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What Amgen’s Analysts Recommend in August 2017

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Recent regulatory submissions

In July 2017, the FDA (US Food and Drug Administration) accepted Amgen’s (AMGN) BLA (Biologics License Application) for Aimovig for the prevention of a migraine in individuals experiencing more than four migraine days per month. The FDA has provided PDUFA (Prescription Drug User Fee Act) action date of May 17, 2018.

Amgen and Novartis (NVS) will jointly commercialize Aimovig if the drug receives the FDA approval. Aimovig will also be the first and only monoclonal antibody targeting the CGRP (calcitonin gene-related peptide) receptor designed specifically for prophylaxis of a migraine. Aimovig could be a long-term growth driver for Amgen.

Analysts recommendation

AMGN’s analyst recommendations

Of the 24 analysts covering Amgen, four have recommended a “strong buy,” while six have recommended a “buy,” and 14 have recommended a “hold.” None has recommended a “sell” or “strong sell.” Around ~42% of the analysts covering Amgen have recommended some form of “buy” rating.

Amgen has a consensus 12-month target price of $187.21, which represents 7.78% return on investment from the stock’s current price. Notably, the SPDR S&P 500 ETF (SPY) has 0.60% of its total portfolio holdings in AMGN.

Competitors’ ratings

Of the 25 analysts tracking Regeneron Pharmaceuticals (REGN), seven have recommended a “strong buy,” while five analysts have recommended a “buy,” and 12 have recommended a “hold.” Only one analyst has recommended a “strong sell” for the stock.

Around ~48% of the analysts tracking Regeneron in August 2017 have recommended some form of “buy” rating. On August 9, 2017, Regeneron had 12-month target price $493, which is 4.97% above the current price.

Of the nine analysts tracking Exelixis (EXEL), two analysts have suggested a “strong buy,” while four have recommended a “buy.” Three have recommended a “hold,” but none has suggested any form of “sell” for the stock. Around ~67% of the analysts tracking Exelixis recommend some form of “buy” rating.

On August 9, 2017, Exelixis had consensus 12-month target price of $29.83, which represents a ~9.7% return on investment from its current price.

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