Bristol-myers Squibb Intrinsic Stock Value – Bristol-Myers Squibb Reports Second Quarter Fiscal Year 2023 Earnings Results
August 28, 2023
🌥️Earnings Overview
On July 27, 2023, BRISTOL-MYERS SQUIBB ($NYSE:BMY) reported their financial results for the second quarter of the 2023 fiscal year, which ended on June 30, 2023. Total revenue for the quarter was USD 11.2 billion, a decrease of 5.6% compared to the same period in the prior year. Meanwhile, their net income totaled USD 2.1 billion, representing a rise of 45.8% from the same quarter last year.
Stock Price
On Thursday, BRISTOL-MYERS SQUIBB stock opened at $61.0 and closed at $60.7, down by 4.2% from last closing price of 63.4. This was due to the company releasing its second quarter fiscal year 2023 earnings results. The company reported strong revenue growth, but profits were lower than expected due to higher expenses.
The company attributed the lower profits to increased spending on research and development, marketing and other fixed costs related to launching new products. Despite these weaker-than-expected results, the company maintained a positive outlook for the remainder of the fiscal year. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Bristol-myers Squibb. More…
| Total Revenues | Net Income | Net Margin |
| 45.19k | 7.96k | 18.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Bristol-myers Squibb. More…
| Operations | Investing | Financing |
| 11.85k | -1.41k | -13.01k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Bristol-myers Squibb. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 93.49k | 61.46k | 15.22 |
Key Ratios Snapshot
Some of the financial key ratios for Bristol-myers Squibb are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 9.0% | 26.7% | 21.8% |
| FCF Margin | ROE | ROA |
| 23.7% | 19.3% | 6.6% |
Analysis – Bristol-myers Squibb Intrinsic Stock Value
GoodWhale’s Valuation Line, our proprietary system for analyzing the fundamentals of a stock, shows that BRISTOL-MYERS SQUIBB is currently undervalued. According to our analysis, the fair value of the BRISTOL-MYERS SQUIBB share is around $69.5. However, at the time of writing the stock is trading at $60.7, which means it is currently undervalued by 12.6%. This means that now may be a good time to buy BRISTOL-MYERS SQUIBB shares, as there is a chance that the stock could increase in price if the market realizes its full value. More…
Peers
The company was founded in 1887 and is headquartered in New York City. The company’s products are sold in over 100 countries. Bristol-Myers Squibb Co’s competitors include Merck & Co Inc, Amgen Inc, Eli Lilly and Co.
– Merck & Co Inc ($NYSE:MRK)
Merck & Co Inc is a global health care company that offers a wide range of products and services to customers in more than 140 countries. The company has a market cap of 236.25B as of 2022 and a Return on Equity of 28.84%. Merck & Co Inc is a diversified company that operates in four main business segments: Pharmaceuticals, Vaccines, Animal Health, and Consumer Care. The company’s products include prescription and over-the-counter medicines, vaccines, biologic therapies, and consumer and animal health products. Merck & Co Inc is one of the world’s largest pharmaceutical companies and is a leading provider of health care products and services.
– Amgen Inc ($NASDAQ:AMGN)
Amgen Inc is a large biotechnology company with a market cap of 132.76B as of 2022. The company has a strong return on equity of 460.37%. The company focuses on developing and delivering therapies for serious illnesses.
– Eli Lilly and Co ($NYSE:LLY)
Eli Lilly and Co is a pharmaceutical company with a market cap of 312.88B as of 2022. Its return on equity is 45.88%. The company focuses on the discovery, development, manufacture, and sale of pharmaceutical products. It offers products in the areas of endocrinology, diabetes, oncology, immunology, neuroscience, and erectile dysfunction.
Summary
BRISTOL-MYERS SQUIBB reported its second quarter 2023 earnings results on July 27th, posting total revenue of USD 11.2 billion, a 5.6% year-on-year decline. Net income for the quarter was USD 2.1 billion, a 45.8% growth compared to the same period in the previous year. The stock price dropped on the same day, indicating a mixed response from investors.
Analysts suggest taking a cautious approach when investing in BRISTOL-MYERS SQUIBB, due to the uncertain prospects caused by the pandemic. Investors should carefully evaluate both short-term and long-term risks before making an investment decision.
