Amgen (AMGN) Stock Forecast & Price Target

Amgen's strong financial outlook is bolstered by impressive sales growth of key products such as Tavneos, which achieved 81% growth with total U.S. sales of approximately $716 million in 2022 following successful label expansions. The company's diversified portfolio, which includes established therapies and newly acquired products from Horizon, positions Amgen for sustained revenue generation and market penetration, particularly with high-potential assets like Tepezza and Lumakras. Additionally, Amgen's robust cash reserves support ongoing investments in its promising pipeline, ensuring long-term growth potential across its therapeutic areas, including oncology, immunology, and rare diseases.

Amgen faces significant risks that could negatively impact its stock valuation, notably from increased competition within its core business franchise, which is maturing. Management has indicated a potential mid-single-digit decline in pricing for key products like Repatha, coupled with concerns over the slower-than-anticipated uptake of newly launched medications and development setbacks in its late-stage pipeline and biosimilar portfolio. Additionally, a downside scenario forecast highlights the possibility of faster market entry for biosimilars, which could further erode market share and exert pricing pressure on Amgen's established products.