Entering text into the input field will update the search result below

Bristol-Myers Squibb: Attractive Entry As New Products Sales Accelerate

May 05, 2023 5:52 AM ETBristol-Myers Squibb Company (BMY)52 Comments
Philipp Stuelcken profile picture
Philipp Stuelcken


  • Bristol-Myers Squibb stock delivered a poor performance in 2023 despite solid FY 2022 and Q1 2023 results.
  • The new product portfolio finally showed a sign of living with impressive growth rates.
  • The mid-term investment case seems very compelling while the long-term outlook has some question marks.
  • Valuation looks very attractive as there is no revenue growth required to justify it.

Bristol Myers Squibb (<a href='https://seekingalpha.com/symbol/BMS' title='Bemis Company, Inc.'>BMS</a>)


While 2023 has been a fairly positive year so far for stocks in general, Bristol-Myers Squibb's (NYSE:BMY) stock has tended to weaken in recent months. While this is partly due to some weakness in the healthcare sector, as you can

This article was written by

Philipp Stuelcken profile picture
Full-time Investor since 2015. I analyze companies with long-term prospects, primarily from a fundamental perspective. I primarily invest in fast growing companies of healthcare and technology sectors but also take some deep value plays. In the long term I aim for a return of at least 10% p.a. with my portfolio. Fan of Peter Lynch and his unique way of looking at the stock markets.

Analyst’s Disclosure: I/we have a beneficial long position in the shares of BMY either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

Comments (52)

Multi-cancer blood test shows real promise in NHS study 👍👇🏾

captaindividend profile picture
But …I’m wondering BMY is the American GlaxoSmithKline?
charged profile picture
Adam Lenkowsky…basically say revlimid gets wiped out

So we have guided that we will sell approximately $6.5 billion this year. And over the next 2 years, we'll see approximately a $2.5 billion step down each year until you get to 2026, then you have full generics in the market. So Rev continues to be a significant cash and profit contributor to our bottom line.
charged profile picture
No product launches in 2023 ?

Areas of potential expansion include a planned U.S. filing of ROS1 inhibitor repotrectinib, which BMS picked up last year through its acquisition of Turning Point Therapeutics. The company is also looking to move BCMA-targeted CAR-T therapy Abecma into earlier multiple myeloma treatment based on readouts from the KarMMa-3 trial, which is the first randomized phase 3 study of a BCMA CAR-T.
charged profile picture
From bofa presentation….And finally, when I think about kind of the next wave, we've talked about now introducing 6 new assets, moving them into Phase III. So a good example of what we've talked about in the past would be Milvexian. We just started all our Phase III study. So my job is working closely with the commercialization organization and our R&D organization to ensure that we're ready to launch those products really in the back end of this decade. So those are my top 3 priorities. Do they have any launches before backend of decade???
charged profile picture
Bmy q1 revenue was down 3% guided down 2% for 2023 as revlimid declined 37% as it goes of exclusivity. The 9 new products created 730 mil in revenue looking on target for 2023.
andrewscool1992 profile picture
50% upside by when this year?
Holder since the CELG merger...decent divvy, but otherwise not impressed
andrewscool1992 profile picture
Thank you for the great analysis can you chime in on your targets per year as well as the major drug breakthroughs/sellers?
Will it go to $50 again? I would buy at that level but it probably won't go to low 50s again.
I am interested in seeing posts regarding personal experiences, or those of loved ones, who have been treated using Opdivo and results.

I may require therapy, and Opdivo is being mentioned most often.

Freigeist profile picture
Fully agree. One of my bigger positions and I will add further.
There has been just too much focus on Sotyktu, which they claim is better than otezla and has better risk profile than JAK inhibitors. But based on the q1 results it seems the take off was a bit slow.
@Viv_ban Its actually way ahead of schedule. You need to remember that they dont get any insurance coverage based on timing of approval until 2024. They already have ~30% of New Prescription market share without said coverage of which ~1/3 of patients are people that didnt like Otezla and 2/3 are naive (new to medications for their issue) or had previously tried something other than Otezla. Page 13 of their presentation and was referenced in their transcript.

The bad thing is that it has now since failed in Chron's and is question in Ulcerative Colitis. But for its approved indication, without coverage, its kicking butt.
@miragesfz that’s really informative. Thank you.
I just finished reading Amgen q1 2023 transcript and it states that the reason otezla revenue is falling is mainly because the competitors (i.e.Sotyktu) are providing big discounts to their products. I believe high NBRx for Sotyktu is partly driven by the high discounts.
@Viv_ban i'm sure there's even quite a bit of free drug out there right now- but thts part of the strategy during the transition year. Once they are medically covered sales should spike. All came down to timing for the 2023 reimbursement period and they just missed it unfortunately with their approval timing but really nothing you can do about that.
charged profile picture
Loe did i do this right ?

2023 revlimid 10b
2026 Eliquis 14b
2026 Yervoy 2b
2028 Opdivo 12b
2028 Zeposia 4.5b
43b loe exposure ?
13 b by 2025 from approved new products . They enter 2026 in deep trouble.
Dude, we got your point with your 1st comment, so we do not need to hear it again and again.
These revenues are not gone overnight or is Abbvie broke after Humira lost exclusivity??
You can go with LLY from here on; I will stay with my BMY and PFE and will gladly look at my outperformance in 3-5 years.
charged profile picture
@Valuemachine12 its ok you still have time. I doubt that revlimid 37% is the end but by q3 you can model it against the others and forecast revenue. Either bmy has to do another big merger or they take a big dip in 2026.
Dividend Ambassador profile picture
Good article.
BMY is running hard just to stay in place. Many more attractive candidates for investment.
andrewscool1992 profile picture
@wernerhold Which ones are you looking at and why for top 1-3 valuations
charged profile picture
Loe over 5 yrs 43 billion. They must replace the entire company. Just not possible. This is a sinking ship.
andrewscool1992 profile picture
@charged What is loe?
charged profile picture
@andrewscool1992 loss of exclusivity. Generic can now take their sales. Sales usually fall dramatically. Usually 60 to 80% over a 2to 3 yr period.
andrewscool1992 profile picture
@charged oh the Generic brand? How did they lose exclusivity? Is there any pharma or healthcare companies you recommend
Disagree with this article? Submit your own. To report a factual error in this article, . Your feedback matters to us!
To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.