Price to FCFE (P/FCFE)

Free Cash Flow to Equity (FCFE)
P to FCFE Ratio, Current
P to FCFE Ratio, Historical

Free Cash Flow to Equity (FCFE)

Bristol-Myers Squibb Co., FCFE calculation

US$ in millions

12 months ended:	Dec 31, 2025	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Net earnings (loss) attributable to BMS	7,054)	(8,948)	8,025)	6,327)	6,994)
Noncontrolling interest	1)	15)	15)	18)	20)
Net noncash charges	7,556)	23,313)	7,734)	8,950)	10,446)
Changes in operating assets and liabilities	(455)	810)	(1,914)	(2,229)	(1,253)
Net cash provided by operating activities	14,156)	15,190)	13,860)	13,066)	16,207)
Capital expenditures	(1,311)	(1,248)	(1,209)	(1,118)	(973)
Proceeds from issuance of short-term debt obligations	—)	2,987)	—)	—)	—)
Repayments of short-term debt obligations	—)	(3,000)	—)	—)	—)
Other short-term financing obligations, net	25)	99)	(120)	194)	(160)
Proceeds from issuance of long-term debt	5,740)	12,883)	4,455)	5,926)	—)
Repayment of long-term debt	(10,940)	(2,873)	(3,879)	(11,431)	(6,022)
Free cash flow to equity (FCFE)	7,670)	24,038)	13,107)	6,637)	9,052)

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

Net cash provided by operating activities exhibited volatility over the five-year period. Beginning at US$16,207 million in 2021, it decreased to US$13,066 million in 2022, before recovering to US$13,860 million in 2023. A further increase was noted in 2024, reaching US$15,190 million, followed by a slight decline to US$14,156 million in 2025.

Free Cash Flow to Equity (FCFE): The Free Cash Flow to Equity demonstrated significant fluctuations throughout the period. It began at US$9,052 million in 2021, then decreased substantially to US$6,637 million in 2022. A marked recovery occurred in 2023, with FCFE rising to US$13,107 million. This positive trend continued into 2024, reaching a peak of US$24,038 million. However, FCFE experienced a considerable decrease in 2025, falling to US$7,670 million.; The substantial increase in FCFE in 2024, relative to prior years, warrants further investigation to determine the underlying drivers. Conversely, the significant decline in FCFE in 2025, despite relatively stable operating cash flows, suggests potential changes in financing activities or equity-related transactions that require scrutiny.; The divergence between operating cash flow and FCFE trends, particularly in 2024 and 2025, indicates that factors beyond core operations are significantly influencing the cash available to equity holders. These factors could include debt repayment, share repurchases, dividend payments, or equity issuances.

Overall, the period was characterized by considerable variability in both operating cash flows and, more prominently, in Free Cash Flow to Equity. The pronounced swings in FCFE suggest a dynamic capital structure and/or shifting priorities regarding the allocation of cash to equity holders.

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Price to FCFE Ratio, Current

Bristol-Myers Squibb Co., current P/FCFE calculation, comparison to benchmarks

No. shares of common stock outstanding	2,036,473,705
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)	7,670)
FCFE per share	3.77
Current share price (P)	57.48
Valuation Ratio
P/FCFE	15.26
Benchmarks
P/FCFE, Competitors¹
AbbVie Inc.	20.73
Amgen Inc.	77.57
Danaher Corp.	21.13
Eli Lilly & Co.	50.25
Gilead Sciences Inc.	22.21
Johnson & Johnson	19.34
Merck & Co. Inc.	11.89
Pfizer Inc.	17.04
Regeneron Pharmaceuticals Inc.	20.58
Thermo Fisher Scientific Inc.	15.08
Vertex Pharmaceuticals Inc.	36.17
P/FCFE, Sector
Pharmaceuticals, Biotechnology & Life Sciences	22.96
P/FCFE, Industry
Health Care	22.66

Based on: 10-K (reporting date: 2025-12-31).

