Is Amgen Stock a Good Investment?

Amgen Investment Advice

AMGN

To provide specific investment advice or recommendations on Amgen Inc stock, we recommend investors consider the following general factors when evaluating Amgen Inc. This will help you to make an informed decision on whether to include Amgen in one of your diversified portfolios:

Examine Amgen's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Amgen's leadership team and their track record. Good management can help Amgen navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Biotechnology space and any emerging trends that could impact Amgen's business and its evolving consumer preferences.
Compare Amgen's performance and market position to its competitors. Analyze how Amgen is positioned in terms of product offerings, innovation, and market share.
Check if Amgen pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Amgen's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Amgen Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Amgen Inc is a good investment.

Sell

Buy

Strong Hold

Macroaxis provides advice on Amgen Inc to complement and cross-verify current analyst consensus on Amgen Inc. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Amgen is not overpriced, please confirm all Amgen Inc fundamentals, including its ebitda, short ratio, and the relationship between the price to book and total debt . Given that Amgen Inc has a price to earning of 22.74 X, we suggest you to validate Amgen Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Market Performance	Insignificant	Details
Volatility	Very steady	Details
Hype Condition	Low key	Details
Current Valuation	Overvalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Almost mirrors the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Buy	Details
Financial Strenth (F Score)	Poor	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	Details

Examine Amgen Stock

Researching Amgen's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 81.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.22. Amgen Inc recorded earning per share (EPS) of 5.79. The entity last dividend was issued on the 16th of August 2024. The firm had 2:1 split on the 22nd of November 1999.

To determine if Amgen is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Amgen's research are outlined below:

	Amgen Inc has a poor financial position based on the latest SEC disclosures
	Over 81.0% of the company shares are held by institutions such as insurance companies
	On 6th of September 2024 Amgen paid $ 2.25 per share dividend to its current shareholders
	Latest headline from finance.yahoo.com: Amgen Increases Yet Falls Behind Market What Investors Need to Know

Amgen Quarterly Cost Of Revenue

3.24 Billion

Amgen uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Amgen Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Amgen's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	6th of February 2024 Upcoming Quarterly Report	View
	25th of April 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	6th of February 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	31st of December 2022 Last Financial Announcement	View

Earnings surprises can significantly impact Amgen's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Amgen's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
1998-07-22	1998-06-30	0.18	0.21	0.03	16
1999-10-20	1999-09-30	0.24	0.28	0.04	16
2006-07-20	2006-06-30	0.94	1.05	0.11	11
2008-07-28	2008-06-30	1.02	1.14	0.12	11
2009-07-27	2009-06-30	1.16	1.29	0.13	11
2008-10-22	2008-09-30	1.08	1.23	0.15	13
2012-04-24	2012-03-31	1.45	1.61	0.16	11
2005-07-19	2005-06-30	0.72	0.88	0.16	22

Amgen Target Price Consensus

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Amgen target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Amgen's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.

Buy

Most Amgen analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Amgen stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Amgen Inc, talking to its executives and customers, or listening to those companies' conference calls.

Macroaxis Advice Exposure Valuation

Amgen Target Price Projection

Amgen's current and average target prices are 319.66 and 258.80, respectively. The current price of Amgen is the price at which Amgen Inc is currently trading. On the other hand, Amgen's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

Amgen Market Quote on 6th of October 2024

Low Price	316.43	Odds
High Price	320.74	Odds

319.66 Target Price

Analyst Consensus On Amgen Target Price

Low Estimate	235.51	Odds
High Estimate	287.27	Odds

258.8

Historical

Lowest Forecast 235.51

Target Price 258.8

Highest Forecast 287.27

Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on Amgen Inc and the information provided on this page.

Amgen Analyst Ratings

Amgen's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Amgen stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Amgen's financials, market performance, and future outlook by experienced professionals. Amgen's historical ratings below, therefore, can serve as a valuable tool for investors.

Know Amgen's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Amgen is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Amgen Inc backward and forwards among themselves. Amgen's institutional investor refers to the entity that pools money to purchase Amgen's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Norges Bank	2024-06-30	5.8 M
Bank Of New York Mellon Corp	2024-06-30	5.4 M
Goldman Sachs Group Inc	2024-06-30	5.2 M
Royal Bank Of Canada	2024-06-30	5.1 M
Legal & General Group Plc	2024-06-30	4.8 M
Hhg Plc	2024-06-30	4.6 M
T. Rowe Price Associates, Inc.	2024-06-30	4.5 M
Ubs Asset Mgmt Americas Inc	2024-06-30	4.2 M
Fmr Inc	2024-06-30	4.1 M
Vanguard Group Inc	2024-06-30	51.9 M
Blackrock Inc	2024-06-30	46 M

Note, although Amgen's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Amgen's market capitalization trends

The company currently falls under 'Mega-Cap' category with a current market capitalization of 171.76 B.

Market Cap

121.6 Billion

Amgen's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.15	0.12
Return On Capital Employed	0.10	0.10
Return On Assets	0.07	0.12
Return On Equity	1.08	1.13

The company has Profit Margin (PM) of 0.1 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.23 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.23.

Determining Amgen's profitability involves analyzing its financial statements and using various financial metrics to determine if Amgen is a good buy. For example, gross profit margin measures Amgen's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Amgen's profitability and make more informed investment decisions.

Amgen's Earnings Breakdown by Geography

Evaluate Amgen's management efficiency

Amgen Inc has return on total asset (ROA) of 0.0448 % which means that it generated a profit of $0.0448 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.4927 %, meaning that it created $0.4927 on every $100 dollars invested by stockholders. Amgen's management efficiency ratios could be used to measure how well Amgen manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Amgen's Return On Assets are very stable compared to the past year. As of the 6th of October 2024, Return On Equity is likely to grow to 1.13, while Return On Tangible Assets are likely to drop 0.12. At this time, Amgen's Return On Assets are very stable compared to the past year. As of the 6th of October 2024, Asset Turnover is likely to grow to 0.51, while Other Current Assets are likely to drop about 266.9 M.

