Amgen (NASDAQ:AMGN) Shares Gap Up on Better-Than-Expected Earnings

Shares of Amgen Inc. (NASDAQ:AMGN) gapped up before the market opened on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $278.39, but opened at $313.39. Amgen shares last traded at $313.33, with a volume of 4,053,898 shares.

The medical research company reported $3.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.76 by $0.20. The business had revenue of $7.45 billion for the quarter, compared to analysts’ expectations of $7.45 billion. Amgen had a return on equity of 145.62% and a net margin of 12.74%. The company’s quarterly revenue was up 22.0% on a year-over-year basis. During the same period in the previous year, the firm posted $3.98 EPS.

Amgen Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, June 7th. Investors of record on Friday, May 17th will be issued a $2.25 dividend. This represents a $9.00 dividend on an annualized basis and a dividend yield of 2.89%. The ex-dividend date of this dividend is Thursday, May 16th. Amgen’s payout ratio is 128.57%.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. Morgan Stanley lifted their target price on Amgen from $271.00 to $310.00 and gave the stock an “equal weight” rating in a report on Friday. Leerink Partnrs cut Amgen from an “outperform” rating to a “market perform” rating in a report on Wednesday, February 7th. UBS Group raised their target price on Amgen from $284.00 to $307.00 and gave the stock a “neutral” rating in a research report on Friday. Truist Financial reaffirmed a “buy” rating and issued a $320.00 target price on shares of Amgen in a research report on Friday, April 12th. Finally, TD Cowen decreased their target price on Amgen from $370.00 to $360.00 and set a “buy” rating for the company in a research report on Wednesday, April 17th. Ten investment analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $305.05.

Insiders Place Their Bets

In other news, SVP Nancy A. Grygiel sold 2,117 shares of the firm’s stock in a transaction on Friday, May 3rd. The shares were sold at an average price of $313.09, for a total transaction of $662,811.53. Following the transaction, the senior vice president now owns 9,883 shares in the company, valued at approximately $3,094,268.47. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.46% of the company’s stock.

Hedge Funds Weigh In On Amgen

Several hedge funds have recently bought and sold shares of AMGN. BIP Wealth LLC raised its stake in shares of Amgen by 2.6% in the 4th quarter. BIP Wealth LLC now owns 1,249 shares of the medical research company’s stock valued at $360,000 after acquiring an additional 32 shares in the last quarter. Southland Equity Partners LLC raised its position in shares of Amgen by 2.3% in the fourth quarter. Southland Equity Partners LLC now owns 1,538 shares of the medical research company’s stock valued at $443,000 after purchasing an additional 34 shares during the period. Acropolis Investment Management LLC lifted its stake in shares of Amgen by 3.5% in the fourth quarter. Acropolis Investment Management LLC now owns 999 shares of the medical research company’s stock worth $288,000 after buying an additional 34 shares during the last quarter. Opal Wealth Advisors LLC boosted its holdings in shares of Amgen by 1.9% during the 4th quarter. Opal Wealth Advisors LLC now owns 1,868 shares of the medical research company’s stock worth $538,000 after buying an additional 34 shares during the period. Finally, Marino Stram & Associates LLC grew its stake in Amgen by 0.7% in the 4th quarter. Marino Stram & Associates LLC now owns 4,626 shares of the medical research company’s stock valued at $1,332,000 after buying an additional 34 shares during the last quarter. 76.50% of the stock is owned by institutional investors and hedge funds.

Amgen Stock Up 11.8 %

The stock has a market cap of $166.97 billion, a P/E ratio of 44.47, a P/E/G ratio of 2.69 and a beta of 0.60. The company has a current ratio of 1.65, a quick ratio of 1.13 and a debt-to-equity ratio of 10.14. The firm’s fifty day moving average is $274.95 and its 200 day moving average is $281.50.

Amgen Company Profile

Amgen Inc discovers, develops, manufactures, and delivers human therapeutics worldwide. The company's principal products include Enbrel to treat plaque psoriasis, rheumatoid arthritis, and psoriatic arthritis; Otezla for the treatment of adult patients with plaque psoriasis, psoriatic arthritis, and oral ulcers associated with Behçet's disease; Prolia to treat postmenopausal women with osteoporosis; XGEVA for skeletal-related events prevention; Repatha, which reduces the risks of myocardial infarction, stroke, and coronary revascularization; Nplate for the treatment of patients with immune thrombocytopenia; KYPROLIS to treat patients with relapsed or refractory multiple myeloma; Aranesp to treat a lower-than-normal number of red blood cells and anemia; EVENITY for the treatment of osteoporosis in postmenopausal for men and women; Vectibix to treat patients with wild-type RAS metastatic colorectal cancer; BLINCYTO for the treatment of patients with acute lymphoblastic leukemia; TEPEZZA to treat thyroid eye disease; and KRYSTEXXA for the treatment of chronic refractory gout.