BMY Stock Analysis — Bristol Myers Squibb
Sector: Healthcare
AI Verdict
BMY trades at a steep discount to the sector on a 10.4x forward P/E for 42.4% expected EPS growth, making it cheap for the growth if its patent-protected pipeline delivers as forecast.
Competitive Moat
Bristol Myers Squibb develops and markets patented drugs in oncology, immunology, and cardiovascular disease, with a pipeline of blockbuster therapies and entrenched relationships with healthcare providers. Its moat comes from exclusive drug patents and a deep R&D engine that create high barriers to entry for competitors.
Summary
BMY is flashing a low 10.4x forward P/E while analysts expect a 42.4% jump in earnings next year.
Where It Stands
Shares are up with an RSI of 63.6 (approaching elevated), trading at 10.4x next year's earnings versus the healthcare median of 22x, and the stock sports a 42.4% forward EPS growth consensus.
Key Metrics
- RSI: 63.6 — Near Overbought
- Trailing P/E: 14.7x
- Forward P/E: 10.4x
- PEG Ratio: 0.35
- Earnings Growth: +0.4%
- Revenue Growth: +0.0%
- Market Cap: $136.7B
- Dividend Yield: 0.05%
- 52-Week High: $68.64
- 52-Week Low: $42.52
Analyst Consensus
14 Buy · 19 Hold · 2 Sell (35 analysts)
Bull Case
You're paying just 10.4x forward earnings for a company expected to grow EPS 42.4% next year, which is cheap for the growth on offer.
Bear Case
If the P/E reverts to the sector median of 22x after growth disappoints, the current RSI of 63.6 suggests a pullback could erase recent gains quickly.
Catalyst to Watch
Watch for clinical trial readouts or FDA decisions—positive data could lock in that 42.4% EPS growth, while setbacks would undermine the low P/E thesis.