Amgen (AMGN) DIvidends Date & History

Key Takeaways

• Amgen offers a forward dividend yield of 2.96%, paid quarterly at $2.52 per share.
• The company has increased its dividend for 16 consecutive years, demonstrating strong commitment to shareholders.
• Payout ratio stands at approximately 69%, indicating sustainability supported by earnings per share (EPS) of $14.22 TTM and free cash flow of $7.5 billion TTM.
• Next ex-dividend date is May 15, 2026, with payment on June 5, 2026.
• Amgen's dividend profile is attractive for biotech investors, outperforming many non-dividend-paying peers like VRTX and REGN.
• Robust revenue of $36.75 billion TTM and net income of $7.71 billion underpin dividend coverage.

Dividend Overview

Amgen Inc., a leading biotechnology company, maintains a reliable quarterly dividend policy, appealing to income-focused investors in the volatile biotech sector. The current forward annual dividend is $10.08 per share, delivering a yield of 2.96% based on recent stock prices. Shareholders of record as of May 15, 2026, will receive $2.52 per share on June 5, 2026. Amgen qualifies as a dividend growth stock, having consistently raised payouts amid its focus on innovative therapies. While not a high-yield play exceeding 4%, its nearly 3% yield combined with growth makes it a balanced option for long-term portfolios seeking biotech exposure with income.

Dividend History and Growth

Amgen initiated regular quarterly dividends in 2011 and has raised them annually for 16 consecutive years. The quarterly payout has grown from $0.61 per share in 2014 (annual $2.44) to $2.52 in 2026 (annual $10.08), reflecting a compound annual growth rate (CAGR) of approximately 6-8% over recent periods. Notable increases include a jump from $2.38 in 2025 to $2.52 in 2026, up about 5.9%. No cuts have occurred, underscoring management's long-term strategy to return capital via growing dividends alongside share repurchases and R&D investments.

Dividend Sustainability and Payout Ratio

Amgen's dividend appears highly sustainable, with a payout ratio of 68.87% of trailing twelve months (TTM) earnings. This leaves ample room for growth, as the ratio remains below 75%, a common threshold for safety. EPS TTM of $14.22 comfortably covers the $10.08 annual dividend. Free cash flow TTM of $7.5 billion exceeds total annual dividend obligations, estimated at around $5.4 billion given outstanding shares. Strong revenue growth to $36.75 billion TTM and manageable debt levels further support ongoing payments, even as the company invests in its pipeline.

Dividend Compared to Industry Peers

In the biotechnology and pharmaceuticals industry, where many firms forgo dividends to fund R&D, Amgen's 2.96% yield stands out. Peers like AbbVie (ABBV) offer around 3.3%, while Gilead Sciences (GILD) provides higher at over 3.5%. However, pure biotech plays such as Vertex Pharmaceuticals (VRTX) and Regeneron (REGN) pay no dividends. Compared to the sector average yield below 2% for biotech, Amgen's profile is above average, blending income with growth potential akin to established pharma giants like Pfizer (PFE).

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Is This Stock Attractive for Dividend Investors?

Amgen suits dividend growth investors seeking reliable increases in a high-growth sector, thanks to its 16-year streak and mid-single-digit annual hikes. Income-oriented portfolios may appreciate the nearly 3% yield, which provides steady quarterly cash flow superior to non-paying biotech peers. Conservative investors value the sustainable payout ratio under 70% and robust free cash flow coverage, offering resilience amid patent cliffs or regulatory risks. Long-term holders benefit from Amgen's diversified portfolio in oncology and rare diseases, balancing dividend appeal with capital appreciation potential. However, biotech volatility and pipeline dependency warrant diversification. This profile appeals less to high-yield chasers above 5%, favoring quality over quantity.

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