Amgen (AMGN) Stock Moves -1.04%: What You Should Know
Amgen (AMGN) closed the most recent trading day at $228.90, moving -1.04% from the previous trading session. This change was narrower than the S&P 500's 1.1% loss on the day. At the same time, the Dow lost 0.89%, and the tech-heavy Nasdaq gained 0.03%.
Prior to today's trading, shares of the world's largest biotech drugmaker had gained 4.41% over the past month. This has outpaced the Medical sector's loss of 7.84% and the S&P 500's loss of 1.81% in that time.
Investors will be hoping for strength from Amgen as it approaches its next earnings release. The company is expected to report EPS of $4.12, up 8.14% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.91 billion, up 4.13% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Amgen. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.65% lower. Amgen is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Amgen currently has a Forward P/E ratio of 12.92. Its industry sports an average Forward P/E of 18.2, so we one might conclude that Amgen is trading at a discount comparatively.
We can also see that AMGN currently has a PEG ratio of 1.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AMGN's industry had an average PEG ratio of 1.09 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 151, which puts it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Amgen Inc. (AMGN) : Free Stock Analysis Report
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