Amgen Inc.

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Amgen Inc. stock analysis AMGN overview
Bullish +75

Amgen's Numbers Are Out: Is The Cholesterol Crown In Play? - Investor's Business Daily

📈 Amgen significantly beat first-quarter analyst expectations, with adjusted earnings of $5.15 per share surpassing the $4.77 Street estimate.

💊 Sales of its cholesterol drug Repatha surged 34% to $876 million, well above the projected $828 million.

🦈 Repatha's growth was driven primarily by a 35% volume increase, despite an 8% deduction from estimated sales prices.

⚖️ Repatha maintains its market lead over rival cholesterol injections, as competitor Praluent generated only $245.7 million.

💰 Amgen raised its 2026 guidance slightly on the back of strong Repatha performance.

📉 Adjusted full-year earnings guidance was revised upward to an expected range of $21.70 to $23.10 per share.

💵 Full-year revenue guidance increased modestly to a projected $37.1 billion to $38.5 billion.

📉 Osteoporosis drug Prolia sales fell 34% to $727 million, missing expectations due to competition from biosimilars.

💉 Tepezza, a treatment for thyroid eye disease, showed solid growth with sales jumping 29% to $490 million.

🌬️ Asthma drug Tezspire lagged analyst forecasts, bringing in $343 million compared to an expected $444 million.

⚠️ Despite beating earnings, Amgen stock slipped nearly 3% in after-hours trading and remained below its 50-day moving average.

🧪 Amgen is advancing obesity treatments MariTide and AMG 513, with nine ongoing studies for MariTide.

👩‍⚕️ MariTide has entered Phase 3 testing, indicating the company is nearing potential regulatory filings for an obesity drug.

🔬 The company plans to initiate three new clinical studies for MariTide in patients with type 2 diabetes this year.

📊 Overall Q4 revenue growth of 6% brought total sales to $8.62 billion, exceeding the consensus forecast of $8.58 billion.

Bullish Signals
  • Amgen (AMGN) widely beat first-quarter Street expectations, adjusting earnings up 5% to $5.15 per share versus the consensus of $4.77.
  • Revenue surged in its cholesterol blockbuster Repatha, jumping 34% year-over-year to $876 million, significantly topping projections of $828 million.
  • The company raised its full-year outlook, projecting adjusted earnings of $21.70 to $23.10 per share at the midpoint, an increase of 10 cents from guidance issued three months ago.
  • Full-year sales guidance was also boosted to a range of $37.1 billion to $38.5 billion, expanding from the previous forecast of $37 billion to $38.4 billion.
  • Tepezza, a thyroid eye disease treatment, delivered strong results by growing 29% year-over-year to $490 million, hammering forecasts for $419 million.
  • MariTide, the obesity treatment in late-stage development, is advancing with nine ongoing studies and plans to start three new trials for type 2 diabetes this year.
  • Amgen confirmed that MariTide studies are already in Phase 3 testing, positioning the company close to potential regulatory filings for this obesity drug.
Risk Factors
  • Amgen stock slipped nearly 3% in after-hours trading to $336.82, remaining rangebound beneath its 50-day moving average.
  • Repatha sales growth was driven primarily by volume rather than price, with sales prices falling 7% and only an 8% favorable change from deductions offsetting a 35% volume jump.
  • Amgen's osteoporosis treatment Prolia saw sales tumble 34% to $727 million, widely missing expectations of $841 million due to heightened biosimilar competition.
  • Evenity sales came up short at $562 million, falling below the expected $567 million forecast.
  • The AstraZeneca-partnered asthma treatment Tezspire brought in $343 million, significantly lagging analyst calls for $444 million despite 20% growth.
  • Amgen faces increasing competition in its core cholesterol franchise as Regeneron and Sanofi's Praluent grew 27%, though it still earned less than half of Repatha's revenue.
Full Analysis
Amgen (AMGN) significantly exceeded Wall Street expectations for its first-quarter financial results, a performance driven largely by robust sales of its cholesterol drug Repatha. The company reported adjusted earnings of $5.15 per share, a 5% increase compared to the previous year, which surpassed analyst forecasts of $4.77. Revenue climbed 6% to reach $8.62 billion, slightly ahead of the projected $8.58 billion. This strong performance was anchored by Repatha, which generated $876 million in sales—a 34% surge from the prior year and well above the $828 million projection according to FactSet. Repatha's growth was primarily volume-driven, with prescriptions increasing by 35%, even as sales prices dropped by 7%. This strategic momentum allowed Amgen to raise its full-year outlook, expecting adjusted earnings between $21.70 and $23.10 per share and total sales ranging from $37.1 billion to $38.5 billion, both of which represent an upward revision from guidance issued three months ago. However, not all product lines delivered; osteoporosis treatment Prolia saw a 34% decline in sales to $727 million due to biosimilar competition, while Tezspire, an asthma drug developed with AstraZeneca (AZN), came in at $343 million against higher expectations of $444 million. Despite the strong operational results, Amgen's stock price dipped nearly 3% in after-hours trading to settle around 336.82, as investors focused on the decline in Prolia sales and technical chart patterns showing shares trading beneath their 50-day moving average. Analysts noted that while Repatha continues to dominate the cholesterol market against competitors like Regeneron's Praluent and upcoming rivals from Merck (MRK), investors are increasingly watching Amgen's pipeline for future growth. The company is advancing nine Phase 3 studies of its obesity drug MariTide and planning three new trials for type 2 diabetes this year, alongside another obesity candidate called AMG 513. Additionally, Amgen delivered positive results for its next-generation Tepezza treatment following a recent market decline in the original formulation from Viridian Therapeutics, further supporting its outlook on rare disease treatments.