Amgen Stock Forum

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For March 2024, the most undervalued stocks—those with the lowest price-to-earnings (P/E) ratios for each sector—include energy transportat...

Disney, Fox Corp-B, and Warner Bros Discovery's joint venture faces a lawsuit by FuboTV on antitrust grounds. Amgen's weak performance is due to mixed financial forecasts and questions about its weight-loss drug, MariTide. Constellation Energy's strong performance is backed by the IRA's nuclear production tax credit and effective cash flow deployment. Charter Communications' poor performance is due to a surprise loss in internet subscribers and missed quarterly earnings expectations.

Mizuho Securities questions if the obesity trade for the stock is nearing its end. Management's lack of bullishness on MariTide, and the lead of Eli Lilly and Novo, puts pressure on Amgen to stand out. Leerink downgraded Amgen due to high expectations from its weight loss drug R&D program.

Amgen's experimental obesity drug, MariTide, shows promising early results with patients losing up to 14.5% of their body weight. The less-frequent dosing could offer more convenience and less manufacturing burden.

Amgen's outlook is buoyed by Horizon's addition and increased global sales volume. The company is set to report initial human trial data for AMG786, an experimental oral obesity drug, and mid-stage trial results for MariTide, its lead injectable weight loss candidate, this year.

Despite impressive EPS growth, the market appears pessimistic about the company. Amgen's total shareholder return (TSR) over the last 5 years is 94%, surpassing its share price return. The company's recent performance outshines its 14% annualized return over half a decade, suggesting recent improvements.