Update shared on 28 Nov 2025
Fair value Decreased 0.026%Abbott Laboratories’ analyst price target saw a modest decrease to $144.43 as analysts point to shifting expectations around profit margin and a slightly higher discount rate. This development is tempered by optimism for ongoing revenue growth and stability in core medical device performance.
Analyst Commentary
Market observers have provided a range of perspectives on Abbott Laboratories’ outlook in light of recent earnings and proposed acquisitions, creating a nuanced picture of both growth opportunities and potential risks.
Bullish Takeaways- Bullish analysts emphasize that those raising price targets cite momentum in Abbott’s medical device segment and robust underlying business performance. This signals optimism for sustained revenue and earnings growth despite mixed headline numbers.
- The company’s diversified portfolio across products and geographic regions is seen as providing a resilient foundation. This allows Abbott to withstand macroeconomic uncertainties and deliver consistent mid-single digit sales growth with the potential for double-digit bottom-line expansion.
- The pending acquisition of Exact Sciences is viewed as strategically positive. The takeover premium is being interpreted as a “win” for both Abbott and the acquisition target, and there is no expectation of a competing bidder given historical deal multiples.
- Bullish sentiment is also supported by favorable litigation outcomes, which provide clarity on legal risks and improve confidence in future execution and valuation stability.
- Bearish analysts note that recent reductions in price targets reflect tempered expectations around profit margins, as well as the market applying a slightly higher discount rate to Abbott’s future cash flows.
- Analysts caution that certain segments beyond medical devices are showing signs of uneven performance, which may constrain near-term top-line growth and introduce some variability to overall results.
- Despite a generally positive view on Abbott’s acquisition strategy, there is skepticism regarding the premium required for major takeovers. Some suggest the valuation may be demanding relative to prior sector deals and the current trading multiples.
- The need for continued execution and integration of strategic acquisitions is highlighted as key to maintaining the positive outlook. Any disruption could potentially impact anticipated growth rates.
What's in the News
- Abbott Laboratories is nearing a potential acquisition of medical-testing company Exact Sciences. Deal terms are being discussed, with an announcement possibly in the coming days (Bloomberg).
- News of the potential Exact Sciences acquisition led to Exact Sciences shares surging over 25%, while Abbott shares declined by about 3% (Bloomberg).
- Bloomberg reports that deliberations around the Exact Sciences deal are ongoing and could still be delayed or fall through (Bloomberg).
Valuation Changes
- Consensus Analyst Price Target: Decreased marginally from $144.47 to $144.43.
- Discount Rate: Increased slightly from 7.83% to 7.83%.
- Revenue Growth: Projected growth rate has risen from 7.49% to 7.62%.
- Net Profit Margin: Declined from 17.99% to 17.53%.
- Future P/E: Expected multiple has increased from 32.40x to 33.12x.
Disclaimer
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