Core Viewpoint - Bristol-Myers Squibb Company (BMY) is set to report its fourth-quarter and full-year 2025 results on February 5, 2026, with consensus estimates for sales at $12.25 billion and earnings per share (EPS) at $1.15. Recent earnings estimates for 2025 have decreased, while those for 2026 have increased slightly [1][4]. Estimate Movement - The current EPS estimates for Q1, Q2, FY 2025, and FY 2026 are $1.15, $1.51, $6.09, and $6.08 respectively, showing a downward trend from previous estimates [2]. - The earnings surprise history indicates that BMY has consistently beaten estimates in the last four quarters, with an average surprise of 20.05% [2][3]. Factors Influencing Q4 Results - BMY's revenue growth is likely supported by its growth portfolio, which includes drugs like Opdivo, Reblozyl, and Breyanzi, despite facing pressure from declining sales of legacy drugs due to generic competition [4][6]. - Opdivo's sales are projected at $2.6 billion, benefiting from label expansions in new indications [7][8]. - Other drugs such as Orencia and Yervoy are also expected to contribute significantly to sales, with estimates of $989 million and $727 million respectively [9]. Legacy Drug Impact - Legacy products accounted for 47% of total sales in the first nine months of 2025, and their decline has negatively impacted overall revenue growth [21]. - Sales from legacy drugs like Eliquis, Revlimid, and Pomalyst are under pressure from generic competition, although Eliquis continues to show strong demand [14][15]. Strategic Collaborations and Acquisitions - BMY's recent acquisition of Orbital Therapeutics adds a promising preclinical RNA immunotherapy candidate to its pipeline, enhancing its capabilities in autoimmune diseases [23]. - The collaboration with BioNTech for the co-development of pumitamig has shown positive interim results, indicating potential in treating various solid tumors [24][25]. Stock Performance and Valuation - BMY's shares have underperformed compared to the industry and the S&P 500, with a current price/earnings ratio of 9.09x, lower than the industry average [17][19]. - The company is viewed as a safe haven for investors in the biotech sector, with a dividend yield of 4.58% providing an incentive to hold shares [26][27].

Core Insights - Bristol-Myers Squibb Company (BMY) reported third-quarter 2025 adjusted earnings per share (EPS) of $1.63, exceeding the Zacks Consensus Estimate of $1.48, but down from $1.80 in the same quarter last year [1] - Total revenues reached $12.2 billion, surpassing the Zacks Consensus Estimate of $11.8 billion, and reflecting a 3% increase year-over-year [1] - The stock price increased following the release of these better-than-expected quarterly results [1] Revenue Breakdown - U.S. revenues increased by 1% to $8.3 billion, while international revenues rose by 6% year-over-year to $3.9 billion [3] - Revenues from the Growth Portfolio totaled $6.9 billion, marking an 18% year-over-year increase, driven by the immuno-oncology portfolio and drugs like Reblozyl, Camzyos, and Breyanzi [4] - Sales of the immuno-oncology drug Opdivo increased by 7% year-over-year to $2.5 billion, surpassing estimates [5] - Other notable sales included Yervoy at $739 million (up 15%), Reblozyl at $615 million (up 37%), and Breyanzi at $359 million (up 60%) [6][9] Legacy Portfolio Performance - The Legacy Portfolio saw a 12% decline in revenues to $5.4 billion, primarily due to generic competition affecting drugs like Revlimid and Pomalyst [11] - Eliquis, however, surged by 25% to $3.7 billion, making it the top revenue generator for BMY [11] Cost and Margin Analysis - Gross margin decreased to 72.9% from 76% year-over-year due to product mix changes [14] - Adjusted R&D expenses rose by 3% to $2.4 billion, while adjusted marketing and administrative expenses decreased by 10% to $1.8 billion [14] Guidance and Future Outlook - BMY raised its annual revenue guidance to $47.5-$48 billion from $46.5-$47.5 billion, reflecting strong Growth Portfolio performance [15] - Adjusted earnings guidance was updated to a range of $6.40-$6.60, slightly lower than previous estimates due to an unfavorable impact from acquired charges [15][16] Pipeline and Acquisitions - The FDA accepted a supplemental biologics license application for Breyanzi, with a target action date set for December 5, 2025 [17] - BMY announced the acquisition of Orbital Therapeutics for $1.5 billion, which will enhance its pipeline with OTX-201, a next-generation CAR T-cell therapy [19][20] Strategic Initiatives - BMY's strategic productivity initiatives are positively impacting the bottom line, while ongoing collaborations, such as with BioNTech for bispecific antibodies, are expected to broaden its pipeline [21][22]