Amgen (NASDAQ:AMGN) — This biotech company has been a leader in the development of genetically based research and treatment for cancer, anemia, rheumatoid arthritis, and a host of other major illnesses. It markets five of the world’s best-selling biotech drugs.
The Trade of the Day first recommended AMGN on Dec. 19 at $60.25 when it broke from the huge cup-and-handle formation. After topping at close to $70, the stock has been consolidating with support around its 50-day moving average at $68.
Earnings estimates for 2012 have been raised to $6.07, and $6.67 for 2013. AMGN has a dividend yield of 2.09% and was recently listed as a company with a very high cash position, giving it the flexibility for acquisition and further drug developments.
Note the recent buy signal from the stochastic. The trading target for AMGN is $79.