BofA Reiterates a Sell Rating on Amgen (AMGN)

Amgen Inc. (NASDAQ:AMGN) is one of the top low volatility healthcare stocks to buy now. On July 23, BofA analyst Tim Anderson reiterated a Sell rating on Amgen Inc. (NASDAQ:AMGN) with a $261.00 price target.

Why Amgen (AMGN) Could Be a Hidden Gem Among Dividend Pharma Stocks in 2025

A pharmacist filling a prescription for a complex drug developed by the company.

Anderson reasoned that Amgen Inc. (NASDAQ:AMGN) stock is trading at a premium in comparison to its peers despite the modest growth in revenue and EPS estimates for the coming years, which shows that the market may have already priced in these improvements.

He supported the cautious outlook with the higher expected R&D expenses and policy uncertainties, even in the backdrop of positive developments such as FX adjustments and script trends for key products.

Anderson believes that while the future growth is positive, it is expected to be average, which fails to justify the current premium valuation.

Amgen Inc. (NASDAQ:AMGN) is a biotechnology company that discovers, develops, manufactures, and markets human therapeutics. It delivers new therapies for patients with complex cancers, especially in areas with significant unmet needs.

While we acknowledge the potential of AMGN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMGN and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.