AbbVie Inc.

DB:4AB Stock Report

Market Cap: €300.3b

AbbVie Valuation

Is 4AB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 4AB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 4AB (€170.72) is trading below our estimate of fair value (€486.2)

Significantly Below Fair Value: 4AB is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 4AB?

Key metric: As 4AB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 4AB. This is calculated by dividing 4AB's market cap by their current earnings.
What is 4AB's PE Ratio?
PE Ratio61.5x
EarningsUS$5.08b
Market CapUS$312.70b

Price to Earnings Ratio vs Peers

How does 4AB's PE Ratio compare to its peers?

The above table shows the PE ratio for 4AB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.3x
BIO3 Biotest
15.8x29.3%€1.4b
MRK Merck KGaA
22.9x10.9%€61.6b
FYB Formycon
12.9x31.5%€827.2m
AMGN Amgen
37.4x19.1%US$158.3b
4AB AbbVie
61.5x28.1%€312.7b

Price-To-Earnings vs Peers: 4AB is expensive based on its Price-To-Earnings Ratio (61.5x) compared to the peer average (22.3x).

Price to Earnings Ratio vs Industry

How does 4AB's PE Ratio compare vs other companies in the European Biotechs Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
4AB 61.5xIndustry Avg. 27.0xNo. of Companies5PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 4AB is expensive based on its Price-To-Earnings Ratio (61.5x) compared to the European Biotechs industry average (27x).

Price to Earnings Ratio vs Fair Ratio

What is 4AB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

4AB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio61.5x
Fair PE Ratio35.3x

Price-To-Earnings vs Fair Ratio: 4AB is expensive based on its Price-To-Earnings Ratio (61.5x) compared to the estimated Fair Price-To-Earnings Ratio (35.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 4AB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€170.72
€196.61
+15.2%
8.0%€230.47€158.45n/a29
Nov ’25€187.96
€191.05
+1.6%
7.8%€220.66€156.30n/a28
Oct ’25€177.48
€176.06
-0.8%
7.0%€195.28€152.29n/a26
Sep ’25€177.92
€176.61
-0.7%
6.9%€196.13€152.95n/a27
Aug ’25€176.68
€179.37
+1.5%
7.0%€198.55€157.00n/a27
Jul ’25€159.54
€171.05
+7.2%
5.7%€192.78€156.46n/a27
Jun ’25€145.26
€168.12
+15.7%
6.1%€190.58€148.23n/a27
May ’25€152.10
€170.78
+12.3%
5.8%€192.14€150.16n/a27
Apr ’25€167.80
€169.78
+1.2%
6.3%€190.20€148.65n/a27
Mar ’25€163.70
€166.57
+1.8%
7.2%€189.85€141.00n/a26
Feb ’25€154.30
€159.19
+3.2%
9.4%€189.28€124.65n/a27
Jan ’25€139.20
€153.42
+10.2%
10.6%€183.79€115.21n/a28
Dec ’24€131.80
€153.88
+16.8%
10.6%€184.82€115.86n/a28
Nov ’24€136.60
€158.17
+15.8%
10.7%€193.09€118.68€187.9627
Oct ’24€141.60
€157.90
+11.5%
10.7%€194.09€119.30€177.4827
Sep ’24€138.00
€152.94
+10.8%
10.7%€188.50€115.86€177.9227
Aug ’24€135.70
€149.46
+10.1%
10.6%€182.33€114.29€176.6828
Jul ’24€123.00
€152.98
+24.4%
11.3%€186.81€111.53€159.5425
Jun ’24€123.70
€152.98
+23.7%
11.3%€186.81€111.53€145.2625
May ’24€135.00
€149.41
+10.7%
10.7%€176.96€108.90€152.1025
Apr ’24€145.28
€151.23
+4.1%
10.9%€184.38€110.63€167.8024
Mar ’24€143.72
€154.14
+7.3%
11.1%€189.04€113.42€163.7025
Feb ’24€133.64
€149.25
+11.7%
11.3%€183.98€110.39€154.3025
Jan ’24€152.14
€150.24
-1.2%
11.3%€188.36€113.02€139.2025
Dec ’23€153.92
€152.67
-0.8%
11.2%€192.94€115.76€131.8024
Nov ’23€148.34
€158.82
+7.1%
11.6%€202.44€121.46€136.6023

Analyst Forecast: Target price is less than 20% higher than the current share price.

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