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Amgen (AMGN) Stock Sinks As Market Gains: What You Should Know
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Amgen (AMGN - Free Report) closed at $246.63 in the latest trading session, marking a -0.28% move from the prior day. This change lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.15%, and the tech-heavy Nasdaq gained 0.07%.
Prior to today's trading, shares of the world's largest biotech drugmaker had gained 3.74% over the past month. This has lagged the Medical sector's gain of 8.26% and the S&P 500's gain of 7.25% in that time.
Wall Street will be looking for positivity from Amgen as it approaches its next earnings report date. This is expected to be August 4, 2022. The company is expected to report EPS of $4.41, up 0.68% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.53 billion, up 0.12% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $17.37 per share and revenue of $26.25 billion, which would represent changes of +1.58% and +1.03%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Amgen. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.16% lower 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 14.23 right now. This valuation marks a discount compared to its industry's average Forward P/E of 22.63.
It is also worth noting that AMGN currently has a PEG ratio of 1.98. 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. The Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.18 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 82, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Amgen (AMGN) Stock Sinks As Market Gains: What You Should Know
Amgen (AMGN - Free Report) closed at $246.63 in the latest trading session, marking a -0.28% move from the prior day. This change lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.15%, and the tech-heavy Nasdaq gained 0.07%.
Prior to today's trading, shares of the world's largest biotech drugmaker had gained 3.74% over the past month. This has lagged the Medical sector's gain of 8.26% and the S&P 500's gain of 7.25% in that time.
Wall Street will be looking for positivity from Amgen as it approaches its next earnings report date. This is expected to be August 4, 2022. The company is expected to report EPS of $4.41, up 0.68% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.53 billion, up 0.12% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $17.37 per share and revenue of $26.25 billion, which would represent changes of +1.58% and +1.03%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Amgen. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.16% lower 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 14.23 right now. This valuation marks a discount compared to its industry's average Forward P/E of 22.63.
It is also worth noting that AMGN currently has a PEG ratio of 1.98. 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. The Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.18 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 82, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.