Core Viewpoint - Amgen's experimental weight loss drug MariTide shows promising results in clinical trials, allowing obese patients to maintain weight loss with monthly injections, contrasting with the weekly injections of current popular weight loss medications [1][2][4] Group 1: Drug Mechanism and Administration - MariTide is a GLP-1 related drug that activates GLP-1 receptors while blocking GIP receptors, offering a dual mechanism that differs from traditional GLP-1 agonists [2][3] - The drug is currently in Phase 3 clinical trials and has not yet received FDA approval for clinical sales [2] - The convenience of administration is highlighted, with potential for monthly or even quarterly injections, which could improve patient adherence compared to weekly injections required by existing treatments [1][4] Group 2: Clinical Efficacy - In the Phase 2 trial, participants experienced an average weight loss of approximately 20% over 52 weeks, with no plateau in weight loss observed, indicating sustained effectiveness [4] - The dual mechanism of action is expected to provide a more durable intervention compared to existing weight loss drugs [3][4] Group 3: Market Potential - Goldman Sachs projects the global anti-obesity drug market could reach $90 billion to $100 billion by 2030, significantly higher than the current market size [5][6] - The market is viewed as having substantial growth potential, with Amgen's MariTide expected to play a key role in this expansion, potentially leading to a revaluation of the company's stock [6] - The increasing global obesity rates and the demand for effective weight loss treatments are driving the market growth, with predictions of a large patient population beginning treatment in the coming years [6][7] Group 4: Competitive Landscape - Goldman Sachs expresses a more favorable outlook on MariTide compared to existing drugs like Novo Nordisk's Wegovy and Eli Lilly's Zepbound, suggesting greater upside potential for Amgen's stock [6] - The market is entering a new phase characterized by "price for volume" strategies, driven by policy changes and the introduction of oral weight loss medications, which are expected to lower barriers for patient access [7]

Core Insights - U.S. telehealth firm Ro has initiated a research collaboration with drugmaker Amgen to address the challenges faced by patients and providers in accessing obesity treatments, particularly focusing on GLP-1 medications [1] Group 1 - The collaboration aims to explore the barriers to accessing obesity treatments, which is a growing concern in the healthcare industry [1] - Ro's partnership with Amgen highlights the increasing importance of telehealth solutions in managing chronic conditions like obesity [1] - The research will likely provide insights that could enhance patient access to effective obesity treatments, potentially impacting market dynamics [1]

Core Insights - Amgen is optimistic about 2026, viewing it as a pivotal year with significant clinical data expected to be generated [2] Group 1: Company Overview - Amgen operates in four general therapeutic areas, focusing on diseases with high unmet medical needs [3] - The company offers first-in-class and best-in-class innovative medicines, including branded biosimilars [4] Group 2: Financial Performance - Over the past decade, Amgen has achieved consistent revenue and earnings growth, reflecting the success of its product offerings [4]

