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BMY Rallies 16.2% in Three Months: Buy, Sell or Hold the Stock?
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Key Takeaways
Bristol Myers' Growth Portfolio accounted for 58% of Q2 revenues, led by strong newer-drug momentum.
Eliquis growth guidance rose to 20-25%, helping offset generic-driven declines in the legacy portfolio.
Mezigdomide, iberdomide and pumitamig highlight BMY's pipeline and long-term growth potential.
Bristol Myers Squibb Company (BMY - Free Report) has delivered a solid performance in recent months. The biotech major’s shares have gained 16.2% over the past three months compared with the industry’s growth of 6.8%. The stock has also outperformed both the sector and the S&P 500.
BMY Outperforms Industry, Sector & S&P 500 Index
Image Source: Zacks Investment Research
The company reported better-than-expected second-quarter results on July 30, supported by robust demand for Opdivo Qvantig, Reblozyl, Camzyos, Breyanzi and Opdualag. Results were also boosted by strong Eliquis performance.
Reflecting the strong momentum of the drugs in the first half, BMY also raised its revenue and earnings guidance.
Let us analyze BMY’s fundamentals in such a scenario to help make a prudent investment choice:
Bristol Myers’ Growth Portfolio continues to anchor its top-line trajectory, comprising key drugs like Opdivo, Opdivo Qvantig, Orencia, Yervoy, Reblozyl, Camzyos, Breyanzi, Opdualag, Zeposia, Abecma, Sotyktu, Krazati and Cobenfy. This portfolio accounted for approximately 58% of total revenues in the second quarter of 2026, underscoring its central role in the company’s growth strategy.
Growth is primarily driven by the immuno-oncology (IO) franchise, complemented by strong momentum from newer drugs, such as Camzyos, Breyanzi and Reblozyl.
Although sales of blockbuster IO Opdivo declined, primarily due to continued conversion to the subcutaneous formulation Opdivo Qvantig in the United States, strong uptake of Qvantig across approved tumor types is helping offset the decline. Opdivo Qvantig is now generating annualized revenues of more than $1 billion.
Opdualag continues to benefit from robust global demand and its leading position as a standard of care in first-line melanoma in the United States.
Reblozyl, developed in partnership with Merck & Co. (MRK - Free Report) , continues to deliver a stellar performance, driven by solid uptake in first-line MDS-associated anemia, sustained strength in the second-line setting and further penetration among first-line RS-negative patients.
Breyanzi’s sales continue to be solid, underscoring its strong commercial momentum. Growth is being driven by its best-in-class profile and robust demand across approved large B-cell lymphoma indications in the United States and international markets.
Cardiovascular drug Camzyos continues to deliver solid performance, supported by ongoing promotional efforts, an expanding base of new patient prescribers and deeper penetration into the community setting.
In immunology, Sotyktu remains an important growth driver. The recent approval in psoriatic arthritis expands its commercial opportunity and strengthens BMY’s presence in rheumatology. Additional upside could come from ongoing phase III programs in systemic lupus erythematosus and Sjögren’s disease, which may further broaden the drug’s addressable market, if successful.
Newer drugs like Cobenfy for schizophrenia also add optionality to the long-term story, with early launch traction and potential label expansions positioning it as a future growth lever.
Overall, the scale and momentum of these therapies reinforce the durability of Bristol Myers’ top-line growth trajectory.
BMY’s Legacy Portfolio Grapples With Generic Headwinds
BMY’s legacy portfolio continues to face headwinds from generic competition, particularly affecting key products such as Revlimid, Pomalyst, Sprycel, and Abraxane, resulting in a 4% revenue decline in the second quarter.
The segment also includes Eliquis, co-developed with Pfizer (PFE - Free Report) . Eliquis continues to deliver strong, demand-driven, nearly offsetting declines across the remainder of the portfolio due to generic competition.
BMY now expects Eliquis revenues to grow 20-25%, up from its prior guidance of 10-15%, supported by strong global demand, helping partially mitigate the overall segment decline.
The company now anticipates the total legacy portfolio revenue decline to be in the range of 4-6%.
BMY’s Pipeline Underscores Growth Potential
Bristol Myers boasts a deep and promising pipeline. Key pipeline candidates with multi-billion-dollar potential are milvexian (Oral factor XIa inhibitor), admilparant (LPA1 antagonist), pumitamig (PD-L1 x VEGF-A bispecific antibody) and iberdomide & mezigdomide (oral CELMoD protein degraders).
