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AbbVie (ABBV) Gains As Market Dips: What You Should Know
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In the latest trading session, AbbVie (ABBV - Free Report) closed at $213.12, marking a +1.78% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.4%. Elsewhere, the Dow gained 0.11%, while the tech-heavy Nasdaq lost 0.73%.
The drugmaker's stock has dropped by 9.77% in the past month, exceeding the Medical sector's loss of 10.07% and lagging the S&P 500's loss of 7.34%.
Market participants will be closely following the financial results of AbbVie in its upcoming release. The company is predicted to post an EPS of $3.01, indicating a 22.36% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $14.78 billion, indicating a 10.74% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $14.53 per share and revenue of $67 billion, which would represent changes of +45.3% and +9.55%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AbbVie. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.03% fall in the Zacks Consensus EPS estimate. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, AbbVie is currently exchanging hands at a Forward P/E ratio of 14.41. For comparison, its industry has an average Forward P/E of 14.41, which means AbbVie is trading at no noticeable deviation to the group.
One should further note that ABBV currently holds a PEG ratio of 0.73. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 2.18.
The Large Cap Pharmaceuticals industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 155, placing it within the bottom 37% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.
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AbbVie (ABBV) Gains As Market Dips: What You Should Know
In the latest trading session, AbbVie (ABBV - Free Report) closed at $213.12, marking a +1.78% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.4%. Elsewhere, the Dow gained 0.11%, while the tech-heavy Nasdaq lost 0.73%.
The drugmaker's stock has dropped by 9.77% in the past month, exceeding the Medical sector's loss of 10.07% and lagging the S&P 500's loss of 7.34%.
Market participants will be closely following the financial results of AbbVie in its upcoming release. The company is predicted to post an EPS of $3.01, indicating a 22.36% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $14.78 billion, indicating a 10.74% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $14.53 per share and revenue of $67 billion, which would represent changes of +45.3% and +9.55%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AbbVie. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.03% fall in the Zacks Consensus EPS estimate. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, AbbVie is currently exchanging hands at a Forward P/E ratio of 14.41. For comparison, its industry has an average Forward P/E of 14.41, which means AbbVie is trading at no noticeable deviation to the group.
One should further note that ABBV currently holds a PEG ratio of 0.73. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 2.18.
The Large Cap Pharmaceuticals industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 155, placing it within the bottom 37% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.