Amgen (AMGN) Ascends But Remains Behind Market: Some Facts to Note
The most recent trading session ended with Amgen (AMGN) standing at $271.73, reflecting a +0.31% shift from the previouse trading day's closing. The stock's change was less than the S&P 500's daily gain of 0.57%. At the same time, the Dow added 0.83%, and the tech-heavy Nasdaq gained 0.39%.
The world's largest biotech drugmaker's shares have seen a decrease of 4.51% over the last month, not keeping up with the Medical sector's gain of 0.13% and the S&P 500's gain of 2.97%.
Analysts and investors alike will be keeping a close eye on the performance of Amgen in its upcoming earnings disclosure. The company is forecasted to report an EPS of $3.84, showcasing a 3.52% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $7.45 billion, up 21.98% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $19.48 per share and a revenue of $32.91 billion, demonstrating changes of +4.45% and +16.75%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Amgen. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.16% decrease. Amgen is currently a Zacks Rank #3 (Hold).
With respect to valuation, Amgen is currently being traded at a Forward P/E ratio of 13.91. This valuation marks a discount compared to its industry's average Forward P/E of 24.12.
It's also important to note that AMGN currently trades at a PEG ratio of 2.54. 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. The Medical - Biomedical and Genetics industry had an average PEG ratio of 1.56 as trading concluded yesterday.
The Medical - Biomedical and Genetics industry is part of the Medical sector. With its current Zacks Industry Rank of 90, this industry ranks in the top 36% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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.
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Amgen Inc. (AMGN) : Free Stock Analysis Report
