Latest Ratios: P/E Ratio 18.0x · EV/EBITDA 9.3x · ROE 40.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $127.1B | $110.1B | $114.6B | $106.6B | $154.4B | $140.0B | $140.1B | $109.9B | $85.1B | $101.2B | $98.2B |
| Enterprise Value | $164.0B | $147.0B | $155.5B | $136.6B | $186.0B | $171.6B | $177.2B | $145.1B | $85.5B | $103.8B | $100.7B |
| P/E Ratio → | 18.04 | 15.63 | — | 13.29 | 24.39 | 19.98 | — | 31.94 | 17.16 | 100.46 | 22.05 |
| P/S Ratio | 2.64 | 2.28 | 2.37 | 2.37 | 3.35 | 3.02 | 3.29 | 4.20 | 3.77 | 4.87 | 5.05 |
| P/B Ratio | 6.87 | 5.95 | 7.00 | 3.62 | 4.96 | 3.89 | 3.70 | 2.13 | 6.02 | 8.55 | 6.01 |
| P/FCF | 9.90 | 8.57 | 8.22 | 8.43 | 12.92 | 9.19 | 10.53 | 14.90 | 13.92 | 23.99 | 53.27 |
| P/OCF | 8.98 | 7.78 | 7.55 | 7.69 | 11.82 | 8.64 | 9.97 | 13.39 | 12.04 | 19.19 | 32.11 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.05 | 3.22 | 3.04 | 4.03 | 3.70 | 4.17 | 5.55 | 3.79 | 4.99 | 5.18 |
| EV / EBITDA | 9.25 | 8.29 | 8.07 | 7.49 | 9.52 | 8.48 | 11.91 | 17.73 | 12.16 | 17.22 | 18.10 |
| EV / EBIT | 11.95 | 13.10 | — | 14.22 | 20.79 | 18.19 | — | 25.77 | 13.90 | 19.48 | 16.55 |
| EV / FCF | — | 11.45 | 11.15 | 10.80 | 15.57 | 11.26 | 13.32 | 19.68 | 13.99 | 24.59 | 54.61 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 71.1% | 71.1% | 56.8% | 56.3% | 57.4% | 57.7% | 51.0% | 66.0% | 71.3% | 72.0% | 74.6% |
| Operating Margin | 28.5% | 28.5% | 20.0% | 18.8% | 20.1% | 20.6% | 10.6% | 24.6% | 28.3% | 25.2% | 26.7% |
| Net Profit Margin | 14.6% | 14.6% | -18.5% | 17.8% | 13.7% | 15.1% | -21.2% | 13.2% | 21.8% | 4.8% | 22.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 40.4% | 40.4% | -39.0% | 26.5% | 18.9% | 18.9% | -20.1% | 10.4% | 37.9% | 7.1% | 29.0% |
| ROA | 7.7% | 7.7% | -9.5% | 8.4% | 6.1% | 6.1% | -7.2% | 4.2% | 14.4% | 3.0% | 13.6% |
| ROIC | 18.3% | 18.3% | 12.4% | 10.4% | 10.7% | 10.0% | 4.2% | 9.5% | 33.1% | 23.7% | 20.7% |
| ROCE | 20.3% | 20.3% | 13.6% | 11.5% | 11.4% | 10.2% | 4.3% | 9.5% | 26.5% | 21.4% | 21.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.55 | 2.55 | 3.12 | 1.41 | 1.31 | 1.27 | 1.36 | 0.92 | 0.52 | 0.67 | 0.41 |
| Debt / EBITDA | 2.66 | 2.66 | 2.66 | 2.27 | 2.08 | 2.25 | 3.47 | 5.81 | 1.05 | 1.32 | 1.21 |
| Net Debt / Equity | — | 2.00 | 2.49 | 1.02 | 1.02 | 0.88 | 0.98 | 0.68 | 0.03 | 0.21 | 0.15 |
| Net Debt / EBITDA | 2.08 | 2.08 | 2.12 | 1.65 | 1.62 | 1.56 | 2.50 | 4.30 | 0.06 | 0.42 | 0.44 |
| Debt / FCF | — | 2.88 | 2.93 | 2.37 | 2.64 | 2.08 | 2.79 | 4.77 | 0.07 | 0.60 | 1.34 |
| Interest Coverage | 5.93 | 5.93 | -3.30 | 8.24 | 7.26 | 7.07 | -3.84 | 8.58 | 33.61 | 27.18 | 36.42 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.26 | 1.26 | 1.25 | 1.43 | 1.25 | 1.52 | 1.58 | 1.60 | 1.66 | 1.55 | 1.55 |
| Quick Ratio | 1.14 | 1.14 | 1.15 | 1.31 | 1.14 | 1.43 | 1.47 | 1.37 | 1.55 | 1.43 | 1.41 |
| Cash Ratio | 0.46 | 0.46 | 0.46 | 0.55 | 0.42 | 0.79 | 0.86 | 0.84 | 0.82 | 0.71 | 0.72 |
| Asset Turnover | — | 0.54 | 0.52 | 0.47 | 0.48 | 0.42 | 0.36 | 0.20 | 0.64 | 0.62 | 0.58 |
| Inventory Turnover | 5.18 | 5.18 | 8.16 | 7.38 | 8.41 | 9.37 | 10.04 | 2.07 | 5.43 | 4.99 | 3.97 |
| Days Sales Outstanding | — | 110.00 | 109.00 | 123.79 | 110.21 | 98.49 | 90.60 | 107.29 | 92.98 | 110.68 | 104.14 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.0% | 4.6% | 4.2% | 4.4% | 3.0% | 3.1% | 2.9% | 2.4% | 3.1% | 2.5% | 2.6% |
| Payout Ratio | 71.5% | 71.5% | — | 59.1% | 73.2% | 62.9% | — | 77.9% | 53.1% | 255.9% | 57.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.5% | 6.4% | — | 7.5% | 4.1% | 5.0% | — | 3.1% | 5.8% | 1.0% | 4.5% |
| FCF Yield | 10.1% | 11.7% | 12.2% | 11.9% | 7.7% | 10.9% | 9.5% | 6.7% | 7.2% | 4.2% | 1.9% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 4.8% | 5.2% | 4.5% | 1.1% | 6.6% | 0.4% | 2.4% | 0.2% |
| Total Shareholder Yield | 4.0% | 4.6% | 4.2% | 9.3% | 8.2% | 7.6% | 4.0% | 9.1% | 3.4% | 5.0% | 2.8% |
| Shares Outstanding | — | $2.0B | $2.0B | $2.1B | $2.1B | $2.2B | $2.3B | $1.7B | $1.6B | $1.7B | $1.7B |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying BMY stock.
