Overview
Barclays has opened coverage on Bristol-Myers Squibb Co. (NYSE: BMY) with an overweight rating and a price target set at $75.00, the bank said Thursday. The target equates to about 24% potential upside from the stock’s then-current level of $60.30. InvestingPro analytics additionally flag the shares as undervalued according to their Fair Value assessment.
Analyst rationale
Barclays acknowledged the near-term revenue pressure Bristol-Myers Squibb faces as exclusivity on two of its leading products, Eliquis and Opdivo, approaches expiration. Despite that patent cliff, the bank pointed to early positive signals from the company's development pipeline as the reason for initiating coverage with an overweight view.
In its research note Barclays wrote: "Though BMY faces a sharp patent cliff as it’s set to soon lose exclusivity for Eliquis and Opdivo, green shoots from the company’s pipeline are starting to emerge. We see the stars aligning for upward estimate revisions and multiple expansion at Bristol as we get more pipeline nuggets throughout FY26 and initiate coverage with an OW rating."
Expectations for fiscal 2026
Barclays expects that as additional clinical and pipeline data become public through fiscal year 2026, the market will respond with estimate upgrades and valuation multiple expansion. That outlook underpins the bank’s overweight stance and the $75 target.
Supporting market signals
InvestingPro content cited alongside the coverage initiation shows a cluster of analyst activity and internal assessments that complement Barclays’ view. According to those tips, six analysts have recently raised earnings estimates for the upcoming period. InvestingPro also assigns Bristol-Myers Squibb a "GREAT" financial health score and lists 13 ProTips in total for the company, along with a Pro Research Report intended to synthesize Wall Street data for users.
Recent financial results and regulatory news
Bristol-Myers Squibb reported fourth-quarter revenue of $12.5 billion, which was roughly 2.9% above consensus. Adjusted earnings per share for the quarter came in at $1.26, or about 10.3% above the consensus estimate of $1.14. Separately, the U.S. Food and Drug Administration accepted the company’s New Drug Application for iberdomide, granting Breakthrough Therapy Designation and Priority Review, with a target action date of August 17, 2026.
Peer and analyst responses
Other sell-side reactions to the company’s news and outlook are mixed. Bernstein retained a Market Perform rating and a $58 price target. Guggenheim raised its price target to $72 while maintaining a Buy rating, citing a constructive outlook for 2026. Wells Fargo lifted its target to $60 and highlighted potential upside beyond current guidance. Truist reiterated a Buy rating and a $65 price target, referencing favorable clinical trial read-throughs from a competitor’s program.
Conclusion
Barclays’ initiation of coverage at overweight and a $75 target rests on early pipeline momentum and the expectation that fiscal 2026 data flow will prompt both earnings upgrades and valuation multiple expansion. The company faces tangible near-term revenue risks tied to upcoming loss of exclusivity for key drugs, while recent quarterly results and regulatory milestones provide offsetting signals for investors.