amgen (NASDAQ:AMGN) scored highest in premarket trading on Tuesday, when BMO Capital Markets upgraded its rating to Outperform and raised its PT to $326, noting that the company has an underrated opportunity to participate in the metabolic/obesity space.
“His incipient oral and “The injectable metabolic pipeline offers investors the opportunity to play in the obesity metabolic space without the same premium as its peers,” the financial services firm added.
Looking at Amegen's monthly GLP-1 agonist/GIPR antagonist injectable asset AMG 133 and oral small molecule AMG 786, BMO saw catalysts for both assets in 2024.
“With the stock currently trading at a 13.7x multiple by 2024, we see an opportunity for expansion in the upside data with others that have approved assets in the metabolic space, such as Lilly and Novo, trading at 46.4x and 30.3x, respectively,” BMO analysts said.
In addition to the opportunities present in the metabolism space, analysts were also positive about Amgen's efforts to replace revenue lost from the erosion of the company's core business, as well as the progress made across its asset portfolio. in oncology and inflammation.
Search Alpha's Quant Rating system has rated the Thousand Oaks, California-based company a Strong Buy, giving it an A+ for profitability and a B+ for momentum.
Since the beginning of the year, Amgen shares have risen 5.29%, underperforming the S&P 500, which posted a gain of 23.96% over the same period.