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Amgen (AMGN) Outpaces Stock Market Gains: What You Should Know
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Amgen (AMGN - Free Report) closed at $270.82 in the latest trading session, marking a +0.68% move from the prior day. This move outpaced the S&P 500's daily gain of 0.59%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq added 0.83%.
Coming into today, shares of the world's largest biotech drugmaker had gained 4.3% in the past month. In that same time, the Medical sector lost 3.07%, while the S&P 500 lost 2.84%.
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.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $18.35 per share and revenue of $27.26 billion. These totals would mark changes of +3.73% and +3.55%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Amgen. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% lower. Amgen is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.66 right now. Its industry sports an average Forward P/E of 17, so we one might conclude that Amgen is trading at a discount comparatively.
It is also worth noting that AMGN currently has a PEG ratio of 3.38. 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. AMGN's industry had an average PEG ratio of 2.12 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 95, putting it in the top 38% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Amgen (AMGN) Outpaces Stock Market Gains: What You Should Know
Amgen (AMGN - Free Report) closed at $270.82 in the latest trading session, marking a +0.68% move from the prior day. This move outpaced the S&P 500's daily gain of 0.59%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq added 0.83%.
Coming into today, shares of the world's largest biotech drugmaker had gained 4.3% in the past month. In that same time, the Medical sector lost 3.07%, while the S&P 500 lost 2.84%.
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.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $18.35 per share and revenue of $27.26 billion. These totals would mark changes of +3.73% and +3.55%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Amgen. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% lower. Amgen is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Amgen has a Forward P/E ratio of 14.66 right now. Its industry sports an average Forward P/E of 17, so we one might conclude that Amgen is trading at a discount comparatively.
It is also worth noting that AMGN currently has a PEG ratio of 3.38. 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. AMGN's industry had an average PEG ratio of 2.12 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 95, putting it in the top 38% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.