Bristol-Myers Squibb Company's current P/E ratio is 18.0x. The historical average is 27.6x. This places it at the 32th percentile of its historical range.
Bristol-Myers Squibb Company's current EV/EBITDA is 9.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 14.2x.
Bristol-Myers Squibb Company's return on equity (ROE) is 40.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 26.4%.
Based on historical data, Bristol-Myers Squibb Company is trading at a P/E of 18.0x. This is at the 32th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Bristol-Myers Squibb Company's current dividend yield is 3.97% with a payout ratio of 71.5%.
Bristol-Myers Squibb Company has 71.1% gross margin and 28.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Bristol-Myers Squibb Company's Debt/EBITDA ratio is 2.7x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Patent cliff and IRA pricing
Metrics are mathematically derived from official filings.
Margin Recovery Masks Underlying Mix Shift
Gross margin expanded from 55.5% in 2024Q1 to 71.3% in 2026Q2, per income statement data, reflecting a favorable product mix and cost discipline, though sustainability is uncertain as legacy products erode.
The gross margin improvement is striking, but it likely reflects a shift toward higher-margin biologics and cost controls rather than a structural change. Operating margin at 31.5% in 2026Q2 is well above the 20.5% seen in 2024Q4, yet this may be partly due to one-time items and timing. Investors should monitor whether these margins hold as Revlimid and Eliquis face generic and IRA pressures, which could compress both gross and operating margins.
ROIC Recovery Still Below Pre-Acquisition Levels
ROIC improved to 5.4% in 2026Q2 from 1.9% in 2024Q1, as per reported figures, but remains far below the cost of capital and peer averages, suggesting the Celgene acquisition continues to dilute returns.
The upward trend in ROIC is encouraging, but the absolute level is low relative to peers like MRK (22.0%) and ABBV (23.9%). The improvement is driven by margin expansion and a shrinking asset base as debt is repaid, but the intangible-heavy balance sheet from the Celgene deal still suppresses returns. Without a significant revenue inflection from new products, ROIC may plateau well below the levels that justify the current valuation.
Working Capital Efficiency Shows Mixed Signals
Cash conversion cycle improved to 44 days in 2026Q2 from 103 days in 2024Q1, per balance sheet data, driven by faster receivables collection and extended payables, though DIO volatility suggests inventory management challenges.
The sharp reduction in CCC is a positive sign, but it is partly due to a spike in DPO to 102 days, which may not be sustainable. DSO fell from 112 to 79 days, indicating better collection, but DIO swung from 49 to 67 days, reflecting lumpy inventory for cell therapies. These swings suggest working capital management is not yet stable, and the company may be using supplier leverage to mask underlying inefficiencies.
Deleveraging Progress but Debt Load Remains Heavy
Debt-to-equity fell from 3.47 to 1.93 over ten quarters, per balance sheet data, and interest coverage improved to 11.04 in 2026Q2, yet total debt of $43.1B still exceeds equity, leaving limited financial flexibility.
The deleveraging trend is clear, with D/EBITDA down from 14.12 to 9.51, but the absolute leverage is still high relative to peers like MRK (0.96) and PFE (0.78). Interest coverage at 11.04 is comfortable, but it is sensitive to earnings volatility, as seen in 2024Q4 when coverage dropped to 1.35. The company's ability to service debt while funding R&D and dividends will be tested as patent cliffs reduce cash flows.
Liquidity Buffer Strengthens but Inventory Risk Persists
Current ratio improved to 1.53 in 2026Q2 from 1.11 in 2024Q1, per balance sheet data, with cash at $8.7B, but quick ratio of 1.38 suggests limited cushion if inventory becomes obsolete.
The liquidity position has improved, but the reliance on inventory for current assets is notable, especially given the high-cost cell therapy products that carry expiration risk. The quick ratio of 1.38 is adequate but not robust, and a major inventory write-down could strain liquidity. The company's cash generation is strong, but the need to fund debt repayments and dividends may limit the ability to build a larger cash buffer.
P/E Misleads on Earnings Quality
The trailing P/E of 18.98 is distorted by acquisition-related amortization and one-time charges, per reported financials, making forward P/E of 9.90 a more accurate gauge, but even that may overstate earnings power.
The most commonly misapplied ratio for BMY is the P/E, because GAAP earnings are heavily impacted by non-cash amortization from the Celgene acquisition, which depresses net income and inflates the P/E. The forward P/E of 9.90 appears cheap, but it relies on adjusted earnings that exclude these charges, which may not fully reflect the cash costs of maintaining the pipeline. Investors should use EV/EBITDA (9.62) or P/FCF (10.41) as more reliable valuation metrics, as they better capture the underlying cash generation and are less distorted by accounting choices.