The FDA accepted the company’s new drug application (NDA) for mezigdomide in combination with carfilzomib and dexamethasone (MeziKd) to treat patients with relapsed or refractory multiple myeloma (RRMM). The NDA is supported by positive phase III SUCCESSOR-2 trial results, and the agency has set a target action date of May 13, 2027.
Mezigdomide is BMY’s second CELMoD candidate to receive a target action date this year for an RRMM indication, following iberdomide, which is scheduled for FDA review by Aug. 17, 2026.
BMY continues to pursue strategic acquisitions and collaborations to expand its pipeline. In 2025, Bristol Myers partnered with BioNTech to co-develop the bispecific antibody pumitamig (BNT327) for solid tumors. BMY is advancing a fourth global phase III study in first-line EGFR-mutant non-small cell lung cancer and expanding pumitamig development, including a novel phase II combination with CCR8 antibody imzokitug.
BMY’s Valuation & Estimate Revision
Going by the price/earnings ratio, BMY is inexpensive as of now. Its shares currently trade at 9.79X forward earnings, higher than its mean of 8.61X but lower than the large-cap pharma industry’s 18.53X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for 2026 EPS has moved north to $6.76 from $6.32 in the past 60 days, while that for 2027 EPS has gone up to $6.39 from $6.05.
Image Source: Zacks Investment Research
Stay Invested in BMY Stock
Bristol Myers Squibb’s strong recent performance reflects improving momentum across its Growth Portfolio, with robust demand for Opdivo Qvantig, Reblozyl, Camzyos, Breyanzi and Opdualag, along with better-than-expected Eliquis sales.
The company’s decision to raise its 2026 revenue and earnings guidance further underscores the strength of its near-term operating trajectory.
A deep pipeline, including mezigdomide, iberdomide and pumitamig, provides additional long-term growth opportunities.
However, we believe much of the near-term optimism is already reflected in BMY’s shares. The legacy portfolio remains under pressure from generic competition, with declines in Revlimid, Pomalyst, Sprycel and Abraxane expected to continue weighing on overall sales.
Given this backdrop, a cautious stance appears warranted. New investors may consider a wait-and-watch approach for more attractive entry points, while existing shareholders could continue to hold positions, supported by a dividend yield of approximately 3.89%.
View the Zacks #1 Rank List
Image: Shutterstock
BMY Rallies 16.2% in Three Months: Buy, Sell or Hold the Stock?
Key Takeaways
Bristol Myers Squibb Company (BMY - Free Report) has delivered a solid performance in recent months. The biotech major’s shares have gained 16.2% over the past three months compared with the industry’s growth of 6.8%. The stock has also outperformed both the sector and the S&P 500.
BMY Outperforms Industry, Sector & S&P 500 Index
Image Source: Zacks Investment Research
The company reported better-than-expected second-quarter results on July 30, supported by robust demand for Opdivo Qvantig, Reblozyl, Camzyos, Breyanzi and Opdualag. Results were also boosted by strong Eliquis performance.
Reflecting the strong momentum of the drugs in the first half, BMY also raised its revenue and earnings guidance.
Let us analyze BMY’s fundamentals in such a scenario to help make a prudent investment choice:
BMY’s Growth Portfolio Drives Sustainable Top-Line Expansion
Bristol Myers’ Growth Portfolio continues to anchor its top-line trajectory, comprising key drugs like Opdivo, Opdivo Qvantig, Orencia, Yervoy, Reblozyl, Camzyos, Breyanzi, Opdualag, Zeposia, Abecma, Sotyktu, Krazati and Cobenfy. This portfolio accounted for approximately 58% of total revenues in the second quarter of 2026, underscoring its central role in the company’s growth strategy.
Growth is primarily driven by the immuno-oncology (IO) franchise, complemented by strong momentum from newer drugs, such as Camzyos, Breyanzi and Reblozyl.
Although sales of blockbuster IO Opdivo declined, primarily due to continued conversion to the subcutaneous formulation Opdivo Qvantig in the United States, strong uptake of Qvantig across approved tumor types is helping offset the decline. Opdivo Qvantig is now generating annualized revenues of more than $1 billion.
Opdualag continues to benefit from robust global demand and its leading position as a standard of care in first-line melanoma in the United States.
Reblozyl, developed in partnership with Merck & Co. (MRK - Free Report) , continues to deliver a stellar performance, driven by solid uptake in first-line MDS-associated anemia, sustained strength in the second-line setting and further penetration among first-line RS-negative patients.
