AbbVie (ABBV) Advances While Market Declines: Some Information for Investors
The latest trading session saw AbbVie (ABBV) ending at $178.53, denoting a +0.04% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily loss of 0.31%. Elsewhere, the Dow lost 0.41%, while the tech-heavy Nasdaq lost 0.27%.
The drugmaker's shares have seen an increase of 0.2% over the last month, surpassing the Medical sector's loss of 0.57% and falling behind the S&P 500's gain of 3.05%.
Analysts and investors alike will be keeping a close eye on the performance of AbbVie in its upcoming earnings disclosure. The company is expected to report EPS of $2.34, down 4.88% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $11.94 billion, indicating a 2.31% decrease compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $11.16 per share and revenue of $54.5 billion. These totals would mark changes of +0.45% and +0.33%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for AbbVie. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.05% increase. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, AbbVie is presently being traded at a Forward P/E ratio of 15.98. For comparison, its industry has an average Forward P/E of 14.44, which means AbbVie is trading at a premium to the group.
Meanwhile, ABBV's PEG ratio is currently 2.26. 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. The Large Cap Pharmaceuticals industry had an average PEG ratio of 1.73 as trading concluded yesterday.
The Large Cap Pharmaceuticals industry is part of the Medical sector. With its current Zacks Industry Rank of 206, this industry ranks in the bottom 19% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
