AbbVie (ABBV - Free Report) closed the most recent trading day at $87.04, moving -0.79% from the previous trading session. This change was narrower than the S&P 500's 0.86% loss on the day. At the same time, the Dow lost 0.96%, and the tech-heavy Nasdaq lost 1.13%.
Prior to today's trading, shares of the drugmaker had gained 10.28% over the past month. This has outpaced the Medical sector's gain of 6.39% and the S&P 500's gain of 3.66% in that time.
ABBV will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.24, up 17.89% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $8.76 billion, up 5.48% from the year-ago period.
ABBV's full-year Zacks Consensus Estimates are calling for earnings of $8.93 per share and revenue of $33.32 billion. These results would represent year-over-year changes of +12.9% and +1.74%, respectively.
Any recent changes to analyst estimates for ABBV should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.03% higher within the past month. ABBV is currently a Zacks Rank #3 (Hold).
Digging into valuation, ABBV currently has a Forward P/E ratio of 9.83. This valuation marks a discount compared to its industry's average Forward P/E of 15.06.
We can also see that ABBV currently has a PEG ratio of 2.18. 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. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.1 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.