Assessing AbbVie after a strong run
AbbVie (ABBV) has quietly delivered solid gains this year, and with the stock recently closing around 225 dollars, investors are asking whether the current momentum still lines up with fundamentals.
See our latest analysis for AbbVie.
The 1 year total shareholder return of 33.65 percent, alongside a year to date share price return of 25.49 percent with the stock now at 225.18 dollars, suggests momentum is still building rather than fading.
If AbbVie’s run has you thinking about what else is working in healthcare, this could be a good moment to explore other healthcare stocks that fit your strategy.
With AbbVie trading just below analyst targets but screens still flagging a hefty implied intrinsic discount, the key question now is clear: is there real value left to unlock or is the market already pricing in future growth?
Most Popular Narrative Narrative: 7.5% Undervalued
With AbbVie last closing at 225.18 dollars against a narrative fair value near 243.55 dollars, the story leans toward upside still being on the table.
AbbVie's diversified and expanding late-stage and early-stage pipeline, coupled with consistent business development activity (e.g., Capstan in vivo CAR-T, Gubra amylin analog for obesity, next-gen siRNA platforms), positions the company to capitalize on the increasing adoption of biologics and specialty pharmaceuticals, which can reinforce premium pricing and protect net margins.
Curious how modest revenue growth assumptions, surging profitability and a rich future earnings multiple combine to justify that higher fair value? The full narrative unpacks the math.
Result: Fair Value of $243.55 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, extended exclusivity and pipeline momentum could still be derailed by patent challenges, drug price reforms, or setbacks in key immunology and neuroscience programs.
Find out about the key risks to this AbbVie narrative.
Build Your Own AbbVie Narrative
If you see the story differently or prefer to dig into the numbers yourself, you can craft a personal view in just minutes: Do it your way.
A great starting point for your AbbVie research is our analysis highlighting 2 key rewards and 5 important warning signs that could impact your investment decision.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Valuation is complex, but we're here to simplify it.
Discover if AbbVie might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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