Amgen
Amgen's revenue rose 9.9% to $36.8 billion in fiscal 2025. Its operating margin was 24.7%, up from 21.7% a year earlier. Free cash flow was $8.1 billion, down 22.1%. It paid out $5.1 billion in dividends and buybacks, 63% of free cash flow. The diluted share count rose 0.2%.
Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.
What Amgen does
Amgen is a biotechnology company that discovers, develops, makes and sells medicines for serious diseases. It was incorporated in 1980 and has a presence in approximately 100 countries. It reports one operating segment, human therapeutics.
Its products include Repatha for cholesterol and cardiovascular risk, Uplizna for rare immune conditions, Imdelltra for small cell lung cancer, Tezspire for asthma and nasal polyps, which it markets with a partner, and Tepezza for thyroid eye disease. It is testing MariTide, a chronic weight management candidate, in Phase 3 studies. Its drugs go mainly through wholesalers: in the United States, substantially all of its sales are to pharmaceutical wholesale distributors. Three of them, McKesson, Cencora and Cardinal Health, each accounted for more than 10% of revenue and together for 77% of worldwide gross revenue in 2025.
The United States is its largest market, and it sells outside the U.S. through its own affiliates and through partners such as Astellas, BeOne, Takeda and Kyowa Kirin in Asia. It also promotes some products directly to patients through print, television and online media.
Its biggest risks, as it describes them
- Its sales depend on coverage and payment from government and commercial payers, and prices are under pressure.
- Competition from biosimilars and generics for its older medicines.
- Its patents may be challenged, invalidated or worked around.
- Litigation and government investigations.
- Dependence on a few wholesalers for most sales.
Charts show fiscal years, from the 10-K filings.
Revenue and margins
Net income and earnings per share
From fiscal 2016 to 2025, earnings per share grew 3.7% a year and net income fell 0.0% a year, as buybacks cut the share count by 28%.
Returns on capital
Cash flow
Payouts and share count
Valuation
Two ways to value Amgen yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.
Discounted cash flow (DCF)
A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Amgen's 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.
Value per share on three example scenarios, from Amgen's fiscal 2025 free cash flow of $8.1B, net cash of −$45.5B at December 31, 2025 and 542 million diluted shares, from its filings. The scenarios are fitted to Amgen: the base scenario's growth in years 1 to 5 is its revenue growth over the last 3 years, 11.8% a year; the cautious and optimistic ones are lower and higher, and growth in years 6 to 10 is halfway to the long-run rate. The base scenario's discount rate is 11% for a cyclical or higher-risk business (Biotechnology); the cautious and optimistic ones use a point more and a point less. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.
- Last close, October 26, 2026
- $444.63
- Value on these assumptions, against the last close
- —
- Cash flows in years 1 to 10, valued today
- —
- Everything after year 10, valued today
- —
- Plus net cash
- —
- Share of value from after year 10
How the value changes with two assumptions
Price-to-earnings (P/E) method
Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.
Value per share on three example scenarios, from Amgen's earnings per share of $16.10 (over the last four quarters). Each grows earnings for a year at the cash flow scenarios' rates and applies a multiple to next year's earnings: 28×, the middle of Amgen's own P/E today, its peers' median and its sector's median (the Health Care median) for the base scenario, 20% less and more for the cautious and optimistic ones. The price is brought back a year at 12%, 11% and 10%. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.
- Last close, October 26, 2026
- $444.63
- Value at this multiple, against the last close
- —
- Amgen's P/E at the last close
- 27.6×
| Company | Last close | Earnings per share | P/E today |
|---|---|---|---|
| AbbVieABBV | $286.74 | $3.54 | 81.0× |
| Vertex PharmaceuticalsVRTX | $517.49 | $17.17 | 30.1× |
| AmgenAMGN | $444.63 | $16.10 | 27.6× |
| Regeneron PharmaceuticalsREGN | $807.67 | $40.47 | 20.0× |
Balance sheet
| Fiscal year end | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Cash and short-term investments | 8.0 | 9.3 | 10.9 | 12.0 | 9.1 |
| Debt incl. finance leases | 33.3 | 38.9 | 64.6 | 60.1 | 54.6 |
| Net debt (negative means net cash) | 25.3 | 29.6 | 53.7 | 48.1 | 45.5 |
| Net debt to EBITDA | 2.3x | 2.3x | 4.5x | 3.8x | 3.2x |
| Debt to equity | 5.0x | 10.6x | 10.4x | 10.2x | 6.3x |
| Interest coverage | 6.4x | 6.8x | 2.8x | 2.3x | 3.3x |
| Current ratio | 1.6x | 1.4x | 1.6x | 1.3x | 1.1x |
| Quick ratio | 1.3x | 1.1x | 1.1x | 0.9x | 0.9x |
Insider trades
Over the 12 months between October 27, 2025 and October 26, 2026, no insider bought Amgen shares on the open market, and 6 insiders sold $29.3 million.
