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AM

AMGN Stock Analysis

NMS · Healthcare · Drug Manufacturers - General

$414.11

-0.50 (-0.12%)

AMGN Interactive Price Chart & Trading Signals

AMGN Stock Snapshot — Valuation, Risk & Technical Signals

AMGN Key Fundamentals, Analyst Targets & Company Profile

Key Financial Ratios

Market Cap

$223.88B

P/E Ratio

25.74

Forward P/E

16.94

PEG Ratio

2.50

P/B Ratio

19.15

EPS

$16.09

Dividend Yield

2.43%

52W Range

$270.67 – $447.03

Beta

0.43

Volume

0.4M

ROE

91.5%

Profit Margin

23.0%

Revenue Growth

9.5%

Gross Margin

71.9%

EV/EBITDA

15.49

Analyst Target

$389.22

The trailing price-to-earnings ratio stands at 25.7x. Forward P/E of 16.9x implies earnings expansion expected. Price-to-book is 19.15x. EV/EBITDA sits at 15.49x. Market capitalization is $223.88B. Revenue is growing at 9.5% on a trailing basis. Earnings are expanding at 64.9%. Profit margins are 23.0%. Return on equity is 91.5%. Beta of 0.43 indicates defensive profile.

Analyst Consensus

Recommendation

Hold

Low Target

$225.00

Mean Target

$389.22

High Target

$457.00

Based on 29 analysts

About AMGN

Amgen Inc. discovers, develops, manufactures, and delivers human therapeutics worldwide. The company's principal products include Enbrel for the treatment of rheumatoid arthritis, plaque psoriasis, and psoriatic arthritis; Otezla for the treatment of adult patients with plaque psoriasis, psoriatic arthritis, and oral ulcers associated with Behçet's disease; Prolia to treat postmenopausal women with osteoporosis; XGEVA for skeletal-related events prevention; Repatha, which reduces the risks of myocardial infarction, stroke, and coronary revascularization; Nplate for the treatment of patients with immune thrombocytopenia; KYPROLIS to treat patients with relapsed or refractory multiple myeloma; Aranesp to treat a lower-than-normal number of red blood cells and anemia; EVENITY for the treatment of osteoporosis in postmenopausal for women; Vectibix to treat patients with wild-type RAS metastatic colorectal cancer; BLINCYTO for the treatment of patients with acute lymphoblastic leukemia; TEPEZZA to treat thyroid eye disease; and KRYSTEXXA for the treatment of chronic refractory gout. It also markets other products, including PROLIA, REPATHA, OTEZLA, ENBREL, EVENITY, XGEVA, TEPEZZA, BLINCYTO, NPLATE, TEZSPIRE, KYPROLIS, ARANESP, KRYSTEXXA AND VECTIBIX, MVASI, PAVBLU, UPLIZNA, IMDELLTRA/IMDYLLTRA, AMJEVITA/AMGEVITA, TAVNEOS, NEULASTA, LUMAKRAS/LUMYKRAS, RAVICTI, PARSABIV, AIMOVIG, WEZLANA/WEZENLA, AND PROCYSBI. The company serves healthcare providers, including physicians or their clinics, dialysis centers, hospitals, and pharmacies. It distributes its products through pharmaceutical wholesale distributors. The company has collaboration agreements with AstraZeneca plc for the development and commercialization of TEZSPIRE; BEONE MEDICINES LTD. to develop and commercialize Aimovig; UCB for the development and commercialization of EVENITY; Kyowa Kirin Co., Ltd. for rocatinlimab development and commercialization; and BeiGene, Ltd. for oncology products expansion and development. The company was incorporated in 1980 and is headquartered in Thousand Oaks, California.

United States31,500 employeesWebsite ↗

AMGN Deep Dive Analysis

Bottom Line

Verdict

Overvalued

Best for

Quality-focused portfolios

Watch out for

Premium valuation

Non-zero inputs

4/5

Counts non-zero values for price, P/E, beta, macro risk, and revenue growth; zero may mean unavailable or be a genuine zero.

Amgen Inc. (AMGN) trades above our multi-model fair value estimate of $192.68 by approximately 53.5%. Trailing P/E: 25.7x. Profitability signals include profit margin of 23.0% and return on equity of 91.5%. Recent growth metrics show revenue growth of 9.5% and earnings growth of 64.9%. Risk profile: defensive beta of 0.43. Consensus: hold.

