Stock of the Day

Abbott Laboratories (ABT)

$134.46

+$0.52 (+0.4%)

Market Cap: $233.85B

About Abbott Laboratories

Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide. It operates in four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices.

The company provides generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency, irritable bowel syndrome or biliary spasm, intrahepatic cholestasis or depressive symptoms, gynecological disorder, hormone replacement therapy, dyslipidemia, hypertension, hypothyroidism, Ménière's disease and vestibular vertigo, pain, fever, inflammation, and migraine, as well as provides anti-infective clarithromycin, influenza vaccine, and products to regulate physiological rhythm of the colon. It also offers laboratory and transfusion medicine systems in the areas of immunoassay, clinical chemistry, hematology, and transfusion; molecular diagnostics polymerase chain reaction instrument systems that automate the extraction, purification, and preparation of DNA and RNA from patient samples, and detect and measure infectious agents; point of care systems; cartridges for testing blood gas, chemistry, electrolytes, coagulation, and immunoassay; rapid diagnostics lateral flow testing products; molecular point-of-care testing for HIV, SARS-CoV-2, influenza A and B, RSV, and strep A; cardiometabolic test systems; drug and alcohol test, and remote patient monitoring and consumer self-test systems; and informatics and automation solutions for laboratories. In addition, the company provides pediatric and adult nutritional products; rhythm management, electrophysiology, heart failure, vascular, and structural heart devices for the treatment of cardiovascular diseases; diabetes care products, such as glucose and blood glucose monitoring systems; and neuromodulation devices for the management of chronic pain and movement disorders. Abbott Laboratories was founded in 1888 and is based in North Chicago, Illinois.

Abbott Laboratories Bull Case

Here are some ways that investors could benefit from investing in Abbott Laboratories:

• The current stock price is around $133, reflecting a stable performance in the market.
• Abbott Laboratories has received multiple upgrades from analysts, with target prices reaching as high as $160, indicating strong growth potential.
• The company reported a solid earnings per share (EPS) of $1.09, surpassing analyst expectations, which suggests robust financial health.
• Abbott Laboratories has a high net margin of approximately 31.95%, indicating effective cost management and profitability.
• With a market capitalization of over $231 billion, Abbott Laboratories is a significant player in the healthcare sector, providing stability and growth opportunities.

Abbott Laboratories Bear Case

Investors should be bearish about investing in Abbott Laboratories for these reasons:

• The stock has shown volatility, with a 52-week range between $99.71 and $141.23, which may concern risk-averse investors.
• Despite recent earnings growth, revenue for the last quarter was slightly below analyst expectations, which could indicate potential challenges in meeting future targets.
• The company's price-to-earnings (P/E) ratio is around 17.38, which may be considered high compared to industry averages, suggesting that the stock could be overvalued.
• Abbott Laboratories has a relatively low insider ownership of 0.46%, which may raise questions about management's confidence in the company's future performance.
• The healthcare sector can be subject to regulatory changes and market fluctuations, which could impact Abbott Laboratories' operations and profitability.

Recent News

• Abbott Laboratories Stock: Is ABT Outperforming the Health Care Sector? (msn.com)