| Date | Insider | Trade | Shares | Price | Value | Filing |
|---|---|---|---|---|---|---|
| Aug 13, 2026 | Rachna KhoslaSVP, Business Development | Sold | 1,252 | $416.43 | $521,370 | Form 4 |
| Aug 11, 2026 | Rachna KhoslaSVP, Business Development | Sold | 2,000 | $412.57 | $825,140 | Form 4 |
| Aug 6, 2026 | Derek MillerSVP, Human Resources | Sold | 3,890 | $402.54 | $1.6 million | Form 4 |
| Aug 6, 2026 | Nancy A. GrygielSVP & CCO | Sold | 2,970 | $402.16 | $1.2 million | Form 4 |
| May 4, 2026 | Nancy A. GrygielSVP & CCO | Sold | 1,237 | $323.73 | $400,454 | Form 4 |
| Feb 26, 2026 | Esteban SantosEVP, Operations | Sold | 54,792 | $379.12 | $20.8 million | Form 4 |
| Feb 19, 2026 | Matthew C. BuschVP, Finance & CAO | Sold | 1,000 | $375.79 | $375,790 | Form 4 |
| Nov 20, 2025 | Nancy A. GrygielSVP & CCO | Sold | 3,139 | $337.26 | $1.1 million | Form 4 |
| Nov 12, 2025 | Murdo GordonEVP, Global Commercial Ops | Sold | 6,879 | $336.83 | $2.3 million | Form 4 |
| Nov 12, 2025 | Rachna KhoslaSVP, Business Development | Sold | 890 | $336.24 | $299,254 | Form 4 |
Piotroski F-score
The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.
| Test | FY23 | FY24 | FY25 |
|---|---|---|---|
| Net income is positive | Pass | Pass | Pass |
| Cash from operations is positive | Pass | Pass | Pass |
| Return on assets rose | Fail | Fail | Pass |
| Cash from operations exceeds net income | Pass | Pass | Pass |
| Debt fell relative to assets | Fail | Pass | Pass |
| Current ratio rose | Pass | Fail | Fail |
| Share count didn't rise | Pass | Fail | Fail |
| Gross margin rose | Fail | Fail | Pass |
| Revenue rose relative to assets | Pass | Fail | Pass |
| F-score | 6 of 9 | 4 of 9 | 7 of 9 |
| Accruals ratio | −2.2% | −7.8% | −2.5% |
Compare
Put Amgen side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.
Similar companies
| Company | Year | Revenue growth | Operating margin | Free cash flow margin | Return on capital | Net debt to EBITDA | F-score | Compare |
|---|---|---|---|---|---|---|---|---|
| Amgen | FY25 | 9.9% | 24.7% | 22.0% | 14.4% | 3.2x | 7 | |
| Gilead Sciences | FY25 | 2.4% | 34.0% | 32.1% | 22.9% | 1.4x | 8 | Compare |
| AbbVie | FY25 | 8.6% | 24.6% | 29.1% | 15.7% | 2.7x | 7 | Compare |
| Regeneron Pharmaceuticals | FY25 | 1.0% | 24.9% | 28.4% | 12.7% | −1.4x | 5 | Compare |
| Vertex Pharmaceuticals | FY25 | 8.9% | 34.8% | 26.6% | 31.5% | −1.5x | 6 | Compare |
10 years of figures
| Fiscal year | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Income statement | ||||||||||
| Revenue | 23.0 | 22.8 | 23.7 | 23.4 | 25.4 | 26.0 | 26.3 | 28.2 | 33.4 | 36.8 |
