AMGEN INC (AMG.DE) Stock Fundamental Analysis
Europe - FRA:AMG - US0311621009 - Common Stock
254.15 EUR
-1.7 (-0.66%)
Overall AMG gets a fundamental rating of 5 out of 10. We evaluated AMG against 79 industry peers in the Biotechnology industry. While AMG has a great profitability rating, there are quite some concerns on its financial health. AMG may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year AMG was profitable.
AMG had a positive operating cash flow in the past year.
Each year in the past 5 years AMG has been profitable.
Each year in the past 5 years AMG had a positive operating cash flow.
1.2 Ratios
AMG has a better Return On Assets (7.53%) than 82.28% of its industry peers.
AMG has a better Return On Equity (89.11%) than 100.00% of its industry peers.
AMG has a better Return On Invested Capital (14.12%) than 88.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMG is below the industry average of 15.27%.
The 3 year average ROIC (13.04%) for AMG is below the current ROIC(14.12%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.53% | ||
| ROE | 89.11% | ||
| ROIC | 14.12% |
ROA(3y)7.14%
ROA(5y)8.52%
ROE(3y)118.78%
ROE(5y)104.3%
ROIC(3y)13.04%
ROIC(5y)14.18%
1.3 Margins
AMG has a better Profit Margin (18.96%) than 83.54% of its industry peers.
In the last couple of years the Profit Margin of AMG has declined.
AMG's Operating Margin of 31.30% is amongst the best of the industry. AMG outperforms 88.61% of its industry peers.
In the last couple of years the Operating Margin of AMG has declined.
AMG has a better Gross Margin (69.71%) than 62.03% of its industry peers.
In the last couple of years the Gross Margin of AMG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.3% | ||
| PM (TTM) | 18.96% | ||
| GM | 69.71% |
OM growth 3Y-6.36%
OM growth 5Y-7.03%
PM growth 3Y-18.6%
PM growth 5Y-18.28%
GM growth 3Y-2.94%
GM growth 5Y-3.32%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AMG is creating some value.
The number of shares outstanding for AMG has been increased compared to 1 year ago.
The number of shares outstanding for AMG has been reduced compared to 5 years ago.
The debt/assets ratio for AMG has been reduced compared to a year ago.
2.2 Solvency
AMG has a debt to FCF ratio of 4.94. This is a neutral value as AMG would need 4.94 years to pay back of all of its debts.
AMG's Debt to FCF ratio of 4.94 is fine compared to the rest of the industry. AMG outperforms 77.22% of its industry peers.
A Debt/Equity ratio of 7.24 is on the high side and indicates that AMG has dependencies on debt financing.
AMG has a Debt to Equity ratio of 7.24. This is in the lower half of the industry: AMG underperforms 69.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.24 | ||
| Debt/FCF | 4.94 | ||
| Altman-Z | N/A |
ROIC/WACC1.51
WACC9.35%
2.3 Liquidity
AMG has a Current Ratio of 1.31. This is a normal value and indicates that AMG is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of AMG (1.31) is worse than 68.35% of its industry peers.
A Quick Ratio of 0.98 indicates that AMG may have some problems paying its short term obligations.
With a Quick ratio value of 0.98, AMG is not doing good in the industry: 70.89% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.26% over the past year.
Measured over the past 5 years, AMG shows a small growth in Earnings Per Share. The EPS has been growing by 5.97% on average per year.
The Revenue has grown by 12.88% in the past year. This is quite good.
The Revenue has been growing slightly by 7.43% on average over the past years.
EPS 1Y (TTM)17.26%
EPS 3Y5.02%
EPS 5Y5.97%
EPS Q2Q%21.13%
Revenue 1Y (TTM)12.88%
Revenue growth 3Y8.76%
Revenue growth 5Y7.43%
Sales Q2Q%9.43%
3.2 Future
The Earnings Per Share is expected to grow by 4.13% on average over the next years.
The Revenue is expected to grow by 3.12% on average over the next years.
EPS Next Y8.45%
EPS Next 2Y5.44%
EPS Next 3Y4.87%
EPS Next 5Y4.13%
Revenue Next Year7.54%
Revenue Next 2Y4.58%
Revenue Next 3Y3.91%
Revenue Next 5Y3.12%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
AMG is valuated correctly with a Price/Earnings ratio of 13.58.
Based on the Price/Earnings ratio, AMG is valued cheaply inside the industry as 87.34% of the companies are valued more expensively.
AMG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.29.
Based on the Price/Forward Earnings ratio of 13.44, the valuation of AMG can be described as correct.
AMG's Price/Forward Earnings ratio is rather cheap when compared to the industry. AMG is cheaper than 93.67% of the companies in the same industry.
AMG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.85, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.58 | ||
| Fwd PE | 13.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMG indicates a rather cheap valuation: AMG is cheaper than 81.01% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AMG is valued cheaply inside the industry as 88.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14 | ||
| EV/EBITDA | 12.63 |
4.3 Compensation for Growth
AMG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of AMG may justify a higher PE ratio.