¹ Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Price to FCFE Ratio, Historical

Bristol-Myers Squibb Co., historical P/FCFE calculation, comparison to benchmarks

	Dec 31, 2025	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
No. shares of common stock outstanding¹	2,036,473,705	2,029,312,023	2,022,193,411	2,098,775,978	2,179,712,820
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)²	7,670)	24,038)	13,107)	6,637)	9,052)
FCFE per share³	3.77	11.85	6.48	3.16	4.15
Share price^1, 4	59.93	56.15	48.71	72.25	67.14
Valuation Ratio
P/FCFE⁵	15.91	4.74	7.52	22.85	16.17
Benchmarks
P/FCFE, Competitors⁶
AbbVie Inc.	22.73	13.57	17.37	22.66	18.76
Amgen Inc.	82.34	25.50	4.71	8.32	13.52
Danaher Corp.	23.34	40.83	53.08	32.04	20.75
Eli Lilly & Co.	57.54	64.93	75.06	60.51	35.17
Gilead Sciences Inc.	23.90	12.07	12.81	15.22	12.70
Johnson & Johnson	19.79	12.67	24.31	16.73	23.28
Merck & Co. Inc.	12.91	11.32	24.48	22.40	18.72
Pfizer Inc.	17.12	55.28	3.82	10.56	8.88
Regeneron Pharmaceuticals Inc.	21.76	22.02	28.02	25.12	10.35
Thermo Fisher Scientific Inc.	16.54	41.23	31.16	27.98	13.44
Vertex Pharmaceuticals Inc.	39.16	—	33.45	19.91	26.08
P/FCFE, Sector
Pharmaceuticals, Biotechnology & Life Sciences	24.91	20.01	16.93	19.44	16.49
P/FCFE, Industry
Health Care	24.43	19.36	18.20	18.50	17.94

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

¹ Data adjusted for splits and stock dividends.

² See details »

³ 2025 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 7,670,000,000 ÷ 2,036,473,705 = 3.77

⁴ Closing price as at the filing date of Bristol-Myers Squibb Co. Annual Report.

⁵ 2025 Calculation
P/FCFE = Share price ÷ FCFE per share
= 59.93 ÷ 3.77 = 15.91

⁶ Click competitor name to see calculations.

The Price to Free Cash Flow to Equity (P/FCFE) ratio exhibited considerable fluctuation over the five-year period. Initial values indicated a relatively high valuation based on FCFE, followed by a significant shift towards lower multiples and then a resurgence. A detailed examination of the components reveals the drivers behind these changes.

Share Price: The share price demonstrated an initial increase from US$67.14 in 2021 to US$72.25 in 2022. A substantial decline occurred in 2023, reaching US$48.71, before partially recovering to US$56.15 in 2024 and further increasing to US$59.93 in 2025. This pattern suggests periods of investor optimism followed by significant reassessment and subsequent stabilization.
FCFE per Share: FCFE per share decreased from US$4.15 in 2021 to US$3.16 in 2022. A marked increase was then observed in 2023, with FCFE per share rising to US$6.48. This upward trend continued into 2024, reaching US$11.85, before declining considerably to US$3.77 in 2025. The volatility in FCFE per share significantly impacted the P/FCFE ratio.
P/FCFE Ratio: The P/FCFE ratio began at 16.17 in 2021 and increased to 22.85 in 2022, coinciding with the share price increase and FCFE per share decrease. A dramatic decrease was then recorded in 2023, falling to 7.52, driven by the substantial decline in share price and the concurrent increase in FCFE per share. The ratio continued to fall in 2024, reaching a low of 4.74, reflecting continued share price weakness and a peak in FCFE per share. Finally, the ratio increased to 15.91 in 2025, influenced by a modest share price recovery and a decrease in FCFE per share. The fluctuations suggest a dynamic relationship between market perception and the company’s ability to generate cash flow available to equity holders.

The observed trends indicate that the P/FCFE ratio is sensitive to both changes in the share price and the level of FCFE per share. The significant variations over the period suggest potential shifts in investor sentiment and/or underlying business performance impacting cash flow generation.