# Bristol-Myers Squibb Company (BMY)

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-12  
**Report type:** Primer (steps 1–3 of 19)  
**API endpoint:** GET /api/v1/research/BMY/primer

## Business Model

---
ticker: BMY
step: 01
generated: 2026-05-12
source: quick-research
---

### Bristol-Myers Squibb Company (BMY) — Business Overview

#### Business Description
Bristol Myers Squibb is a global biopharmaceutical company facing one of the largest patent cliff transitions in industry history. The company's "growth portfolio" (Opdivo, Eliquis, Reblozyl, Camzyos, Cobenfy, Breyanzi, Opdualag) now represents the majority of revenue, while the "legacy portfolio" (Revlimid, Pomalyst, Sprycel, Abraxane) declines from generic competition. The $14B Karuna Therapeutics acquisition brought Cobenfy (xanomeline + trospium), the first new schizophrenia mechanism in decades — central to the bull case. CEO Christopher Boerner (since November 2023).

#### Revenue Model
- **Growth Portfolio (~54% of revenue, growing):** Opdivo, Eliquis (declining 2028), Reblozyl, Camzyos, Cobenfy, Breyanzi, Opdualag, Yervoy, Sotyktu
- **Legacy Portfolio (~46%, declining):** Revlimid (declining), Pomalyst, Sprycel, Abraxane — generics eroding
- **Royalties + other:** modest

#### Products & Services

##### Cardiovascular
- **Eliquis (apixaban):** Anticoagulant (co-marketed with Pfizer), $13B+ annual — IRA price negotiation 2026 + European patent expiry May 19, 2026 + US LOE 2028
- **Camzyos:** HCM (hypertrophic cardiomyopathy) — first-in-class growth driver

##### Oncology
- **Opdivo (nivolumab):** Anti-PD-1 — $9B+ annual; US LOE 2028
- **Opdualag:** Combination of nivolumab + relatlimab (LAG-3)
- **Yervoy (ipilimumab):** CTLA-4
- **Breyanzi:** CAR-T (lisocabtagene maraleucel) for lymphoma
- **Reblozyl (luspatercept):** MDS-associated anemia
- **Krazati (adagrasib):** KRAS G12C lung cancer
- **Abecma (idecabtagene vicleucel):** CAR-T multiple myeloma

##### Hematology
- **Revlimid (declining):** Multiple myeloma — generics eroding rapidly
- **Pomalyst:** Multiple myeloma
- **Sprycel:** CML (generics)

##### Immunology / Neuroscience (Newer)
- **Sotyktu (deucravacitinib):** Oral psoriasis TYK2 inhibitor
- **Cobenfy (xanomeline + trospium):** Schizophrenia M1/M4 muscarinic agonist (acquired Karuna 2024)
- **Cobenfy expansion:** Alzheimer's psychosis (ADEPT-2, delayed to 2026)

#### Customer Base & Go-to-Market
- **Patients globally:** Cardiology, oncology, hematology, psychiatry
- **Specialists:** Hematologist-oncologists, cardiologists, rheumatologists, psychiatrists, neurologists
- **Payers:** US PBMs/insurers, ex-US single-payer health systems
- **Cobenfy launch:** 90%+ Medicaid coverage by 2026
- **Geographic mix:** ~70% US, ~30% International

#### Competitive Position
BMS is a global top-7 pharmaceutical company by revenue. Moats: (1) Eliquis dominance in anticoagulants (though IRA + LOE coming), (2) Opdivo IO franchise (despite LOE 2028), (3) Cobenfy first-in-class schizophrenia, (4) Reblozyl + Camzyos differentiated mechanisms. Faces (1) Eliquis LOE Europe May 2026, US 2028, (2) Opdivo LOE 2028, (3) Revlimid generics, (4) Cobenfy commercial uptake slower than hoped + $23K/year price stymied by insurers.

