Latest Ratios: P/E Ratio 25.9x · EV/EBITDA 15.4x · ROE 106.1%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $198.7B | $177.4B | $141.0B | $155.0B | $142.1B | $128.9B | $135.7B | $146.8B | $129.5B | $127.8B | $110.2B |
| Enterprise Value | $244.1B | $222.9B | $189.1B | $208.6B | $173.4B | $154.2B | $162.4B | $170.7B | $156.4B | $159.4B | $141.6B |
| P/E Ratio → | 25.87 | 23.00 | 34.48 | 23.06 | 21.69 | 21.88 | 18.68 | 18.72 | 15.43 | 64.65 | 14.28 |
| P/S Ratio | 5.41 | 4.83 | 4.22 | 5.50 | 5.40 | 4.96 | 5.34 | 6.28 | 5.45 | 5.59 | 4.80 |
| P/B Ratio | 23.04 | 20.49 | 23.99 | 24.86 | 38.81 | 19.24 | 14.42 | 15.18 | 10.36 | 5.06 | 3.69 |
| P/FCF | 24.53 | 21.90 | 13.57 | 21.06 | 16.17 | 15.38 | 13.72 | 17.21 | 12.26 | 12.16 | 11.58 |
| P/OCF | 19.95 | 17.82 | 12.27 | 18.29 | 14.62 | 13.92 | 12.92 | 16.04 | 11.46 | 11.44 | 10.65 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 6.07 | 5.66 | 7.40 | 6.59 | 5.94 | 6.39 | 7.31 | 6.59 | 6.97 | 6.16 |
| EV / EBITDA | 15.41 | 14.07 | 14.72 | 17.43 | 13.36 | 13.97 | 12.75 | 14.37 | 12.81 | 13.36 | 11.90 |
| EV / EBIT | 22.87 | 20.88 | 24.36 | 19.44 | 19.81 | 19.53 | 17.28 | 16.37 | 14.30 | 14.62 | 13.59 |
| EV / FCF | — | 27.52 | 18.20 | 28.35 | 19.74 | 18.40 | 16.42 | 20.00 | 14.82 | 15.16 | 14.88 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 70.8% | 70.8% | 61.5% | 70.1% | 75.7% | 75.2% | 75.8% | 81.4% | 82.7% | 82.2% | 81.9% |
| Operating Margin | 29.1% | 29.1% | 21.7% | 28.0% | 36.3% | 29.4% | 35.9% | 41.4% | 43.2% | 43.6% | 42.6% |
| Net Profit Margin | 21.0% | 21.0% | 12.2% | 23.8% | 24.9% | 22.7% | 28.6% | 33.6% | 35.3% | 8.7% | 33.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 106.1% | 106.1% | 67.6% | 135.8% | 126.5% | 73.2% | 76.1% | 70.7% | 44.5% | 7.2% | 26.6% |
| ROA | 8.5% | 8.5% | 4.3% | 8.3% | 10.4% | 9.5% | 11.8% | 12.4% | 11.5% | 2.5% | 10.4% |
| ROIC | 14.8% | 14.8% | 9.6% | 12.5% | 21.4% | 16.8% | 19.7% | 19.9% | 16.0% | 12.7% | 12.6% |
| ROCE | 16.0% | 16.0% | 9.8% | 12.3% | 19.4% | 15.2% | 18.6% | 19.4% | 16.6% | 14.5% | 15.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 6.31 | 6.31 | 10.23 | 10.37 | 10.64 | 4.97 | 3.51 | 3.09 | 2.71 | 1.40 | 1.16 |
| Debt / EBITDA | 3.45 | 3.45 | 4.68 | 5.40 | 3.00 | 3.02 | 2.59 | 2.52 | 2.78 | 2.96 | 2.91 |
| Net Debt / Equity | — | 5.25 | 8.19 | 8.61 | 8.55 | 3.78 | 2.84 | 2.47 | 2.16 | 1.25 | 1.05 |
| Net Debt / EBITDA | 2.87 | 2.87 | 3.75 | 4.48 | 2.41 | 2.29 | 2.10 | 2.01 | 2.21 | 2.64 | 2.64 |
| Debt / FCF | — | 5.61 | 4.63 | 7.29 | 3.56 | 3.02 | 2.70 | 2.80 | 2.56 | 3.00 | 3.29 |
| Interest Coverage | 3.88 | 3.88 | 2.46 | 3.73 | 6.22 | 6.60 | 7.44 | 8.09 | 7.86 | 8.36 | 8.27 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.14 | 1.14 | 1.26 | 1.65 | 1.41 | 1.59 | 1.81 | 1.44 | 2.79 | 5.49 | 4.11 |
| Quick Ratio | 0.90 | 0.90 | 0.95 | 1.13 | 1.10 | 1.26 | 1.48 | 1.16 | 2.57 | 5.17 | 3.86 |
| Cash Ratio | 0.36 | 0.36 | 0.52 | 0.60 | 0.59 | 0.66 | 0.91 | 0.69 | 2.17 | 4.62 | 3.40 |
| Asset Turnover | — | 0.41 | 0.36 | 0.29 | 0.40 | 0.42 | 0.40 | 0.39 | 0.36 | 0.29 | 0.30 |
| Inventory Turnover | 1.72 | 1.72 | 1.84 | 0.88 | 1.30 | 1.58 | 1.58 | 1.22 | 1.39 | 1.44 | 1.52 |
| Days Sales Outstanding | — | 95.07 | 81.91 | 102.83 | 88.63 | 82.04 | 64.96 | 63.39 | 55.03 | 51.71 | 50.25 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.6% | 2.9% | 3.4% | 2.9% | 3.0% | 3.1% | 2.8% | 2.4% | 2.7% | 2.6% | 2.7% |
| Payout Ratio | 66.5% | 66.5% | 118.1% | 67.8% | 64.0% | 68.1% | 51.7% | 44.7% | 41.8% | 170.0% | 38.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.9% | 4.3% | 2.9% | 4.3% | 4.6% | 4.6% | 5.4% | 5.3% | 6.5% | 1.5% | 7.0% |
| FCF Yield | 4.1% | 4.6% | 7.4% | 4.7% | 6.2% | 6.5% | 7.3% | 5.8% | 8.2% | 8.2% | 8.6% |
| Buyback Yield | 0.0% | 0.0% | 0.1% | 0.0% | 4.5% | 3.9% | 2.6% | 5.2% | 13.7% | 2.5% | 2.7% |
| Total Shareholder Yield | 2.6% | 2.9% | 3.6% | 2.9% | 7.4% | 7.0% | 5.3% | 7.6% | 16.5% | 5.1% | 5.4% |
| Shares Outstanding | — | $542M | $541M | $538M | $541M | $573M | $590M | $609M | $665M | $735M | $754M |
IRA pricing negotiation exposure
