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) Stock Slides as Market Rises: Facts to Know Before You Trade
Read MoreHide Full Article
The latest trading session saw Abbott (ABT - Free Report) ending at $111.50, denoting a -1.47% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.89%. At the same time, the Dow added 1.03%, and the tech-heavy Nasdaq gained 1.25%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had lost 2.98% over the past month. This has lagged the Medical sector's gain of 0.72% and the S&P 500's gain of 3.56% in that time.
The upcoming earnings release of Abbott will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.96, reflecting a 6.8% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $9.85 billion, indicating a 1.02% increase compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.62 per share and a revenue of $41.9 billion, representing changes of +4.05% and +4.47%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Abbott. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Abbott possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, Abbott is currently exchanging hands at a Forward P/E ratio of 24.51. This denotes a premium relative to the industry's average Forward P/E of 20.87.
Also, we should mention that ABT has a PEG ratio of 2.72. 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. As of the close of trade yesterday, the Medical - Products industry held an average PEG ratio of 2.39.
The Medical - Products industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Abbott (ABT) Stock Slides as Market Rises: Facts to Know Before You Trade
The latest trading session saw Abbott (ABT - Free Report) ending at $111.50, denoting a -1.47% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.89%. At the same time, the Dow added 1.03%, and the tech-heavy Nasdaq gained 1.25%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had lost 2.98% over the past month. This has lagged the Medical sector's gain of 0.72% and the S&P 500's gain of 3.56% in that time.
The upcoming earnings release of Abbott will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.96, reflecting a 6.8% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $9.85 billion, indicating a 1.02% increase compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.62 per share and a revenue of $41.9 billion, representing changes of +4.05% and +4.47%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Abbott. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Abbott possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, Abbott is currently exchanging hands at a Forward P/E ratio of 24.51. This denotes a premium relative to the industry's average Forward P/E of 20.87.
Also, we should mention that ABT has a PEG ratio of 2.72. 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. As of the close of trade yesterday, the Medical - Products industry held an average PEG ratio of 2.39.
The Medical - Products industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.