Biotech giant (NASDAQ: AMGN) isn't starting the year on a strong note. The company's shares are down by 5% since Jan. 1. It has dealt with some issues lately, especially subpar financial results that have disappointed investors. Though Amgen remains one of the world's largest and most prominent drugmakers, its status alone isn't enough to make the stock a buy.
Let's look deeper into what's going on with the business to determine whether it is worth buying its shares today.
Last year, Amgen's total revenue increased by 7% year over year to $28.2 billion. While that's a decent performance for a biotech giant, some of that growth was due to the company's acquisition of Horizon Therapeutics for about $28 billion. The acquisition closed in early October but had time to contribute $954 million to Amgen's sales. Excluding that figure, Amgen's total revenue rose by 3.5% year over year, which isn't particularly impressive.
Source Fool.com