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AbbVie (ABBV) Gains But Lags Market: What You Should Know
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AbbVie (ABBV - Free Report) closed at $67.91 in the latest trading session, marking a +0.62% move from the prior day. The stock lagged the S&P 500's daily gain of 1.15%. Meanwhile, the Dow gained 2.39%, and the Nasdaq, a tech-heavy index, lost 0.45%.
Heading into today, shares of the drugmaker had lost 24.32% over the past month, lagging the Medical sector's loss of 19.66% and the S&P 500's loss of 24.07% in that time.
Investors will be hoping for strength from ABBV as it approaches its next earnings release. On that day, ABBV is projected to report earnings of $2.25 per share, which would represent year-over-year growth of 5.14%. Our most recent consensus estimate is calling for quarterly revenue of $8.35 billion, up 6.69% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.53 per share and revenue of $47.88 billion, which would represent changes of +17.79% and +43.93%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ABBV. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ABBV is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that ABBV has a Forward P/E ratio of 6.41 right now. This represents a discount compared to its industry's average Forward P/E of 12.1.
It is also worth noting that ABBV currently has a PEG ratio of 1.42. 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. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.59 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow ABBV in the coming trading sessions, be sure to utilize Zacks.com.
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AbbVie (ABBV) Gains But Lags Market: What You Should Know
AbbVie (ABBV - Free Report) closed at $67.91 in the latest trading session, marking a +0.62% move from the prior day. The stock lagged the S&P 500's daily gain of 1.15%. Meanwhile, the Dow gained 2.39%, and the Nasdaq, a tech-heavy index, lost 0.45%.
Heading into today, shares of the drugmaker had lost 24.32% over the past month, lagging the Medical sector's loss of 19.66% and the S&P 500's loss of 24.07% in that time.
Investors will be hoping for strength from ABBV as it approaches its next earnings release. On that day, ABBV is projected to report earnings of $2.25 per share, which would represent year-over-year growth of 5.14%. Our most recent consensus estimate is calling for quarterly revenue of $8.35 billion, up 6.69% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.53 per share and revenue of $47.88 billion, which would represent changes of +17.79% and +43.93%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ABBV. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ABBV is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that ABBV has a Forward P/E ratio of 6.41 right now. This represents a discount compared to its industry's average Forward P/E of 12.1.
It is also worth noting that ABBV currently has a PEG ratio of 1.42. 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. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.59 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow ABBV in the coming trading sessions, be sure to utilize Zacks.com.