AMGEN INC (1AMGN.MI) Stock Fundamental Analysis
BIT:1AMGN - Euronext Milan - US0311621009 - Common Stock - Currency: EUR
Taking everything into account, 1AMGN scores 5 out of 10 in our fundamental rating. 1AMGN was compared to 68 industry peers in the Biotechnology industry. 1AMGN has an excellent profitability rating, but there are concerns on its financial health. 1AMGN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
1AMGN had positive earnings in the past year.
In the past year 1AMGN had a positive cash flow from operations.
Each year in the past 5 years 1AMGN has been profitable.
In the past 5 years 1AMGN always reported a positive cash flow from operatings.
1.2 Ratios
1AMGN has a Return On Assets of 6.64%. This is amongst the best in the industry. 1AMGN outperforms 84.72% of its industry peers.
Looking at the Return On Equity, with a value of 95.59%, 1AMGN belongs to the top of the industry, outperforming 98.61% of the companies in the same industry.
With an excellent Return On Invested Capital value of 11.30%, 1AMGN belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
1AMGN had an Average Return On Invested Capital over the past 3 years of 13.04%. This is in line with the industry average of 12.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.64% | ||
| ROE | 95.59% | ||
| ROIC | 11.3% |
ROA(3y)7.14%
ROA(5y)8.52%
ROE(3y)118.78%
ROE(5y)104.3%
ROIC(3y)13.04%
ROIC(5y)14.18%
1.3 Margins
Looking at the Profit Margin, with a value of 17.39%, 1AMGN belongs to the top of the industry, outperforming 86.11% of the companies in the same industry.
In the last couple of years the Profit Margin of 1AMGN has declined.
1AMGN has a better Operating Margin (25.22%) than 86.11% of its industry peers.
In the last couple of years the Operating Margin of 1AMGN has declined.
Looking at the Gross Margin, with a value of 64.07%, 1AMGN is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
In the last couple of years the Gross Margin of 1AMGN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.22% | ||
| PM (TTM) | 17.39% | ||
| GM | 64.07% |
OM growth 3Y-6.36%
OM growth 5Y-7.03%
PM growth 3Y-18.6%
PM growth 5Y-18.28%
GM growth 3Y-2.94%
GM growth 5Y-3.32%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1AMGN is still creating some value.
Compared to 1 year ago, 1AMGN has more shares outstanding
1AMGN has less shares outstanding than it did 5 years ago.
1AMGN has a better debt/assets ratio than last year.
2.2 Solvency
1AMGN has an Altman-Z score of 1.45. This is a bad value and indicates that 1AMGN is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.45, 1AMGN is in line with its industry, outperforming 56.94% of the companies in the same industry.
The Debt to FCF ratio of 1AMGN is 5.26, which is a neutral value as it means it would take 1AMGN, 5.26 years of fcf income to pay off all of its debts.
1AMGN's Debt to FCF ratio of 5.26 is amongst the best of the industry. 1AMGN outperforms 80.56% of its industry peers.
A Debt/Equity ratio of 8.70 is on the high side and indicates that 1AMGN has dependencies on debt financing.
1AMGN has a Debt to Equity ratio of 8.70. This is in the lower half of the industry: 1AMGN underperforms 70.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.7 | ||
| Debt/FCF | 5.26 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.91
WACC12.42%
2.3 Liquidity
1AMGN has a Current Ratio of 1.17. This is a normal value and indicates that 1AMGN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.17, 1AMGN is doing worse than 68.06% of the companies in the same industry.
A Quick Ratio of 0.88 indicates that 1AMGN may have some problems paying its short term obligations.
1AMGN's Quick ratio of 0.88 is on the low side compared to the rest of the industry. 1AMGN is outperformed by 73.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.43% over the past year.
The Earnings Per Share has been growing slightly by 5.97% on average over the past years.
The Revenue has grown by 15.56% in the past year. This is quite good.
1AMGN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.43% yearly.
EPS 1Y (TTM)11.43%
EPS 3Y5.02%
EPS 5Y5.97%
EPS Q2Q%23.74%
Revenue 1Y (TTM)15.56%
Revenue growth 3Y8.76%
Revenue growth 5Y7.43%
Sales Q2Q%9.43%
3.2 Future
Based on estimates for the next years, 1AMGN will show a small growth in Earnings Per Share. The EPS will grow by 4.13% on average per year.
Based on estimates for the next years, 1AMGN will show a small growth in Revenue. The Revenue will grow by 2.73% on average per year.
EPS Next Y7.16%
EPS Next 2Y5.12%
EPS Next 3Y5.1%
EPS Next 5Y4.13%
Revenue Next Year6.35%
Revenue Next 2Y3.99%
Revenue Next 3Y3.82%
Revenue Next 5Y2.73%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.97 indicates a correct valuation of 1AMGN.
Based on the Price/Earnings ratio, 1AMGN is valued cheaper than 91.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1AMGN to the average of the S&P500 Index (27.50), we can say 1AMGN is valued slightly cheaper.
1AMGN is valuated correctly with a Price/Forward Earnings ratio of 13.24.
Based on the Price/Forward Earnings ratio, 1AMGN is valued cheaper than 91.67% of the companies in the same industry.
1AMGN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.97 | ||
| Fwd PE | 13.24 |
4.2 Price Multiples
83.33% of the companies in the same industry are more expensive than 1AMGN, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1AMGN indicates a rather cheap valuation: 1AMGN is cheaper than 86.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.29 | ||
| EV/EBITDA | 14.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1AMGN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.95
PEG (5Y)2.34
EPS Next 2Y5.12%
EPS Next 3Y5.1%
5. Dividend
5.1 Amount
1AMGN has a Yearly Dividend Yield of 3.20%. Purely for dividend investing, there may be better candidates out there.
