Amgen Inc AMGN is expected to unveil updates on various programs this year, targeting significant markets.
Despite concerns about the company’s long-term growth amid exclusivity losses, Goldman Sachs notes that Amgen (Buy rating, $350 price target) is seen as well-positioned to capitalize on multi-billion dollar opportunities.
The current stock valuation is slightly above the base business, per the discounted cash flow model, and indicates a favorable risk-reward scenario leading up to upcoming catalysts.
The upcoming catalysts include obesity, with MariTide Phase 2 data expected in late 2024.
Read Next: Amgen’s Blockbuster Osteoporosis Drug Prolia Flagged With FDA Strictest Warning.
Earlier this month, Amgen had the data from animal and early-stage human trials of its experimental obesity drug AMG 133 (maridebart cafraglutide) published in Nature Metabolism.
The Journal confirmed the GIPR antagonist and GLP-1R agonist activities in cell-based systems and reported the ability of AMG 133 to reduce body weight and improve metabolic markers in male obese mice and cynomolgus monkeys.
The management has not provided additional details about the asset. However, considering the evolving landscape of obesity treatment with the development of various oral drugs like Novo Nordisk A/S’s NVO oral semaglutide, Eli Lilly And Co’s LLY orforglipron, and Pfizer Inc’s PFE danuglipron, the analysts see the exploration of an oral option as a plausible next move in the obesity pipeline.
Additionally, the company anticipates low-expectation oral AMG 786 Phase 1 data in the first half of 2024.
In the inflammation and immunology (I&I) sector, Goldman Sachs says the focus lies on chronic obstructive pulmonary disease (Tezspire Phase 2 data in the first half of 2024) and atopic dermatitis (AMG 451 OX-40 Phase 3 data in the first half of 2024, with substantial market potential).
The oncology segment looks promising, the Goldman Sachs analysts write, especially with tarlatamab’s PDUFA on June 12 for small cell lung cancer, supported by strong pivotal data. Goldman Sachs notes that the ongoing studies in earlier treatment lines suggest significant growth potential.
In rare diseases, attention turns to the Uplinza (CD19) Phase 3 myasthenia gravis study, from which the data is expected in the second half of 2024.
Price Action: AMGN shares are down 1.9% at $286.03 on the last check Monday.
Amgevita Photo by Amgen
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