Bristol Reports Solid Q2 With New Drug Traction and Pipeline Gains Offsetting Patent Pressures

Bristol reported second-quarter results largely in line with our projections, and we don’t expect any major changes to our fair value estimate. With the stock trading slightly above our fair value, we don’t see a lot of upside in the near term. Earlier-stage drugs could hold more potential, but we haven’t modeled major sales yet, as we are awaiting late-stage data. Nevertheless, Bristol is making excellent strides driving sales of recently launched drugs and developing the pipeline to offset the massive patent losses facing the firm over the next six years, a key factor supporting the firm’s wide moat.