The better pick?
This year, Pfizer (PFE) stock has fallen 0.34% and Bristol-Myers Squibb (BMY) stock has fallen 6.48%. Both companies are focused on strengthening their position in the high-growth oncology and immunology markets. Let’s take a closer look at each.
Analysts’ recommendations and target prices
Most analysts recommend “buy” for Pfizer and Bristol-Myers Squibb. Of the 16 analysts covering Pfizer, two recommend “strong buy,” seven recommend “buy,” six recommend “hold,” and one recommends “strong sell.” They increased their average target price from $44.14 in March to $44.36 in April, $45.08 in May, and to $45.57 in June, and their most recent target implies a 4.76% upside based on its June 19 closing price. Their highest and lowest targets are $53 and $36.
Of the 15 analysts covering Bristol-Myers Squibb, three recommend “strong buy,” four recommend “buy,” and eight recommend “hold.” They increased their average target price from $57 in March to $57.90 in April, but then reduced it to $56.33 in May and $56.30 in June, which implies a 15.82% upside from its June 19 price. Their highest and lowest targets are $70 and $48.
Stock price movement and valuation
Pfizer stock closed at $43.50 yesterday, 1% higher than its previous close, 21.27% higher than its 52-week low of $35.87, and 6.39% lower than its 52-week high of $46.47. The company’s market capitalization is $245.12 billion, and its PE, forward PE, PEG (PE-to-growth), PS (price-to-sales), PB (price-to-book), and PC (price-to-cash) ratios are 24.09x, 14.20x, 4.97x, 4.55x, 4.17x, and 21.10x, respectively.
Bristol-Myers Squibb closed at $48.61 yesterday, 1.72% higher than its previous close, 9.73% higher than its 52-week low of $44.30, and 23.68% lower than its 52-week high of $63.69. The company’s market capitalization is $79.43 billion, and its PE, forward PE, PEG, PS, PB, and PC ratios are 15.39x, 10.96x, 2.90x, 3.41x, 5.22x, and 9.06x, respectively. Pfizer has higher PE, forward PE, PEG, PS, and PC ratios than Bristol-Myers Squibb, but a lower PB ratio.