Analyst Says Bristol-Myers Squibb (BMY) Among the Best ‘Deep Value’ Stocks to Buy

Core Viewpoint - Bristol-Myers Squibb Company (NYSE:BMY) is identified as a trending stock with significant deep value potential, trading at a substantial discount to fair value and offering a high dividend yield [1][2] Group 1: Stock Valuation and Performance - BMY is rated as a five-star stock, trading at a 33% discount to its fair value [1] - The stock offers a dividend yield of 5.6% and trades at under eight times earnings estimates for the current year [1] - The company has faced challenges with upcoming patent expirations but has a promising pipeline that may not be fully recognized by the market [1] Group 2: Patent Expiry and Market Competition - BMY has three major franchises facing patent expirations: Revlimid (generic competition starting in 2026), Eliquis (generic entry in 2028/29), and Opdivo (biosimilar competition starting in 2029) [2] - The company is attempting to mitigate the impact of these expirations with new product formulations, such as a subcutaneous version of Opdivo [2] Group 3: Investment Sentiment and Positioning - PGIM Jennison Health Sciences Fund initiated a position in BMY due to perceived undervaluation and positive expectations for its neuropsychiatric drug Cobenfy [2] - The fund later took profits as the stock rallied, but subsequently reduced its position due to concerns over trial designs and disappointing updates on key products [2]