Bristol-Myers Squibb: Hold Rating Maintained Amid Fair Valuation and Revenue Uncertainty

In a report released on March 28, Evan Seigerman from BMO Capital maintained a Hold rating on Bristol-Myers Squibb (BMY – Research Report), with a price target of $61.00.

Evan Seigerman’s rating is based on a combination of factors that suggest Bristol-Myers Squibb’s stock is currently fairly valued. The company’s ongoing launch of Cobenfy in the schizophrenia market shows promising growth, with weekly prescription trends exceeding expectations and contributing to a positive revenue outlook for the first quarter of 2025. Despite this, Seigerman notes that the expected revenue growth is already reflected in the stock’s current valuation, which supports a Hold rating.
Additionally, while the I/O and hematology segments of Bristol-Myers Squibb provide stable cash flows, the variability introduced by factors such as gross to net assumptions, IQVIA data slippage, and potential inventory stocking add uncertainty to the revenue projections. These elements contribute to the decision to maintain a Hold rating, as the stock does not appear to be undervalued or overvalued at this time.

Seigerman covers the Healthcare sector, focusing on stocks such as Novo Nordisk, Vertex Pharmaceuticals, and Biogen. According to TipRanks, Seigerman has an average return of 5.3% and a 45.74% success rate on recommended stocks.

In another report released on March 27, UBS also reiterated a Hold rating on the stock with a $60.00 price target.