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Abbott (ABT) Stock Analysis

NYQ · Healthcare · Medical Devices

$100.77

-0.53 (-0.52%)

ABT Interactive Price Chart & Trading Signals

ABT Stock Snapshot — Valuation, Risk & Technical Signals

ABT Key Fundamentals, Analyst Targets & Company Profile

Key Financial Ratios

Market Cap

$174.36B

P/E Ratio

32.61

Forward P/E

16.61

PEG Ratio

1.86

P/B Ratio

3.41

EPS

$3.09

Dividend Yield

2.49%

52W Range

$81.97 – $135.45

Beta

0.59

Volume

1.0M

ROE

10.6%

Profit Margin

11.6%

Revenue Growth

13.0%

Gross Margin

56.8%

EV/EBITDA

17.38

Analyst Target

$120.26

The trailing price-to-earnings ratio stands at 32.6x. Forward P/E of 16.6x implies earnings expansion expected. Price-to-book is 3.41x. EV/EBITDA sits at 17.38x. Market capitalization is $174.36B. Revenue is growing at 13.0% on a trailing basis. Earnings are compressing at -47.5%. Profit margins are 11.6%. Return on equity is 10.6%. Beta of 0.59 indicates defensive profile.

Analyst Consensus

Recommendation

Buy

Low Target

$103.00

Mean Target

$120.26

High Target

$135.00

Based on 25 analysts

About Abbott

Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide. It operates in four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The company offers generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency, irritable bowel syndrome or biliary spasm, intrahepatic cholestasis or depressive symptoms, gynecological disorder, hormone replacement therapy, dyslipidemia, hypertension, hypothyroidism, hypertriglyceridemia, Ménière's disease and vestibular vertigo, pain, fever, inflammation, and migraine, as well as provides anti-infective clarithromycin, influenza vaccine, and products to regulate physiological rhythm of the colon. It also provides laboratory and transfusion medicine systems in the areas of immunoassay, clinical chemistry, hematology, and transfusion serology testing; molecular diagnostics polymerase chain reaction instrument systems that automate the extraction, purification, and preparation of DNA and RNA from patient samples, and detect and measure infectious agents; point of care systems; cartridges for testing blood gas, chemistry, electrolytes, coagulation, and immunoassay; rapid diagnostics lateral flow testing products; molecular point-of-care testing for HIV, SARS-CoV-2, influenza A and B, RSV, and strep A; cardiometabolic test systems; and drug and alcohol test. In addition, the company offers pediatric and adult nutritional products and infant formula; rhythm management, electrophysiology, heart failure, vascular, and structural heart devices for the treatment of cardiovascular diseases; diabetes care products, such as glucose and blood glucose monitoring systems; and neuromodulation devices. The company was formerly known as Abbott Alkaloidal Company and changed its name to Abbott Laboratories in 1915. Abbott Laboratories was founded in 1888 and is based in Abbott Park, Illinois.

United States122,000 employeesWebsite ↗

ABT Deep Dive Analysis

Bottom Line

Verdict

Overvalued

Best for

General investor

Watch out for

Premium valuation, Earnings decline

Non-zero inputs

4/5

Counts non-zero values for price, P/E, beta, macro risk, and revenue growth; zero may mean unavailable or be a genuine zero.

Abbott Laboratories (ABT) trades above our multi-model fair value estimate of $52.73 by approximately 47.7%. Trailing P/E: 32.6x. Profitability signals include profit margin of 11.6% and return on equity of 10.6%. Recent growth metrics show revenue growth of 13.0% and earnings growth of -47.5%. Risk profile: defensive beta of 0.59. Consensus: buy.

Valuation, Growth & Risk

Valuation

Overvalued

P/E 32.6x

Price is above what fundamentals suggest.

Growth

Expanding

Rev 13.0%

Revenue is outpacing the market.

Risk

Low

Beta 0.59

Movement is likely to track the broader market.

Valuation Snapshot

Abbott Laboratories (ABT) trades above our multi-model fair value estimate of $52.73 by approximately 47.7%. The trailing price-to-earnings ratio stands at 32.6x. Forward P/E of 16.6x suggests earnings compression ahead. Price-to-sales is 3.7x. Price-to-book is 3.4x. EV/EBITDA sits at 17.4x. Market capitalization is $174.36B.

Why it matters: Paying a premium works only if the company keeps growing faster than expected.

Growth & Profitability

Revenue is growing at 13.0% on a trailing basis. Earnings are compressing at -47.5%. Profit margins are 11.6%. Return on equity is 10.6%. Return on assets is 5.3%.

Why it matters: Growing revenue with healthy margins usually means the business is gaining market share or pricing power.

Risk Profile

Beta of 0.59 indicates defensive profile. Net debt position is $27.12B.

Why it matters: Lower risk means steadier returns, but often with less upside in bull markets.

Analyst Context

Analyst consensus target of $120.26 implies 19.4% upside. Target range spans $103.00 to $135.00. 25 analysts cover the stock. Consensus recommendation: buy.

Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.

Data Methodology & Sources

Market Data (Facts)

  • Price, volume, and market cap: Yahoo Finance (may be delayed)
  • P/E, EPS, revenue, and debt: Yahoo Finance fundamentals
  • Analyst estimates: Yahoo Finance (coverage and update times vary)
  • Insider transactions: Yahoo Finance (reporting may be delayed)

QuantSoar Model (Derived)

  • Fair value: available outputs from seven models; outliers are filtered using MAD (k=3.5), then combined with fixed model weights.
  • Margin of Safety = (Fair Value − Displayed Price) / Displayed Price × 100
  • Composite Score: 40% Value + 30% Momentum + 30% Risk
  • Verdict Gauge: Base 50 + Valuation (up to ±25) + Whale sentiment (up to ±10) + Insider buying (+5) + Macro risk (up to ±10) + Technical signal (up to ±10). Analyst consensus is separate.

Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.

ABT Overvalued

Abbott Laboratories (ABT) trades above our multi-model fair value estimate of $52.73 by approximately 47.7%.

Frequently Asked Questions

ValuationIs ABT stock overvalued right now?
Based on our discounted cash flow and relative valuation models, ABT appears to trade above fair value by approximately 47.7%. This suggests the market may be pricing in elevated growth expectations or sentiment premiums.
ValuationWhat is ABT fair value based on current fundamentals?
Our fair value estimate for ABT is $52.73, derived from discounted cash flow, dividend discount, and relative valuation multiples. The estimate assumes a discount rate of 9.0% and terminal growth of 2.5%.
RiskHow risky is ABT compared with other stocks?
Risk profile for ABT: a beta of 0.59 suggests a defensive profile. Investors should weigh macro exposure against their own risk tolerance.
GrowthIs ABT still growing?
Latest trailing metrics show revenue growth of 13.0% and earnings contraction of 47.5%. Profit margins are 11.6%.
AnalystWhat do analysts think about ABT?
Analyst consensus target is $120.26, implying 19.4% upside. The street recommendation is "buy".
DividendDoes ABT pay a dividend?
Yes. ABT currently offers a dividend yield of 2.5%.
CatalystWhat could change the investment case for ABT?
Key catalysts include Healthcare sector dynamics, interest rate shifts, and company-specific earnings surprises. Monitor macro risk scores and analyst estimate revisions for early signals.

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About the Author

Phasakorn Traklang (Peach) — Founder

Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.

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Investment Disclaimer: Tax treatment can depend on tax residence, account type, and tax year. This information is general and is not personal tax or investment advice. SEC

Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.