Amgen (AMGN) Laps the Stock Market: Here's Why

In the latest close session, Amgen (AMGN) was up +1.18% at $297.32. The stock's performance was ahead of the S&P 500's daily gain of 0.4%. Meanwhile, the Dow lost 0.04%, and the Nasdaq, a tech-heavy index, added 0.66%. Prior to today's trading, shares of the world's largest biotech drugmaker had gained 7.6% outpaced the Medical sector's gain of 1.8% and the S&P 500's gain of 1.02%.Market participants will be closely following the financial results of Amgen in its upcoming release. The company plans to announce its earnings on November 4, 2025. The company is expected to report EPS of $5.03, down 9.86% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $8.94 billion, up 5.14% from the prior-year quarter. Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $21.08 per share and revenue of $35.65 billion, indicating changes of +6.25% and +6.65%, respectively, compared to the previous year. Any recent changes to analyst estimates for Amgen should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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. The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.09% lower. Amgen is currently sporting a Zacks Rank of #3 (Hold). In the context of valuation, Amgen is at present trading with a Forward P/E ratio of 13.94. For comparison, its industry has an average Forward P/E of 19.66, which means Amgen is trading at a discount to the group. One should further note that AMGN currently holds a PEG ratio of 2.6. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. AMGN's industry had an average PEG ratio of 1.85 as of yesterday's close. The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 88, finds itself in the top 36% echelons of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions. Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amgen Inc. (AMGN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks