Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Barclays Downgrades Amgen to Underweight, Upgrades Gilead

Published 10/31/2022, 09:02 AM
Updated 10/31/2022, 09:27 AM
© Reuters.  Barclays Downgrades Amgen (AMGN) to Underweight, Upgrades Gilead (GILD)

By Senad Karaahmetovic 

Barclays analysts downgraded shares of Amgen (NASDAQ:AMGN) to Underweight from Equal Weight with a price target of $234 per share.

With Amgen shares up over 20% in October, the analysts see risk-reward tilted to the downside, given the high expectations into the AMG133 (early-stage obesity asset) update, which should occur during the AHA analyst call on November 7.

The event is seen as a "higher impact catalyst," given that AMG133 "faces high hurdles on efficacy and tolerability (with limited data shared to date) and Amgen faces questions on speed of development path and ability to compete with entrenched competition."

As a result, the analysts see Amgen shares under pressure bearing in mind the recent gains.

Conversely, the analysts upgraded Gilead Sciences (NASDAQ:GILD) to Equal Weight with a price target of $76 per share, up from $60.

"Given the lack of a relevant catalyzing event on the horizon with meaningful downside, coupled with the company's solid execution commercially, it was clear that GILD no longer warranted our UW rating - a position we should have moved off of earlier," the analysts wrote in a separate note.

Amgen and Gilead shares are down 2.3% and 0.7%, respectively.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.