Societe Generale analyst Justin Smith reiterated a Buy rating on Bristol-Myers Squibb Co. (NYSE: BMY) and cut his price target to $66.00 from $70.00 after shares were penalised for the planned divestment of Otezla (psoriasis) to consummate the Celgene acquisition. The stock ended up down
7% on the day (6/24).

The analyst stated "We think this decision (divestiture) signals improving R&D productivity, as it implies that Celgene’s TYK-2 (in phase 3 for psoriasis) has a larger NPV. We acknowledge that the same-day announcement of a setback in immunotherapy (Opdivo) is unhelpful, but we remain convinced that the ex US and post-surgical opportunities in the field are underestimated".

For an analyst ratings summary and ratings history on Bristol-Myers Squibb Co. click here. For more ratings news on Bristol-Myers Squibb Co. click here.

Shares of Bristol-Myers Squibb Co. closed at $45.15 yesterday.