BRISTOL-MYERS SQUIBB CO (BMY) Stock Fundamental Analysis
NYSE:BMY - New York Stock Exchange, Inc. - US1101221083 - Common Stock - Currency: USD
Overall BMY gets a fundamental rating of 6 out of 10. We evaluated BMY against 198 industry peers in the Pharmaceuticals industry. BMY has an excellent profitability rating, but there are some minor concerns on its financial health. BMY is valued quite cheap, while showing a decent growth score. This is a good combination! Finally BMY also has an excellent dividend rating. These ratings could make BMY a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
BMY had positive earnings in the past year.
BMY had a positive operating cash flow in the past year.
In multiple years BMY reported negative net income over the last 5 years.
Each year in the past 5 years BMY had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 5.86%, BMY belongs to the best of the industry, outperforming 90.40% of the companies in the same industry.
BMY has a Return On Equity of 31.16%. This is amongst the best in the industry. BMY outperforms 95.45% of its industry peers.
BMY has a better Return On Invested Capital (14.88%) than 90.91% of its industry peers.
BMY had an Average Return On Invested Capital over the past 3 years of 12.29%. This is significantly below the industry average of 41.62%.
The 3 year average ROIC (12.29%) for BMY is below the current ROIC(14.88%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 31.16% | ||
| ROIC | 14.88% |
ROA(3y)1.77%
ROA(5y)0.82%
ROE(3y)-2.38%
ROE(5y)-2.3%
ROIC(3y)12.29%
ROIC(5y)10.36%
1.3 Margins
BMY's Profit Margin of 11.38% is amongst the best of the industry. BMY outperforms 87.37% of its industry peers.
BMY's Operating Margin of 27.11% is amongst the best of the industry. BMY outperforms 91.92% of its industry peers.
BMY's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 74.69%, BMY belongs to the top of the industry, outperforming 80.30% of the companies in the same industry.
In the last couple of years the Gross Margin of BMY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.11% | ||
| PM (TTM) | 11.38% | ||
| GM | 74.69% |
OM growth 3Y-0.56%
OM growth 5Y-4.29%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.73%
GM growth 5Y1.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BMY is still creating some value.
The number of shares outstanding for BMY has been reduced compared to 1 year ago.
The number of shares outstanding for BMY has been reduced compared to 5 years ago.
Compared to 1 year ago, BMY has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.12 indicates that BMY is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.12, BMY is doing good in the industry, outperforming 69.70% of the companies in the same industry.
BMY has a debt to FCF ratio of 3.80. This is a good value and a sign of high solvency as BMY would need 3.80 years to pay back of all of its debts.
BMY's Debt to FCF ratio of 3.80 is amongst the best of the industry. BMY outperforms 86.87% of its industry peers.
A Debt/Equity ratio of 2.67 is on the high side and indicates that BMY has dependencies on debt financing.
With a Debt to Equity ratio value of 2.67, BMY is not doing good in the industry: 76.26% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.67 | ||
| Debt/FCF | 3.8 | ||
| Altman-Z | 2.12 |
ROIC/WACC1.64
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.28 indicates that BMY should not have too much problems paying its short term obligations.
The Current ratio of BMY (1.28) is worse than 78.79% of its industry peers.
BMY has a Quick Ratio of 1.17. This is a normal value and indicates that BMY is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.17, BMY is not doing good in the industry: 72.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 599.05% over the past year.
BMY shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -24.57% yearly.
BMY shows a small growth in Revenue. In the last year, the Revenue has grown by 4.62%.
The Revenue has been growing by 13.06% on average over the past years. This is quite good.
EPS 1Y (TTM)599.05%
EPS 3Y-46.63%
EPS 5Y-24.57%
EPS Q2Q%140.91%
Revenue 1Y (TTM)4.62%
Revenue growth 3Y1.36%
Revenue growth 5Y13.06%
Sales Q2Q%-5.6%
3.2 Future
The Earnings Per Share is expected to grow by 38.96% on average over the next years. This is a very strong growth
The Revenue is expected to decrease by -4.38% on average over the next years.
EPS Next Y498.29%
EPS Next 2Y132.62%
EPS Next 3Y75.28%
EPS Next 5Y38.96%
Revenue Next Year-4.37%
Revenue Next 2Y-5.38%
Revenue Next 3Y-3.84%
Revenue Next 5Y-4.38%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.48, which indicates a rather cheap valuation of BMY.
Based on the Price/Earnings ratio, BMY is valued cheaper than 93.43% of the companies in the same industry.
When comparing the Price/Earnings ratio of BMY to the average of the S&P500 Index (28.10), we can say BMY is valued rather cheaply.
The Price/Forward Earnings ratio is 7.71, which indicates a rather cheap valuation of BMY.
91.41% of the companies in the same industry are more expensive than BMY, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.74, BMY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.48 | ||
| Fwd PE | 7.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BMY indicates a rather cheap valuation: BMY is cheaper than 89.90% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BMY indicates a rather cheap valuation: BMY is cheaper than 92.93% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.4 | ||
| EV/EBITDA | 6.61 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of BMY may justify a higher PE ratio.
A more expensive valuation may be justified as BMY's earnings are expected to grow with 75.28% in the coming years.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y132.62%
EPS Next 3Y75.28%
5. Dividend
5.1 Amount
BMY has a Yearly Dividend Yield of 5.00%, which is a nice return.
