Amgen Inc. (NASDAQ:AMGN) is one of the world’s most prominent biotechnology companies, renowned for its trailblazing work in developing biologic therapies that have redefined modern medicine. Headquartered in Thousand Oaks, California, and founded in 1980, Amgen has grown from a small research-focused biotech startup into a multinational powerhouse with a market capitalization exceeding $140 billion. As a member of the prestigious Dow Jones Industrial Average, Amgen plays a critical role in shaping the future of the healthcare and life sciences industries.
At its core, Amgen is dedicated to discovering, developing, manufacturing, and delivering innovative human therapeutics. The company’s science-driven approach has yielded groundbreaking treatments for some of the world’s most serious illnesses, including cancer, cardiovascular disease, osteoporosis, autoimmune disorders, and rare conditions. From its first product approval in the late 1980s to its current portfolio of more than 20 approved therapies, Amgen has consistently demonstrated its ability to turn genetic science into life-changing treatments.
Amgen’s rise to biotech prominence is anchored in its pioneering use of recombinant DNA and molecular biology. The company was among the first to harness biotechnology to develop protein-based therapies that directly target the underlying causes of disease. Today, its flagship products include Enbrel, Repatha, Prolia, Otezla, XGEVA, Aranesp, and Kyprolis—each addressing major global health burdens and generating billions in revenue annually. With a growing pipeline of biologics and biosimilars, Amgen continues to expand its reach across multiple therapeutic areas and patient populations.
Beyond its commercial success, Amgen remains at the forefront of biotech innovation through its robust R&D engine. The company invests billions annually into scientific discovery and clinical development, with over 30 investigational molecules currently in its pipeline. One of its most closely watched late-stage candidates is MariTide, a novel obesity treatment that positions Amgen to enter the fast-growing GLP-1 market projected to surpass $100 billion by 2030.
Strategic acquisitions have also played a key role in Amgen’s growth. The company’s $27.8 billion acquisition of Horizon Therapeutics in 2023 marked a major expansion into rare diseases, adding blockbuster assets like TEPEZZA and KRYSTEXXA to its portfolio. This deal, combined with its global manufacturing footprint and increasing partnerships in diagnostics, immunotherapy, and gene editing, demonstrates Amgen’s commitment to long-term, diversified growth.
As of 2025, Amgen operates in over 100 countries, employs more than 24,000 people, and continues to serve millions of patients worldwide. Its consistent performance, financial strength, strong dividend policy, and leadership in therapeutic innovation make it a cornerstone of any long-term healthcare or biotech investment strategy. With a legacy of scientific excellence and a future driven by bold innovation, Amgen remains one of the most influential and resilient players in the global biopharmaceutical industry.
A Legacy of Biotech Innovation With Global Impact
Founded in 1980, Amgen has evolved from a niche biotech startup into a global leader in therapeutic innovation. The company’s mission to “serve patients” is not just corporate rhetoric—it is reflected in its expansive drug portfolio that targets a broad spectrum of life-altering diseases, including cancer, cardiovascular disease, bone disorders, and autoimmune conditions. Headquartered in Thousand Oaks, California, Amgen is one of the 30 components of the Dow Jones Industrial Average and boasts a market capitalization of over $147 billion as of May 2025.
Amgen’s suite of FDA-approved products includes household names in the biotech space such as Enbrel, Otezla, Prolia, Repatha, Nplate, KYPROLIS, Aranesp, XGEVA, and EVENITY. Each of these drugs serves a critical therapeutic need and continues to generate billions in annual revenue. Their targeted, biologic-based approach to treatment has consistently kept Amgen at the forefront of scientific advancement and patient outcomes.
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Record Financials Reflect Robust Business Execution
In 2024, Amgen reported total revenues of $33.42 billion, marking a year-over-year increase of 18.57%. Net income reached $4.09 billion, underlining the company’s strong operational efficiency even amid an increasingly competitive biotech landscape. Amgen’s first-quarter results for 2025 beat Wall Street expectations by a wide margin, with earnings per share (EPS) coming in at $4.90, significantly above consensus estimates of $4.18. Revenues in the same period hit $8.15 billion, a 9.4% increase compared to the previous year. These figures reflect both product strength and improved cost management, even as Amgen continues to invest in research and pipeline expansion.
Amgen’s return on equity (ROE) reached an eye-catching 176.32%, with a net margin of 12.24%, proving the company’s ability to deliver shareholder value through disciplined capital allocation and strategic execution. With a forward P/E ratio of 13.48 and a PEG ratio of 2.63, Amgen’s current valuation appears reasonable given its growth trajectory and dividend yield, which now sits at an attractive 3.46%.
