Is Amgen, Inc. (AMGN) A Good Stock To Buy Now?

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As one would reasonably expect, some big names were breaking ground themselves. Citadel Investment Group, managed by Ken Griffin, initiated the largest call position in Amgen, Inc. (NASDAQ:AMGN). Citadel Investment Group had $45.6 million invested in the company at the end of the quarter. Robert Pohly’s Samlyn Capital also initiated a $24.1 million position during the quarter. The other funds with brand new AMGN positions are Matthew Tewksbury’s Stevens Capital Management, Nick Niell’s Arrowgrass Capital Partners, and David Costen Haley’s HBK Investments.

Let’s now take a look at hedge fund activity in other stocks similar to Amgen, Inc. (NASDAQ:AMGN). These stocks are TOTAL S.A. (ADR) (NYSE:TOT), Gilead Sciences, Inc. (NASDAQ:GILD), BP plc (ADR) (NYSE:BP), and Sanofi SA (ADR) (NYSE:SNY). This group of stocks’ market valuations resemble AMGN’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
TOT 14 68492 -2
GILD 87 3465193 2
BP 30 1064994 -10
SNY 30 716205 -2

As you can see these stocks had an average of 40.25 hedge funds with bullish positions and the average amount invested in these stocks was $1.33 billion. That figure was $1.86 billion in AMGN’s case. Gilead Sciences, Inc. (NASDAQ:GILD) is the most popular stock in this table. On the other hand TOTAL S.A. (ADR) (NYSE:TOT) is the least popular one with only 14 bullish hedge fund positions. Amgen, Inc. (NASDAQ:AMGN) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard GILD might be a better candidate to consider a long position in.

Disclosure: None

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