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Can a biotechnology company pay a generous dividend in 2024? The answer is definitely yes, as Amgen (NASDAQ: AMGN) is evidently unafraid to reward its loyal shareholders with quarterly cash payments.

Just as importantly, Amgen is a recent revenue grower with a diversified pipeline of current and proposed products. So, here's the skinny on how much investors might expect from Amgen's upcoming dividend distributions.

How much does Amgen pay in dividends?

Currently, Amgen pays $2.25 per share in dividends every quarter. Assuming no dividend cuts, investors can reasonably assume a forward annual dividend payment of $9 per share.

With the Amgen stock price recently around $320, this would equate to an anticipated forward annual dividend yield of 2.8%. This compares favorably to the healthcare sector average annual dividend yield of around 1.5%. Moreover, it's not inconceivable that Amgen's quarterly distributions will increase within the next 12 months, as the company has a track record of hiking its quarterly dividend payments once per year.

Revenue growth and a diversified pipeline

Of course, investors shouldn't just chase yield. Conducting one's due diligence on biotechnology firms is crucial, but there are signs that Amgen is on firm financial footing.

In particular, Amgen reported 22% product sales growth and 22% revenue growth in 2024's first quarter. On a non-GAAP (generally accepted accounting principles) basis, Amgen's EPS only declined 1% year over year; that's not too bad, considering it factors in Amgen's "operating and interest expenses driven by the Horizon acquisition."

In addition, Amgen has a highly diversified clinical pipeline that includes products and programs in the oncology, inflammation, rare disease, and general medicine categories.

And since this is a top-of-mind topic, Amgen does indeed have a clinical program to treat obesity; in fact, the company completed phase 1 of Amgen's AMG 786 small-molecule obesity program.

So, while they're enjoying those quarterly cash distributions, investors can confidently stay in the trade with diversified biotech standout Amgen.

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David Moadel has no position in any of the stocks mentioned. The Motley Fool recommends Amgen. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.