Analysts Have Revised BMY’s Target Price Downward in March



Analysts’ recommendations and target price

Analysts expect an upside potential of 13.72% for Bristol-Myers Squibb (BMY) based on the company’s closing price on March 18. In 2019, analysts have already revised the company’s target price downward twice, from $58.09 in January to $56.90 in February and then to $56.70 in March. The current consensus analyst recommendation for the stock is a “buy.”

According to the company’s investor presentation, the successful completion of its acquisition of Celgene is expected to catapult the combined company to the number one spot in the hematology and solid tumor areas in the oncology market, the number one spot in the cardiovascular market, and among the top five players in the immunology and inflammation market. To learn more about the Celgene deal, read Bristol-Myers Squibb to Acquire Celgene.

Of the 14 analysts covering Bristol-Myers Squibb, four have given it “strong buys,” two have given it “buys,” and eight have given it “holds.” The highest target price estimate for the company is $62, and the lowest is $52.

On March 18, Bristol-Myers Squibb closed at $49.86, 0.20% lower than its previous closing price, 12.55% higher than its 52-week low of $44.30, and 26.07% lower than its 52-week high of $67.44. The company’s market cap is $81.29 billion.

Based on its closing price on March 18, Bristol-Myers Squibb has reported returns of -2.04% in the last week, -1.91% in the last month, and -7.05% in the last quarter. The company has reported returns of -17.98% in the last half year, -24.74% in the last year, and -4.08% year-to-date.

Revenue and EPS estimates

Analysts expect Bristol-Myers Squibb’s revenues to see YoY (year-over-year) rises of 9.93% to $5.71 billion in the first quarter, 6.18% to $6.06 billion in the second quarter, 5.06% to $5.98 billion in the third quarter, and 3.12% to $6.16 billion in the fourth quarter of 2019. Analysts also expect the company’s non-GAAP (generally accepted accounting principles) EPS to see YoY changes of 11.05% to $1.04 in the first quarter, 5.06% to $1.06 in the second quarter, -0.70% to $1.08 in the third quarter, and 6.81% to $1.00 in the fourth quarter.

Analysts expect Bristol-Myers Squibb’s revenue to see YoY rises of 6.28% to $23.98 billion in fiscal 2019, 4.70% to $25.10 billion in fiscal 2020, and 4.38% to $26.20 billion in fiscal 2021. Analysts also expect the company’s non-GAAP EPS to see YoY rises of 5.02% to $4.18 in fiscal 2019, 6.07% to $4.43 in fiscal 2020, and 7.46% to $4.76 in fiscal 2021.

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