BMY vs EXEL: Which Is the Better Buy in 2026?
Last updated August 2026
Short answer
BMY is the larger of the two ($133.41B market cap): the incumbent the market prices for continued execution (10.10x forward earnings, beta 0.23). EXEL is the smaller challenger ($13.33B), actually pricier on forward earnings (13.10x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
BMY vs EXEL: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | BMY | EXEL | What it tells you |
|---|---|---|---|
| Market cap | $133.41B | $13.33B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 10.10 | 13.10 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 14.39 | 17.56 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 0.23 | 0.42 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 98% of range | 81% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 5.98 | 6.95 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: BMY is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how BMY and EXEL affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. BMY and EXEL share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined BMY and EXEL exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Bristol Myers Squibb (BMY) do?
Bristol Myers Squibb is one of the largest global biopharmaceutical companies, developing and selling prescription medicines across oncology, hematology, immunology, cardiovascular, and neuroscience. It makes money primarily by selling patented branded drugs, with a portfolio that has historically leaned on blockbuster franchises such as the blood thinner Eliquis (co-marketed with Pfizer), the cancer immunotherapy Opdivo, and the multiple myeloma drug Revlimid. The company is navigating a major patent cliff as several legacy products lose exclusivity, and it is rebuilding growth through a newer portfolio that includes drugs like Reblozyl, Opdualag, Camzyos, Sotyktu, and the schizophrenia treatment Cobenfy (acquired through Karuna). Bristol Myers grows both organically through its research pipeline and through large acquisitions (Celgene, MyoKardia, Karuna, Mirati). It is headquartered in New York and operates worldwide.
What does Exelixis (EXEL) do?
Exelixis, Inc. is a commercial-stage oncology company whose business is dominated by cabozantinib, sold in the United States as CABOMETYX. Cabozantinib is a tyrosine kinase inhibitor (TKI) approved across several cancers, most importantly advanced renal cell carcinoma (kidney cancer) and certain neuroendocrine tumors, and it is the market-leading TKI in second-line-plus kidney cancer. In the first quarter of 2026, cabozantinib captured roughly 47% of total TKI prescriptions in its core setting, up from about 44% a year earlier, and the franchise generated the large majority of company revenue. Unlike clinical-stage biotechs that burn cash, Exelixis is solidly profitable and returns capital through share buybacks.
BMY vs EXEL: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- BMY drivers: New product portfolio ramp; Oncology and immunology depth.
- EXEL drivers: Cabozantinib franchise growth; Zanzalintinib pipeline transition.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: The central risk is the patent cliff: Eliquis, Opdivo, and other large products face loss of exclusivity, and generic or biosimilar competition can erode revenue quickly. For EXEL, the dominant risk is single-franchise concentration: the large majority of revenue comes from cabozantinib, so any competitive, safety, or reimbursement setback in kidney cancer would hit the whole company.
BMY or EXEL: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick BMY if you believe its drivers more; EXEL if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the BMY and EXEL guides.
BMY vs EXEL: the full fundamentals
BMY. Bristol Myers tends to trade at a low forward earnings multiple relative to large-cap pharma peers, reflecting market skepticism about its ability to replace patent-cliff revenue. The high dividend yield and strong free cash flow are the bull-case anchors, while the depressed valuation reflects the bear case that legacy declines outrun newer products.
EXEL. Figures are approximate and tied to the asOf date, so verify live numbers before acting. Exelixis trades at a moderate biotech multiple that partly reflects its rare profitability, but that multiple embeds two big assumptions: that cabozantinib keeps growing into the patent cliff and that zanzalintinib successfully replaces it. Because so much value hinges on clinical and regulatory outcomes, the valuation is more sensitive to STELLAR trial data and the colorectal decision than to any single earnings print.
Headline figures (approximate, early 2026): BMY shows revenue (ttm) ~$48 billion, operating margin ~20% (varies with acquisition charges), net income (ttm) volatile, pressured by large acquisition write-offs, dividend yield ~4-5%; EXEL shows revenue (ttm) ~$2.2 billion (Q1 2026 total revenue was ~$611 million, up ~10% year over year), 2026 revenue guidance ~$2.525 to $2.625 billion total (net product ~$2.325 to $2.425 billion), non-gaap net income (q1 2026) ~$233 million (~$0.87 diluted per share, beating estimates), cash and marketable securities ~$1.65 billion, with a new ~$750 million buyback authorized.
The bottom line: BMY vs EXEL
BMY and EXEL are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined BMY and EXEL exposure against your real portfolio. It is not an investment adviser.
Wondering how BMY or EXEL fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Bristol Myers Squibb with AI
Connect the broker you already use and ask Walnut's AI how BMY fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between BMY and EXEL?
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Bristol Myers Squibb is one of the largest global biopharmaceutical companies, developing and selling prescription medicines across oncology, hematology, immunology, cardiovascular, and neuroscience. Exelixis, Inc. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is BMY or EXEL the better stock?
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Neither is universally better. BMY is the larger incumbent; EXEL is the smaller challenger and looks pricier on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, BMY or EXEL?
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On forward P/E (as of August 2026), BMY trades at 10.10x and EXEL at 13.10x, so BMY is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both BMY and EXEL?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of BMY vs EXEL?
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BMY: The central risk is the patent cliff: Eliquis, Opdivo, and other large products face loss of exclusivity, and generic or biosimilar competition can erode revenue quickly. Revlimid has already declined under generic entry. The newer portfolio must scale fast enough to offset these losses, which is not guaranteed. Drug pricing pressure (including US Medicare negotiation under the Inflation Reduction Act, which named Eliquis), clinical trial failures, regulatory setbacks, and integration risk from large acquisitions all weigh on the outlook. High debt from dealmaking and litigation exposure add further uncertainty. EXEL: The dominant risk is single-franchise concentration: the large majority of revenue comes from cabozantinib, so any competitive, safety, or reimbursement setback in kidney cancer would hit the whole company. Cabozantinib faces a patent cliff and generic competition risk later this decade (litigation has delayed but not removed it), which makes the zanzalintinib transition critical and time-sensitive. Pipeline risk is real, as trials can miss endpoints or draw a narrow label, and Exelixis has already discontinued some zanzalintinib programs such as head and neck cancer. Regulatory timing, including the roughly December 2026 colorectal decision, can slip. Competition in kidney and colorectal cancer from large pharma and other TKIs and immunotherapies is intense, and the stock can move sharply on binary clinical and regulatory news.
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Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell BMY or EXEL; figures are approximate and dated (as of August 2026). Verify current data before investing.