Biotech and Pharma Titans ($AMGN, $PFE, $JNJ, $ATXS) Surge with Impressive Weekly Performance
In the fast-paced realm of biotech and pharmaceuticals, a group of stocks, including giants like Johnson & Johnson (JNJ), Amgen (AMGN), Pfizer (PFE), Astex Pharmaceuticals (ATXS), AnaptysBio (ANAB), and Zymeworks (ZYME), witnessed a noteworthy 8.55% surge in performance over the past week. However, a closer look at various indicators suggests caution, signaling a potential downturn.
1. Negative Outlook and Declining Trends
Fear & Greed Index
The group currently faces a Negative Outlook, as indicated by the Relative Strength Index (RSI). Tickeron, a market analysis platform, predicts a further decline exceeding 4.00% within the next month, with a 62% likelihood. Over the last month, advancing volumes outpaced declining volumes by a ratio of 1.46 to 1.
BollingerBands Indicator
Alarmingly, two stocks within this group confirmed the negative outlook using the BollingerBands indicator, with an average reliability of 72%.
2. Market Capitalization Rollercoaster
The average market capitalization across the group stands at 116 billion USD, ranging from a modest 171 million USD for ATXS to a colossal 381.3 billion USD for JNJ. Interestingly, JNJ experienced a significant market cap drop of $25.6 billion on August 26, 2023, and a staggering decrease of $85.2 billion on May 2, 2023.
3. Price Volatility: Highs and Lows
Weekly Price Movements
The average weekly price growth across the group was a notable 6.74%. For the same cohort, the average monthly and quarterly price growths were 13.14% and 18.65%, respectively. Remarkably, ATXS led the pack with a 36.15% price surge, while JNJ experienced the most significant fall at -1.91%.
Stock-Specific Highlights
- Amgen (AMGN) stood out as a top weekly gainer on November 8, 2023, with a 6.02% jump.
- Pfizer (PFE) faced challenges, being a top loser on September 12, 2023, with a decline of -5.14%.
- Johnson & Johnson (JNJ) also experienced a weekly downturn on August 25, 2023, with a -5.13% fall.
4. Volume Dynamics
Volume Growth Metrics
The average weekly volume growth across the group was 3.4%, with monthly and quarterly growth rates soaring at 127.37% and 71.63%, respectively.
Record-Breaking Volumes
On December 16, 2023, several stocks within the group witnessed extraordinary volume spikes, with AnaptysBio and Astria Therapeutics experiencing daily growths of 319% and 531% of the 65-Day Volume Moving Average, respectively. Zymeworks wasn't far behind, recording a remarkable 272% growth on August 4, 2023.
5. Stock-Specific Momentum Indicators
Amgen (AMGN)
AMGN has recently seen a positive shift in its Momentum Indicator, hinting at a potential upward trend. Tickeron's A.I.dvisor, analyzing 84 similar instances, suggests a 58% probability of a higher trajectory. The stock is currently trading between $333.97 resistance and $306.80 support lines.
Johnson & Johnson (JNJ)
Despite recent challenges, JNJ is showing signs of an upward trend, breaking its lower Bollinger Band on January 24, 2024. Historical data indicates a 60% likelihood of continued upward momentum. JNJ is currently trading between $160.27 support and $150.88 support lines.
Astex Pharmaceuticals (ATXS)
ATXS's Moving Average Convergence Divergence (MACD) turned positive on January 23, 2024. With a remarkable historical accuracy of 90%, the odds favor a continued upward trend. ATXS is currently trading between $14.33 resistance and $10.60 support lines.
In summary, while the recent overall performance of the biotech and pharmaceutical stock group has been impressive, caution is warranted. The negative outlook, declining trends in some stocks, and the unpredictability in market capitalization and volume indicate a complex landscape. Investors should scrutinize individual stock dynamics, considering momentum indicators, and be prepared for potential shifts in the coming weeks.
AMGN in upward trend: price expected to rise as it breaks its lower Bollinger Band on December 16, 2024
AMGN may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 39 cases where AMGN's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator entered the oversold zone -- be on the watch for AMGN's price rising or consolidating in the future. That's also the time to consider buying the stock or exploring call options.
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on November 12, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on AMGN as a result. In of 82 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for AMGN turned negative on December 16, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 51 similar instances when the indicator turned negative. In of the 51 cases the stock turned lower in the days that followed. This puts the odds of success at .
AMGN moved below its 50-day moving average on November 11, 2024 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for AMGN moved below the 200-day moving average on December 13, 2024. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AMGN declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for AMGN entered a downward trend on November 15, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: AMGN's P/B Ratio (24.331) is slightly higher than the industry average of (5.632). P/E Ratio (22.661) is within average values for comparable stocks, (48.974). Projected Growth (PEG Ratio) (2.526) is also within normal values, averaging (3.004). Dividend Yield (0.031) settles around the average of (0.164) among similar stocks. P/S Ratio (5.402) is also within normal values, averaging (3.643).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. AMGN’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
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Fundamental Analysis Ratings
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General Information
an investment holding company with interests in health care products
Industry PharmaceuticalsMajor