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  "documentTitle": "Bristol-Myers Squibb Company (BMY)",
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  "presentationDate": "2019-03-18 00:00:00",
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  "notes": "Uses a bar chart to contrast peer average P/E with the implied acquisition P/E for Celgene.",
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      "kind": "callout",
      "text": "Bristol-Myers highlights the lower current earnings multiple and near-term accretion from Celgene in the short term. However, we believe Celgene may significantly impair Bristol-Myers’ financial profile in the long term.",
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      "text": "2026E P/E Multiple – Wall Street Estimates",
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      "text": "While most companies trade at lower multiples on out-year estimates because they are expected to grow earnings over time, Celgene is cheaper based on 2019 earnings for a reason.\nThe market understands that Celgene’s earnings power rapidly diminishes due to the loss of exclusivity for REVLIMID in 2026.",
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      "text": "2026E P/E Multiple: 16.8x",
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      "kind": "paragraph",
      "text": "Looking at the transaction valuation based on 2019 earnings does not take into account Celgene’s massive patent cliff.",
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      "text": "Source: Public company filings, CapitalIQ, Bloomberg. (1) Share price as of January 2, 2019... (2) Peers based on Bristol-Myers S-4...",
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      "kind": "title",
      "text": "On future earnings power, the proposed acquisition looks significantly more expensive",
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      "text": "Bristol-Myers Conveniently Seems to Ignore Celgene’s Massive Patent Cliff When Discussing Valuation",
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