Amgen (AMGN) closed at $273.68 in the latest trading session, marking a -1.3% move from the prior day. This change was narrower than the S&P 500's 2.36% loss on the day. Meanwhile, the Dow lost 2.48%, and the Nasdaq, a tech-heavy index, lost 2.55%.
Prior to today's trading, shares of the world's largest biotech drugmaker had lost 12.26% over the past month. This has lagged the Medical sector's loss of 9.83% and the S&P 500's loss of 5.6% in that time.
The investment community will be closely monitoring the performance of Amgen in its forthcoming earnings report. The company is scheduled to release its earnings on May 1, 2025. The company is predicted to post an EPS of $4.15, indicating a 4.8% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $7.94 billion, indicating a 6.6% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $20.61 per share and revenue of $35.02 billion. These totals would mark changes of +3.88% and +4.79%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Amgen. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.12% lower. Amgen is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Amgen is presently being traded at a Forward P/E ratio of 13.45. Its industry sports an average Forward P/E of 15.7, so one might conclude that Amgen is trading at a discount comparatively.
It is also worth noting that AMGN currently has a PEG ratio of 2.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. AMGN's industry had an average PEG ratio of 1.25 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. With its current Zacks Industry Rank of 72, this industry ranks in the top 30% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Amgen Inc. (AMGN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
