• Amgen recently reported second-quarter 2025 earnings, unveiling US$9.18 billion in revenue and US$1.43 billion in net income, alongside issuing improved full-year guidance and affirming its quarterly dividend at US$2.38 per share.
• Notably, Amgen continued its buyback program with no new shares repurchased last quarter, while having already completed the repurchase of over 425 million shares since 2011.
• We'll explore how Amgen's strong revenue and profit growth this quarter might influence its future earnings outlook and analyst expectations.

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Amgen Investment Narrative Recap

For me, being an Amgen shareholder means believing in the company’s ability to capitalize on its robust drug pipeline and maintain growth despite competitive and pricing pressures. The recent Q2 earnings beat and updated full-year guidance reinforce an optimistic short-term outlook, but these results do not fundamentally alter the biggest immediate risk: intensifying biosimilar competition and drug pricing reforms. Investors should keep these factors front of mind as they assess the sustainability of recent momentum.

The affirmation of Amgen’s quarterly dividend at US$2.38 per share following a strong second-quarter performance is especially relevant. Consistent dividend payouts underscore management’s confidence in cash flow, which could be a stabilizing factor even as market share faces challenges from biosimilars and pricing headwinds.

Yet, in contrast, it’s important for investors to be mindful of how industry-wide reimbursement and pricing changes could accelerate revenue pressures in the coming quarters...

Amgen's outlook anticipates $37.0 billion in revenue and $8.7 billion in earnings by 2028. This implies a 2.7% annual revenue growth rate and an earnings increase of $2.8 billion from current earnings of $5.9 billion.

Uncover how Amgen's forecasts yield a $313.48 fair value, a 9% upside to its current price.

Exploring Other Perspectives

While the baseline consensus sees steady growth, the most cautious analysts projected revenues could slip to about US$34.6 billion by 2028. If you believe that persisting pricing and biosimilar pressures outweigh pipeline successes, their more pessimistic outlook highlights just how much investor expectations can differ, with earnings forecasts and share price targets that may shift in light of recent results.

Explore 5 other fair value estimates on Amgen - why the stock might be worth over 2x more than the current price!

Build Your Own Amgen Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Amgen research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Amgen research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Amgen's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.