Bristol Myers Squibb (BMY) Dips More Than Broader Markets: What You Should Know

Bristol Myers Squibb (BMY) closed at $78.28 in the latest trading session, marking a -0.53% move from the prior day. This change lagged the S&P 500's 0.07% loss on the day. Meanwhile, the Dow gained 0.27%, and the Nasdaq, a tech-heavy index, added 0.02%.

Prior to today's trading, shares of the biopharmaceutical company had gained 4.31% over the past month. This has outpaced the Medical sector's loss of 5.47% and the S&P 500's loss of 7.99% in that time.

Investors will be hoping for strength from Bristol Myers Squibb as it approaches its next earnings release, which is expected to be July 27, 2022. The company is expected to report EPS of $1.90, down 1.55% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.52 billion, down 1.57% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $7.56 per share and revenue of $46.32 billion, which would represent changes of +0.67% and -0.13%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Bristol Myers Squibb. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. Within the past 30 days, our consensus EPS projection has moved 0.12% lower. Bristol Myers Squibb is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, Bristol Myers Squibb is holding a Forward P/E ratio of 10.41. Its industry sports an average Forward P/E of 20.99, so we one might conclude that Bristol Myers Squibb is trading at a discount comparatively.

It is also worth noting that BMY currently has a PEG ratio of 1.67. 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. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.1 at yesterday's closing price.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% 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.

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

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