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Bristol Myers Squibb (BMY) Gains As Market Dips: What You Should Know

Bristol Myers Squibb (BMY) closed at $64.70 in the latest trading session, marking a +0.4% move from the prior day. The stock outpaced the S&P 500's daily loss of 1.04%.

Coming into today, shares of the biopharmaceutical company had gained 4.09% in the past month. In that same time, the Medical sector gained 4.65%, while the S&P 500 gained 3.83%.

On that day, BMY is projected to report earnings of $1.93 per share, which would represent year-over-year growth of 18.4%. Our most recent consensus estimate is calling for quarterly revenue of $11.33 billion, up 11.85% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $7.45 per share and revenue of $46.01 billion, which would represent changes of +15.68% and +8.2%, respectively, from the prior year.

Any recent changes to analyst estimates for BMY should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.05% higher within the past month. BMY currently has a Zacks Rank of #3 (Hold).

Digging into valuation, BMY currently has a Forward P/E ratio of 8.65. Its industry sports an average Forward P/E of 24.92, so we one might conclude that BMY is trading at a discount comparatively.

It is also worth noting that BMY currently has a PEG ratio of 1.24. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.41 as of yesterday's close.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 219, putting it in the bottom 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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