Piper Jaffray Cos. Upgrades Amgen to “Overweight” (AMGN)
Amgen (NASDAQ:AMGN) was upgraded by Piper Jaffray Cos. from a “neutral” rating to an “overweight” rating in a research note issued on Monday, TheFlyOnTheWall.com reports. The firm currently has a $140.00 price objective on the stock, up from their previous price objective of $120.00. Piper Jaffray Cos.’s price target indicates a potential upside of 32.58% from the stock’s previous close.
The analysts wrote, “We are upgrading AMGN to Overweight from Neutral and increasing our PT to $140 from $120 following the ~$10.4bn (~$9.7bn net of cash) acquisition of Onyx. We continue to see this deal as strategically sound, providing Amgen with needed revenue and earnings growth. We believe Kyprolis, Onyx’s most exciting asset, has the potential to generate $3bn+ in sales by 2025, with Onyx’s pipeline providing further upside. We believe this transaction will be accretive to Amgen’s earnings starting in 2015, adding ~$1.31 (~14%) to our 2017 estimate. We believe Amgen’s internal pipeline represents an additional area of potential upside to our estimates. Amgen remains on track to deliver at least eight pivotal data readouts by 2016 and we look for data from the four trials of AMG 145 (hypercholesterolemia) in 1Q14 as the next key internal pipeline catalyst.”
Shares of Amgen (NASDAQ:AMGN) traded up 7.87% on Monday, hitting $113.91. The stock had a trading volume of 8,733,254 shares. Amgen has a 1-year low of $80.60 and a 1-year high of $114.95. The stock’s 50-day moving average is $106.2 and its 200-day moving average is $100.. The company has a market cap of $85.815 billion and a price-to-earnings ratio of 17.80.
Amgen (NASDAQ:AMGN) last issued its quarterly earnings data on Tuesday, July 30th. The company reported $1.89 EPS for the quarter, beating the Thomson Reuters consensus estimate of $1.74 by $0.15. The company had revenue of $4.68 billion for the quarter, compared to the consensus estimate of $4.49 billion. During the same quarter in the prior year, the company posted $1.83 earnings per share. The company’s quarterly revenue was up 4.5% on a year-over-year basis. On average, analysts predict that Amgen will post $7.43 earnings per share for the current fiscal year.
A number of other firms have also recently commented on AMGN. Analysts at TheStreet reiterated a “buy” rating on shares of Amgen in a research note to investors on Wednesday, August 21st. Separately, analysts at Maxim Group upgraded shares of Amgen from a “hold” rating to a “buy” rating in a research note to investors on Tuesday, August 20th. They now have a $130.00 price target on the stock. Finally, analysts at Goldman Sachs Group Inc. reiterated a “buy” rating on shares of Amgen in a research note to investors on Friday, August 16th.
Twelve analysts have rated the stock with a hold rating and sixteen have issued a buy rating to the stock. The company has a consensus rating of “Buy” and an average target price of $107.43.
The company also recently announced a quarterly dividend, which is scheduled for Friday, September 6th. Investors of record on Friday, August 16th will be paid a dividend of $0.47 per share. This represents a $1.88 annualized dividend and a dividend yield of 1.78%. The ex-dividend date is Wednesday, August 14th.
Amgen Inc is a global biotechnology pioneer that discovers, develops, manufactures and delivers human therapeutics.
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