Summary of Amgen's Conference Call Company Overview - **Company**: Amgen - **Industry**: Biotechnology and Pharmaceuticals - **Key Focus Areas**: Therapeutics for unmet medical needs, including cardiovascular diseases, osteoporosis, severe asthma, and rare diseases [2][3] Financial Performance - **2025 Revenue Growth**: 10% increase in revenues, driven by 14 blockbuster products [4] - **Earnings Growth**: 14% increase in earnings per share [4] - **Debt Reduction**: Over $6 billion in debt paid down in 2025 [6] Key Products and Growth Drivers - **Repatha**: - Annualized sales of approximately $3 billion, growing at 33% [7] - Demonstrated a 36% reduction in heart attack risk in primary prevention [5] - Significant market opportunity with over 100 million people at risk of heart attacks [9] - **Evenity**: - Sales growth of over 30%, targeting women at high risk of osteoporotic fractures [10] - Urgent need for treatment due to high mortality rates post-fracture [47] - **Tezspire**: - Innovative treatment for severe asthma and chronic rhinosinusitis with nasal polyps [10] - Strong clinical performance and potential for expansion into COPD and eosinophilic esophagitis [10] - **Biosimilars**: - 42% year-over-year sales growth, contributing $13 billion since entry into the market [15] - **Rare Disease Portfolio**: - Approached $5 billion in sales, with ongoing expansion into new indications [11] Pipeline and Future Prospects - **MariTide**: - Focused on obesity and type 2 diabetes, with six phase 3 studies initiated [19] - Potential for monthly or less frequent dosing, addressing treatment persistence issues [20][21] - **Olpazeran**: - Targets Lp(a) reduction, a significant risk factor for cardiovascular disease, with potential for 95%-100% reduction [38] - Expected to provide a long-acting treatment option for patients [39] - **Imdeltra**: - Bispecific T-cell engager for small cell lung cancer, showing promise in early lines of therapy [13] Market Dynamics and Strategic Focus - **Obesity Market**: - Anticipated growth due to increasing recognition of obesity as a chronic disease [29] - Amgen aims to position itself as a key player in this evolving landscape [30] - **Capital Allocation**: - Focus on investing in innovation and manufacturing capabilities to maintain competitive advantage [25] - **Technological Integration**: - Emphasis on incorporating technology and AI to enhance operational efficiency [24] Conclusion - Amgen is positioned for significant growth in 2026 and beyond, driven by a robust pipeline of innovative therapies and a strong financial foundation. The company is focused on addressing high unmet medical needs across various therapeutic areas, with a commitment to maintaining operational discipline and investing in future growth opportunities [27]

Core Insights - Amgen's experimental obesity drug MariTide has shown effectiveness in helping individuals maintain weight loss in an extension study [1] - A second mid-stage trial indicated that MariTide also reduced blood sugar levels in diabetes patients [1] Summary by Category Drug Efficacy - MariTide assists in weight maintenance post-weight loss, demonstrating its potential as a long-term treatment option for obesity [1] - The drug has shown promising results in lowering blood sugar levels among patients with diabetes, indicating its dual therapeutic potential [1]

Core Insights - Amgen's research chief expressed strong confidence in the company's experimental obesity drug MariTide, indicating positive expectations for its efficacy in weight maintenance [1] Company Summary - Amgen is preparing to unveil results from a mid-stage trial extension for MariTide, aimed at demonstrating the drug's effectiveness in helping individuals maintain weight loss [1]

44TH ANNUAL J.P. MORGAN HEALTHCARE CONFERENCE Provided January 12, 2026, as part of an oral presentation and is qualified by such, contains forward-looking statements, actual results may vary materially; Amgen disclaims any duty to update. 2 We Have a Broad and Deep Portfolio Across Four Therapeutic Areas ROBERT A. BRADWAY, Chairman and Chief Executive Officer January 12, 2026 Safe Harbor Statement This presentation contains forward-looking statements that are based on the current expectations and beliefs o ...

