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The company delivered adjusted earnings per share (EPS) of $1.09 in the last quarter, which surpassed the Zacks Consensus Estimate by 1.9%. Its earnings exceeded the Zacks Consensus Estimate in each of the trailing four occasions, the average beat being 1.59%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
ABT Q2 Estimates
The Zacks Consensus Estimate for revenues is pegged at $11.07 billion, suggesting a 6.7% rise from the year-ago reported figure.
The Zacks Consensus Estimate for EPS is pinned at $1.25, indicating a 9.6% improvement from the prior-year registered figure.
Estimate Revision Trend Ahead of Earnings
Estimates for Q2 earnings have remained unchanged at $1.25 per share in the past 30 days.
Let's look at how things might have progressed for the MedTech major prior to the announcement.
Diagnostics: Similar to the previous quarters, we expect the segment’s revenue growth to have been impacted by the year-over-year decline in COVID-19 testing revenues.
However, the Diagnostics arm is expected to have benefited from the widespread adoption of its top-tier systems and high testing demand across a variety of settings, including hospitals, laboratories, physician offices, retail pharmacies and blood screening facilities.
In the core lab business, continued global demand for routine diagnostic testing and continued adoption of the company’s market-leading immunoassay, clinical chemistry, hematology and blood screening testing panels, including recent large account wins, are likely to have helped sustain growth in the second quarter. The rapid diagnostics business is expected to have gained from the continued expansion of test menus and the growing demand for respiratory tests that can be performed at home or in more traditional healthcare settings.
Going by the Zacks Consensus Estimate, Diagnostics second-quarter revenues are likely to increase 0.1% year over year.
Established Pharmaceuticals (EPD): Abbott’s EPD business is likely to have continued its impressive streak of strong performance across several regions and therapeutic areas, including gastroenterology, women's health, central nervous system and pain management. In addition, the company recently identified biosimilars as a new strategic growth pillar for EPD. Biosimilars currently represent the highest growth segment in the branded generic pharmaceutical market. Abbott achieved several milestones in recent times, advancing its portfolio of biosimilars, which are expected to have positively contributed to the company’s second-quarter top line.
The Zacks Consensus Estimate for the segment’s second-quarter revenues indicates a year-over-year increase of 6.1%.
Medical Devices: The segment has been a standout performer for the company, steadily growing over the past several quarters and making a notable impact on the margin performance. In the second quarter of 2025, the business sales are likely to have gained from the Diabetes Care division. This is expected to have been driven by the increasing adoption of continuous glucose monitor (CGM) systems, whose sales surged 20% in the previous quarter.
The electrophysiology portfolio is likely to have delivered robust performance across key regions and product categories. Within Structural Heart, we expect the company to report robust performance, led by the market-leading portfolio of surgical valves, structural interventions and transcatheter repair and replacement products. In May, Abbotts’s Tendyne transcatheter mitral valve replacement (TMVR) system (designed to treat people with mitral valve disease) received FDA approval.
Within the Rhythm Management arm, Abbott’s new leadless pacemaker, AVEIR, and the company’s newest implantable cardiac monitor, Assert, are making strides. In April, ABT released favorable clinical study data for its AVEIR and Volt PFA system. In Heart Failure, growth is expected to have been driven by its market-leading portfolio of heart assist devices, which offers treatment for chronic and temporary conditions.
Meanwhile, Vascular arm’s growth can be attributed to Esprit, the company’s below-the-knee resorbable stent. Furthermore, the growth in the Neuromodulation division might have been led by the launch of next-generation delivery system, which will be used to streamline the implantation process for electrodes used as part of its Proclaim dorsal root ganglion (DRG) neurostimulation system. All these developments are anticipated to have boosted Abbott’s top line in the quarter under review.
According to the Zacks Consensus Estimate, the Medical device segment’s second-quarter revenues are expected to improve 10.9% year over year.
Nutrition: In this division, the robust sales of adult nutrition brand Ensure are likely to have contributed to its second-quarter top-line performance. We also expect solid quarterly growth across the U.S. portfolio of infant formula and toddler brands.
The Zacks Consensus Estimate indicates a 4.3% year-over-year improvement in the segment’s second-quarter revenues.
What Our Model Suggests
Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates. This is exactly the case here, as you can see below:
Earnings ESP: Abbott has an Earnings ESP of +0.96%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #2.
Other Stocks Worth a Look
Here are some other medical stocks worth considering, as these, too, have the right combination of elements to post an earnings beat this reporting cycle.
CVS Health (CVS - Free Report) has an Earnings ESP of +2.06% and a Zacks Rank #2 at present. The company is slated to release second-quarter 2025 results on July 31. You can see the complete list of today’s Zacks #1 Rank stocks here.
CVS’ earnings surpassed estimates in each of the trailing four quarters, the average surprise being 18.08%. The Zacks Consensus Estimate for second-quarter EPS implies a year-over-year decline of 19.7%.
Cencora (COR - Free Report) has an Earnings ESP of +1.49% and a Zacks Rank #2 at present. The company is slated to release third-quarter fiscal 2025 results on Aug. 6.
The company’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 6.00%. The Zacks Consensus Estimate for fiscal third-quarter EPS implies a year-over-year increase of 13.2%.
Cardinal Health (CAH - Free Report) has an Earnings ESP of +0.68% and a Zacks Rank #2 at present. The company is expected to release fiscal fourth-quarter results soon.
CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.30%. The Zacks Consensus Estimate for fiscal fourth-quarter EPS suggests a year-over-year improvement of 1.3%.
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ABT to Report Q2 Earnings: CGM and Cardiac Devices in Focus
Key Takeaways
Abbott Laboratories (ABT - Free Report) is slated to report second-quarter 2025 results on July 17, before the opening bell.
