMY credit default swap spreads are near the lowest level of the last one year and indicate improvement in the market's perception of the company's credit worthiness.Please send all inquiries related to the report to email@example.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.