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Amgen (AMGN) Sees a More Significant Dip Than Broader Market: Some Facts to Know
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Amgen (AMGN - Free Report) ended the recent trading session at $283.04, demonstrating a -0.45% swing from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily loss of 0.2%. Meanwhile, the Dow experienced a drop of 0.6%, and the technology-dominated Nasdaq saw an increase of 0.11%.
Shares of the world's largest biotech drugmaker witnessed a gain of 1.42% over the previous month, trailing the performance of the Medical sector with its gain of 2.21% and the S&P 500's gain of 3.32%.
The investment community will be closely monitoring the performance of Amgen in its forthcoming earnings report. The company's upcoming EPS is projected at $3.84, signifying a 3.52% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $7.45 billion, indicating a 22.07% growth compared to the corresponding quarter of the prior year.
AMGN's full-year Zacks Consensus Estimates are calling for earnings of $19.49 per share and revenue of $32.93 billion. These results would represent year-over-year changes of +4.5% and +16.83%, respectively.
Any recent changes to analyst estimates for Amgen should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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, there's been a 0.05% rise in the Zacks Consensus EPS estimate. Right now, Amgen possesses a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.59 right now. Its industry sports an average Forward P/E of 24.05, so one might conclude that Amgen is trading at a discount comparatively.
Meanwhile, AMGN's PEG ratio is currently 2.69. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.76 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 78, finds itself in the top 31% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AMGN in the coming trading sessions, be sure to utilize Zacks.com.
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Amgen (AMGN) Sees a More Significant Dip Than Broader Market: Some Facts to Know
Amgen (AMGN - Free Report) ended the recent trading session at $283.04, demonstrating a -0.45% swing from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily loss of 0.2%. Meanwhile, the Dow experienced a drop of 0.6%, and the technology-dominated Nasdaq saw an increase of 0.11%.
Shares of the world's largest biotech drugmaker witnessed a gain of 1.42% over the previous month, trailing the performance of the Medical sector with its gain of 2.21% and the S&P 500's gain of 3.32%.
The investment community will be closely monitoring the performance of Amgen in its forthcoming earnings report. The company's upcoming EPS is projected at $3.84, signifying a 3.52% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $7.45 billion, indicating a 22.07% growth compared to the corresponding quarter of the prior year.
AMGN's full-year Zacks Consensus Estimates are calling for earnings of $19.49 per share and revenue of $32.93 billion. These results would represent year-over-year changes of +4.5% and +16.83%, respectively.
Any recent changes to analyst estimates for Amgen should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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, there's been a 0.05% rise in the Zacks Consensus EPS estimate. Right now, Amgen possesses a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.59 right now. Its industry sports an average Forward P/E of 24.05, so one might conclude that Amgen is trading at a discount comparatively.
Meanwhile, AMGN's PEG ratio is currently 2.69. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.76 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 78, finds itself in the top 31% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AMGN in the coming trading sessions, be sure to utilize Zacks.com.