Amgen Shares Edge Up on Strong Earnings Despite Mixed Insider Sales and Institutional Juggling as $1.11B Volume Ranks 88th

Market Snapshot

Amgen (NASDAQ: AMGN) closed 0.22% higher on November 14, 2025, with a trading volume of $1.11 billion, ranking 88th in market-wide volume. Despite the modest price gain, the stock’s activity reflects mixed institutional and insider activity, with significant share sales by executives and partial stake reductions by some institutional investors.

Key Drivers

Insider Sales and Institutional Adjustments

Two key insider transactions dominated the week: Gordon Murdo, Amgen’s Vice President, sold 6,879 shares valued at $2.32 million, while Rachna Khosla, another VP, sold 890 shares worth $299,300. These sales, disclosed via SEC filings, occurred amid broader institutional activity. KBC Group NV reduced its stake by 2.5% in Q2, trimming holdings to 285,132 shares, while M&G PLC increased its position by 4.7% during the same period. Ironwood Investment Counsel LLC also significantly boosted its holdings by 159.4%, reflecting divergent investor sentiment.

Earnings Beat and Guidance

Amgen’s third-quarter earnings report fueled short-term optimism. The company reported $5.64 in EPS, surpassing the $5.01 consensus estimate, and revenue of $9.56 billion, exceeding $8.98 billion expectations. The results were driven by strong performance in key therapies like Repatha and Tepezza, alongside stable demand for Enbrel and Prolia. Management set FY2025 guidance at $20.60–$21.40 EPS, aligning with analyst expectations of $20.62. The 12.4% year-over-year revenue growth highlighted the firm’s resilience in a competitive biotech landscape.

Dividend and Analyst Outlook

Amgen’s quarterly dividend announcement of $2.38 per share (annualized $9.52) added to its appeal, offering a 2.8% yield. However, analyst ratings remained cautious, with a “Hold” consensus and an average price target of $307.94. While firms like Wells Fargo upgraded the stock to “Overweight,” others, including Morgan Stanley and Guggenheim, maintained “Equal-Weight” or “Neutral” ratings. The mixed sentiment underscored confidence in Amgen’s fundamentals but tempered expectations for near-term outperformance.

Institutional Ownership and Market Position

Institutional ownership of Amgen remains robust, with 76.5% of shares held by large investors. Notable moves included Nuveen LLC’s $688.9 million stake and WoodTrust Financial Corp’s 8,223.6% increase in holdings during Q2. These actions suggest confidence in Amgen’s long-term prospects, particularly in its pipeline of therapies for cardiovascular diseases and rare conditions. The company’s recent acquisition of Horizon Therapeutics, which added Tepezza for thyroid eye disease, further diversified its revenue streams.

Financial Health and Industry Context

Amgen’s financial profile remains a mix of strengths and challenges. Its EBITDA margin of 67.75% lags behind industry peers, reflecting ongoing cost pressures in R&D and manufacturing. However, the firm’s high debt-to-equity ratio (5.67) and strong EPS of $5.98 highlight its ability to sustain dividends and reinvest in growth. The biotech sector’s broader trends—advancements in RNA-based therapies and rising demand for biosimilars—position Amgen to benefit from long-term innovation cycles, though near-term competition from newer entrants remains a risk.