Markets

Bristol Myers Squibb (BMY) Stock Moves -0.77%: What You Should Know

Bristol Myers Squibb (BMY) closed the most recent trading day at $60.77, moving -0.77% from the previous trading session. This change was narrower than the S&P 500's 1.63% loss on the day. Elsewhere, the Dow lost 1.44%, while the tech-heavy Nasdaq lost 1.65%.

Coming into today, shares of the biopharmaceutical company had gained 3.1% in the past month. In that same time, the Medical sector gained 0.14%, while the S&P 500 gained 2.86%.

Investors will be hoping for strength from BMY as it approaches its next earnings release, which is expected to be November 5, 2020. In that report, analysts expect BMY to post earnings of $1.49 per share. This would mark year-over-year growth of 27.35%. Our most recent consensus estimate is calling for quarterly revenue of $10.39 billion, up 72.96% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $6.25 per share and revenue of $41.92 billion, which would represent changes of +33.26% and +60.34%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for BMY. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 0.21% higher within the past month. BMY is holding a Zacks Rank of #3 (Hold) right now.

Investors should also note BMY's current valuation metrics, including its Forward P/E ratio of 9.79. Its industry sports an average Forward P/E of 24.72, 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 1.14. 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. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 177, which puts it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow BMY in the coming trading sessions, be sure to utilize Zacks.com.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Bristol Myers Squibb Company (BMY): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Latest Markets Videos

Zacks

Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

Learn More