Peeling Back The Layers: Exploring Bristol-Myers Squibb Through Analyst Insights

4 analysts have expressed a variety of opinions on Bristol-Myers Squibb BMY over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Bristol-Myers Squibb and provided 12-month price targets. The average target is $50.0, accompanied by a high estimate of $54.00 and a low estimate of $43.00. This current average represents a 15.61% decrease from the previous average price target of $59.25.

Analyzing Analyst Ratings: A Detailed Breakdown

The analysis of recent analyst actions sheds light on the perception of Bristol-Myers Squibb by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Bristol-Myers Squibb. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Bristol-Myers Squibb compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Bristol-Myers Squibb's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Bristol-Myers Squibb's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Bristol-Myers Squibb analyst ratings.

Delving into Bristol-Myers Squibb's Background

Bristol-Myers Squibb discovers, develops, and markets drugs for various therapeutic areas, such as cardiovascular, cancer, and immune disorders. A key focus for Bristol is immuno-oncology, where the firm is a leader in drug development. Bristol derives close to 70% of total sales from the U.S., showing a higher dependence on the U.S. market than most of its peer group.

Financial Insights: Bristol-Myers Squibb

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Bristol-Myers Squibb's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 0.62% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Bristol-Myers Squibb's net margin is impressive, surpassing industry averages. With a net margin of 15.35%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Bristol-Myers Squibb's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 6.03%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Bristol-Myers Squibb's ROA excels beyond industry benchmarks, reaching 1.89%. This signifies efficient management of assets and strong financial health.

Debt Management: Bristol-Myers Squibb's debt-to-equity ratio is below the industry average. With a ratio of 1.41, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.