Amphastar Pharmaceuticals (AMPH) saw its stock surge 5.41% in pre-market trading on Friday, following the release of its better-than-expected second-quarter earnings report. The pharmaceutical company reported adjusted earnings of 85 cents per share for the quarter ended June 30, significantly surpassing the mean analyst expectation of 74 cents per share.

Despite the earnings beat, Amphastar faced some headwinds. The company's revenue fell 4.4% year-over-year to $174.41 million, although it still marginally exceeded analysts' projections of $173.34 million. The reported net income for the quarter stood at $31.03 million, with a reported EPS of 64 cents. This performance comes against the backdrop of a challenging year for Amphastar, with its shares having fallen 9.3% in the current quarter and 43.9% year-to-date prior to this earnings release.

Wall Street maintains an optimistic outlook on Amphastar Pharmaceuticals, with the current average analyst rating on the shares being "buy". The consensus recommendation aligns with the broader pharmaceuticals peer group. Analysts have set a median 12-month price target of $32.50 for the stock, representing a potential upside of approximately 33.5% from its last closing price of $21.62. This positive sentiment, coupled with the earnings beat, appears to be driving the stock's pre-market rally, as investors reassess the company's value proposition in light of its latest financial performance.