Shares of biopharmaceutical firm Amgen are off nearly 1% today, after the company reported that it plans to lay off several hundred employees across the U.S. An article in The Providence Journal said that AMGN is cutting about 450 workers in its West Greenwich, Rhode Island, plant, while dropping another 675 workers at its Thousand Oaks, California, headquarters. Industry watchers may remember that on August 15 the company announced plans to layoff about 12% to 14% of its staff as part of a major restructuring plan.
Technically speaking, AMGN is hovering around support/resistance at the 55 level after rebounding nicely from round-number support at the 50 level in late August. However, sentiment is rather complacent, indicating a lack of sideline money. The stock's Schaeffer's put/call open interest ratio (SOIR) of 0.62 ranks in the 42nd percentile of its annual range, while less than 3% of AMGN's float is sold short.
Still, this restructuring could draw the attention of Wall Street, which is decidedly bearish on the shares. According to Zacks, 12 of the 23 analysts covering AMGN rate the shares a hold. Any upgrades could help renew investor faith in the equity.