Amgen "sell," target price reduced - update

16.08.07 - Lazard Capital Markets

NEW YORK, August 16 (newratings.com) - Analysts at Lazard Capital maintain their "sell" rating on Amgen Inc (AMGN), while reducing their estimates for the company. The target price has been reduced from $50 to $46.

In a research note published this morning, the analysts mention that the company has reduced its EPS guidance for 2007 to $4.13-$4.23, short of the estimates and the consensus. The analysts add, however, that the guidance is still optimistic, since it assumes an optimistic position on the forthcoming FDA panel on Epogen and the possibility of restrictions on Aranesp reimbursement from commercial and ex-US payors. The EPS estimates for 2007 and 2008 have been reduced from $4.23 to $4.20 and from $4.30 to $4.29, respectively.