Posted on December 19th, 2022
Bristol-Myers Squibb Co. (BMY) continues to see growth and outpace the S&P 500. Hedge funds were selling in the third quarter though the biopharmaceutical company landed on the WhaleWisdom Heat Map with a rank of four. Bristol-Myers significantly outperformed the S&P 500, rising by approximately 35% compared to the S&P’s loss of about 12%.
Bristol-Myers is a biopharmaceutical company that discovers, develops, and delivers innovative pharmaceutical medicines to combat serious diseases such as cancer and cardiovascular disease. Its primary focus is cancer, cardiovascular, immunology, and fibrotic therapeutic projects. Its products are sold worldwide to hospitals, retail pharmacies, government agencies, and wholesalers.
Hedge Funds Sell
Hedge Funds adjusted their portfolios in the third quarter of 2022, and the aggregate 13F shares held decreased to approximately 207.2 million from 210.8 million, a reduction of about 1.8%. Overall, 15 hedge funds created new positions, 152 added, 40 exited, and 135 reduced their stakes. Institutions lowered their holdings by about 0.9% to $1.61 billion from $1.62 billion.
Analysts expect a rise in earnings through 2023, with year-over-year increases in growth that could bring earnings per share to $7.95 by December 2023, up from a projected $7.62 for December 2022. Revenue predictions are favorable, with an expected increase to about $47.1 billion by the end of 2023, up from an estimated $45.9 billion in 2022. The 13F metrics between 2005 and 2022 show that the stock value and funds held remain on an upward trend.
Analysts Are Cautious
Analyst Trung Huynh of Credit Suisse Group initiated coverage of Bristol-Myers in November with a Neutral rating. Huynh set a $78 price target for the pharmaceutical stock, factoring in Bristol-Myers’ promising pipeline and market competition. Bristol-Myers’ research and development efforts may bring new drugs and more effective pharmaceutical treatments to market.
Bristol-Myers has seen a strong year of steady growth. The company’s track record and earnings projections through 2023 are encouraging. Demand for Bristol-Myers’ products remains strong, and this pharmaceutical stock is an attractive opportunity for long-term investment.