Waverly Advisors and Institutional Investors Signal Growing Confidence
A fresh wave of institutional buying in Q4 2024 and early 2025 suggests that Wall Street is increasingly bullish on Amgen’s long-term value. Notably, Waverly Advisors LLC increased its stake in the company by 17.9% during the fourth quarter, acquiring an additional 4,703 shares and bringing its total holdings to 31,014 shares worth approximately $8.08 million. This move signals increased confidence in Amgen’s ability to deliver both capital appreciation and defensive earnings stability.
Waverly wasn’t alone. Other firms such as Beck Mack & Oliver LLC, Blossom Wealth Management, Zullo Investment Group Inc., Trillium Asset Management, and Evermay Wealth Management also boosted their Amgen positions. In total, over 76.5% of Amgen stock is now held by institutional investors, reaffirming the biotech giant’s appeal to large-cap-focused funds, pension plans, and private wealth managers.
Product Pipeline and MariTide: A Game-Changer in the Obesity Drug Race
Amgen’s innovation engine remains one of the strongest in biotech, with more than 30 programs in clinical development and several poised to reach commercial viability. One of the most anticipated developments is MariTide, a once-monthly obesity treatment that analysts believe could become a major rival to GLP-1 drugs like Novo Nordisk’s Wegovy and Eli Lilly’s Zepbound. The obesity drug market is expected to exceed $100 billion globally by 2030. Even capturing a fraction of this market could elevate Amgen’s revenue base significantly.
Some analysts project that MariTide could generate as much as $10 billion in annual sales if approved and adopted widely, potentially driving Amgen’s total annual revenue to $46 billion or more by the end of the decade. Investors concerned with recent stock pullbacks over weight-loss drug data should view this as a temporary overreaction. The market remains wide open for multiple players, and Amgen’s differentiated monthly dosing could provide a strong competitive advantage in patient adherence and convenience.
Strategic Acquisitions and Expansion Bolster Long-Term Growth
In October 2023, Amgen completed a transformative $27.8 billion acquisition of Horizon Therapeutics, a move that expanded its reach into rare and specialty diseases and added powerful assets like TEPEZZA (thyroid eye disease) and KRYSTEXXA (refractory gout). These therapies not only diversify Amgen’s revenue streams but also improve its access to underserved patient populations.
Amgen is also investing in domestic manufacturing expansion, committing $900 million to scale its U.S. production capacity and better support future product demand. This proactive infrastructure development aligns with the company’s long-term pipeline goals and strengthens its supply chain resilience—an increasingly vital asset in the post-pandemic era of medicine.
Analysts Are Watching Closely, But Sentiment Is Turning Bullish
Amgen continues to receive a mix of analyst ratings, though the overall tone remains positive. Out of 25 analyst reports reviewed, two rate the stock as a “sell,” twelve maintain a “hold,” nine have a “buy,” and two suggest a “strong buy.” The average 12-month price target is $309.22, implying potential upside from current levels. StockNews.com recently upgraded Amgen to a “strong-buy,” and Mizuho raised its target price to $280, citing neutral sentiment but strong execution. While Erste Group and Guggenheim remain cautious, the company’s consistent earnings beats and pipeline progress could shift consensus to a more bullish stance in the quarters ahead.
Dividend Strength and Insider Confidence Reinforce Stability
Amgen continues to reward shareholders through generous capital returns. Its most recent dividend declaration set the quarterly payout at $2.38 per share, translating to an annualized yield of 3.46%. With a dividend payout ratio of 86.86%, the company’s ability to sustain its dividend policy reflects healthy cash flows and disciplined financial planning. Shareholders of record as of May 16th, 2025, will receive payments on June 6th, offering not only capital growth but consistent income—a rare combination in high-growth biotech.
Insider activity also offers a layer of insight into internal confidence. EVP David M. Reese sold over 25,000 shares at an average price of $304.44 in February, totaling $7.67 million. Despite the size of the sale, Reese retains nearly 37,000 shares, a signal that company leadership maintains substantial exposure to future upside.
Final Verdict: Amgen Is a Biotech Titan With Durable Upside
Amgen is not just a legacy biotech name—it is a forward-looking innovator with strong fundamentals, expanding institutional support, a rapidly developing obesity treatment pipeline, and a proven ability to deliver both earnings and dividends. Its presence across oncology, immunology, cardiovascular, and rare diseases provides resilience in uncertain market conditions, while its pipeline promises high-reward catalysts over the next several years.
With a reasonable valuation, rising revenue, expanding margins, and a growing moat in therapeutic innovation, Amgen Inc. represents one of the most balanced and strategically sound opportunities in the biotechnology space today. For long-term investors seeking exposure to cutting-edge science, stable income, and blue-chip strength, Amgen is a name that deserves a top spot on the watchlist—and possibly, in the portfolio.
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