Fundamental analysis · SEC EDGAR · TTM through 31/03/2026

Fundamental analysis of Amgen Inc

AMGN · Nasdaq · Healthcare

Fundamental quality

REASONABLE

73

out of 100

Amgen Inc fits the profile of a quality compounder: it pairs high return on capital (ROE 84.9%) with wide margins (net margin 21%) and a business that keeps growing (7.5% a year). On fundamental quality it scores 73 out of 100, profiling it as a company of reasonable quality. Its weakest area is its growth (revenue +7.5%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Amgen is one of the world's largest biotech companies. It specializes in biologic medicines —made from living cells— for serious diseases such as cancer and cardiovascular or inflammatory conditions. It has a broad portfolio and a strong dividend.

What will shape its future

  • Replacing its older drugs, which are losing patent protection, with its new generation of medicines.
  • Its bets in large-market areas, such as obesity treatments.
  • Competition from biosimilars (the 'copies' of biologics) and pressure on prices.

Breakdown by area

I.Growth
46

EPS growth: 3% · Revenue growth: 7.5%

II.Profitability
92

Net margin: 21% · ROE: 84.9% · ROIC: 16.7%

III.Financial health
74

Net debt/EBITDA: 2.93x · FCF: 23.1%

Source: SEC EDGAR · TTM through 31/03/2026

The score includes +2 for dividend strength: 9 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength. Here its profitability weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 57 Healthcare companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 82%
ROEbeats 98%
Growthbeats 44%
Cash generationbeats 80%
Less debtbeats 30%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Amgen Inc strengths

  • Excellent free-cash-flow generation (FCF margin of 23.1%): profit turns into real cash.
  • Reasonable return on capital: its ROE (84.9%) is inflated by buybacks, but ROIC —which strips that out— is 16.7%.
  • High net margin (21%), high even for its sector: the business is clearly profitable.
  • Revenue rising without interruption since 2020.

Amgen Inc risks and weaknesses

  • Shrinking margins: net margin has fallen from 29% to 21% in recent years.
  • Its net debt has grown over the period.

Amgen Inc historical evolution

YearRevenueNet incomeFree cash flowNet debt
202025,4247,2649,88926,720
202125,9795,8938,38125,320
202226,3236,5528,78531,316
202328,1906,7177,35953,669
202433,4244,09010,39448,126
202536,7517,7118,10045,475

Between 2020 and 2025, revenue went from $25,424M to $36,751M (+45%) and net income went from $7,264M to $7,711M (+6%). Meanwhile, its margins have narrowed (from 29% to 21%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended March 31, 2026, versus the quarter ended March 31, 2025 (SEC filings):

  • Revenue+5.8%
  • Net income+5.1%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$9.66

per share, yearly

66.5% of earnings

Payout

at least 9 straight years raising it

Growth

That is what we can verify in the SEC filings, whose structured data only starts in 2008 and which many companies begin tagging later. The real streak may be considerably longer.

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Amgen Inc cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Amgen Inc a good company to invest in?

In terms of business quality, Amgen Inc scores 73 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Amgen Inc a profitable company?

Very. Amgen Inc shows a net margin of 21% and an ROE of 84.9%, typical of a highly profitable business.

Does Amgen Inc have a lot of debt?

A moderate level: its net debt is 2.93 times its EBITDA.

Is Amgen Inc growing?

Its revenue has grown 7.5% annualized in recent years and its earnings per share 3%, and without interruption since 2020.

Does Amgen Inc generate cash?

Yes. It converts about 23.1% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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