Amgen Plunges as High-Volume Strategy Surpasses Benchmark by 137.53% Despite 186th Liquidity Rankings

On August 11, 2025, Amgen (AMGN) closed with a 1.09% decline, trading with a daily volume of $0.53 billion, ranking 186th among stocks by liquidity. The move occurred amid broader market volatility and shifts in investor sentiment toward high-volume assets.

Recent backtesting highlights the influence of liquidity concentration on short-term performance. A strategy of purchasing the top 500 stocks by daily trading volume and holding for one day generated a 166.71% return from 2022 to the present, significantly outperforming the benchmark’s 29.18% gain. This suggests that liquidity-driven momentum can amplify returns, particularly in turbulent market conditions. While Amgen’s recent volume aligns with the criteria for such strategies, its price action reflects broader sector dynamics rather than event-specific catalysts.

The strategy’s success underscores the role of high-volume stocks in capitalizing on market swings. Firms like Newmont and McKesson demonstrated measurable gains under similar conditions, though no direct links to Amgen’s performance were identified. The analysis emphasizes that liquidity concentration creates opportunities for rapid price movements, but execution risks persist in highly volatile environments.

The backtest results confirm a 166.71% return for the top 500 high-volume stocks held for one day from 2022 to the present, outperforming the benchmark by 137.53%. This outcome highlights liquidity’s critical role in short-term performance, particularly during periods of heightened volatility.