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Amgen (AMGN) Stock Moves -0.76%: What You Should Know

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Amgen (AMGN - Free Report) closed the most recent trading day at $269.41, moving -0.76% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.64%. At the same time, the Dow lost 1.08%, and the tech-heavy Nasdaq lost 1.82%.

Coming into today, shares of the world's largest biotech drugmaker had gained 5.48% in the past month. In that same time, the Medical sector lost 3.72%, while the S&P 500 gained 0.89%.

Amgen will be looking to display strength as it nears its next earnings release. In that report, analysts expect Amgen to post earnings of $4.68 per share. This would mark a year-over-year decline of 0.43%. 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.

Investors should also note any recent changes to analyst estimates for Amgen. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Amgen is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note Amgen's current valuation metrics, including its Forward P/E ratio of 14.79. For comparison, its industry has an average Forward P/E of 17.1, which means Amgen is trading at a discount to the group.

It is also worth noting that AMGN currently has a PEG ratio of 3.41. 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 2.18 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 96, putting it in the top 39% 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.

To follow AMGN in the coming trading sessions, be sure to utilize Zacks.com.


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