Amgen, Inc. (AMGN): Can Earnings Keep It Soaring?

What’s unclear, though, is whether Amgen will be able to sustain its impressive revenue growth. Amgen’s profit margins have fallen dramatically in recent years, and as health-care reform laws take full effect, the company could continue to see more bottom-line pressure in the years to come.

In Amgen’s earnings report, watch for the company to discuss the impact that a recent German regulatory review of drug prices could have on Amgen over the long term. Germany’s cost-benefit assessment framework could eventually become a model for U.S. health-care cost management as well, and as a result, it’s important for Amgen, Inc. (NASDAQ:AMGN) to tread carefully in demonstrating its products’ medical benefits and cost-effectiveness.

The article Can Amgen’s Earnings Keep Its Stock Soaring? originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter: @DanCaplinger. The Motley Fool has no position in any of the stocks mentioned.

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