Analyst Tim Anderson of Bank of America Securities reiterated a Hold rating on Bristol-Myers Squibb (BMY – Research Report), reducing the price target to $58.00.
Tim Anderson’s rating is based on a combination of factors influencing Bristol-Myers Squibb’s financial outlook. The company’s revenue and earnings per share (EPS) estimates have been adjusted downward due to underperformance in certain product lines, such as Camzyos and Zeposia, which have faced setbacks in clinical trials and commercialization efforts. Additionally, the broader pharmaceutical sector is experiencing a decline in price-to-earnings (P/E) multiples due to concerns over tariffs and drug pricing regulations, impacting the valuation of Bristol-Myers Squibb.
Despite being one of the more affordable options in the large-cap biopharmaceutical space, Bristol-Myers Squibb no longer stands out as a significant valuation outlier compared to peers like Pfizer, GSK, and Biogen. The company is expected to face several years of earnings pressure due to generic competition, which poses challenges to its growth prospects in the medium term. As a result, Tim Anderson has maintained a Hold rating, reflecting a cautious stance on the stock’s potential for near-term upside.
According to TipRanks, Anderson is a 4-star analyst with an average return of 6.7% and a 63.01% success rate. Anderson covers the Healthcare sector, focusing on stocks such as Johnson & Johnson, Eli Lilly & Co, and Gilead Sciences.
In another report released on April 15, Citi also maintained a Hold rating on the stock with a $55.00 price target.