Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Can This Biotech Star Deliver for Dividend Investors?

When income investors think of great industries for dividends, biotech's perhaps the last industry on the list. After all, biotech's known for boom-or-bust stocks that can make it big -- or implode -- based on the success or failure of a single or handful of drugs. Stability, strong and steady cash flow, and high-yielding, flexible dividends certainly aren't the hallmarks of this sector.

Yet there's one stock in biotech that's right up an income investor's alley: Amgen (NASDAQ: AMGN  ) . Amgen has made its mark through top-selling drugs like rheumatoid arthritis treatment Enbrel, a drug that Amgen markets alongside Pfizer (NYSE: PFE  ) , and white blood cell therapies Neupogen and Neulasta. Those drugs make up a significant chunk of Amgen's sales and have eclipsed blockbuster status, but Amgen has more than just a few top drugs supporting its entire financial architecture. The company also boasts a modest but fast-growing dividend with a relatively low dividend payout ratio.

Unlike many of its biotech peers, Amgen's portfolio and pipeline offer diversity and flexibility in the future. In the video below, Fool contributor Dan Carroll discusses what's ahead for Amgen and just how this stock's poised to thrive in the long run for income investors.

It's no secret that biotech stocks have been soaring recently, but the best investment strategy is to pick great companies and stick with them for the long term. The Motley Fool's free report "3 Stocks That Will Help You Retire Rich" not only shares stocks that could help you build long-term wealth, but also winning strategies that every investor should know. Click here to grab your free copy today.

Read/Post Comments (0) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2636613, ~/Articles/ArticleHandler.aspx, 9/26/2016 6:32:07 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,094.83 -166.62 -0.91%
S&P 500 2,146.10 -18.59 -0.86%
NASD 5,257.49 -48.26 -0.91%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/26/2016 4:00 PM
AMGN $173.53 Down -1.27 -0.73%
Amgen CAPS Rating: ****
ONXX.DL $0.00 Down +0.00 +0.00%
Onyx Pharmaceutica… CAPS Rating: **
PFE $33.64 Down -0.62 -1.81%
Pfizer CAPS Rating: ****
TEVA $50.27 Down -1.20 -2.33%
Teva Pharmaceutica… CAPS Rating: ****