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Bristol Myers Squibb (BMY) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Bristol Myers Squibb (BMY - Free Report) closed at $67.96, marking a +1.19% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.2%.

Heading into today, shares of the biopharmaceutical company had gained 2.91% over the past month, outpacing the Medical sector's loss of 3.49% and lagging the S&P 500's gain of 3.28% in that time.

Wall Street will be looking for positivity from BMY as it approaches its next earnings report date. This is expected to be July 28, 2021. In that report, analysts expect BMY to post earnings of $1.88 per share. This would mark year-over-year growth of 15.34%. Our most recent consensus estimate is calling for quarterly revenue of $11.29 billion, up 11.49% from the year-ago period.

BMY's full-year Zacks Consensus Estimates are calling for earnings of $7.45 per share and revenue of $45.89 billion. These results would represent year-over-year changes of +15.68% and +7.93%, respectively.

It is also important to note the recent changes to analyst estimates for BMY. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.13% lower within the past month. BMY currently has a Zacks Rank of #3 (Hold).

Digging into valuation, BMY currently has a Forward P/E ratio of 9.02. Its industry sports an average Forward P/E of 25.7, so we one might conclude that BMY is trading at a discount comparatively.

We can also see that BMY currently has a PEG ratio of 1.29. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. BMY's industry had an average PEG ratio of 1.53 as of yesterday's close.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 206, putting it in the bottom 19% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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