Bristol-Myers Squibb(BMY) Seeking Alpha·2024-09-06 13:00Core Viewpoint - Bristol-Myers Squibb (BMY) has shown significant recovery in its stock price, appreciating by 26.56% from 49.80 since July, indicating strong underlying value despite previous losses [1][5][13] Financial Performance - BMY reported Q2 2024 revenue of 680 million [5][6] - The company generated 11.91 billion in Q1 due to acquisition costs [1][5] - Non-GAAP EPS improved from -2.07 in Q2, marking a 48.86 billion in long-term debt, with recent unsecured senior notes issued at interest rates between 4.95% and 5.65% [7][10] - Anticipated rate cuts could allow BMY to refinance its debt, reducing interest expenses and enhancing profitability [7][10] - The market is projecting a significant likelihood of rate cuts, which could positively impact BMY's financials moving forward [7][10] Dividend and Shareholder Returns - BMY maintains a dividend yield of 4.8%, with a commitment to returning cash to shareholders through its dividend program [12][13] - The company has a history of dividend growth, with a 5-year average growth rate of 7.77% [12] Market Position and Valuation - BMY is trading at less than 10 times next year's earnings, which is considered undervalued compared to peers [1][10] - The stock's current valuation is viewed as attractive, especially given the potential for future earnings growth and yield [10][13] Product Pipeline and Regulatory Approvals - BMY has gained regulatory approvals for several products, including Breyanzi, Krazati, and Augtyro, and is advancing in clinical trials across various therapeutic areas [6][12] - The company has raised its guidance for 2024, expecting diluted EPS to be between 0.90, up from previous estimates [6]