PEG (NY)1.61
PEG (5Y)2.27
EPS Next 2Y5.44%
EPS Next 3Y4.87%
5. Dividend
5.1 Amount
AMG has a Yearly Dividend Yield of 3.22%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 12.99, AMG pays a better dividend. On top of this AMG pays more dividend than 97.47% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, AMG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
5.2 History
On average, the dividend of AMG grows each year by 9.41%, which is quite nice.
Dividend Growth(5Y)9.41%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
36.49% of the earnings are spent on dividend by AMG. This is a low number and sustainable payout ratio.
The dividend of AMG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP36.49%
EPS Next 2Y5.44%
EPS Next 3Y4.87%
FRA:AMG (10/17/2025, 10:33:43 AM)
254.15
-1.7 (-0.66%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners84.15%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap136.82B
Analysts72
Price Target271.97 (7.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
Yearly Dividend7.79
Dividend Growth(5Y)9.41%
DP36.49%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.69%
Min EPS beat(2)11.64%
Max EPS beat(2)11.73%
EPS beat(4)4
Avg EPS beat(4)8.21%
Min EPS beat(4)2.49%
Max EPS beat(4)11.73%
EPS beat(8)7
Avg EPS beat(8)4.35%
EPS beat(12)10
Avg EPS beat(12)3.9%
EPS beat(16)14
Avg EPS beat(16)4.02%
Revenue beat(2)1
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-0.84%
Max Revenue beat(2)0.68%
Revenue beat(4)2
Avg Revenue beat(4)-0.49%
Min Revenue beat(4)-2.15%
Max Revenue beat(4)0.68%
Revenue beat(8)2
Avg Revenue beat(8)-1.11%
Revenue beat(12)3
Avg Revenue beat(12)-0.9%
Revenue beat(16)4
Avg Revenue beat(16)-0.92%
PT rev (1m)-1.02%
PT rev (3m)-2.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.37%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)0.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.68%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.58 | ||
| Fwd PE | 13.44 | ||
| P/S | 4.56 | ||
| P/FCF | 14 | ||
| P/OCF | 13.27 | ||
| P/B | 21.46 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.63 |
EPS(TTM)18.72
EY7.37%
EPS(NY)18.92
Fwd EY7.44%
FCF(TTM)18.15
FCFY7.14%
OCF(TTM)19.16
OCFY7.54%
SpS55.68
BVpS11.84
TBVpS-57.18
PEG (NY)1.61
PEG (5Y)2.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.53% | ||
| ROE | 89.11% | ||
| ROCE | 16.21% | ||
| ROIC | 14.12% | ||
| ROICexc | 16.03% | ||
| ROICexgc | 59.12% | ||
| OM | 31.3% | ||
| PM (TTM) | 18.96% | ||
| GM | 69.71% | ||
| FCFM | 32.61% |
ROA(3y)7.14%
ROA(5y)8.52%
ROE(3y)118.78%
ROE(5y)104.3%
ROIC(3y)13.04%
ROIC(5y)14.18%
ROICexc(3y)15.77%
ROICexc(5y)17.27%
ROICexgc(3y)75.76%
ROICexgc(5y)77.1%
ROCE(3y)14.97%
ROCE(5y)16.28%
ROICexcg growth 3Y3.26%
ROICexcg growth 5Y-18.2%
ROICexc growth 3Y-8.67%
ROICexc growth 5Y-7.85%
OM growth 3Y-6.36%
OM growth 5Y-7.03%
PM growth 3Y-18.6%
PM growth 5Y-18.28%
GM growth 3Y-2.94%
GM growth 5Y-3.32%
F-Score8
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.24 | ||
| Debt/FCF | 4.94 | ||
| Debt/EBITDA | 3.25 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.72% | ||
| Profit Quality | 172.01% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | N/A |
F-Score8
WACC9.35%
ROIC/WACC1.51
Cap/Depr(3y)24.77%
Cap/Depr(5y)23.42%
Cap/Sales(3y)3.59%
Cap/Sales(5y)3.31%
Profit Quality(3y)165.92%
Profit Quality(5y)155.23%
High Growth Momentum
Growth
EPS 1Y (TTM)17.26%
EPS 3Y5.02%
EPS 5Y5.97%
EPS Q2Q%21.13%
EPS Next Y8.45%
EPS Next 2Y5.44%
EPS Next 3Y4.87%
EPS Next 5Y4.13%
Revenue 1Y (TTM)12.88%
Revenue growth 3Y8.76%
Revenue growth 5Y7.43%
Sales Q2Q%9.43%
Revenue Next Year7.54%
Revenue Next 2Y4.58%
Revenue Next 3Y3.91%
Revenue Next 5Y3.12%
EBIT growth 1Y75.18%
EBIT growth 3Y1.84%
EBIT growth 5Y-0.13%
EBIT Next Year39.98%
EBIT Next 3Y10.33%
EBIT Next 5Y5.65%
FCF growth 1Y17.55%
FCF growth 3Y7.44%
FCF growth 5Y4.03%
OCF growth 1Y11.23%
OCF growth 3Y7.45%
OCF growth 5Y4.66%