Amgen is a leader in biotechnology-based human therapeutics. Flagship drugs include red blood cell boosters Epogen and Aranesp, immune system boosters Neupogen and Neulasta, and Enbrel and Otezla for inflammatory diseases.
It is a $224B healthcare company. Revenue grew 9.1% over the last year, it keeps 23¢ of every dollar of sales as profit, and its net debt equals ~4.0 years of free cash flow. It trades at 25.7× earnings — around the middle of its own history.
- Website
- amgen.com
- Location
- Thousand Oaks, CA
- Employees
- 31 500
- Sector
- Healthcare
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong profitability, quality and moat; Valuation lags behind.
Valuation41
- P/E vs own history66th pct · 5/25
- FCF yield4.5% · 12/25
- P/S5.9x · 12/25
- EV/EBITDA17.7x · 12/25
Growth55
- Revenue CAGR9.1% · 12/25
- Net income CAGR7.0% · 12/25
- EPS CAGR ~5Y2.9% · 6/25
- Fwd implied growth50.4% · 25/25
Profitability95
- ROIC20.0% · 20/25
- ROE89.3% · 25/25
- Net margin23.0% · 25/25
- Operating margin30.3% · 25/25
Health52
- Altman Z1.81 · 10/25
- Current ratio1.37 · 12/25
- Interest coverage12.7x · 25/25
- Net cash / debtD/A 45% · 5/25
Quality84
- Piotroski F7/9 · 22/25
- Beneish M-2.63 · 25/25
- FCF conversion116% · 25/25
- Margin stabilityσ 9.9% · 12/25
Moat88
- ROIC >12% years8/10 yrs · 20/25
- Median gross margin75.7% · 25/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 8.7% · 18/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- 2023AcquisitionAmgen acquired Horizon Therapeutics, specializing in drugs for rare diseases, for $27.8 billion
- 2022AcquisitionThe company acquired ChemoCentryx, the maker of Tavneos—a drug treatment for rare diseases called…
- 2021AcquisitionThe company acquired Five Prime Therapeutics and its lead candidate, bemarituzumab, for $1.9 billion
- 2020MilestoneAmgen, Takeda Pharmaceutical Company, and AbbVie
- FY2018FinancialBest year on record$8.39B net income
- 2017AcquisitionThis joint venture gave way in 2017 to a new joint venture, Kirin-Amgen
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $10B$23.0B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- 2011AcquisitionAmgen acquired a manufacturing facility near Dublin, Ireland
- 1994MilestoneAmgen became the fifth company to receive the National Medal of Technology and Innovation from the United…
- 1993MilestoneAmgen opened a new manufacturing facility in Puerto Rico, in March 1993
- 1989MilestoneThe following year, in 1989, Amgen received approval for the first recombinant human erythropoetin product, Epogen…
- Jun 17, 1983IPOAmgen became a public company via an initial public offering, selling two million common shares…
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (74.3%)
- Strongly profitable — 23.0% net margin
- Strong cash conversion — FCF is 26.7% of revenue
- Interest covered 12.7× by operating earnings
- High returns on invested capital (ROIC 20.0%)
Watch-outs
Nothing stands out as a concern in the available data.
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+9.1% YoY
- Profitable — makes more than it spends$8.74B TTM
- Profit growing — earnings are higher than last year+5.5% YoY
- Generates cash — cash left after running and investing$10.2B TTM
- Debt under control — could handle its obligations~4.0y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$224B market cap
- Not printing shares — share count not ballooning — you keep your slice-8.1% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distressAltman Z 1.8 — grey
- Pays a dividend — returns cash to shareholdersyield 2.32%
- Valuation not extreme — price not wildly above earningsP/E 25.7
Peer comparisonAmgen Inc vs 6 largest healthcare peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| AMGN this company | $224.4B | 25.7 | +9.1% | 23.0% | Mixed |
| LLY Eli Lilly & Co. | $1.0T | 41.6 | +49.6% | 33.5% | Solid |
| JNJ Johnson & Johnson | $630.9B | 29.9 | +8.1% | 21.5% | Mixed |
| ABBV Abbvie Inc. | $488.5B | 77.4 | +10.4% | 9.8% | Mixed |
| MRK Merck & Co., Inc. | $361.0B | 113.2 | +4.6% | 4.8% | Mixed |
| UNH UNITEDHEALTH GROUP INCORPORATED (Delaware) | $340.7B | 24.1 | +6.5% | 3.1% | Mixed |
| NVS Novartis AG | $273.2B | 20.3 | +9.6% | 24.7% | Solid |
Head-to-head: AMGN vs LLY · AMGN vs JNJ · AMGN vs ABBV
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/AMGN
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Deeper analysis of AMGN on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $415.01 · market cap $224B.