Amgen Inc. discovers, develops, manufactures, and delivers human therapeutics worldwide. More Details
Established dividend payer and fair value.
Share Price & News
How has Amgen's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AMGN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: AMGN's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: AMGN underperformed the US Biotechs industry which returned 23.6% over the past year.
Return vs Market: AMGN underperformed the US Market which returned 39.1% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Amgen's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StIs Amgen (NASDAQ:AMGN) Using Too Much Debt?
1 month ago | Simply Wall StDid You Participate In Any Of Amgen's (NASDAQ:AMGN) Respectable 81% Return?
1 month ago | Simply Wall StHave Insiders Been Selling Amgen Inc. (NASDAQ:AMGN) Shares?
Is Amgen undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AMGN ($245.08) is trading below our estimate of fair value ($385.15)
Significantly Below Fair Value: AMGN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AMGN is good value based on its PE Ratio (20.2x) compared to the US Biotechs industry average (30x).
PE vs Market: AMGN is poor value based on its PE Ratio (20.2x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: AMGN is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: AMGN is overvalued based on its PB Ratio (15.1x) compared to the US Biotechs industry average (2.9x).
How is Amgen forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AMGN's forecast earnings growth (9.2% per year) is above the savings rate (2%).
Earnings vs Market: AMGN's earnings (9.2% per year) are forecast to grow slower than the US market (15% per year).
High Growth Earnings: AMGN's earnings are forecast to grow, but not significantly.
Revenue vs Market: AMGN's revenue (3.4% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: AMGN's revenue (3.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AMGN's Return on Equity is forecast to be very high in 3 years time (107.1%).
How has Amgen performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AMGN has high quality earnings.
Growing Profit Margin: AMGN's current net profit margins (28.2%) are lower than last year (32%).
Past Earnings Growth Analysis
Earnings Trend: AMGN's earnings have grown by 1.9% per year over the past 5 years.
Accelerating Growth: AMGN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AMGN had negative earnings growth (-7.7%) over the past year, making it difficult to compare to the Biotechs industry average (-7.7%).
Return on Equity
High ROE: Whilst AMGN's Return on Equity (75.91%) is outstanding, this metric is skewed due to their high level of debt.
How is Amgen's financial position?
Financial Position Analysis
Short Term Liabilities: AMGN's short term assets ($21.3B) exceed its short term liabilities ($12.9B).
Long Term Liabilities: AMGN's short term assets ($21.3B) do not cover its long term liabilities ($40.3B).
Debt to Equity History and Analysis
Debt Level: AMGN's debt to equity ratio (345.3%) is considered high.
Reducing Debt: AMGN's debt to equity ratio has increased from 119.5% to 345.3% over the past 5 years.
Debt Coverage: AMGN's debt is well covered by operating cash flow (32.5%).
Interest Coverage: AMGN's interest payments on its debt are well covered by EBIT (9.3x coverage).
What is Amgen current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AMGN's dividend (2.87%) is higher than the bottom 25% of dividend payers in the US market (1.32%).
High Dividend: AMGN's dividend (2.87%) is low compared to the top 25% of dividend payers in the US market (3.56%).
Stability and Growth of Payments
Stable Dividend: AMGN's dividends per share have been stable in the past 10 years.
Growing Dividend: AMGN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (54%), AMGN's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: AMGN's dividends in 3 years are forecast to be well covered by earnings (42.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Bob Bradway (58 yo)
Mr. Robert A. Bradway, also known as Bob, has been the Chief Executive Officer of Amgen Inc. since May 23, 2012 and has been its President since May 2010. Mr. Bradway is responsible for the Amgen's global ...
CEO Compensation Analysis
Compensation vs Market: Bob's total compensation ($USD20.13M) is above average for companies of similar size in the US market ($USD11.26M).
Compensation vs Earnings: Bob's compensation has been consistent with company performance over the past year.
Experienced Management: AMGN's management team is considered experienced (3.7 years average tenure).
Experienced Board: AMGN's board of directors are considered experienced (5.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Amgen Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Amgen Inc.
- Ticker: AMGN
- Exchange: NasdaqGS
- Founded: 1980
- Industry: Biotechnology
- Sector: Pharmaceuticals & Biotech
- Market Cap: US$140.812b
- Shares outstanding: 574.55m
- Website: https://www.amgen.com
Number of Employees
- Amgen Inc.
- One Amgen Center Drive
- Thousand Oaks
- United States
Amgen Inc. discovers, develops, manufactures, and delivers human therapeutics worldwide. It focuses on inflammation, oncology/hematology, bone health, cardiovascular disease, nephrology and neuroscience ar...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/27 01:51|
|End of Day Share Price||2021/07/26 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.