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AbbVie (ABBV) Gains As Market Dips: What You Should Know
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AbbVie (ABBV - Free Report) closed at $108.61 in the latest trading session, marking a +0.65% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.53%.
Prior to today's trading, shares of the drugmaker had gained 3.99% over the past month. This has outpaced the Medical sector's loss of 1.91% and lagged the S&P 500's gain of 5.72% in that time.
Investors will be hoping for strength from ABBV as it approaches its next earnings release, which is expected to be April 30, 2021. On that day, ABBV is projected to report earnings of $2.76 per share, which would represent year-over-year growth of 14.05%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.95 billion, up 50.2% from the year-ago period.
ABBV's full-year Zacks Consensus Estimates are calling for earnings of $12.51 per share and revenue of $55.84 billion. These results would represent year-over-year changes of +18.47% and +21.91%, respectively.
It is also important to note the recent changes to analyst estimates for ABBV. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. ABBV is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that ABBV has a Forward P/E ratio of 8.63 right now. Its industry sports an average Forward P/E of 13.8, so we one might conclude that ABBV is trading at a discount comparatively.
We can also see that ABBV currently has a PEG ratio of 1.79. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 241, which puts it in the bottom 6% 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.
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AbbVie (ABBV) Gains As Market Dips: What You Should Know
AbbVie (ABBV - Free Report) closed at $108.61 in the latest trading session, marking a +0.65% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.53%.
Prior to today's trading, shares of the drugmaker had gained 3.99% over the past month. This has outpaced the Medical sector's loss of 1.91% and lagged the S&P 500's gain of 5.72% in that time.
Investors will be hoping for strength from ABBV as it approaches its next earnings release, which is expected to be April 30, 2021. On that day, ABBV is projected to report earnings of $2.76 per share, which would represent year-over-year growth of 14.05%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.95 billion, up 50.2% from the year-ago period.
ABBV's full-year Zacks Consensus Estimates are calling for earnings of $12.51 per share and revenue of $55.84 billion. These results would represent year-over-year changes of +18.47% and +21.91%, respectively.
It is also important to note the recent changes to analyst estimates for ABBV. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. ABBV is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that ABBV has a Forward P/E ratio of 8.63 right now. Its industry sports an average Forward P/E of 13.8, so we one might conclude that ABBV is trading at a discount comparatively.
We can also see that ABBV currently has a PEG ratio of 1.79. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 241, which puts it in the bottom 6% 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.