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Amgen (AMGN) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Amgen (AMGN - Free Report) closed at $262.30, marking a +1.97% move from the previous day. This change outpaced the S&P 500's 0.84% gain on the day. Meanwhile, the Dow gained 0.96%, and the Nasdaq, a tech-heavy index, added 0.81%.
Coming into today, shares of the world's largest biotech drugmaker had lost 2.94% in the past month. In that same time, the Medical sector lost 1.32%, while the S&P 500 gained 0.19%.
Investors will be hoping for strength from Amgen as it approaches its next earnings release. The company is expected to report EPS of $4.68, down 0.43% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.94 billion, up 4.27% from the prior-year quarter.
AMGN's full-year Zacks Consensus Estimates are calling for earnings of $18.35 per share and revenue of $27.26 billion. These results would represent year-over-year changes of +3.73% and +3.55%, respectively.
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.
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.
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. Within the past 30 days, our consensus EPS projection has moved 0.21% higher. Amgen is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.02 right now. For comparison, its industry has an average Forward P/E of 17.7, which means Amgen is trading at a discount to the group.
Also, we should mention that AMGN has a PEG ratio of 3.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 2.13 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 101, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow AMGN in the coming trading sessions, be sure to utilize Zacks.com.
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Amgen (AMGN) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Amgen (AMGN - Free Report) closed at $262.30, marking a +1.97% move from the previous day. This change outpaced the S&P 500's 0.84% gain on the day. Meanwhile, the Dow gained 0.96%, and the Nasdaq, a tech-heavy index, added 0.81%.
Coming into today, shares of the world's largest biotech drugmaker had lost 2.94% in the past month. In that same time, the Medical sector lost 1.32%, while the S&P 500 gained 0.19%.
Investors will be hoping for strength from Amgen as it approaches its next earnings release. The company is expected to report EPS of $4.68, down 0.43% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.94 billion, up 4.27% from the prior-year quarter.
AMGN's full-year Zacks Consensus Estimates are calling for earnings of $18.35 per share and revenue of $27.26 billion. These results would represent year-over-year changes of +3.73% and +3.55%, respectively.
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.
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.
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. Within the past 30 days, our consensus EPS projection has moved 0.21% higher. Amgen is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.02 right now. For comparison, its industry has an average Forward P/E of 17.7, which means Amgen is trading at a discount to the group.
Also, we should mention that AMGN has a PEG ratio of 3.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 2.13 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 101, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow AMGN in the coming trading sessions, be sure to utilize Zacks.com.