HSBC Trims Amgen (AMGN) Price Target, Maintains Buy Rating

Amgen Inc. (NASDAQ:AMGN) is one of the high-margin pharma stocks to buy now. HSBC has lowered its price target on Amgen Inc. (NASDAQ:AMGN) from $385 to $357 while reiterating a Buy rating, as concerns mount over potential earnings pressure tied to proposed U.S. trade policies. The firm’s updated valuation reflects a more cautious outlook amid geopolitical uncertainty and the possibility of new tariffs on pharmaceutical imports.

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

In a research note to clients, HSBC warned that a 25% U.S. tariff on certain pharmaceutical products could reduce earnings for companies like Amgen Inc. (NASDAQ:AMGN) by as much as 6% to 14%, depending on the final structure of the policy. While details remain fluid, analysts are increasingly factoring in trade-related headwinds as part of broader risk assessments across the healthcare sector.

Beyond direct tariff exposure, HSBC also highlighted the potential for indirect financial impacts, including shifts in effective tax rates. These changes could further complicate earnings forecasts and weigh on investor sentiment heading into the second half of the year. Despite the lowered target, HSBC maintained a positive long-term view on Amgen, citing the company’s robust pipeline and diversified portfolio of oncology, inflammation, and rare disease therapies. However, the firm acknowledged that near-term macro risks may cloud what has otherwise been a solid year for the biotech giant.

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