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AbbVie (ABBV) Stock Sinks As Market Gains: Here's Why
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The most recent trading session ended with AbbVie (ABBV - Free Report) standing at $163.91, reflecting a -0.3% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 0.76%. On the other hand, the Dow registered a gain of 0.59%, and the technology-centric Nasdaq increased by 1.12%.
Shares of the drugmaker witnessed a gain of 6.09% over the previous month, beating the performance of the Medical sector with its gain of 1.57% and the S&P 500's gain of 2.5%.
Investors will be eagerly watching for the performance of AbbVie in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 2, 2024. In that report, analysts expect AbbVie to post earnings of $2.76 per share. This would mark a year-over-year decline of 23.33%. In the meantime, our current consensus estimate forecasts the revenue to be $14.04 billion, indicating a 7.13% decline compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for AbbVie. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.07% higher. At present, AbbVie boasts a Zacks Rank of #3 (Hold).
Digging into valuation, AbbVie currently has a Forward P/E ratio of 14.65. Its industry sports an average Forward P/E of 14.65, so one might conclude that AbbVie is trading at no noticeable deviation comparatively.
It's also important to note that ABBV currently trades at a PEG ratio of 2.93. 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. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 1.77.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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AbbVie (ABBV) Stock Sinks As Market Gains: Here's Why
The most recent trading session ended with AbbVie (ABBV - Free Report) standing at $163.91, reflecting a -0.3% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 0.76%. On the other hand, the Dow registered a gain of 0.59%, and the technology-centric Nasdaq increased by 1.12%.
Shares of the drugmaker witnessed a gain of 6.09% over the previous month, beating the performance of the Medical sector with its gain of 1.57% and the S&P 500's gain of 2.5%.
Investors will be eagerly watching for the performance of AbbVie in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 2, 2024. In that report, analysts expect AbbVie to post earnings of $2.76 per share. This would mark a year-over-year decline of 23.33%. In the meantime, our current consensus estimate forecasts the revenue to be $14.04 billion, indicating a 7.13% decline compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for AbbVie. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.07% higher. At present, AbbVie boasts a Zacks Rank of #3 (Hold).
Digging into valuation, AbbVie currently has a Forward P/E ratio of 14.65. Its industry sports an average Forward P/E of 14.65, so one might conclude that AbbVie is trading at no noticeable deviation comparatively.
It's also important to note that ABBV currently trades at a PEG ratio of 2.93. 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. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 1.77.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 161, putting it in the bottom 37% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.