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Abbott (ABT) Exceeds Market Returns: Some Facts to Consider
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In the latest market close, Abbott (ABT - Free Report) reached $113.16, with a +0.64% movement compared to the previous day. This change outpaced the S&P 500's 0.57% gain on the day. Elsewhere, the Dow saw an upswing of 0.83%, while the tech-heavy Nasdaq appreciated by 0.39%.
The maker of infant formula, medical devices and drugs's shares have seen a decrease of 1.38% over the last month, not keeping up with the Medical sector's gain of 0.13% and the S&P 500's gain of 2.97%.
Investors will be eagerly watching for the performance of Abbott in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.96, signifying a 6.8% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $9.85 billion, showing a 1.02% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.62 per share and a revenue of $41.9 billion, indicating changes of +4.05% and +4.47%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Abbott. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Abbott possesses a Zacks Rank of #3 (Hold).
In terms of valuation, Abbott is currently trading at a Forward P/E ratio of 24.35. This expresses a premium compared to the average Forward P/E of 20.59 of its industry.
Also, we should mention that ABT has a PEG ratio of 2.71. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Medical - Products was holding an average PEG ratio of 2.47 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Abbott (ABT) Exceeds Market Returns: Some Facts to Consider
In the latest market close, Abbott (ABT - Free Report) reached $113.16, with a +0.64% movement compared to the previous day. This change outpaced the S&P 500's 0.57% gain on the day. Elsewhere, the Dow saw an upswing of 0.83%, while the tech-heavy Nasdaq appreciated by 0.39%.
The maker of infant formula, medical devices and drugs's shares have seen a decrease of 1.38% over the last month, not keeping up with the Medical sector's gain of 0.13% and the S&P 500's gain of 2.97%.
Investors will be eagerly watching for the performance of Abbott in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.96, signifying a 6.8% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $9.85 billion, showing a 1.02% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.62 per share and a revenue of $41.9 billion, indicating changes of +4.05% and +4.47%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Abbott. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Abbott possesses a Zacks Rank of #3 (Hold).
In terms of valuation, Abbott is currently trading at a Forward P/E ratio of 24.35. This expresses a premium compared to the average Forward P/E of 20.59 of its industry.
Also, we should mention that ABT has a PEG ratio of 2.71. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Medical - Products was holding an average PEG ratio of 2.47 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.