On the surface, Bristol-Myers Squibb's
But the numbers aren't quite what they seem. The company spun off its baby formula business, Mead Johnson Nutrition
While peers Pfizer
It's a bit of a gamble. Bristol-Myers will lose megablockbuster Plavix, which it sells with sanofi-aventis
So far, new offerings such as diabetes medication Onglyza haven't hit their mark. The drug, which Bristol sells with AstraZeneca
But Bristol-Myers does have a decent pipeline including potential melanoma treatment ipilimumab, which could easily be a blockbuster given the unmet need. Bristol can continue to build its pipeline by spending some of its substantial treasure chest, which grew by $476 million during the quarter.
Management is going to have to execute well to make the transition somewhat smooth, but Bristol-Myers has the tools to make that happen.