Breyanzi’s sales continue to be solid, underscoring its strong commercial momentum. Growth is being driven by its best-in-class profile and robust demand across approved large B-cell lymphoma indications in the United States and international markets.
Cardiovascular drug Camzyos continues to deliver solid performance, supported by ongoing promotional efforts, an expanding base of new patient prescribers and deeper penetration into the community setting.
In immunology, Sotyktu remains an important growth driver. The recent approval in psoriatic arthritis expands its commercial opportunity and strengthens BMY’s presence in rheumatology. Additional upside could come from ongoing phase III programs in systemic lupus erythematosus and Sjögren’s disease, which may further broaden the drug’s addressable market, if successful.
Newer drugs like Cobenfy for schizophrenia also add optionality to the long-term story, with early launch traction and potential label expansions positioning it as a future growth lever.
Overall, the scale and momentum of these therapies reinforce the durability of Bristol Myers’ top-line growth trajectory.
BMY’s Legacy Portfolio Grapples With Generic Headwinds
BMY’s legacy portfolio continues to face headwinds from generic competition, particularly affecting key products such as Revlimid, Pomalyst, Sprycel, and Abraxane, resulting in a 4% revenue decline in the second quarter.
The segment also includes Eliquis, co-developed with Pfizer (PFE - Free Report) . Eliquis continues to deliver strong, demand-driven, nearly offsetting declines across the remainder of the portfolio due to generic competition.
BMY now expects Eliquis revenues to grow 20-25%, up from its prior guidance of 10-15%, supported by strong global demand, helping partially mitigate the overall segment decline.
The company now anticipates the total legacy portfolio revenue decline to be in the range of 4-6%.
BMY’s Pipeline Underscores Growth Potential
Bristol Myers boasts a deep and promising pipeline. Key pipeline candidates with multi-billion-dollar potential are milvexian (Oral factor XIa inhibitor), admilparant (LPA1 antagonist), pumitamig (PD-L1 x VEGF-A bispecific antibody) and iberdomide & mezigdomide (oral CELMoD protein degraders).
The FDA accepted the company’s new drug application (NDA) for mezigdomide in combination with carfilzomib and dexamethasone (MeziKd) to treat patients with relapsed or refractory multiple myeloma (RRMM). The NDA is supported by positive phase III SUCCESSOR-2 trial results, and the agency has set a target action date of May 13, 2027.
Mezigdomide is BMY’s second CELMoD candidate to receive a target action date this year for an RRMM indication, following iberdomide, which is scheduled for FDA review by Aug. 17, 2026.
BMY continues to pursue strategic acquisitions and collaborations to expand its pipeline. In 2025, Bristol Myers partnered with BioNTech to co-develop the bispecific antibody pumitamig (BNT327) for solid tumors. BMY is advancing a fourth global phase III study in first-line EGFR-mutant non-small cell lung cancer and expanding pumitamig development, including a novel phase II combination with CCR8 antibody imzokitug.
BMY’s Valuation & Estimate Revision
Going by the price/earnings ratio, BMY is inexpensive as of now. Its shares currently trade at 9.79X forward earnings, higher than its mean of 8.61X but lower than the large-cap pharma industry’s 18.53X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for 2026 EPS has moved north to $6.76 from $6.32 in the past 60 days, while that for 2027 EPS has gone up to $6.39 from $6.05.
Image Source: Zacks Investment Research
Stay Invested in BMY Stock
Bristol Myers Squibb’s strong recent performance reflects improving momentum across its Growth Portfolio, with robust demand for Opdivo Qvantig, Reblozyl, Camzyos, Breyanzi and Opdualag, along with better-than-expected Eliquis sales.
The company’s decision to raise its 2026 revenue and earnings guidance further underscores the strength of its near-term operating trajectory.
A deep pipeline, including mezigdomide, iberdomide and pumitamig, provides additional long-term growth opportunities.
However, we believe much of the near-term optimism is already reflected in BMY’s shares. The legacy portfolio remains under pressure from generic competition, with declines in Revlimid, Pomalyst, Sprycel and Abraxane expected to continue weighing on overall sales.
Given this backdrop, a cautious stance appears warranted. New investors may consider a wait-and-watch approach for more attractive entry points, while existing shareholders could continue to hold positions, supported by a dividend yield of approximately 3.89%.
BMY currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.