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Amgen (AMGN) Gains As Market Dips: What You Should Know
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Amgen (AMGN - Free Report) closed the most recent trading day at $227.84, moving +0.51% from the previous trading session. This change outpaced the S&P 500's 0.06% loss on the day. Elsewhere, the Dow gained 0.59%, while the tech-heavy Nasdaq lost 0.3%.
Prior to today's trading, shares of the world's largest biotech drugmaker had gained 8.57% over the past month. This has outpaced the Medical sector's gain of 4.74% and the S&P 500's gain of 5.76% in that time.
Amgen will be looking to display strength as it nears its next earnings release. In that report, analysts expect Amgen to post earnings of $4.10 per share. This would mark year-over-year growth of 7.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.9 billion, up 4% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Amgen. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate has moved 0.11% higher within the past month. Amgen currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 12.58 right now. For comparison, its industry has an average Forward P/E of 20.36, which means Amgen is trading at a discount to the group.
Meanwhile, AMGN's PEG ratio is currently 1.51. 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. AMGN's industry had an average PEG ratio of 1.44 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 166, which puts it in the bottom 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Amgen (AMGN) Gains As Market Dips: What You Should Know
Amgen (AMGN - Free Report) closed the most recent trading day at $227.84, moving +0.51% from the previous trading session. This change outpaced the S&P 500's 0.06% loss on the day. Elsewhere, the Dow gained 0.59%, while the tech-heavy Nasdaq lost 0.3%.
Prior to today's trading, shares of the world's largest biotech drugmaker had gained 8.57% over the past month. This has outpaced the Medical sector's gain of 4.74% and the S&P 500's gain of 5.76% in that time.
Amgen will be looking to display strength as it nears its next earnings release. In that report, analysts expect Amgen to post earnings of $4.10 per share. This would mark year-over-year growth of 7.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.9 billion, up 4% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Amgen. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate has moved 0.11% higher within the past month. Amgen currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 12.58 right now. For comparison, its industry has an average Forward P/E of 20.36, which means Amgen is trading at a discount to the group.
Meanwhile, AMGN's PEG ratio is currently 1.51. 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. AMGN's industry had an average PEG ratio of 1.44 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 166, which puts it in the bottom 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.