Compared to an average industry Dividend Yield of 4.18, BMY pays a better dividend. On top of this BMY pays more dividend than 97.47% of the companies listed in the same industry.
BMY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5% |
5.2 History
The dividend of BMY is nicely growing with an annual growth rate of 11.67%!
BMY has been paying a dividend for at least 10 years, so it has a reliable track record.
BMY has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.67%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
BMY pays out 90.59% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BMY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP90.59%
EPS Next 2Y132.62%
EPS Next 3Y75.28%
NYSE:BMY (5/6/2025, 3:41:09 PM)
47.59
-2.47 (-4.93%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners80.77%
Inst Owner Change0.33%
Ins Owners0.07%
Ins Owner Change3.97%
Market Cap96.85B
Analysts67.5
Price Target58.03 (21.94%)
Short Float %1.48%
Short Ratio2.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5% |
Yearly Dividend2.42
Dividend Growth(5Y)11.67%
DP90.59%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.3%
Min EPS beat(2)13.54%
Max EPS beat(2)17.07%
EPS beat(4)4
Avg EPS beat(4)19.02%
Min EPS beat(4)13.54%
Max EPS beat(4)25.96%
EPS beat(8)7
Avg EPS beat(8)11.01%
EPS beat(12)11
Avg EPS beat(12)9.18%
EPS beat(16)15
Avg EPS beat(16)7.65%
Revenue beat(2)2
Avg Revenue beat(2)4.42%
Min Revenue beat(2)3.21%
Max Revenue beat(2)5.63%
Revenue beat(4)4
Avg Revenue beat(4)4.47%
Min Revenue beat(4)3.21%
Max Revenue beat(4)5.63%
Revenue beat(8)6
Avg Revenue beat(8)1.89%
Revenue beat(12)8
Avg Revenue beat(12)1.36%
Revenue beat(16)10
Avg Revenue beat(16)1.16%
PT rev (1m)-4.75%
PT rev (3m)-4.7%
EPS NQ rev (1m)-2.13%
EPS NQ rev (3m)-9.4%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-2.93%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)-4.01%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)-4.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.48 | ||
| Fwd PE | 7.71 | ||
| P/S | 2.03 | ||
| P/FCF | 7.4 | ||
| P/OCF | 6.77 | ||
| P/B | 5.57 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.61 |
EPS(TTM)7.34
EY15.42%
EPS(NY)6.17
Fwd EY12.96%
FCF(TTM)6.43
FCFY13.51%
OCF(TTM)7.03
OCFY14.78%
SpS23.41
BVpS8.54
TBVpS-13.19
PEG (NY)0.01
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 31.16% | ||
| ROCE | 18.89% | ||
| ROIC | 14.88% | ||
| ROICexc | 17.97% | ||
| ROICexgc | 81.26% | ||
| OM | 27.11% | ||
| PM (TTM) | 11.38% | ||
| GM | 74.69% | ||
| FCFM | 27.47% |
ROA(3y)1.77%
ROA(5y)0.82%
ROE(3y)-2.38%
ROE(5y)-2.3%
ROIC(3y)12.29%
ROIC(5y)10.36%
ROICexc(3y)14.46%
ROICexc(5y)12.32%
ROICexgc(3y)78.94%
ROICexgc(5y)80.02%
ROCE(3y)15.62%
ROCE(5y)13.15%
ROICexcg growth 3Y-15.94%
ROICexcg growth 5Y3.18%
ROICexc growth 3Y7.54%
ROICexc growth 5Y19.82%
OM growth 3Y-0.56%
OM growth 5Y-4.29%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.73%
GM growth 5Y1.42%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.67 | ||
| Debt/FCF | 3.8 | ||
| Debt/EBITDA | 2.21 | ||
| Cap/Depr | 15.15% | ||
| Cap/Sales | 2.57% | ||
| Interest Coverage | 6.1 | ||
| Cash Conversion | 68.16% | ||
| Profit Quality | 241.48% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 2.12 |
F-Score7
WACC9.09%
ROIC/WACC1.64
Cap/Depr(3y)12.09%
Cap/Depr(5y)10.53%
Cap/Sales(3y)2.56%
Cap/Sales(5y)2.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)599.05%
EPS 3Y-46.63%
EPS 5Y-24.57%
EPS Q2Q%140.91%
EPS Next Y498.29%
EPS Next 2Y132.62%
EPS Next 3Y75.28%
EPS Next 5Y38.96%
Revenue 1Y (TTM)4.62%
Revenue growth 3Y1.36%
Revenue growth 5Y13.06%
Sales Q2Q%-5.6%
Revenue Next Year-4.37%
Revenue Next 2Y-5.38%
Revenue Next 3Y-3.84%
Revenue Next 5Y-4.38%
EBIT growth 1Y22.52%
EBIT growth 3Y0.79%
EBIT growth 5Y8.21%
EBIT Next Year280.12%
EBIT Next 3Y50.48%
EBIT Next 5Y27.12%
FCF growth 1Y18.09%
FCF growth 3Y-2.91%
FCF growth 5Y14.03%
OCF growth 1Y17.06%
OCF growth 3Y-2.14%
OCF growth 5Y13.49%