BMY-BioNTech Partnership: A Potential Catalyst for Long-Term Gains?

Bristol Myers (BMY) and partner BioNTech (BNTX) recently presented interim data from a global randomized mid-stage study evaluating pumitamig plus chemotherapy in patients with extensive-stage small cell lung cancer (ES-SCLC).

Pumitamig is a novel investigational bispecific antibody, combining two complementary, validated mechanisms in oncology into one single molecule. Pumitamig combines PD-L1 checkpoint inhibition aimed at restoring T cells’ ability to recognize and destroy tumor cells with the neutralization of VEGF-A.

Pumitamig is being jointly developed by BioNTech and BMY. The candidate is also known as BNT327 or BMS986545. The interim analysis included 43 patients with untreated ES-SCLC (Cohort 1) who received pumitamig in combination with standard of care chemotherapy in two dose levels.

Data from the phase II study showed a 76.3% confirmed objective response rate, 100% disease control rate and a median progression-free survival of 6.8 months.

Pumitamig plus chemotherapy demonstrated a manageable safety profile with no new safety signals and a low discontinuation rate.

The positive data underscores the efficacy of the combination and confirms dose selection for the ongoing global pivotal late-stage ROSETTA LUNG-01 study.

The FDA granted Orphan Drug designation to pumitamig for the treatment of patients with small-cell lung cancer in 2025.

BMY collaborated with BNTX in June 2025. Bristol Myers is looking to expand its pipeline/portfolio, as the legacy portfolio is being adversely impacted due to the continued generic impact on Revlimid, Pomalyst, Sprycel, and Abraxane.

Data from ongoing trials (on a preliminary basis) underscore the potential for combining anti-PD-L1 and anti-VEGF-A — two well-established therapeutic targets — into a single molecule to deliver synergistic clinical benefits for patients across multiple tumor types.

Competition in the Dual Target Cancer Therapy Space

Developing bispecific antibodies that target two proteins, namely PD-1 and VEGF, has lately been one of the lucrative areas in cancer treatment, attracting pharma giants Merck (MRK) and Pfizer (PFE).

In November 2024, pharma giant Merck received an exclusive global license to develop, manufacture and commercialize LM-299, a novel investigational PD-1/VEGF bispecific antibody from LaNova. Merck’s oncology portfolio boasts a blockbuster PD-L1 inhibitor, Keytruda, and the company is looking to build a diversified oncology pipeline spanning differentiated mechanisms and multiple modalities.

Earlier in the year, Pfizer inked a licensing agreement with 3SBio, which granted the former exclusive rights for the development, manufacturing and commercialization of 3SBio’s SSGJ-707, a bispecific antibody targeting PD-1 and VEGF developed using 3SBio’s proprietary CLF2 platform.

The candidate is already being evaluated in China for non-small cell lung cancer, metastatic colorectal cancer and gynecological tumors. 3SBio will receive a payment of $1.25 billion. Pfizer will also make an equity investment of $100 million in 3SBio.

In addition, the agreement grants Pfizer the option to extend the license to include exclusive development and commercialization rights to SSGJ-707 in China. In exchange for the exclusive rights in China, Pfizer will pay 3SBio up to $150 million in option payments.

BMY’s Price Performance, Valuation and Estimates

Shares of Bristol Myers have lost 13% year to date against the industry’s growth of 5.5%.

From a valuation standpoint, BMY is trading at a discount to the large-cap pharma industry. Going by the price/earnings ratio, BMY’s shares currently trade at 7.66X forward earnings, lower than its mean of 8.47X and the large-cap pharma industry’s 14.94X.

The bottom-line estimate for 2025 has moved south to $6.50 from $6.56 in the past 60 days, while that for 2026 has moved north to $6.07 from $6.03 in the same timeframe.

BMY currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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