| Revenue growth | 6.1% | −0.6% | 3.9% | −1.6% | 8.8% | 2.2% | 1.3% | 7.1% | 18.6% | 9.9% |
| Gross profit | 18.8 | 18.8 | 19.6 | 19.0 | 19.3 | 19.5 | 19.9 | 19.7 | 20.6 | 24.7 |
| Research and development | 3.8 | 3.6 | 3.7 | 4.1 | 4.2 | 4.8 | 4.4 | 4.8 | 6.0 | 7.3 |
| Operating income | 9.8 | 10.0 | 10.3 | 9.7 | 9.1 | 7.6 | 9.6 | 7.9 | 7.3 | 9.1 |
| Net income | 7.7 | 2.0 | 8.4 | 7.8 | 7.3 | 5.9 | 6.6 | 6.7 | 4.1 | 7.7 |
| Diluted EPS (US$) | 10.24 | 2.69 | 12.62 | 12.88 | 12.31 | 10.28 | 12.11 | 12.49 | 7.56 | 14.23 |
| Diluted shares (millions) | 754 | 735 | 665 | 609 | 590 | 573 | 541 | 538 | 541 | 542 |
| Cash flow | ||||||||||
| Cash from operations | 10.4 | 11.2 | 11.3 | 9.2 | 10.5 | 9.3 | 9.7 | 8.5 | 11.5 | 10.0 |
| Capital expenditure | 0.7 | 0.7 | 0.7 | 0.6 | 0.6 | 0.9 | 0.9 | 1.1 | 1.1 | 1.9 |
| Free cash flow | 9.6 | 10.5 | 10.6 | 8.5 | 9.9 | 8.4 | 8.8 | 7.4 | 10.4 | 8.1 |
| Dividends paid | 3.0 | 3.4 | 3.5 | 3.5 | 3.8 | 4.0 | 4.2 | 4.6 | 4.8 | 5.1 |
| Share buybacks | 3.0 | 3.2 | 17.8 | 7.7 | 3.5 | 5.0 | 6.4 | 0.0 | 0.2 | 0.0 |
| Acquisitions | 0.0 | 0.0 | 0.2 | 13.6 | 0.0 | 2.5 | 3.8 | 27.0 | 0.0 | 0.1 |
| Stock-based compensation | 0.3 | 0.3 | 0.3 | 0.3 | 0.3 | 0.3 | 0.4 | 0.4 | 0.5 | 0.5 |
| Balance sheet at fiscal year end | ||||||||||
| Cash and short-term investments | 3.2 | 41.7 | 29.3 | 8.9 | 10.6 | 8.0 | 9.3 | 10.9 | 12.0 | 9.1 |
| Debt incl. finance leases | 34.6 | 35.3 | 33.9 | 29.9 | 33.0 | 33.3 | 38.9 | 64.6 | 60.1 | 54.6 |
| Total assets | 77.6 | 80.0 | 66.4 | 59.7 | 62.9 | 61.2 | 65.1 | 97.2 | 91.8 | 90.6 |
| Total liabilities | 47.8 | 54.7 | 53.9 | 50.0 | 53.5 | 54.5 | 61.5 | 90.9 | 86.0 | 81.9 |
| Shareholders' equity | 29.9 | 25.2 | 12.5 | 9.7 | 9.4 | 6.7 | 3.7 | 6.2 | 5.9 | 8.7 |
| Margins and ratios | ||||||||||
| Gross margin | 81.9% | 82.2% | 82.7% | 81.3% | 75.8% | 75.2% | 75.7% | 70.0% | 61.5% | 67.2% |
| Operating margin | 42.6% | 43.6% | 43.2% | 41.4% | 36.0% | 29.4% | 36.3% | 28.0% | 21.7% | 24.7% |
| Net margin | 33.6% | 8.7% | 35.4% | 33.6% | 28.6% | 22.7% | 24.9% | 23.8% | 12.2% | 21.0% |
| Free cash flow margin | 41.8% | 46.0% | 44.5% | 36.5% | 38.9% | 32.3% | 33.4% | 26.1% | 31.1% | 22.0% |
| Return on capital | 14.2% | 12.4% | 50.1% | 34.7% | 26.2% | 21.1% | 26.1% | 14.5% | 11.3% | 14.4% |
| Return on equity | 26.6% | 7.2% | 44.5% | 70.7% | 76.1% | 73.2% | 126.5% | 135.8% | 67.5% | 106.1% |
| Return on assets | 10.4% | 2.5% | 11.5% | 12.4% | 11.8% | 9.5% | 10.4% | 8.3% | 4.3% | 8.4% |
| Net debt to EBITDA | 2.6x | −0.5x | 0.4x | 1.8x | 1.8x | 2.3x | 2.3x | 4.5x | 3.8x | 3.2x |