Shares of Amgen Inc (AMGN), the world’s biggest biotech company, continue moving higher on heavier than usual volume during Tuesday’s trading session. More than 15.2 million AMGN shares have already changed hands compared to a daily average volume of 5.8 million.
Amgen was upgraded this morning at Piper Jaffray to Overweight from Neutral on the the news that its bone drug Xgeva improved metastasis-free survival and helped delay the spread of prostate cancer to bone by 4.2 months in a study of 1,432 men. If the drug receives FDA approval for use in patients with prostate cancer, it could boost sales by $2 billion a year. Piper Jaffray analysts have a $74 price target on AMGN.
The equity gained nearly 6 percent in early trading in Nasdaq, printing the tape at $57.22, for the biggest advance in the Standard & Poor’s 500 Index (SPX).
Shares of Amgen closed at $54.11 yesterday, with a 52-wk range of $50.26 – $61.26. The 50-day moving average in the name is $55.37 and the 200-day is $55.44. AMGN shares are now trading with a trailing 12 P/E Ratio of 12.11 and EPS of 4.63.
At last check, Amgen shares were up $2.27 to $56.38, a gain of 4.3%.