BUZZ-Citi starts coverage on Amgen with 'neutral' on caution over obesity drug

Reuters11-14 22:17

** Citi Research starts coverage on Amgen with a "neutral" rating, citing risks to co's experimental weight-loss drug, MariTide, due to intense competition

** Brokerage sets a PT of $335, representing an ~11% upside to stock's last closing price

** Citi says Clinical risk for MariTide is high as the bar for weight reduction keeps getting higher, following data for existing obesity drugs from Eli Lilly and Novo Nordisk

as well as other promising candidates

** MariTide's potential monthly-dosing frequency would be "nice to have" but doctors may prefer obesity drugs that also cover conditions like sleep apnea and others, and AMGN's drug is currently way behind Lilly's drug on that - Citi

** On Wednesday, AMGN denied links between MariTide and bone density changes, following a 7% drop in its stock on Tuesday

** Analysts on average rate AMGN shares "buy"; median PT is $344 — LSEG data

** As of last close, AMGN up 4.6% YTD

(Reporting by Kamal Choudhury in Bengaluru)

((Kamal.Choudhury@thomsonreuters.com))

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment