Is Amgen, Inc. overvalued or undervalued?

As of 17 October 2025, Amgen, Inc. has moved from expensive to attractive, indicating a significant shift in its valuation outlook. The company appears undervalued based on its current metrics, particularly with a P/E ratio of 22, a PEG ratio of 0.27, and an EV to EBITDA of 14.13. In comparison to its peer Gilead Sciences, which has a P/E of 15.53 and is deemed very expensive, Amgen's valuation stands out as more favorable.
The recent performance of Amgen's stock has also been noteworthy, with a year-to-date return of 14.64%, slightly outperforming the S&P 500's return of 13.30% in the same period. However, over the longer term, Amgen's 1-year return of -7.01% lags behind the S&P 500's 14.08%, suggesting some volatility. Overall, the combination of attractive valuation ratios and competitive positioning among peers supports the conclusion that Amgen is currently undervalued.