AMGN vs. IDXX: A Head-to-Head Stock Comparison

Company Overview

AMGN’s market capitalization of 154.38 billion USD is substantially larger than IDXX’s 42.00 billion USD, indicating a significant difference in their market valuations.

IDXX carries a higher beta at 1.55, indicating it’s more sensitive to market moves, while AMGN (beta: 0.50) exhibits greater stability.

Performance Comparison

This chart compares the performance of AMGN and IDXX over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

This section compares the market valuation of AMGN and IDXX. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.

• AMGN’s Forward PEG ratio of 7.35 and IDXX’s Forward PEG ratio of 3.65 are both considered very high. For AMGN, this elevated ratio implies its stock price may incorporate highly optimistic growth assumptions that could be challenging to realize. IDXX’s very high PEG also suggests its valuation is quite rich relative to its expected earnings growth, potentially indicating overvaluation.
• AMGN’s Price-to-Book (P/B) ratio of 24.88 and IDXX’s P/B ratio of 29.33 are both very high. For AMGN, this typically means the market assigns a much greater value to the company than its net accounting worth, often due to factors like robust intangible assets or superior growth prospects. IDXX’s high P/B also suggests investors have high expectations for its future performance and are pricing it well above its book value.

Dividend Comparison

AMGN provides a 3.23% dividend yield, potentially offering a blend of income and growth, whereas IDXX currently does not pay a dividend, possibly retaining profits to fund operations or growth initiatives.

Financial Strength Metrics Comparison

This section evaluates the financial strength of AMGN and IDXX. Noteworthy observations on their financial resilience, considered from an industry perspective, are detailed in the points that follow.

• AMGN’s Debt-to-Equity (D/E) ratio of 9.24 is very high. This indicates that the company is significantly financed by debt, which can amplify returns but also substantially increases its financial risk profile and vulnerability to earnings fluctuations.