Amgen logged a -0.4% change during today's morning session, and is now trading at a price of $249.0 per share.
Amgen shares moved -0.8% over the last 52 weeks, with a high of $296.67 and a low of $223.3. During this time, the stock outperformed the S&P 500 index by 5.0%. As of January 2022, the company's 50-day average price is $239.0. Amgen Inc. discovers, develops, manufactures, and delivers human therapeutics worldwide. The large-cap Health Care company has 25,200 full time employees and is based in Thousand Oaks, CA. Amgen has returned a 3.1% dividend yield over the last 12 months.
a Flat EPS Growth Trend with a Highly Leveraged Balance Sheet:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue (MM) | $23,362 | $25,424 | $25,979 | $26,323 |
| Revenue Growth | n/a | 8.83% | 2.18% | 1.32% |
| Gross Margins | 81.4% | 75.8% | 75.2% | 75.7% |
| Gross Margins Growth | n/a | -6.88% | -0.79% | 0.66% |
| Operating Margins | 41.4% | 36.0% | 35.2% | 36.3% |
| Operating Margins Growth | n/a | -13.04% | -2.22% | 3.12% |
| Net Margins | 33.57% | 28.57% | 22.68% | 24.89% |
| Net Margins Growth | n/a | -14.89% | -20.62% | 9.74% |
| Earnings Per Share | $12.88 | $12.31 | $10.28 | $12.1 |
| EPS Growth | n/a | -4.43% | -16.49% | 17.7% |
| Diluted Shares (MM) | 609 | 590 | 573 | 534 |
| Free Cash Flow (MM) | $9,150 | $10,497 | $9,261 | $8,785 |
| FCF Growth | n/a | 14.72% | -11.77% | -5.14% |
| Capital Expenditures (MM) | -$618 | -$608 | -$880 | -$936 |
| Net Debt / EBITDA | 2.87 | 3.51 | 3.54 | 4.45 |
Amgen Is Overvalued:
Compared to the Health Care sector's average of 24.45, Amgen has a trailing twelve month P/E ratio of 20.6 and, according to its EPS guidance of 18.7, an expected P/E ratio of 13.3. Amgen's PEG ratio is 2.02 based on its 9.8% compound average growth rate of historical and projected earnings per share. This suggests that the company's shares are overvalued.
Amgen's P/B ratio is 36.3 compared to its sector average of 4.16. The company is likely overvalued in terms of its net asset value. The company's shares are currently trading 481.4% above their fair value as expressed by Benjamin Graham's formula:
√(22.5 * 4-year average EPS * book value per share) = √(22.5 * 11.89 * 6.856) = $42.83
Amgen Is the Subject of Mixed Market Indicators:
21 analysts are following Amgen and have set target prices ranging from $175.0 to $325.0 per share. On average, they have given the company a rating of hold. At the current price of $249.0, AMGN is trading -3.36% away from its average analyst target price of $257.67 per share, implying an analyst consensus of some upside potential for the stock.
The company has a very low short interest since 1.5% of the company's shares are tied to short positions. Institutions own 79.8% of Amgen's shares, while the insider ownership rate stands at 0.22%. The biggest shareholder is Blackrock Inc. with a 9% stake in the company worth approximately $12,080,145,360.