Valuation, Growth & Risk

Valuation

Overvalued

P/E 25.7x

Price is above what fundamentals suggest.

Growth

Expanding

Rev 9.5%

Revenue is outpacing the market.

Risk

Low

Beta 0.43

Movement is likely to track the broader market.

Valuation Snapshot

Amgen Inc. (AMGN) trades above our multi-model fair value estimate of $192.68 by approximately 53.5%. The trailing price-to-earnings ratio stands at 25.7x. Forward P/E of 16.9x suggests earnings compression ahead. Price-to-sales is 5.9x. Price-to-book is 19.2x. EV/EBITDA sits at 15.5x. Market capitalization is $223.88B.

Why it matters: Paying a premium works only if the company keeps growing faster than expected.

Growth & Profitability

Revenue is growing at 9.5% on a trailing basis. Earnings are expanding at 64.9%. Profit margins are 23.0%. Return on equity is 91.5%. Return on assets is 8.7%.

Why it matters: Growing revenue with healthy margins usually means the business is gaining market share or pricing power.

Risk Profile

Beta of 0.43 indicates defensive profile. Net debt position is $43.31B.

Why it matters: Lower risk means steadier returns, but often with less upside in bull markets.

Analyst Context

Analyst consensus target of $389.22 implies 6.0% downside. Target range spans $225.00 to $457.00. 29 analysts cover the stock. Consensus recommendation: hold.

Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.

Investor Fit

Strong profitability metrics may appeal to quality-focused portfolios.

Takeaway: Match the stock's risk-reward profile with your own goals and time horizon. No single metric tells the whole story.

Data Methodology & Sources

Market Data (Facts)

  • Price, volume, and market cap: Yahoo Finance (may be delayed)
  • P/E, EPS, revenue, and debt: Yahoo Finance fundamentals
  • Analyst estimates: Yahoo Finance (coverage and update times vary)
  • Insider transactions: Yahoo Finance (reporting may be delayed)

QuantSoar Model (Derived)

  • Fair value: available outputs from seven models; outliers are filtered using MAD (k=3.5), then combined with fixed model weights.
  • Margin of Safety = (Fair Value − Displayed Price) / Displayed Price × 100
  • Composite Score: 40% Value + 30% Momentum + 30% Risk
  • Verdict Gauge: Base 50 + Valuation (up to ±25) + Whale sentiment (up to ±10) + Insider buying (+5) + Macro risk (up to ±10) + Technical signal (up to ±10). Analyst consensus is separate.

Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.

AMGN Overvalued

Amgen Inc. (AMGN) trades above our multi-model fair value estimate of $192.68 by approximately 53.5%.

Frequently Asked Questions

ValuationIs AMGN stock overvalued right now?
Based on our discounted cash flow and relative valuation models, AMGN appears to trade above fair value by approximately 53.5%. This suggests the market may be pricing in elevated growth expectations or sentiment premiums.
ValuationWhat is AMGN fair value based on current fundamentals?
Our fair value estimate for AMGN is $192.68, derived from discounted cash flow, dividend discount, and relative valuation multiples. The estimate assumes a discount rate of 9.0% and terminal growth of 2.5%.
RiskHow risky is AMGN compared with other stocks?
Risk profile for AMGN: a beta of 0.43 suggests a defensive profile. Investors should weigh macro exposure against their own risk tolerance.
GrowthIs AMGN still growing?
Latest trailing metrics show revenue growth of 9.5% and earnings growth of 64.9%. Profit margins are 23.0%.
AnalystWhat do analysts think about AMGN?
Analyst consensus target is $389.22, implying 6.0% downside. The street recommendation is "hold".
DividendDoes AMGN pay a dividend?
Yes. AMGN currently offers a dividend yield of 2.4%.
CatalystWhat could change the investment case for AMGN?
Key catalysts include Healthcare sector dynamics, interest rate shifts, and company-specific earnings surprises. Monitor macro risk scores and analyst estimate revisions for early signals.

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About the Author

Phasakorn Traklang (Peach) — Founder

Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.

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Investment Disclaimer: Tax treatment can depend on tax residence, account type, and tax year. This information is general and is not personal tax or investment advice. SEC

Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.