Shares of Bristol-Myers Squibb (BMY) are down today despite the drugmaker providing positive results for its schizophrenia therapy, COBENFY. The drug proved that it can provide long-lasting improvements for people with schizophrenia, with data from two major trials showing its effectiveness over a full year. The EMERGENT-4 and EMERGENT-5 studies revealed that the treatment was generally well-tolerated, and side effects like nausea, dry mouth, and dizziness were mostly mild or moderate.
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Importantly, unlike many other antipsychotic medications, COBENFY did not cause weight gain or movement issues, which makes it a promising option for long-term use. In the EMERGENT-4 trial, 69% of participants experienced at least a 30% improvement in their symptoms over 52 weeks. Similarly, the EMERGENT-5 study reported that 30% of participants achieved significant symptom reduction.
Patients also shared positive experiences through in-trial interviews. In fact, many reported feeling better physically and emotionally within the first six weeks, and these improvements continued throughout the year. By six months, 93% of participants said they’d recommend COBENFY to others, while 78% said they wanted to keep using it after the trial.
Bank of America Raises BMY Price Target
BMY is likely down today due to investors taking profits after its stock rallied following recent earning results. Revenue and EPS beat estimates, which led to Bank of America raising its price target from $55 per share to $60. Nevertheless, the firm maintained its Hold rating on the stock.
Is BMY Stock a Buy, Sell, or Hold?
Overall, analysts have a Hold consensus rating on BMY stock based on three Buys, 11 Holds, and two Sells assigned in the past three months, as indicated by the graphic below. After a 12% rally in its share price over the past year, the average BMY price target of $53.64 per share implies 2% downside risk.
