The amount of risk mitigation in BMY earnings going forward over the last six months is almost unbelievable in light of the $5 plus per share drop since mid summer.
I know one can't fight total market moves, the Fed, etc., but at some point, the PPS has to reflect the real world promise.
- has 25 plus commercially approved drugs.
- Dr. Reddy settlement smooths the slope of Revlimid t0 2026 - probably more than made up by new indications
- Opdiva upside substantial given new clinical results off setting Ketruda lead in lung cancer
- Pipeline blockbusters coming on stream, etc., etc.
-The combination, certainly offsetting some portion of legislative intervention on prescription drug pricing - a 15% impact on earnings still puts earnings at $5.50 which at a 14 P//E nets a high $70's stock price.
At some point, market and politics aside, BMY's PPS will reflect (my view) of reality - hopefully sooner than later.
Wall street is very fickle. No wonder, Jim Cramer can be a star.
In the meantime, I continue to hold - a bit frustrated, but sleeping well.
Good luck longs.