Amgen falls on concerns about tax litigation with the IRS

Amgen

01/05/2026 17:10

** Amgen AMGN.O shares fall 6.1% to $325.17

** The drugmaker said on its earnings call late Thursday that in April it received a draft notice of proposed adjustment (NOPA) from the U.S. Internal Revenue Service (IRS) for tax years 2016–2018

** Added that the NOPA "on significant adjustments primarily related to the allocation of profits between the United States and Puerto Rico" could impact its financial statements

** AMGN faces potential $10.7 billion liability in another tax litigation for 2010-2015, in which a ruling is not expected before the second half of 2026, said Raymond James

** "If Amgen loses the current court case or settles, then another potential multibillion-dollar liability would likely be on the table for FY16-18, not to mention the IRS could continue to audit more recent years" - Analyst Christopher Raymond

** The analyst flagged that any payout could diminish the firm's acquisitions and dealmaking ability

** Including session moves, stock up 0.6% YTD

 (Reporting by Sneha S K)

 ((Sneha.SK@thomsonreuters.com;))