Citigroup On BMY's Sprycel

Citigroup has published a research report on Bristol-Myers Squibb (NYSE: BMY) after the company reported solid 18 month Sprycel data at the American Society of Hematology meeting in Orlando, Florida.

In the report, Citigroup writes "Sprycel efficacy in the 18-month 1st -line chronic myelogenous leukemia (CML) DASISION study was roughly in line with NVS's Tasigna 18-month ENESTnd study, although Tasigna made up some ground in both major molecular response (MMR) & complete cytogenetic response (CCyR). Sprycel appears to be better tolerated, with 6% discontinuation due to adverse events (AEs) (up from 5%) vs. Tasigna's 12% (up from 9%). We believe Sprycel has comparable efficacy to Tasigna & competitive advantage on tolerability, dosing (QD vs. Tasigna BID), no food restrictions, and no Black Box warning (Tasigna has QT prolongation), which bodes well for market share gains. We model 2010E WW Sprycel sales of $560M, growing to $1.49B in
‘15E (+22% CAGR)."

Citigroup maintains its Buy rating and $30 price target.

Bristol-Myers Squibb closed yesterday at $25.89.