Pharmaceutical company Bristol-Myers (BMY) recently announced acquisition of Cardioxyl Pharmaceuticals, a biopharmaceutical company, developing drugs to treat cardiovascular and oncological diseases. In my opinion, this acquisition will expands Bristol-Myers’ portfolio and strengthen its position as a producer of drugs to treat cardiovascular and oncologic diseases. The company’ Board of Directors decided to raise quarterly dividend from 37 to 38 cents, yielding 2.2%. In addition, the company demonstrates strong financial results. According to the recently released financial report, revenue rose 4% y-o-y (7% y-o-y, taking into account currency fluctuations) to $4.07 bn, outpacing analysts’ expectations at $3.85 bn. Adjusted EPS reached 39 cents, significantly outstripping the consensus of 35 cents. Sales of the company’s new drugs: Opdivo (intended to treat melanoma) and Eliquis (intended to prevent stroke) became revenue growth drivers. Sales of Opdivo account for 7% of revenue, while sales of Eliquis make 11% of revenue. The company plans to increase sales of these drugs not only in the US, but also in other countries. Thus, the company’s management revised up its EPS forecast for 2015 from $1.70-1.80 to $1.85-1.90. In my opinion, the company’s new acquisitions will positively affects its financial performance, which along with higher dividend will boost Bristol-Myers’ shares in the short-term. So, I reiterate a Buy recommendation in the mid-term. $BMY, Bristol-Myers Squibb Company / 1440