The company delivered adjusted earnings per share (EPS) of $1.09 in the last quarter, which surpassed the Zacks Consensus Estimate by 1.9%. Its earnings exceeded the Zacks Consensus Estimate in each of the trailing four occasions, the average beat being 1.59%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
ABT Q2 Estimates
The Zacks Consensus Estimate for revenues is pegged at $11.07 billion, suggesting a 6.7% rise from the year-ago reported figure.
The Zacks Consensus Estimate for EPS is pinned at $1.25, indicating a 9.6% improvement from the prior-year registered figure.
Estimate Revision Trend Ahead of Earnings
Estimates for Q2 earnings have remained unchanged at $1.25 per share in the past 30 days.
Let's look at how things might have progressed for the MedTech major prior to the announcement.
Diagnostics: Similar to the previous quarters, we expect the segment’s revenue growth to have been impacted by the year-over-year decline in COVID-19 testing revenues.
However, the Diagnostics arm is expected to have benefited from the widespread adoption of its top-tier systems and high testing demand across a variety of settings, including hospitals, laboratories, physician offices, retail pharmacies and blood screening facilities.
In the core lab business, continued global demand for routine diagnostic testing and continued adoption of the company’s market-leading immunoassay, clinical chemistry, hematology and blood screening testing panels, including recent large account wins, are likely to have helped sustain growth in the second quarter. The rapid diagnostics business is expected to have gained from the continued expansion of test menus and the growing demand for respiratory tests that can be performed at home or in more traditional healthcare settings.
Going by the Zacks Consensus Estimate, Diagnostics second-quarter revenues are likely to increase 0.1% year over year.
Established Pharmaceuticals (EPD): Abbott’s EPD business is likely to have continued its impressive streak of strong performance across several regions and therapeutic areas, including gastroenterology, women's health, central nervous system and pain management. In addition, the company recently identified biosimilars as a new strategic growth pillar for EPD. Biosimilars currently represent the highest growth segment in the branded generic pharmaceutical market. Abbott achieved several milestones in recent times, advancing its portfolio of biosimilars, which are expected to have positively contributed to the company’s second-quarter top line.
The Zacks Consensus Estimate for the segment’s second-quarter revenues indicates a year-over-year increase of 6.1%.
Medical Devices: The segment has been a standout performer for the company, steadily growing over the past several quarters and making a notable impact on the margin performance. In the second quarter of 2025, the business sales are likely to have gained from the Diabetes Care division. This is expected to have been driven by the increasing adoption of continuous glucose monitor (CGM) systems, whose sales surged 20% in the previous quarter.
The electrophysiology portfolio is likely to have delivered robust performance across key regions and product categories. Within Structural Heart, we expect the company to report robust performance, led by the market-leading portfolio of surgical valves, structural interventions and transcatheter repair and replacement products. In May, Abbotts’s Tendyne transcatheter mitral valve replacement (TMVR) system (designed to treat people with mitral valve disease) received FDA approval.
Abbott Laboratories Price and EPS Surprise
Abbott Laboratories price-eps-surprise | Abbott Laboratories Quote
Within the Rhythm Management arm, Abbott’s new leadless pacemaker, AVEIR, and the company’s newest implantable cardiac monitor, Assert, are making strides. In April, ABT released favorable clinical study data for its AVEIR and Volt PFA system. In Heart Failure, growth is expected to have been driven by its market-leading portfolio of heart assist devices, which offers treatment for chronic and temporary conditions.
Meanwhile, Vascular arm’s growth can be attributed to Esprit, the company’s below-the-knee resorbable stent. Furthermore, the growth in the Neuromodulation division might have been led by the launch of next-generation delivery system, which will be used to streamline the implantation process for electrodes used as part of its Proclaim dorsal root ganglion (DRG) neurostimulation system. All these developments are anticipated to have boosted Abbott’s top line in the quarter under review.
According to the Zacks Consensus Estimate, the Medical device segment’s second-quarter revenues are expected to improve 10.9% year over year.
Nutrition: In this division, the robust sales of adult nutrition brand Ensure are likely to have contributed to its second-quarter top-line performance. We also expect solid quarterly growth across the U.S. portfolio of infant formula and toddler brands.
The Zacks Consensus Estimate indicates a 4.3% year-over-year improvement in the segment’s second-quarter revenues.
What Our Model Suggests
Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates. This is exactly the case here, as you can see below:
Earnings ESP: Abbott has an Earnings ESP of +0.96%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #2.
Other Stocks Worth a Look
Here are some other medical stocks worth considering, as these, too, have the right combination of elements to post an earnings beat this reporting cycle.
CVS Health (CVS - Free Report) has an Earnings ESP of +2.06% and a Zacks Rank #2 at present. The company is slated to release second-quarter 2025 results on July 31. You can see the complete list of today’s Zacks #1 Rank stocks here.
CVS’ earnings surpassed estimates in each of the trailing four quarters, the average surprise being 18.08%. The Zacks Consensus Estimate for second-quarter EPS implies a year-over-year decline of 19.7%.
Cencora (COR - Free Report) has an Earnings ESP of +1.49% and a Zacks Rank #2 at present. The company is slated to release third-quarter fiscal 2025 results on Aug. 6.
The company’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 6.00%. The Zacks Consensus Estimate for fiscal third-quarter EPS implies a year-over-year increase of 13.2%.
Cardinal Health (CAH - Free Report) has an Earnings ESP of +0.68% and a Zacks Rank #2 at present. The company is expected to release fiscal fourth-quarter results soon.
CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.30%. The Zacks Consensus Estimate for fiscal fourth-quarter EPS suggests a year-over-year improvement of 1.3%.