A Big Upgrade for Bristol-Myers Squibb

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Enough top-performing CAPS members have turned bullish on Bristol-Myers Squibb (NYSE: BMY) recently to upgrade it from its long held four-star rank to a highest-possible five stars. A total of 1,112 members have given their opinion on Bristol-Myers, with many offering analysis and commentary regarding their recent optimism.

A solid fourth-quarter report from the company likely helped boost investors' confidence in Bristol-Myers. The company reported net income of $1.24 billion for Q4, up from a net loss a year ago, helped by strong sales of Plavix and 13% growth in U.S. pharmaceutical sales. The company kept cost controls tight and increased its cash position to $8 billion, helped partly by the sale of its ImClone shares to Eli Lilly (NYSE: LLY).

The company is also expanding in new ways. It recently announced a deal with Exelixis (Nasdaq: EXEL) and a new license with ZymoGenetics. The latter gives it a possible entry into the hepatitis C drug market, where companies like Schering-Plough (NYSE: SGP) and Vertex Pharmaceuticals (Nasdaq: VRTX) are racing to debut new treatments.

This week, the company pulled off a feat some thought improbable -- an IPO of its Mead Johnson Nutrition business, which raised $720 million. And things could get even more interesting, since the recent Pfizer (NYSE: PFE) and Wyeth (NYSE: WYE) deal has stirred up speculation that Bristol-Myers could become a takeover target of its own.

To see what the very best CAPS analysts are saying now about Bristol-Myers Squibb -- and discover which other winning stocks they are picking -- head on over to CAPS and have a look. Unlike analysts, who reserve their views for paying clients, the community research and resources in CAPS are totally free.

Copyright © 2008 Universal Press Syndicate.