During the first half of 2018, S&P 500 companies spent $384 billion on buying back shares from shareholders, according to a Goldman Sachs report. That marks a whopping +48% increase since last year.
Apple went ahead with $45 billion worth of buybacks during the first half of 2018, which is triple the amount its spent during the same time period last year. Other companies with substantial share repurchase increases includes Amgen, Cisco, AbbVie and Oracle (as mentioned in the Goldman Sachs report).
For the full year 2018, share buyback authorizations among all US companies will exceed $1 trillion for the first time ever (according to Goldman Sachs projections). Share buybacks lower the number of outstanding shares of a company, thereby potentially pushing up the earnings per share metric – which in turn usually boost stock prices. Buybacks also indicate a firm’s healthy cash position, and therefore tend to bolster its stock price at least for the near-term.
Goldman Sachs estimated that buybacks are garnering the largest share of cash spending by S&P 500 firms - a departure from 19 out of the past 20 years where capital spending accounted for the biggest share.
Business spending still increased in the first half of 2018 – at 19% from last year – albeit at a slower rate compared to buybacks. Goldman Sachs predicts that capital spending is on pace for the fastest growth in at least 25 years.
AMGN broke above its upper Bollinger Band on March 27, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options. The A.I.dvisor looked at 44 similar instances where the stock broke above the upper band. In of the 44 cases the stock fell afterwards. This puts the odds of success at .
The Stochastic Oscillator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.
The Momentum Indicator moved below the 0 level on April 25, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on AMGN as a result. In of 80 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AMGN declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for AMGN entered a downward trend on March 26, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Moving Average Convergence Divergence (MACD) for AMGN just turned positive on April 22, 2024. Looking at past instances where AMGN's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AMGN advanced for three days, in of 295 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: AMGN's P/B Ratio (24.331) is slightly higher than the industry average of (5.632). P/E Ratio (22.661) is within average values for comparable stocks, (48.974). Projected Growth (PEG Ratio) (2.526) is also within normal values, averaging (3.004). Dividend Yield (0.031) settles around the average of (0.164) among similar stocks. P/S Ratio (5.402) is also within normal values, averaging (3.643).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. AMGN’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of human therapeutic products based on cellular biology
Industry PharmaceuticalsMajor