Amgen Shares Drop 2.26% on $1.03B Sell-Off 136th in Daily Trading Volume Amid 2026 Challenges

Market Snapshot

Amgen (AMGN) shares closed on March 3, 2026, with a 2.26% decline, reflecting a broad sell-off in the biotech sector. The stock’s trading volume reached $1.03 billion, ranking it 136th in terms of market activity for the day. The drop occurred despite the company’s recent emphasis on robust portfolio growth in 2025, including double-digit sales increases for 13 products and record performance across 18 offerings. The selloff may signal investor caution ahead of near-term challenges, including anticipated first-quarter sales headwinds and competitive pressures in key therapeutic areas.

Key Drivers

Amgen’s 2025 performance underscored its position as a leader in biotechnology, with 14 products exceeding $1 billion in annual sales and three flagship therapies—Repatha, EVENITY, and TEZSPIRE—posting over 30% year-over-year growth. The company highlighted its rare disease portfolio’s $5 billion in 2025 sales, driven by geographic expansion and new indications, including UPLIZNA’s 73% growth following its IgG4-related disease launch. Additionally, biosimilars contributed $3 billion in sales, up 37% year-over-year, with PAVBLU’s performance as a key driver. These results, coupled with strong earnings growth, positioned Amgen for double-digit revenue and EPS increases in 2025.

However, the stock’s decline on March 3 may reflect investor concerns over 2026 challenges. Senior executives warned of historically weaker first-quarter sales due to U.S. insurance-cycle headwinds, including benefit plan changes and higher copays. Otezla’s European generic entry and biosimilar competition for Prolia and Xgeva are expected to accelerate revenue erosion. Furthermore, a $250 million inventory build in Q4 2025 could dampen Q1 sales, with non-GAAP operating margins projected to remain flat at around 43%. Analysts at Zacks noted that while Amgen’s current fiscal year revenue growth is forecasted at 3%, the next fiscal year’s estimate of 1.9% signals a slowdown, contributing to a Zacks Rank #3 (Hold) rating.

Pipeline developments and upcoming data milestones represent a critical growth lever for Amgen. The company emphasized MariTide, a differentiated obesity and diabetes therapy with flexible dosing options, as a potential blockbuster. In cardiovascular disease, olpasiran’s cardiovascular outcomes study faces delays due to slower-than-expected endpoint accruals, though management remains confident in its Lp(a)-lowering potential. Sjögren’s disease candidate dazodalibep is on track for phase III completion in mid-2026, with the company preparing for commercial decisions based on trial data. These pipeline advancements aim to offset near-term headwinds and reinforce Amgen’s long-term growth narrative.

Investor sentiment was further tested by an insider sale. Esteban Santos, Amgen’s Executive Vice President, sold $20.77 million worth of shares on March 3, raising questions about management’s confidence in the stock’s near-term trajectory. While insider transactions should not be overinterpreted, the timing coincided with the company’s cautionary remarks about 2026 challenges. Zacks’ analysis also noted that Amgen’s forward 12-month earnings estimate has seen modest revisions, with current fiscal year EPS expectations at $22.22 and next fiscal year estimates at $23.24. Despite trailing four consecutive quarters of earnings and revenue beats, the market may be pricing in a more conservative outlook amid competitive pressures and regulatory uncertainties.

Amgen’s strategic focus on expanding access through programs like AmgenNow—offering Repatha at $239/month for patients facing coverage gaps—highlights its efforts to maintain market share in lipid-lowering therapies. The company’s emphasis on primary prevention outcomes data for Repatha, including a 36% reduction in first heart attacks, underscores its differentiation strategy as new competitors enter the market. However, with only 5% of eligible patients on PCSK9 inhibitors globally, Amgen’s long-term growth hinges on its ability to penetrate this untapped cohort. For now, investors remain cautious as the company navigates a mix of robust fundamentals and near-term uncertainties.