#### Key Facts
- Founded: 1858 (Edward R. Squibb); current entity via 1989 Bristol-Myers + Squibb merger; 2019 Celgene acquisition $74B
- Headquarters: Princeton/Lawrenceville, NJ
- Employees: ~31,000
- Exchange: NYSE
- Sector / Industry: Health Care / Pharmaceuticals
- Market Cap: ~$95B (May 2026)
- CEO: Dr. Christopher S. Boerner (since November 2023)
- Dividend: $2.48 annual ($0.62 quarterly) — 4.2% yield
- 16+ consecutive years of dividend growth
- Major recent M&A: Karuna $14B (2024); Mirati $4.8B (2024); RayzeBio

## Financial Snapshot

---
ticker: BMY
step: 04
generated: 2026-05-12
source: quick-research
---

### Bristol-Myers Squibb Company (BMY) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2023 | FY2024 | FY2025 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | $45.0B | $48.3B | $48.2B | flat |
| Growth Portfolio | growing | ~$22B | ~$25B | +13% |
| Legacy Portfolio | declining | ~$26B | ~$23B | -12% |
| Adj. Operating Margin | 36% | 33% | 32% | -1pp |
| Adj. EPS | $7.50 | $6.83 | $6.15 | -10% |
| Free Cash Flow | $13B | $14B | $13B | -7% |

#### 2026 Guidance

| Metric | 2026 Guide |
|--------|------------|
| Total Revenue | $46-47.5B (-2 to -4%) |
| Adj. EPS | declining further (legacy drag) |
| FCF Estimate | ~$15B |
| Dividend | 4.2% yield maintained |

#### Q1 2026 Highlights

| Metric | Q1 2026 |
|--------|---------|
| Growth Portfolio Revenue | $6.2B (+9% ex-FX) |
| Eliquis | $4.14B (+16% growth) |
| Cobenfy | $56M (doubled QoQ) |
| Opdivo | $2.1B (-8%) |
| Orencia | $818M |
| Reblozyl | $555M (+16%) |
| Legacy Portfolio | $5.3B (-6%) |

#### Key Product Detail

| Product | FY25 Sales | 2028 LOE Risk |
|---------|-----------|---------------|
| Eliquis | $14.4B | Europe May 2026; US 2028 |
| Opdivo | $9B+ | US 2028 |
| Revlimid | declining | generics already eroding |
| Cobenfy | <$200M (early launch) | new launch |
| Reblozyl | $2B+ | growing |
| Camzyos | $0.6-1B | growing |
| Sotyktu | $0.5B+ | growing |

#### Cobenfy Trajectory

| Period | Cobenfy Revenue |
|--------|----------------|
| Q4 2024 (launch) | $10M |
| Q1 2026 | $56M |
| Cantor Fitzgerald target | Blockbuster ($1B+) by 2026-2027 |
| Stifel peak target | $10B |
| Pricing | $23,000/year |

#### Eliquis LOE Trajectory

| Year | Eliquis Global Sales |
|------|---------------------|
| 2024 | $13B |
| 2025 | $14.4B |
| 2026 forecast | -15.2% (EU patent May 19) |
| 2028 (US LOE) | sharp decline |
| 2031 | $205M (98.6% erosion) |

#### Cash Flow & Balance Sheet (FY2025)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$14B |
| Capital Expenditures | ~$1B |
| Free Cash Flow | $13B |
| Cash & Investments | ~$10B |
| Total Debt | ~$50B (post-Karuna + Mirati + RayzeBio) |
| Net Debt/EBITDA | ~3.0x |

#### Key Ratios (approximate, May 2026)
- P/E (forward): ~7-8x | EV/EBITDA: ~6x | Dividend Yield: ~4.2%
- ROIC: ~12% (declining as legacy fades)
- FCF Yield: ~14%

#### Growth Profile
FY25 revenue flat at $48.2B — growth portfolio compensating for legacy decline. 2026 guidance $46-47.5B (-2 to -4%) reflects accelerating LOE drag. The "growth gap": ~$38B in at-risk revenue (Eliquis + Opdivo). Bull case requires Cobenfy + Camzyos + Reblozyl + pipeline to deliver $10-15B+ replacement revenue by 2030.

#### Forward Estimates
- **2026E Revenue:** $46-47.5B (mgmt)
- **2026E Adj EPS:** ~$5.50-6.00
- **2028E EPS (LOE trough):** ~$4.50-5
- **2030E EPS (Cobenfy ramp):** depends entirely on Cobenfy success

#### Capital Return
- Dividend $2.48 annual = ~$5B paid — 4.2% yield
- 16+ consecutive years of dividend growth
- Buybacks moderated post-Karuna debt paydown
- High dividend yield reflects market pricing in pipeline uncertainty

## Recent Catalysts

---
ticker: BMY
step: 12
generated: 2026-05-12
source: quick-research
---

### Bristol-Myers Squibb Company (BMY) — Investment Catalysts & Risks

#### Bull Case Drivers

1. **Cobenfy = potential $10B peak schizophrenia + Alzheimer's psychosis** — Cobenfy (xanomeline + trospium chloride, acquired via $14B Karuna deal) is the first new-class schizophrenia mechanism in decades. Stifel peak sales target $10B. Q1 2026 sales $56M (doubled QoQ). 90% Medicaid coverage by 2026 expanding. ADEPT-2 trial in Alzheimer's psychosis delayed to 2026 — major catalyst. Cantor Fitzgerald: "breakout" year 2026.

