Primecap Management Co. CA Reduces Stake in Amgen Inc. $AMGN

Key Points

• Primecap Management cut its Amgen stake by 23.9% in the second quarter, selling 2.12 million shares and retaining 6.76 million shares worth approximately $2.45 billion. Institutional investors collectively own 76.5% of Amgen.
• Amgen reported quarterly earnings of $6.29 per share on $10.05 billion in revenue, surpassing estimates, while revenue increased 9.5% year over year. The company issued fiscal 2026 EPS guidance of $22.30 to $23.50.
• Analysts’ average rating remains “Hold,” with an average price target of $380.43, despite several target increases. Amgen also declared a quarterly dividend of $2.52 per share, equivalent to a 2.3% annual yield.

Primecap Management Co. CA reduced its stake in shares of Amgen Inc. (NASDAQ:AMGN - Free Report) by 23.9% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 6,756,962 shares of the medical research company's stock after selling 2,117,167 shares during the quarter. Amgen comprises about 1.4% of Primecap Management Co. CA's investment portfolio, making the stock its 16th biggest position. Primecap Management Co. CA owned 1.25% of Amgen worth $2,446,831,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the stock. PDT Partners LLC bought a new stake in shares of Amgen in the 2nd quarter valued at approximately $2,209,000. Canada Pension Plan Investment Board increased its position in shares of Amgen by 39.7% during the 2nd quarter. Canada Pension Plan Investment Board now owns 963,209 shares of the medical research company's stock valued at $348,797,000 after purchasing an additional 273,719 shares during the last quarter. White Knight Strategic Wealth Advisors LLC increased its position in shares of Amgen by 8.2% during the 2nd quarter. White Knight Strategic Wealth Advisors LLC now owns 3,365 shares of the medical research company's stock valued at $1,219,000 after purchasing an additional 255 shares during the last quarter. Trajan Wealth LLC raised its holdings in Amgen by 38.5% during the 2nd quarter. Trajan Wealth LLC now owns 24,096 shares of the medical research company's stock valued at $8,726,000 after buying an additional 6,700 shares during the period. Finally, Van Hulzen Asset Management LLC lifted its position in Amgen by 9.2% in the second quarter. Van Hulzen Asset Management LLC now owns 6,577 shares of the medical research company's stock worth $2,382,000 after buying an additional 552 shares during the last quarter. 76.50% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at Amgen

In other Amgen news, SVP Rachna Khosla sold 1,252 shares of the business's stock in a transaction dated Thursday, August 13th. The shares were sold at an average price of $416.43, for a total value of $521,370.36. Following the completion of the sale, the senior vice president directly owned 6,404 shares of the company's stock, valued at $2,666,817.72. The trade was a 16.35% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Nancy A. Grygiel sold 2,970 shares of the company's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $402.16, for a total transaction of $1,194,415.20. Following the completion of the transaction, the senior vice president owned 7,340 shares in the company, valued at $2,951,854.40. This represents a 28.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 6,222 shares of company stock valued at $2,540,926 in the last quarter. 0.85% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several research analysts have commented on AMGN shares. Wall Street Zen raised shares of Amgen from a "hold" rating to a "buy" rating in a research note on Saturday, August 8th. Canaccord Genuity Group increased their target price on shares of Amgen from $366.00 to $384.00 and gave the company a "hold" rating in a research note on Wednesday, August 5th. Royal Bank Of Canada raised their target price on shares of Amgen from $370.00 to $400.00 and gave the stock an "outperform" rating in a report on Wednesday, August 5th. Piper Sandler lifted their price target on shares of Amgen from $427.00 to $457.00 and gave the stock an "overweight" rating in a research note on Thursday, August 20th. Finally, Barclays upped their price target on shares of Amgen from $360.00 to $380.00 and gave the company an "equal weight" rating in a report on Friday, August 14th. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, fourteen have assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $380.43.

Amgen Stock Performance

Shares of Amgen stock opened at $442.24 on Wednesday. The company has a quick ratio of 1.13, a current ratio of 1.37 and a debt-to-equity ratio of 4.44. The stock's fifty day moving average is $382.78 and its two-hundred day moving average is $363.35. Amgen Inc. has a 52 week low of $269.77 and a 52 week high of $447.03. The company has a market capitalization of $239.09 billion, a PE ratio of 27.49, a price-to-earnings-growth ratio of 3.20 and a beta of 0.41.

Amgen (NASDAQ:AMGN - Get Free Report) last released its earnings results on Tuesday, August 4th. The medical research company reported $6.29 earnings per share for the quarter, topping the consensus estimate of $5.62 by $0.67. The business had revenue of $10.05 billion during the quarter, compared to the consensus estimate of $9.43 billion. Amgen had a return on equity of 124.14% and a net margin of 22.95%.The business's revenue for the quarter was up 9.5% compared to the same quarter last year. During the same period last year, the company earned $6.02 earnings per share. Amgen has set its FY 2026 guidance at 22.300-23.500 EPS. As a group, analysts expect that Amgen Inc. will post 22.92 earnings per share for the current year.

Amgen Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 11th. Investors of record on Friday, August 21st will be issued a dividend of $2.52 per share. The ex-dividend date is Friday, August 21st. This represents a $10.08 dividend on an annualized basis and a yield of 2.3%. Amgen's dividend payout ratio (DPR) is presently 62.65%.

About Amgen

Amgen Inc NASDAQ: AMGN is a global biotechnology company founded in 1980 and headquartered in Thousand Oaks, California. The company focuses on discovering, developing, manufacturing and delivering human therapeutics that address serious illnesses. Amgen's work centers on biologic medicines derived from cellular and molecular biology, with an emphasis on translating advances in human genetics and protein science into therapies for patients.

Amgen's commercial portfolio has historically included biologics used in oncology, supportive care, nephrology, bone health and cardiovascular disease.

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