Leerink downgrades Bristol Myers, flags pipeline risks
BMY•Leerink Partners downgraded Bristol Myers Squibb to market perform from outperform and cut its price target to $59 from $73. The brokerage cited pipeline and patent-expiry risks, cutting its 2032 sales estimates for admilparant by 38% and milvexian by 25%, and its 2032 EPS estimate by 11% to $4.96.
1. Rating and estimates
Leerink Partners downgraded Bristol Myers Squibb to market perform from outperform and lowered its price target to $59 from $73. The brokerage cited uncertainty around three key programs and upcoming patent expiries, and cut its 2032 EPS estimate by 11% to $4.96.
2. Pipeline concerns
Leerink said experimental lung-disease drug admilparant could disappoint on effectiveness or safety, including possible liver problems and low blood pressure, and cut its 2032 sales estimate by 38%. It questioned whether experimental blood thinner milvexian can match Eliquis in preventing strokes in patients with irregular heartbeat, cutting its 2032 sales estimate by 25%. The brokerage also said cheaper generic antipsychotics could limit demand for Cobenfy, even if it is approved for Alzheimer's-related psychosis.
