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AMGN · Q2 FY2026

AMGEN INC Q2 FY2026 earnings analysis

By SageNoodle ResearchBullish
Reported results versus estimates
MetricActualEstimateResult
Revenue$10.05B$9.18B (yr ago)Beat
EPS$4.37$2.65 (yr ago)Beat
Free Cash Flow$3.49B$1.91B (yr ago)Beat
Gross Margin47.1%not disclosed (yr ago)Miss
Operating Margin35.0%28.9% (yr ago)Beat

What changed

Revenue increased 9.5% year over year to $10.05B, while operating margin expanded 6.1 percentage points to 35.0%. EPS rose 64.9% to $4.37 and free cash flow increased 82.7% to $3.49B, making the quarter materially stronger across earnings and cash conversion. A comparable year-ago gross margin was not disclosed in the supplied table, so no gross-margin beat can be established.

Impact on the investment thesis

There was no prior SageNoodle fair value to revise; this update establishes a base-case fair value of $370 per share. The quarter strengthens the operating thesis, but the current price already reflects much of the improvement at 23.8x trailing earnings.

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