Amgen price target raised to $275 from $256 at BofA

BofA raised the firm’s price target on Amgen (AMGN) to $275 from $256 and keeps an Underperform rating on the shares. Q4 results were slightly below consensus on total revenue, but above on EPS, notes the analyst, who uses a higher target multiple given a “modest increase” in forecasts. However, the firm continues to model operating margin erosion for the next several years beyond 2025, reflecting ramped up obesity R&D spending, along with some generic decay.