Group 1: Tariffs and Pharmaceutical Sector - President Trump has threatened pharmaceutical tariffs of up to 250% and 500% on India over Russian oil purchases, indicating a shift in the administration's approach to tariffs as a tool for industry reshaping rather than negotiation [2] - Johnson & Johnson (JNJ) has secured an exemption from certain tariffs by committing to lower drug prices, joining 14 other major pharmaceutical companies in the "TrumpRx" program, which aims to align US drug prices with European counterparts [3] - Moody's Analytics reported a "collapse in pharmaceutical imports" as companies stockpiled goods in anticipation of tariffs, demonstrating the market's tendency to react preemptively to presidential announcements [3] Group 2: Energy Sector and Venezuela - Following the capture of Venezuelan President Nicolás Maduro, President Trump declared a national emergency and announced new sanctions, leading to a surge in US energy stocks, with Chevron (CVX) rising 5% and Exxon Mobil (XOM) increasing by 2.2% [4] - However, by January 10, 2026, analysts expressed skepticism about the viability of Venezuelan oil investments, citing a lack of legal pathways and the need for significant infrastructure rebuilding [5] - Venezuelan government bonds saw a rally, with a bond maturing in 2027 increasing from 31.5p to over 40p on the dollar, indicating market interest despite the geopolitical instability [5] Group 3: Credit Card Industry - President Trump proposed a one-year, 10% cap on credit card interest rates, aiming to save Americans "tens of billions of dollars," which has raised concerns among banking executives [6][7] - The banking industry, including the Bank Policy Institute and the American Bankers Association, warned that such a cap could lead consumers to less regulated alternatives and reduce credit availability [8] - Major credit card companies like American Express (AXP) and JPMorgan Chase (JPM) experienced stock declines of -1.92% and -0.18% respectively, reflecting market apprehension about the proposed cap [8] Group 4: Defense Sector - President Trump's executive order threatening to restrict stock buybacks and dividends for defense contractors initially caused a drop in defense stocks, but a subsequent announcement of a $1.5 trillion defense budget for fiscal year 2027 led to a rally in the sector [9][10] - Northrop Grumman (NOC) saw a premarket increase of 6.8%, while Lockheed Martin (LMT) rose 6.7%, indicating strong market response to the budget announcement [10] - The iShares US Aerospace & Defense ETF gained approximately 55% over the past year, significantly outperforming the S&P 500's 17% increase, highlighting robust demand in the defense sector [10] Group 5: Market Reactions and Trends - The US stock market exhibited polarized performance on January 8, 2026, with the DOW gaining 60.94 points (+0.12%) while the S&P 500 and NASDAQ Composite fell [13] - By January 9, 2026, the indices largely recovered, with the S&P 500 climbing 0.6% and the DOW adding 0.5%, indicating a rotation out of high-growth technology into heavy industry [14] - Analysts forecast a 10% increase for the S&P 500 in the remainder of 2026, although they acknowledge that presidential tariffs pose a significant source of uncertainty for market performance [15]

Market Overview - The Dow Jones Industrial Average increased by 270.03 points (0.55%) to reach 49266.11, while Dow Futures rose by 144.00 points (0.29%) to 49637.00, indicating positive movement in the blue-chip index amidst a mixed broader market [1] - The S&P 500 remained essentially flat, and the Nasdaq Composite lagged due to declines in tech stocks [1] Economic Data Impact - The primary narrative driving the market was the release of US employment data, which showed fewer jobs added than expected but a lower unemployment rate [2] - Anticipation of a possible Supreme Court ruling on President Trump's tariffs contributed to market uncertainty [2] Sector Rotation - There was a notable rotation from high-flying tech stocks, particularly in the AI sector, into more defensive and value-oriented segments such as industrials and financials, driven by profit-taking and concerns over elevated valuations [2] Company Performance - Among the Dow's constituents, Home Depot (HD) led the gainers with a surge of 3.85%, followed by Nike (NKE) with a 3.02% increase, and Chevron (CVX) up 2.98% due to shifts in the oil market [3] - Other strong performers included Sherwin-Williams (SHW) (+2.90%) and Honeywell (HON) (+2.87%) [3] - Conversely, Amgen (AMGN) was the biggest decliner, falling by 3.26%, with Nvidia (NVDA) down 2.16% and Salesforce (CRM) down 2.06%, reflecting a broader pullback in technology and AI-related shares [3]

CVS Health - CVS Health experienced a rebound in 2025, with improved financial results and raised guidance for revenue, operating income, and earnings per share for 2026 [3][4] - The company is addressing challenges such as rising costs and shrinking operating margins, particularly in its Medicare Advantage business, by significantly rolling back this segment to focus on profitable growth [4][5] - CVS Health is currently trading at 11.2 times forward earnings, which is below the healthcare sector average of 18.4, indicating reasonable valuation [5] - The company has a vast network of pharmacies and diversified healthcare operations, which provide significant advantages as healthcare spending increases [6] - CVS Health has adapted to competition, notably from Amazon, by offering free and fast delivery services for prescription medications, making it a strong long-term investment [7] - The outlook for CVS Health in 2026 and beyond appears promising, especially for dividend-seeking investors [8] Amgen - Amgen is developing new drug products to address a recent patent cliff, positioning itself for future growth [8]