Amgen Valuation

AMGN Stock  USD 379.73  6.37  1.71%   
At this time, the firm appears to be fairly valued. Amgen Inc shows a prevailing Real Value of $387.01 per share. The current price of the firm is $379.73. Our model approximates the value of Amgen Inc from analyzing the firm fundamentals such as profit margin of 0.21 %, and Return On Equity of 1.06 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Amgen's valuation include:
Price Book
22.9838
Enterprise Value
244.5 B
Enterprise Value Ebitda
20.8395
Price Sales
5.4758
Forward PE
16.8067
Fairly Valued
Today
379.73
Please note that Amgen's price fluctuation is very steady at this time. Calculation of the real value of Amgen Inc is based on 3 months time horizon. Increasing Amgen's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Amgen is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Amgen Stock. However, Amgen's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  379.73 Real  387.01 Target  345.56 Hype  379.34 Naive  380.94
The intrinsic value of Amgen's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Amgen's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
341.76
Downside
387.01
Real Value
388.96
Upside
Estimating the potential upside or downside of Amgen Inc helps investors to forecast how Amgen stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Amgen more accurately as focusing exclusively on Amgen's fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
4.175.166.15
Details
Hype
Prediction
LowEstimatedHigh
377.39379.34381.29
Details
Potential
Annual Dividend
LowForecastedHigh
5.986.176.37
Details
32 Analysts
Consensus
LowTarget PriceHigh
314.46345.56383.57
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Amgen's intrinsic value based on its ongoing forecasts of Amgen's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Amgen's closest peers.

Amgen Cash

9.59 Billion

Amgen Revenue by Product

Amgen Total Value Analysis

Amgen Inc is presently forecasted to have valuation of 244.47 B with market capitalization of 201.24 B, debt of 54.6 B, and cash on hands of 11.48 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Amgen fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
244.47 B
201.24 B
54.6 B
11.48 B

Amgen Investor Information

About 85.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 1.14. Amgen Inc recorded earning per share (EPS) of 14.23. The entity last dividend was issued on the 13th of February 2026. The firm had 2:1 split on the 22nd of November 1999. Based on the analysis of Amgen's profitability, liquidity, and operating efficiency, Amgen Inc may be sliding down financialy. It has an above-average odds of going through some form of financial crisis next quarter.

Amgen Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Amgen has an asset utilization ratio of 40.56 percent. This suggests that the Company is making $0.41 for each dollar of assets. An increasing asset utilization means that Amgen Inc is more efficient with each dollar of assets it utilizes for everyday operations.
 
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Amgen Profitability Analysis

Considering Amgen's profitability and operating efficiency indicators, Amgen's profitability may be sliding down. It has an above-average odds of reporting lower numbers next quarter. Profitability indicators assess Amgen's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1985-09-30
Previous Quarter
3.2 B
Current Value
1.3 B
Quarterly Volatility
899.5 M
 
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As of the 19th of February 2026, Gross Profit is likely to grow to about 27.3 B, while Pretax Profit Margin is likely to drop 0.24.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.640.8252
Significantly Down
Slightly volatile
Net Profit Margin0.180.2098
Fairly Down
Very volatile
Pretax Profit Margin0.240.2442
Fairly Down
Very volatile
Return On Assets0.120.0851
Significantly Up
Slightly volatile
Return On Equity0.940.8906
Notably Up
Slightly volatile
For Amgen profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Amgen Inc to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Amgen utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Amgen's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Amgen over time as well as its relative position and ranking within its peers.

Amgen Earnings per Share Projection vs Actual

The next projected EPS of Amgen is estimated to be 5.16 with future projections ranging from a low of 4.17 to a high of 6.15. Amgen's most recent 12-month trailing earnings per share (EPS TTM) is at 14.23. Please be aware that the consensus of earnings estimates for Amgen Inc is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
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Amgen is projected to generate 5.16 in earnings per share on the 31st of March 2026. Amgen earnings estimates show analyst consensus about projected Amgen EPS (Earning Per Share). It derives the highest and the lowest estimates based on Amgen's historical volatility. Many public companies, such as Amgen, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Amgen Earnings Estimation Breakdown

The calculation of Amgen's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Amgen is estimated to be 5.16 with the future projection ranging from a low of 4.17 to a high of 6.15. Please be aware that this consensus of annual earnings estimates for Amgen Inc is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
5.29
4.17
Lowest
Expected EPS
5.16
6.15
Highest

Amgen Earnings Projection Consensus

Suppose the current estimates of Amgen's value are higher than the current market price of the Amgen stock. In this case, investors may conclude that Amgen is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Amgen's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of March 2026Current EPS (TTM)
3293.63%
5.29
5.16
14.23

Amgen Ownership Allocation

Amgen holds a total of 539 Million outstanding shares. The majority of Amgen Inc outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Amgen Inc to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Amgen. Please pay attention to any change in the institutional holdings of Amgen Inc as this could imply that something significant has changed or is about to change at the company. On February 3, 2026, Representative David Taylor of US Congress acquired under $15k worth of Amgen Inc's common stock.

Amgen Profitability Analysis

The company reported the previous year's revenue of 36.74 B. Net Income was 7.71 B with profit before overhead, payroll, taxes, and interest of 26.01 B.

Amgen Past Distributions to stockholders

About Amgen Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Amgen Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Amgen Inc based exclusively on its fundamental and basic technical indicators. By analyzing Amgen's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Amgen's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Amgen. We calculate exposure to Amgen's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Amgen's related companies.
Last ReportedProjected for Next Year
Gross Profit26 B27.3 B
Pretax Profit Margin 0.24  0.24 
Operating Profit Margin 0.41  0.24 
Net Profit Margin 0.21  0.18 
Gross Profit Margin 0.83  0.64 
Amgen's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Amgen's value is low or high relative to the company's performance and growth projections. Determining the market value of Amgen can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Amgen represents a small ownership stake in the entity. As a stockholder of Amgen, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Amgen Dividends Analysis For Valuation

As of the 19th of February 2026, Dividend Paid And Capex Coverage Ratio is likely to grow to 2.65, though Dividends Paid is likely to grow to (4.9 B). . As of the 19th of February 2026, Retained Earnings is likely to grow to about (23.9 B). In addition to that, Retained Earnings Total Equity is likely to grow to about (24.5 B)
Last ReportedProjected for Next Year
Dividends Paid-5.1 B-4.9 B
Dividend Yield 0.03  0.02 
Dividend Payout Ratio 0.66  0.46 
Dividend Paid And Capex Coverage Ratio 1.43  2.65 
There are various types of dividends Amgen can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Amgen shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Amgen Inc directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Amgen pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Amgen by the value of the dividends paid out.

Amgen Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding542 M
Quarterly Earnings Growth Y O Y1.121
Forward Price Earnings16.8067

Amgen Current Valuation Indicators

Amgen's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Amgen's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Amgen, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Amgen's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Amgen's worth.
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 Trending Equities to better understand how to build diversified portfolios, which includes a position in Amgen Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census.
You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Will Biotechnology sector continue expanding? Could Amgen diversify its offerings? 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. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Amgen data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth
1.121
Dividend Share
9.52
Earnings Share
14.23
Revenue Per Share
68.31
Quarterly Revenue Growth
0.086
Investors evaluate Amgen Inc using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Amgen's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Amgen's market price to deviate significantly from intrinsic value.
Understanding that Amgen's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Amgen represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Conversely, Amgen's market price signifies the transaction level at which participants voluntarily complete trades.