Amgen Inc Stock Buy Hold or Sell Recommendation

AMGN Stock  USD 286.30  4.53  1.61%   
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Amgen Inc is 'Strong Hold'. Macroaxis provides Amgen buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Amgen positions. The advice algorithm takes into account all of Amgen's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Amgen's buy or sell advice are summarized below:
Real Value
274.84
Target Price
258.8
Hype Value
286.33
Market Value
286.3
Naive Value
284.17
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Amgen Inc given historical horizon and risk tolerance towards Amgen. When Macroaxis issues a 'buy' or 'sell' recommendation for Amgen Inc, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Amgen Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Amgen and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Amgen Inc. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

Execute Amgen Buy or Sell Advice

The Amgen recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Amgen Inc. Macroaxis does not own or have any residual interests in Amgen Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Amgen's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell AmgenBuy Amgen
Strong Hold

Market Performance

Very WeakDetails

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

PoorDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Amgen Inc has a Risk Adjusted Performance of 0.0292, Jensen Alpha of (0.04), Total Risk Alpha of (0.27), Sortino Ratio of (0.05) and Treynor Ratio of 0.0682
Macroaxis provides advice on Amgen Inc to complement and cross-verify current analyst consensus on Amgen Inc. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Amgen is not overpriced, please confirm all Amgen Inc fundamentals, including its shares owned by insiders, ebitda, short ratio, as well as the relationship between the price to book and total debt . Given that Amgen Inc has a price to earning of 22.74 X, we suggest you to validate Amgen Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Amgen Trading Alerts and Improvement Suggestions

Amgen Inc has a poor financial position based on the latest SEC disclosures
Over 81.0% of the company shares are held by institutions such as insurance companies
On 7th of March 2024 Amgen paid $ 2.25 per share dividend to its current shareholders
Latest headline from investorplace.com: Disposition of 2508 shares by Matthew Busch of Amgen at 235.97 subject to Rule 16b-3

Amgen Returns Distribution Density

The distribution of Amgen's historical returns is an attempt to chart the uncertainty of Amgen's future price movements. The chart of the probability distribution of Amgen daily returns describes the distribution of returns around its average expected value. We use Amgen Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Amgen returns is essential to provide solid investment advice for Amgen.
Mean Return
0.06
Value At Risk
-1.83
Potential Upside
2.37
Standard Deviation
1.43
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Amgen historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Amgen Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Amgen is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Amgen Inc backward and forwards among themselves. Amgen's institutional investor refers to the entity that pools money to purchase Amgen's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Northern Trust Corp2023-12-31
6.4 M
Royal Bank Of Canada2023-12-31
5.8 M
Bank Of New York Mellon Corp2023-12-31
5.5 M
Norges Bank2023-12-31
5.4 M
Legal & General Group Plc2023-12-31
M
Fmr Inc2023-12-31
4.8 M
Bank Of America Corp2023-12-31
4.3 M
Aristotle Capital Management Llc2023-12-31
4.2 M
Jpmorgan Chase & Co2023-12-31
M
Vanguard Group Inc2023-12-31
49 M
Blackrock Inc2023-12-31
47.8 M
Note, although Amgen's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Amgen Cash Flow Accounts

201920202021202220232024 (projected)
Change To Inventory(66M)(215M)(165M)(742M)491M515.6M
Change In Cash(908M)229M1.7B(360M)3.3B3.5B
Free Cash Flow8.5B9.9B8.4B8.8B7.4B4.5B
Depreciation2.2B3.6B3.4B3.4B4.1B4.3B
Other Non Cash Items(186M)(195M)1.3B1.3B(991M)(941.5M)
Capital Expenditures618M608M880M936M1.1B663.6M
Net Income7.8B7.3B5.9B6.6B6.7B3.4B
End Period Cash Flow6.0B6.3B8.0B7.6B10.9B11.5B
Change To Netincome205M(152M)3.4B485M557.8M379.4M
Investments20.0B(4.7B)733M(6.0B)(2.6B)(2.5B)
Change Receivables(504M)(427M)(429M)(746M)(671.4M)(637.8M)
Net Borrowings(4.5B)2.5B795M6.6B6.0B6.3B
Dividends Paid3.5B3.8B4.0B4.2B(4.6B)(4.3B)

