We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Abbott (ABT) Gains But Lags Market: What You Should Know
Read MoreHide Full Article
Abbott (ABT - Free Report) closed at $67.68 in the latest trading session, marking a +1.11% move from the prior day. The stock lagged the S&P 500's daily gain of 1.86%. Meanwhile, the Dow gained 1.63%, and the Nasdaq, a tech-heavy index, added 2.95%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 8.1% in the past month. In that same time, the Medical sector lost 10.01%, while the S&P 500 lost 8.85%.
Investors will be hoping for strength from ABT as it approaches its next earnings release, which is expected to be January 23, 2019. On that day, ABT is projected to report earnings of $0.81 per share, which would represent year-over-year growth of 9.46%. Our most recent consensus estimate is calling for quarterly revenue of $7.79 billion, up 2.64% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.88 per share and revenue of $30.61 billion, which would represent changes of +15.2% and +11.74%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for ABT. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. ABT currently has a Zacks Rank of #3 (Hold).
Digging into valuation, ABT currently has a Forward P/E ratio of 23.22. This valuation marks a discount compared to its industry's average Forward P/E of 25.
It is also worth noting that ABT currently has a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Products industry currently had an average PEG ratio of 2.27 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 151, which puts it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Abbott (ABT) Gains But Lags Market: What You Should Know
Abbott (ABT - Free Report) closed at $67.68 in the latest trading session, marking a +1.11% move from the prior day. The stock lagged the S&P 500's daily gain of 1.86%. Meanwhile, the Dow gained 1.63%, and the Nasdaq, a tech-heavy index, added 2.95%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 8.1% in the past month. In that same time, the Medical sector lost 10.01%, while the S&P 500 lost 8.85%.
Investors will be hoping for strength from ABT as it approaches its next earnings release, which is expected to be January 23, 2019. On that day, ABT is projected to report earnings of $0.81 per share, which would represent year-over-year growth of 9.46%. Our most recent consensus estimate is calling for quarterly revenue of $7.79 billion, up 2.64% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.88 per share and revenue of $30.61 billion, which would represent changes of +15.2% and +11.74%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for ABT. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. ABT currently has a Zacks Rank of #3 (Hold).
Digging into valuation, ABT currently has a Forward P/E ratio of 23.22. This valuation marks a discount compared to its industry's average Forward P/E of 25.
It is also worth noting that ABT currently has a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Products industry currently had an average PEG ratio of 2.27 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 151, which puts it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.