2. **Eliquis 16% growth in Q1 2026 — LOE worst-case overblown?** — Q1 2026 Eliquis sales +16% to $4.14B despite IRA Medicare price negotiation effective Jan 2026. Lower prices have paradoxically expanded patient access, driving volume. Bulls argue "worst-case scenarios" feared in 2024-2025 may have been overblown.

3. **4.2% dividend yield + $13-15B FCF = defensive value** — Stock at ~7-8x forward EPS and 4.2% dividend yield. FCF projection $15B for 2026. With 16+ consecutive years of dividend growth + strong cash flow, BMY offers defensive yield even if growth thesis works partially. Combination of low multiple + high yield + LOE optionality = contrarian deep-value setup.

4. **Camzyos + Reblozyl + Sotyktu growth products scaling** — Beyond Cobenfy, multiple growth products: Camzyos (HCM) approaching $1B; Reblozyl ($2B+ MDS anemia); Sotyktu ($500M+ psoriasis). These products + Cobenfy provide multiple shots at offsetting the Eliquis + Opdivo cliff.

#### Bear Case Risks

1. **$38B growth gap from Eliquis + Opdivo LOE** — Eliquis European patent expires May 19, 2026 = 15.2% sales decline 2026. US LOE 2028. Eliquis global sales projected to fall from $14.4B (2025) → $205M (2031) — 98.6% erosion. Opdivo US LOE 2028. Combined: ~$38B in at-risk revenue. Cobenfy + Camzyos + Reblozyl combined may peak at $15-20B — material growth gap remains.

2. **Cobenfy commercial uptake slower than hoped** — Cobenfy missed Q3 2025 estimates; Bloomberg reported $23,000/year price "stymied by insurance, doctors." Phase 4 ADEPT-2 (Alzheimer's psychosis) had "site irregularities" requiring trial extension. April 2026: 400-person study found Cobenfy not significantly better than placebo as add-on to atypical antipsychotics. If Cobenfy ramp materially slower than bull cases assume, the patent cliff narrative dominates.

3. **William Blair: "not much to get excited about in late-stage pipeline"** — Despite multiple acquisitions ($14B Karuna, $4.8B Mirati, RayzeBio), the late-stage pipeline lacks depth. Cobenfy is the single biggest swing. If Cobenfy peaks at $3-5B (vs $10B bull case), BMY structurally smaller post-2028.

4. **TrumpRX + Medicare pricing pressure** — Beyond IRA Medicare price negotiation that already hit Eliquis, the TrumpRX policy environment introduces further unknowns. Additional drugs (Opdivo, Cobenfy when negotiated) could face similar pressure. Pricing risk is structural for big pharma but particularly acute for BMS given product mix.

#### Upcoming Events

- **Q2 2026 earnings (July 2026)** — Eliquis post-IRA + EU LOE trajectory; Cobenfy growth pace
- **Q3 2026 earnings (October 2026)** — Mid-year guidance reset
- **ADEPT-2 Alzheimer's psychosis data** — Now expected 2026 — potential Cobenfy expansion
- **Cobenfy formulary wins** — Medicaid coverage milestones
- **EU Eliquis competitive launches** — Generic anticoagulants

#### Analyst Sentiment

Sell-side consensus is **Hold / Moderate Buy** with average price targets in the $52-60 range vs. recent ~$48 trading levels (~8-25% upside). Bulls (Seeking Alpha Strong Buy, Cantor Fitzgerald, Stifel) cite Cobenfy potential + 4.2% dividend + low P/E. Bears focus on $38B LOE gap + slow Cobenfy uptake + pipeline depth. The setup is contrarian deep value with binary Cobenfy catalyst.

#### Research Date
Generated: 2026-05-12

## Full Research Available

This primer covers steps 1–3 of 19. The full deep dive (moat analysis, DCF, bull/bear,
management quality, earnings transcript analysis) is available via:

- Investment memo: /memo/bmy
- Full research API: GET /api/v1/research/BMY/memo
- Coverage universe: /stocks