We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
In the latest trading session, Abbott (ABT - Free Report) closed at $135.56, marking a +1.97% move from the previous day. This change outpaced the S&P 500's 1.64% gain on the day. Elsewhere, the Dow gained 1.08%, while the tech-heavy Nasdaq added 0.45%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had gained 1.57% over the past month. This has outpaced the Medical sector's loss of 3.43% and the S&P 500's loss of 0.83% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. The company is expected to report EPS of $1.16, down 20% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $10.41 billion, down 2.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.05 per share and revenue of $42.05 billion. These totals would mark changes of +38.36% and +21.5%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Abbott. These recent revisions tend to reflect the evolving nature of short-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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Abbott is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Abbott has a Forward P/E ratio of 26.32 right now. This represents a premium compared to its industry's average Forward P/E of 22.92.
We can also see that ABT currently has a PEG ratio of 2.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Products was holding an average PEG ratio of 1.91 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
View the Zacks #1 Rank List
Image: Bigstock
Abbott (ABT) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Abbott (ABT - Free Report) closed at $135.56, marking a +1.97% move from the previous day. This change outpaced the S&P 500's 1.64% gain on the day. Elsewhere, the Dow gained 1.08%, while the tech-heavy Nasdaq added 0.45%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had gained 1.57% over the past month. This has outpaced the Medical sector's loss of 3.43% and the S&P 500's loss of 0.83% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. The company is expected to report EPS of $1.16, down 20% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $10.41 billion, down 2.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.05 per share and revenue of $42.05 billion. These totals would mark changes of +38.36% and +21.5%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Abbott. These recent revisions tend to reflect the evolving nature of short-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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Abbott is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Abbott has a Forward P/E ratio of 26.32 right now. This represents a premium compared to its industry's average Forward P/E of 22.92.
We can also see that ABT currently has a PEG ratio of 2.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Products was holding an average PEG ratio of 1.91 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.