Bristol-Myers Squibb: Strong Launch Portfolio Amid Market Reset

We initiate on BMY with Buy and $57 PT. BRISTOL-MYERS SQUIBB COMPANY is a global biopharma

powerhouse stretching from oncology to immunology, cardiovascular, and rare disease therapeutics. Lost in a market obsessed with legacy erosion and regulatory crosswinds, the engine driving BMY has shifted into a higher gear as high-velocity launches and pipeline catalysts steadily reshape top- line composition. Opdivo demand outlook already surpasses internal trajectory, with 30-40% conversion continuing to sustain outsized momentum; early Cobenfi outperformance carves out space for BMY in a previously overlooked franchise. Buoyant adoption for Camzyos post label expansion — and less stark non-Medicare Eliquis volume pullback despite exclusivity cliffs — offer a backdrop for our FY25E/26E rev estimates staying ahead of Street at +0.7%/3.5%. The Street playbook ignores how BMY's $13B+ FCF and balance sheet strength supports R&D intensity and capital return, helping to mitigate the near-term major headwinds and sharpen the competitive edge. We derive $57 PT by assigning 3.5x EV/sales on our FY26E rev forecast, which is a measured step-up from 2.8x cycle-low but still modest relative to peers/historical. This results in 24% implied equity upside led by MR and the palpable launch portfolio. Yes, broader and sharper price resets/pipeline delays could sap momentum, but we believe these risks are amply reflected in our base case. For those willing to look past the transient noise, the balance of launch execution and appreciation skews risk/reward in BMY's favor.

## Resilient Capital Compounder
We see BMY’s growth portfolio driving a decisive top-line inflection that positions it for