Allstate Corp has dramatically increased its stake in Amgen Inc. (NASDAQ:AMGN), raising its holdings by an impressive 1,673.5% during the third quarter of 2023. According to a recent filing with the Securities and Exchange Commission, Allstate now owns 19,615 shares of the biotechnology company, valued at approximately $5,535,000 at the close of the reporting period. This acquisition involved purchasing an additional 18,509 shares during the quarter.
Other institutional investors are also showing confidence in Amgen. NorthCrest Asset Management LLC increased its stake by 1.9%, acquiring 1,948 shares to bring its total to 104,497 shares, valued at $30,883,000. Similarly, Wealth Enhancement Advisory Services LLC expanded its holdings by 0.4%, now owning 400,586 shares worth $118,389,000 after acquiring an additional 1,401 shares in the last quarter. DeDora Capital Inc. raised its position by 2.8%, with 6,604 shares now valued at $1,864,000, and Rovin Capital UT ADV increased its stake by 3.5%.
As of now, institutional investors own 76.50% of Amgen’s stock, reflecting a solid foundation of support from large financial entities.
Amgen’s Financial Performance and Dividend Announcement
Amgen shares opened at $330.41 on Monday, contributing to a market capitalization of $177.92 billion. The company’s financial metrics indicate strong performance, with a P/E ratio of 25.53 and a 50-day moving average price of $331.56. The biotechnology firm recently reported earnings on November 4, 2023, revealing earnings per share of $5.64, exceeding analysts’ expectations of $5.01 by $0.63. Revenue for the quarter reached $9.56 billion, surpassing estimates of $8.98 billion and reflecting a 12.4% year-over-year increase.
In addition to its strong earnings, Amgen has announced a quarterly dividend of $2.52 per share, set to be distributed on March 6, 2024. This represents an increase from the previous dividend of $2.38, amounting to an annualized dividend of $10.08 and a yield of 3.1%. The ex-dividend date is February 13, 2024, and the company’s current dividend payout ratio stands at 73.57%.
Analyst Ratings and Insider Transactions
Recent analysis from various brokerages reflects a generally positive outlook for Amgen. Daiwa Capital Markets raised its target price from $310.00 to $370.00, assigning an “outperform” rating. Argus increased their price target to $360.00 with a “buy” rating, while Guggenheim set a target of $305.00 with a “neutral” rating. Notably, two analysts have issued a “Strong Buy” rating, while ten recommend a “Buy,” and one has rated it as a “Sell.”
In terms of insider activity, Murdo Gordon, Executive Vice President, recently sold 6,879 shares at an average price of $336.83, totaling approximately $2,317,053.57. Consequently, Gordon’s remaining holdings are valued at around $14,120,924.09. Additionally, Senior Vice President Rachna Khosla sold 890 shares for about $299,253.60, reducing their ownership stake by 11.16%.
Amgen Inc., founded in 1980 and headquartered in Thousand Oaks, California, is a global biotechnology company focused on developing innovative therapeutics for serious health conditions, with a portfolio that includes biologics for oncology, cardiovascular disease, and more. As the company continues to attract significant investment and show promising financial results, its performance will remain closely monitored by analysts and investors alike.