AbbVie Inc.

NYSE:ABBV Stock Report

Market Cap: US$314.0b

AbbVie Valuation

Is ABBV 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 ABBV when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ABBV ($177.7) is trading below our estimate of fair value ($470.18)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ABBV. This is calculated by dividing ABBV's market cap by their current earnings.
What is ABBV's PE Ratio?
PE Ratio61.8x
EarningsUS$5.08b
Market CapUS$314.02b

Price to Earnings Ratio vs Peers

How does ABBV's PE Ratio compare to its peers?

The above table shows the PE ratio for ABBV vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average31x
AMGN Amgen
33.1x15.9%US$140.1b
REGN Regeneron Pharmaceuticals
16.5x9.2%US$76.6b
BIIB Biogen
13.8x11.8%US$22.3b
HZNP Horizon Therapeutics
60.8x16.4%US$26.6b
ABBV AbbVie
61.8x23.7%US$314.0b

Price-To-Earnings vs Peers: ABBV is expensive based on its Price-To-Earnings Ratio (61.8x) compared to the peer average (21.1x).

Price to Earnings Ratio vs Industry

How does ABBV's PE Ratio compare vs other companies in the US Biotechs Industry?

9 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ROIV Roivant Sciences
1.9x-58.7%US$8.61b
AGIO Agios Pharmaceuticals
2.8x-29.8%US$1.87b
INBX Inhibrx Biosciences
0.1xn/aUS$222.93m
DTIL Precision BioSciences
2.5x-31.6%US$29.23m
ABBV 61.8xIndustry Avg. 16.9xNo. of Companies9PE020406080100+
9 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ABBV is expensive based on its Price-To-Earnings Ratio (61.8x) compared to the US Biotechs industry average (16.9x).

Price to Earnings Ratio vs Fair Ratio

What is ABBV'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.

ABBV PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio61.8x
Fair PE Ratio45x

Price-To-Earnings vs Fair Ratio: ABBV is expensive based on its Price-To-Earnings Ratio (61.8x) compared to the estimated Fair Price-To-Earnings Ratio (45x).

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 ABBV forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$177.70
US$202.54
+14.0%
8.9%US$240.00US$165.00n/a28
Dec ’25US$182.93
US$204.48
+11.8%
8.2%US$240.00US$165.00n/a28
Nov ’25US$203.55
US$207.80
+2.1%
7.8%US$240.00US$170.00n/a28
Oct ’25US$196.96
US$196.54
-0.2%
7.0%US$218.00US$170.00n/a26
Sep ’25US$196.31
US$196.30
-0.005%
6.9%US$218.00US$170.00n/a27
Aug ’25US$189.71
US$194.23
+2.4%
7.0%US$215.00US$170.00n/a27
Jul ’25US$170.37
US$183.67
+7.8%
5.7%US$207.00US$168.00n/a27
Jun ’25US$161.24
US$182.60
+13.2%
6.1%US$207.00US$161.00n/a27
May ’25US$161.72
US$183.11
+13.2%
5.8%US$206.00US$161.00n/a27
Apr ’25US$180.76
US$183.88
+1.7%
6.3%US$206.00US$161.00n/a27
Mar ’25US$178.91
US$180.74
+1.0%
7.2%US$206.00US$153.00n/a26
Feb ’25US$167.59
US$172.42
+2.9%
9.4%US$205.00US$135.00n/a27
Jan ’25US$154.97
US$167.78
+8.3%
10.6%US$201.00US$126.00US$177.7028
Dec ’24US$143.41
US$167.35
+16.7%
10.6%US$201.00US$126.00US$182.9328
Nov ’24US$142.47
US$167.92
+17.9%
10.7%US$205.00US$126.00US$203.5527
Oct ’24US$149.06
US$166.77
+11.9%
10.7%US$205.00US$126.00US$196.9627
Sep ’24US$148.20
US$166.33
+12.2%
10.7%US$205.00US$126.00US$196.3127
Aug ’24US$148.54
US$164.77
+10.9%
10.6%US$201.00US$126.00US$189.7128
Jul ’24US$134.73
US$164.60
+22.2%
11.3%US$201.00US$120.00US$170.3725
Jun ’24US$133.44
US$164.60
+23.4%
11.3%US$201.00US$120.00US$161.2425
May ’24US$153.71
US$164.64
+7.1%
10.7%US$195.00US$120.00US$161.7225
Apr ’24US$159.37
US$164.04
+2.9%
10.9%US$200.00US$120.00US$180.7624
Mar ’24US$155.27
US$163.08
+5.0%
11.1%US$200.00US$120.00US$178.9125
Feb ’24US$146.60
US$162.24
+10.7%
11.3%US$200.00US$120.00US$167.5925
Jan ’24US$161.61
US$159.52
-1.3%
11.3%US$200.00US$120.00US$154.9725

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 01:38
End of Day Share Price 2024/12/31 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

AbbVie Inc. is covered by 54 analysts. 27 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David ToungArgus Research Company
Ishan MajumdarBaptista Research
Luisa HectorBerenberg