Tough year takes its toll on B-MS shares and outlook

US pharma major Bristol-Myers Squibb (NYSE: BMY) might have been able to point to a 17% increase in its 2016 sales compared to 2015, but it share price and outlook for 2017 tell a different story of the year it has had.

Its key immuno-oncology drug Opdivo (nivolumab) was a massive seller but it has had a tough time in the race against lead competitor Keytruda (pembrolizumab), marketed by US pharma giant Merck & Co (NYSE: MRK), in particular with the news that B-MS’ treatment had failed to meet the main goal of a critical study exploring its first-line use in advanced lung cancer patients.

This month’s news that B-MS had decided not to pursue an accelerated regulatory pathway for Opdivo in combination with Yervoy (ipilimumab) in the same indication was a further blow, increasing the need further for B-MS to accentuate the positive as the annual results were published on Thursday.