Amgen Stock Forecast: Huge Upside Potential (AMGN)

Amgen Stock Forecast

I Know First supplies financial services, mainly through stock forecasts via their predictive algorithm. The algorithm incorporates a 15-year database, and utilizes it to predict the flow of money across 2000 markets. The self-learning algorithm uses artificial intelligence, predictive models based on artificial neural networks, and genetic algorithms to predict money movements within various markets.

The algorithm produces a forecast with a signal and a predictability indicator. The signal is the number in the middle of the box. The predictability is the number at the bottom of the box. At the top, a specific asset is identified. This format is consistent across all predictions. The middle number is indicative of strength and direction, not a price target. The bottom number, the predictability, signifies a confidence level.

I Know First has had success predicting the movement of Amgen’s stock price in the past. In the forecast below, AMGN had a positive signal strength of 11.41 and a predictability indicator of 0.32 for a three-month period. The stock price increased 11.38% like the algorithm predicted.

Amgen Stock Forecast

(Figure 1: AMGN forecast May 1st ’15)

More recently, I Know First published a bullish article on Amgen, an expanding company focussed on biotech pharmaceuticals, on Seeking Alpha. Having explained how I Know First’s algorithm works and providing an example of its success in the past, it is worthwhile to see if the algorithm agrees with the bullish fundamental analysis of the company. The three-month and one year forecast for Amgen Inc. are included below.

Amgen Stock Forecast

(Figure 2: AMGN forecast 11 September ’15)

The above forecast is the one of our more recent forecasts  from September 11th 2015 and is for the long-term periods of three months and one year. This forecast is highly bullish in the long-term with with a strong signal strength of 99.63 and predictability of 0.58 for the one-year period. The algorithm correlates with the fundamental analysis where the general consensus is that via expanding into the cardiovascular treatment market, AMGN has tremendous upside potential.

Positive signal strength does not mean investors should automatically buy the stock. Dr. Roitman, who created the algorithm, created rules for entry for a stock such as Gilead Sciences. Using this trading strategy, an investor should buy a stock if the last 5 signal strength’s average is positive and if the last closing price is above the 5-day moving average price. When both of these conditions are met, it is a good time to initiate a position in the stock.