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Amgen Inc. (AMGN) is a leading biopharmaceutical company headquartered in California. The company harnesses advanced biology and technology to discover, develop, manufacture, and deliver innovative medicines for serious illnesses, including cancer, heart disease, osteoporosis, inflammation, and rare diseases. The company’s market capitalization stands at $157.2 billion. Shares of Amgen have underperformed the broader market over the past 52 weeks. AMGN has declined 7.5% over this time frame, while the broader S&P 500 Index ($SPX) has gained 17.4%. Yet 2025 has been kind, with AMGN rising 12% on a year-to-date (YTD) basis, but still trailing SPX’s 16% YTD gains. Compared to its broader sector peers, the stock’s performance tells a mixed tale. AMGN has underperformed the Health Care Select Sector SPDR Fund’s (XLV) 2.6% drop over the past 52 weeks but outpaced XLV’s 4.9% climb this year. Shares of Amgen have slipped in 2025 primarily because investor enthusiasm has faltered despite operational strength. Attention has shifted to setbacks in its obesity-drug pipeline, notably the experimental candidate MariTide, which showed higher discontinuation rates in trials than expected. Also, legacy products are facing pressure from biosimilars and pricing headwinds, which have dampened growth expectations. For fiscal 2025, ending in December, analysts expect AMGN’s EPS to grow 6.3% year over year (YoY) to $21.08, rising by another 1.7% annually to $21.43 in fiscal 2026. The company’s earnings surprise history is promising. It beat the consensus estimates in the last four quarters. Among the 32 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 11 “Strong Buy” ratings, two “Moderate Buy,” 16 “Holds,” one “Moderate Sell,” and two “Strong Sells.” The configuration is less bullish than three months ago, when the stock had 12 “Strong Buy” ratings. AMGN’s mean price target of $313.92 represents a premium of 7.5% from the current market prices. The Street-high price target of $405 implies a modest potential upside of 38.7% from the current price levels.
