Abbott (ABT) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Abbott (ABT) closed at $106.21, marking a -1.93% move from the previous day. This change lagged the S&P 500's daily loss of 0.45%. At the same time, the Dow lost 0.67%, and the tech-heavy Nasdaq lost 0.05%.
Heading into today, shares of the maker of infant formula, medical devices and drugs had gained 5.21% over the past month, outpacing the Medical sector's gain of 2.19% and the S&P 500's loss of 1.89% in that time.
Wall Street will be looking for positivity from Abbott as it approaches its next earnings report date. This is expected to be July 20, 2022. In that report, analysts expect Abbott to post earnings of $1.10 per share. This would mark a year-over-year decline of 5.98%. Meanwhile, our latest consensus estimate is calling for revenue of $10.37 billion, up 1.41% from the prior-year quarter.
ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.81 per share and revenue of $41.65 billion. These results would represent year-over-year changes of -7.68% and -3.31%, respectively.
Investors might also notice recent changes to analyst estimates for Abbott. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Within the past 30 days, our consensus EPS projection has moved 0.64% lower. Abbott is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Abbott's current valuation metrics, including its Forward P/E ratio of 22.5. For comparison, its industry has an average Forward P/E of 20.92, which means Abbott is trading at a premium to the group.
We can also see that ABT currently has a PEG ratio of 3.93. 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. ABT's industry had an average PEG ratio of 1.76 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 137, which puts it in the bottom 46% 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.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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