Amgen Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Amgen or Biotechnology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Amgen's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Amgen stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
-0.04
β
Beta against NYSE Composite0.72
σ
Overall volatility
1.46
Ir
Information ratio -0.05

Amgen Volatility Alert

Amgen Inc has relatively low volatility with skewness of -1.13 and kurtosis of 5.66. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Amgen's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Amgen's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Amgen Implied Volatility

Amgen's implied volatility exposes the market's sentiment of Amgen Inc stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Amgen's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Amgen stock will not fluctuate a lot when Amgen's options are near their expiration.

Amgen Fundamentals Vs Peers

Comparing Amgen's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Amgen's direct or indirect competition across all of the common fundamentals between Amgen and the related equities. This way, we can detect undervalued stocks with similar characteristics as Amgen or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Amgen's fundamental indicators could also be used in its relative valuation, which is a method of valuing Amgen by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Amgen to competition
FundamentalsAmgenPeer Average
Return On Equity1.36-0.31
Return On Asset0.0629-0.14
Profit Margin0.24 %(1.27) %
Operating Margin0.08 %(5.51) %
Current Valuation204.67 B16.62 B
Shares Outstanding535.92 M571.82 M
Shares Owned By Insiders0.24 %10.09 %
Shares Owned By Institutions80.89 %39.21 %
Number Of Shares Shorted11.11 M4.71 M
Price To Earning22.74 X28.72 X
Price To Book24.23 X9.51 X
Price To Sales5.36 X11.42 X
Revenue28.19 B9.43 B
Gross Profit19.92 B27.38 B
EBITDA7.9 B3.9 B
Net Income6.72 B570.98 M
Cash And Equivalents11.48 B2.7 B
Cash Per Share21.51 X5.01 X
Total Debt64.61 B5.32 B
Current Ratio1.68 X2.16 X
Book Value Per Share11.64 X1.93 K
Cash Flow From Operations8.47 B971.22 M
Short Ratio3.03 X4.00 X
Earnings Per Share12.48 X3.12 X
Price To Earnings To Growth2.51 X4.89 X
Target Price308.5
Number Of Employees26.7 K18.84 K
Beta0.58-0.15
Market Capitalization151.01 B19.03 B
Total Asset97.15 B29.47 B
Retained Earnings(26.55 B)9.33 B
Working Capital11.94 B1.48 B
Current Asset38.52 B9.34 B
Note: Acquisition by Williams R Sanders of 846 shares of Amgen subject to Rule 16b-3 [view details]

Amgen Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Amgen . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Amgen Buy or Sell Advice

When is the right time to buy or sell Amgen Inc? Buying financial instruments such as Amgen Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Short and Long Term Debt Total33.3B38.9B64.6B67.8B
Total Assets61.2B65.1B97.2B102.0B

Use Investing Ideas to Build Portfolios

In addition to having Amgen in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Banking Thematic Idea Now

Banking
Banking Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Banking theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Banking Theme or any other thematic opportunities.
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When determining whether Amgen Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Amgen's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Amgen Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Amgen Inc Stock:
Check out Amgen Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note that the Amgen Inc information on this page should be used as a complementary analysis to other Amgen's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.

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When running Amgen's price analysis, check to measure Amgen's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Amgen is operating at the current time. Most of Amgen's value examination focuses on studying past and present price action to predict the probability of Amgen's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Amgen's price. Additionally, you may evaluate how the addition of Amgen to your portfolios can decrease your overall portfolio volatility.
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Is Amgen's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Amgen. If investors know Amgen will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Amgen listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.52)
Dividend Share
8.52
Earnings Share
12.48
Revenue Per Share
52.692
Quarterly Revenue Growth
0.198
The market value of Amgen Inc is measured differently than its book value, which is the value of Amgen that is recorded on the company's balance sheet. Investors also form their own opinion of Amgen's value that differs from its market value or its book value, called intrinsic value, which is Amgen's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Amgen's market value can be influenced by many factors that don't directly affect Amgen's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Amgen's value and its price as these two are different measures arrived at by different means. Investors typically determine if Amgen is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Amgen's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.