1AMGN's Dividend Yield is rather good when compared to the industry average which is at 14.54. 1AMGN pays more dividend than 94.44% of the companies in the same industry.
1AMGN's Dividend Yield is a higher than the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
5.2 History
On average, the dividend of 1AMGN grows each year by 9.41%, which is quite nice.
Dividend Growth(5Y)9.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
82.64% of the earnings are spent on dividend by 1AMGN. This is not a sustainable payout ratio.
The dividend of 1AMGN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP82.64%
EPS Next 2Y5.12%
EPS Next 3Y5.1%
BIT:1AMGN (6/2/2025, 7:00:00 PM)
251.95
+12.1 (+5.04%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners83.58%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap135.48B
Analysts72.82
Price Target280.17 (11.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
Yearly Dividend7.83
Dividend Growth(5Y)9.41%
DP82.64%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.11%
Min EPS beat(2)2.49%
Max EPS beat(2)11.73%
EPS beat(4)3
Avg EPS beat(4)4.63%
Min EPS beat(4)-2.66%
Max EPS beat(4)11.73%
EPS beat(8)7
Avg EPS beat(8)4.04%
EPS beat(12)10
Avg EPS beat(12)3.24%
EPS beat(16)14
Avg EPS beat(16)3.6%
Revenue beat(2)1
Avg Revenue beat(2)-0.25%
Min Revenue beat(2)-0.84%
Max Revenue beat(2)0.34%
Revenue beat(4)1
Avg Revenue beat(4)-0.99%
Min Revenue beat(4)-2.15%
Max Revenue beat(4)0.34%
Revenue beat(8)2
Avg Revenue beat(8)-0.88%
Revenue beat(12)2
Avg Revenue beat(12)-1.03%
Revenue beat(16)3
Avg Revenue beat(16)-1.02%
PT rev (1m)-5.1%
PT rev (3m)-8.51%
EPS NQ rev (1m)-1.97%
EPS NQ rev (3m)-2.2%
EPS NY rev (1m)0.78%
EPS NY rev (3m)0.92%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)-0.47%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)2.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.97 | ||
| Fwd PE | 13.24 | ||
| P/S | 4.57 | ||
| P/FCF | 14.29 | ||
| P/OCF | 12.79 | ||
| P/B | 25.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.42 |
EPS(TTM)18.03
EY7.16%
EPS(NY)19.03
Fwd EY7.55%
FCF(TTM)17.63
FCFY7%
OCF(TTM)19.7
OCFY7.82%
SpS55.13
BVpS10.03
TBVpS-61.65
PEG (NY)1.95
PEG (5Y)2.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.64% | ||
| ROE | 95.59% | ||
| ROCE | 12.97% | ||
| ROIC | 11.3% | ||
| ROICexc | 13.03% | ||
| ROICexgc | 56.9% | ||
| OM | 25.22% | ||
| PM (TTM) | 17.39% | ||
| GM | 64.07% | ||
| FCFM | 31.98% |
ROA(3y)7.14%
ROA(5y)8.52%
ROE(3y)118.78%
ROE(5y)104.3%
ROIC(3y)13.04%
ROIC(5y)14.18%
ROICexc(3y)15.77%
ROICexc(5y)17.27%
ROICexgc(3y)75.76%
ROICexgc(5y)77.1%
ROCE(3y)14.97%
ROCE(5y)16.28%
ROICexcg growth 3Y3.26%
ROICexcg growth 5Y-18.2%
ROICexc growth 3Y-8.67%
ROICexc growth 5Y-7.85%
OM growth 3Y-6.36%
OM growth 5Y-7.03%
PM growth 3Y-18.6%
PM growth 5Y-18.28%
GM growth 3Y-2.94%
GM growth 5Y-3.32%
F-Score6
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.7 | ||
| Debt/FCF | 5.26 | ||
| Debt/EBITDA | 3.81 | ||
| Cap/Depr | 22.89% | ||
| Cap/Sales | 3.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.93% | ||
| Profit Quality | 183.97% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.45 |
F-Score6
WACC12.42%
ROIC/WACC0.91
Cap/Depr(3y)24.77%
Cap/Depr(5y)23.42%
Cap/Sales(3y)3.59%
Cap/Sales(5y)3.31%
Profit Quality(3y)165.92%
Profit Quality(5y)155.23%
High Growth Momentum
Growth
EPS 1Y (TTM)11.43%
EPS 3Y5.02%
EPS 5Y5.97%
EPS Q2Q%23.74%
EPS Next Y7.16%
EPS Next 2Y5.12%
EPS Next 3Y5.1%
EPS Next 5Y4.13%
Revenue 1Y (TTM)15.56%
Revenue growth 3Y8.76%
Revenue growth 5Y7.43%
Sales Q2Q%9.43%
Revenue Next Year6.35%
Revenue Next 2Y3.99%
Revenue Next 3Y3.82%
Revenue Next 5Y2.73%
EBIT growth 1Y22.01%
EBIT growth 3Y1.84%
EBIT growth 5Y-0.13%
EBIT Next Year37.48%
EBIT Next 3Y10.41%
EBIT Next 5Y5.07%
FCF growth 1Y44.93%
FCF growth 3Y7.44%
FCF growth 5Y4.03%
OCF growth 1Y41.42%
OCF growth 3Y7.45%
OCF growth 5Y4.66%