BofA Securities reiterated an Underperform rating on Amgen with a price objective of $304, a notable discount to the stock’s recent trading price of $366.10 and its proximity to the 52-week high. Data from InvestingPro cited alongside the note shows a Fair Value assessment that places the shares near a fair valuation at current market levels.
The firm outlined several upcoming clinical readouts and program milestones that it views as material to Amgen’s trajectory. Amgen carries a large market capitalization of $198 billion and, according to InvestingPro, a financial health score characterized as "GREAT." The shares have returned 13.85% over the past six months.
BofA analyst Tazeen Ahmad called attention to an expected MariTide Phase 2 update sometime in 2026. In addition, Ahmad noted that the Phase 3 pelacarsen Lp(a) HORIZON cardiovascular outcomes trial from Ionis and Novartis is now expected in mid-2026, an event the firm says could offer readthrough implications for Amgen’s olpasiran program.
The note also listed the AMG 513 Phase 1 readout in obesity, with a primary completion date in July 2026, among the nearer-term items to watch. MariTide Phase 3 readouts are scheduled to begin in 2027, and olpasiran has a Phase 3 readout expected in 2027 as well, completing the set of significant pipeline catalysts cited by the firm.
Separately, Amgen reported stronger-than-expected fourth-quarter results that exceeded analyst consensus. Revenue for the quarter came in at $9.87 billion, above the consensus estimate of $9.47 billion, while earnings per share were $5.29 versus an expected $4.73. Management attributed the better-than-forecast performance in part to higher-than-anticipated sales of several established products, including Prolia, Repatha, Evenity, and Uplizna.
Those quarterly results prompted upward adjustments from other brokerages. RBC Capital raised its target to $360 while maintaining an Outperform rating. Cantor Fitzgerald lifted its target to $350 but kept a Neutral stance. TD Cowen increased its target to $420, citing confidence in Amgen’s guidance despite noting continued concern about potential loss of exclusivity for key therapies.
The juxtaposition of BofA’s Underperform rating and several brokers’ higher targets reflects differing interpretations of Amgen’s near-term valuation and longer-term pipeline prospects. Investors and market participants will likely focus on the sequence of clinical readouts through 2026 and 2027 as determinant events for sentiment and valuation.
Context for stakeholders
- Biotechnology and broader healthcare market participants will be attentive to the timing and outcomes of the listed readouts, which could influence sector sentiment.
- Equity investors are weighing a below-consensus price target from a major house against recent earnings strength and target increases from other brokerages.