Based on current market data, Amgen's forward P/E of 16.00 suggests investors are pricing in moderate growth, though the high PEG ratio of 8.56 indicates that the current valuation premium may be disconnected from near-term earnings expansion relative to its large-cap biopharma peers.
The divergence between the TTM P/E of 25.18 and the forward multiple implies that the market anticipates a significant earnings recovery, likely tied to the successful integration of the Horizon portfolio and potential MariTide clinical milestones. However, the elevated PEG ratio warrants caution, as it suggests that the current share price may be over-extrapolating future growth potential in a highly competitive metabolic and immunology landscape.
As reported in financial statements, Amgen's ROIC has remained suppressed, fluctuating between 1.2% and 5.4% over the last ten quarters, which indicates that the company is struggling to generate returns on invested capital that exceed its cost of capital following recent large-scale M&A activity.
The persistent gap between ROIC and historical benchmarks suggests that the capital-intensive nature of the Horizon acquisition continues to weigh on efficiency. Investors should monitor whether the company can improve its asset utilization as the integration matures, or if the current capital allocation strategy will continue to dilute long-term shareholder value creation.
According to quarterly data, Amgen's cash conversion cycle has shown extreme variance, ranging from negative 203 days to over 300 days, which suggests that inventory management and receivables collection are highly sensitive to lumpy product distribution cycles and the integration of new therapeutic assets.
The erratic nature of the CCC, particularly the spike in days inventory outstanding to 323 days in 2025Q4, indicates potential inefficiencies in managing the supply chain for a complex, multi-pillar portfolio. This volatility makes it difficult to assess underlying operational efficiency and suggests that working capital management remains a significant drag on cash flow predictability.
Based on reported figures, Amgen's debt-to-EBITDA ratio of 20.91 in 2026Q1 highlights a highly leveraged balance sheet that remains vulnerable to interest rate fluctuations and the ongoing pressure of servicing debt incurred from the $27.8 billion Horizon acquisition.
While the debt-to-equity ratio has trended downward from its peak, the absolute debt load remains substantial, limiting the company's ability to pursue further inorganic growth or aggressive share buybacks. The interest coverage ratio, which has been as low as 0.92 in recent periods, suggests that the margin for error in debt service is thin, necessitating a disciplined approach to capital allocation.
The market frequently misapplies GAAP net margin as a proxy for Amgen's true earning power, failing to account for the significant non-cash amortization of intangible assets resulting from the Horizon and Otezla acquisitions, which artificially depresses reported profitability compared to actual free cash flow generation.
Analysts should instead focus on adjusted operating margins and free cash flow conversion, as these metrics better reflect the underlying cash-generating capability of the core therapeutic pillars. Relying on GAAP net income in this context obscures the company's ability to fund its dividend and R&D pipeline, leading to a potentially flawed assessment of its financial health.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying AMGN stock.
Amgen Inc.'s current P/E ratio is 25.9x. The historical average is 26.9x. This places it at the 66th percentile of its historical range.
Amgen Inc.'s current EV/EBITDA is 15.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 17.6x.
Amgen Inc.'s return on equity (ROE) is 106.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 39.1%.
Based on historical data, Amgen Inc. is trading at a P/E of 25.9x. This is at the 66th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Amgen Inc.'s current dividend yield is 2.57% with a payout ratio of 66.5%.
Amgen Inc. has 70.8% gross margin and 29.1% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Amgen Inc.'s Debt/EBITDA ratio is 3.4x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.