Why Did Amgen's Stock Fall on Tuesday?

Amgen shares traded lower on Tuesday as investors weighed the potential ripple effects of disappointing Phase 3 data for Novartis' investigational lipoprotein [Lp]-lowering drug pelacarsen.

Novartis released data from the Phase 3 LpHORIZON cardiovascular outcomes trial last Friday. The study failed to meet its primary endpoint of significantly reducing major cardiovascular events compared to placebo.

The results could have implications for other Lp-lowering programs. Although pelacarsen successfully targeted Lp, the failure of its Phase 3 trial raised questions about whether reducing this biomarker ultimately translates into fewer cardiovascular events.

Amgen is developing olpasiran, an investigational small interfering RNA designed to lower Lp. The drug is in Phase 3 development for patients with atherosclerotic cardiovascular disease.

However, the two drugs use different mechanisms. Pelacarsen is an antisense oligonucleotide, while olpasiran uses siRNA technology.

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Amgen Technical Analysis

Tuesday's selloff pushed Amgen below several closely watched technical levels.

The stock traded 8.7% below its 20-day simple moving average of $430.22. It was also 1.2% below its 50-day simple moving average of $397.75.

However, Amgen remained 6.5% above its 100-day simple moving average of $368.99 and 9.5% above its 200-day simple moving average of $358.69. This indicates that despite the sharp pullback, the longer-term uptrend remains intact.

Momentum has weakened. The MACD indicator sits below its signal line, while the histogram is negative. Both readings suggest buying momentum has faded.

Following a "golden cross" in November 2025, Amgen remains in a long-term bullish pattern.

Near-term resistance sits around $398, close to the 50-day simple moving average. If the selloff persists, the area near $359, around the 200-day simple moving average, could offer a key support zone.

Analyst Outlook

Amgen carries a consensus "Hold" rating with an average price target of $398.52.

BMO Capital downgraded Amgen to "Market Perform" on Tuesday, maintaining a $450 price target. Cantor Fitzgerald kept its "Neutral" rating and $400 price target. Wells Fargo maintained an "Equal Weight" rating on September 4 and raised its price target to $435.

Amgen ETF Holdings

Amgen is a major holding in several exchange-traded funds. The iShares Biotechnology ETF has an 8.46% weight in the stock. The Invesco Pharmaceuticals ETF holds a 5.34% weight, while the Amplify CWP Enhanced Dividend Income ETF has a 4.94% weight.

As a result, large inflows or outflows from these ETFs could increase trading activity in Amgen shares.

AMGN Price Action

As of Tuesday's publication, Amgen shares were down 9.51% at $395.65.