Bristol Myers Squibb Company (BMY) Hit a 52 Week High, Can the Run Continue?

Have you been paying attention to shares of Bristol Myers Squibb (BMY)? Shares have been on the move with the stock up 15.5% over the past month. The stock hit a new 52-week high of $68.1 in the previous session. Bristol Myers has gained 21.4% since the start of the year compared to the -0.4% gain for the Zacks Medical sector and the 0.8% return for the Zacks Medical - Biomedical and Genetics industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on July 30, 2026, Bristol Myers reported EPS of $2.04 versus consensus estimate of $1.59 while it beat the consensus revenue estimate by 11.15%.

For the current fiscal year, Bristol Myers is expected to post earnings of $6.62 per share on $49.97 in revenues. This represents a 7.64% change in EPS on a 3.69% change in revenues. For the next fiscal year, the company is expected to earn $6.35 per share on $47.05 in revenues. This represents a year-over-year change of -4.01% and -5.85%, respectively.

Valuation Metrics

While Bristol Myers has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

Bristol Myers has a Value Score of A. The stock's Growth and Momentum Scores are C and A, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 9.9X current fiscal year EPS estimates, which is not in-line with the peer industry average of 21.3X. On a trailing cash flow basis, the stock currently trades at 8.1X versus its peer group's average of 13X. Additionally, the stock has a PEG ratio of 0.18. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Bristol Myers an interesting choice for value investors.

Zacks Rank

We also need to consider the stock's Zacks Rank, as this is even more important than the company's VGM Score. Fortunately, Bristol Myers currently has a Zacks Rank of #2 (Buy) thanks to a solid earnings estimate revision trend.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Bristol Myers fits the bill. Thus, it seems as though Bristol Myers shares could still be poised for more gains ahead.

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This article originally published on Zacks Investment Research (zacks.com).

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