Bristol Myers Squibb (BMY) closed at $73.16 in the latest trading session, marking a -0.45% move from the prior day. This change was narrower than the S&P 500’s 0.9% loss on the day. Elsewhere, the Dow lost 0.5%, while the tech-heavy Nasdaq lost 0.27%.
Coming into today, shares of the biopharmaceutical company had lost 5.11% in the past month. In that same time, the Medical sector gained 2.93%, while the S&P 500 lost 2.66%.
Investors will be hoping for strength from Bristol Myers Squibb as it approaches its next earnings release, which is expected to be February 2, 2023. The company is expected to report EPS of $1.74, down 4.92% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.13 billion, down 7.16% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.60 per share and revenue of $45.88 billion, which would represent changes of +1.2% and -1.09%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Bristol Myers Squibb. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.04% higher. Bristol Myers Squibb is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Bristol Myers Squibb is currently trading at a Forward P/E ratio of 9.66. This valuation marks a discount compared to its industry’s average Forward P/E of 17.52.
We can also see that BMY currently has a PEG ratio of 1.74. 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. BMY’s industry had an average PEG ratio of 1.34 as of yesterday’s close.
The Medical – Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 64, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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