	Last Reported	Projected for Next Year
Book Value Per Share	11.65	10.26
Tangible Book Value Per Share	(84.18)	(79.97)
Enterprise Value Over EBITDA	14.04	11.29
Price Book Value Ratio	24.73	25.96
Enterprise Value Multiple	14.04	11.29
Price Fair Value	24.73	25.96
Enterprise Value	51.4 B	53.9 B

The analysis of Amgen's management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Amgen's future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Amgen Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.

Dividend Yield

0.0282

Forward Dividend Yield

0.0282

Forward Dividend Rate

Beta

0.602

Basic technical analysis of Amgen Stock

As of the 6th of October, Amgen shows the risk adjusted performance of 0.0445, and Mean Deviation of 0.9658. Amgen Inc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.

Amgen's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Amgen insiders, such as employees or executives, is commonly permitted as long as it does not rely on Amgen's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Amgen insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

		Miller Derek over a month ago Disposition of tradable shares by Miller Derek of Amgen at 311.29 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 1753 shares by Matthew Busch of Amgen at 230.92 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3
		Matthew Busch over three months ago Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3
		Williams R Sanders over six months ago Acquisition by Williams R Sanders of 846 shares of Amgen subject to Rule 16b-3
		Stuart Tross over a year ago Amgen exotic insider transaction detected
		Stuart Tross over a year ago Amgen exotic insider transaction detected

Amgen's Outstanding Corporate Bonds

Amgen issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Amgen Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Amgen bonds can be classified according to their maturity, which is the date when Amgen Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

	AMGEN INC 515 Corp Bond US031162BK53	View
	AMGEN INC 3125 Corp Bond US031162BY57	View
	AMGEN INC 44 Corp Bond US031162BZ23	View
	AMGEN INC 4663 Corp Bond US031162CF59	View
	AMGEN INC 4563 Corp Bond US031162CD02	View
	AMGEN INC 26 Corp Bond US031162CJ71	View
	AMGEN INC 6375 Corp Bond US031162AW01	View
	AMGEN INC 64 Corp Bond US031162BA71	View

View All Amgen Corporate Bonds

Understand Amgen's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Amgen's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.0445
	Market Risk Adjusted Performance	0.0698
	Mean Deviation	0.9658
	Semi Deviation	1.6
	Downside Deviation	1.77
	Coefficient Of Variation	2022.47
	Standard Deviation	1.42
	Variance	2.01
	Information Ratio	(0.03)
	Jensen Alpha	(0.05)
	Total Risk Alpha	(0.13)
	Sortino Ratio	(0.03)
	Treynor Ratio	0.0598
	Maximum Drawdown	9.36
	Value At Risk	(1.90)
	Potential Upside	1.82
	Downside Variance	3.15
	Semi Variance	2.55
	Expected Short fall	(0.88)
	Skewness	(1.35)
	Kurtosis	5.09

	Risk Adjusted Performance	0.0445
	Market Risk Adjusted Performance	0.0698
	Mean Deviation	0.9658
	Semi Deviation	1.6
	Downside Deviation	1.77
	Coefficient Of Variation	2022.47
	Standard Deviation	1.42
	Variance	2.01
	Information Ratio	(0.03)
	Jensen Alpha	(0.05)
	Total Risk Alpha	(0.13)
	Sortino Ratio	(0.03)
	Treynor Ratio	0.0598
	Maximum Drawdown	9.36
	Value At Risk	(1.90)
	Potential Upside	1.82
	Downside Variance	3.15
	Semi Variance	2.55
	Expected Short fall	(0.88)
	Skewness	(1.35)
	Kurtosis	5.09

Consider Amgen's intraday indicators

Amgen intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Amgen stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	0.0134
	Daily Balance Of Power	0.5058
	Rate Of Daily Change	1.01
	Day Median Price	318.59
	Day Typical Price	318.94
	Market Facilitation Index	4.31
	Price Action Indicator	2.17
	Period Momentum Indicator	2.18

Amgen Corporate Filings

13A	23rd of August 2024 An amended filing to the original Schedule 13G	View Verify
F4	13th of August 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities	View Verify
10Q	7th of August 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations	View Verify
8K	6th of August 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify

Amgen time-series forecasting models is one of many Amgen's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Amgen's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Amgen Stock media impact

Far too much social signal, news, headlines, and media speculation about Amgen that are available to investors today. That information is available publicly through Amgen media outlets and privately through word of mouth or via Amgen internal channels. However, regardless of the origin, that massive amount of Amgen data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of Amgen news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Amgen relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Amgen's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Amgen alpha.

Amgen Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards Amgen can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

Amgen Inc Historical Investor Sentiment

Investor biases related to Amgen's public news can be used to forecast risks associated with an investment in Amgen. The trend in average sentiment can be used to explain how an investor holding Amgen can time the market purely based on public headlines and social activities around Amgen Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.

Amgen's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Amgen and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Amgen news discussions. The higher the estimate score, the more favorable the investor's outlook on Amgen.

Amgen Corporate Management

Linda Louie	VP Officer	Profile
James MD	Executive Officer	Profile
Nancy Grygiel	Senior Officer	Profile
Justin Claeys	Vice Relations	Profile

Already Invested in Amgen Inc?

The danger of trading Amgen Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Amgen is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Amgen. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Amgen Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.

Additional Information and Resources on Investing in Amgen Stock

When determining whether Amgen Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Amgen's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Amgen Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Amgen Inc Stock: