Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Amylin Pharmaceuticals (NASDAQ:AMLN) has received the distressing two-star ranking. While one-star stocks have been the worst performers, our data has shown that two-star stocks still lag the market by a significant margin and should be approached with caution; conversely, highly rated stocks have outperformed the S&P.

With that in mind, let's take a closer look at Amylin's business, and see what CAPS investors are saying about the stock right now.

Amylin facts

Headquarters (founded)

San Diego, California (1987)

Market Cap

$1.6 billion



TTM Revenue

$859.66 million


President/CEO Dan Bradbury

Co-Founder/Director Howard Greene Jr.

Return on Capital (average, last three years)



Eli Lilly (NYSE:LLY),

Pfizer (NYSE:PFE)

CAPS members bearish on AMLN also bearish on:

General Motors (NYSE:GM),

Ford Motor (NYSE:F)

CAPS members bullish on AMLN also bullish on:

General Electric (NYSE:GE),

Cisco Systems (NASDAQ:CSCO)

Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 23 of the 94 All-Star members who have rated Amylin -- or 24% -- believe the stock will underperform the S&P 500 going forward. These bears include pjani06 and quinpeung, both of whom are ranked in the top 10% of our community.

Late last month, pjani06 reminded our community that Amylin "bought overall assets during high priced years. now stuck with debt to pay and not so great economic environment. valuation can be much cheaper than today even if this company survives."

In a pitch from two days earlier, quinpeung predicted the next move will be a drop for this roller-coaster-like stock:

The FDA was contemplating new safety regulations for new type II diabetes drugs and Amylin was in a decline, so I gave them several red thumbs. Then, stock began a mysterious rise. I went green and picked up some points as the stock rose about 40% on the strength of a favorable agreement with the FDA concerning manufacturing of once-weekly Exenatide. ... Now, the FDA has released a definitive statement regarding these [drugs], and investor confidence is shaken. Therefore, the latest red thumb.

What do you think about Amylin, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. CAPS is 100% free, so simply click here to get started.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Pfizer is a pick of both Motley Fool Income Investor and Inside Value, and the Fool owns shares of Pfizer. Eli Lilly used to be an Income Investor recommendation. The Fool's disclosure policy always gets a perfect score.