Is Amgen Inc. (AMGN) the Best Dow Stock?

We recently published a list of The Best and Worst Dow Stocks. In this article, we are going to take a look at where Amgen Inc. (NASDAQ:AMGN) stands against other Dow stocks.

The Dow Jones Industrial Average is a benchmark index of the top 30 companies in the US. It represents the strength of the US economy and carries great historical significance as well.

It also acts as a reference point for analysts and investors. However, not all stocks within this elite group of companies perform equally. While some thrive on innovation and economic boom, others struggle due to various setbacks and economic trends.

We decided to break down the index and find out the best and worst stocks, looking at what was making them perform unexpectedly this year.

Methodology

In order to come up with our ranking of the best and worst Dow stocks, we first assigned a rank to each stock based on the number of hedge funds holding the stock. We then looked at the short interest in each stock and assigned the top rank to the company with the least short interest.

We then combined the two ranks to see which stock was the best on average. The list is in ascending order, with the best stock taking the number one spot.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

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

Amgen Inc. (NASDAQ:AMGN)

Number of Hedge Fund Holders: 72

Short Interest as of Apr 30, 2025: 2.71%

Amgen Inc. (NASDAQ:AMGN) operates as a manufacturer, developer, discoverer, and deliverer of human therapeutics. Its key product candidates are Enbrel, XGEVA, Otezla, KYPROLIS, Prolia, Repatha, Nplate, Aranesp, EVENITY, Vectibix, BLINCYTO, and others. It serves dialysis centers, pharmacies, hospitals, and physicians.

The firm recently announced plans to invest an additional $900 million to expand its Ohio biotech manufacturing facility. According to Bloomberg’s report, this expansion will create hundreds of new jobs. This move will help the company to improve its global biomanufacturing network.

Chairman and CEO at Amgen, Robert A. Bradway commented:

“Amgen has been a leading U.S.-based manufacturer of biologic medicines since 1988. Today’s investment reinforces our ongoing commitment to expanding U.S. manufacturing and ensuring patients around the world have access to our innovative medicines. Ohio offers a supportive business climate, skilled workforce, and strategic location, making it an ideal choice for this next phase of our investment.”

At the start of this month, the firm received an expanded FDA label approval for Uplizna. The FDA has approved it as the first treatment for Immunoglobulin G4-related disease (IgG4-RD) for adults. This approval is based on the late-stage clinical trial results indicating that Uplizna reduced the risk of disease reactivation by 87%.

Overall, AMGN ranks 28th on our list of best and worst Dow stocks. While we acknowledge the potential of AMGN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AMGN but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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