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ABBV

AbbVieNYSE:ABBV Stock Report

Market Cap

US$189.7b

7D

-0.6%

1Y

24.2%

Updated

24 Sep, 2021

Data

Company Financials +
ABBV fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance1/6
Financial Health3/6
Dividends3/6

ABBV Overview

AbbVie Inc. discovers, develops, manufactures, and sells pharmaceuticals in the worldwide.

AbbVie Competitors

Price History & Performance

Summary of all time highs, changes and price drops for AbbVie
Historical stock prices
Current Share PriceUS$107.07
52 Week HighUS$79.11
52 Week LowUS$121.53
Beta0.79
1 Month Change-11.07%
3 Month Change-5.23%
1 Year Change24.17%
3 Year Change13.21%
5 Year Change69.76%
Change since IPO205.91%

Recent News & Updates

Sep 24

4.9% Yielding AbbVie Is The Best Buffett Aristocrat Bargain You Can Buy

Warren Buffett became the greatest investor of all time thanks to disciplined financial science and a love of "wonderful companies at fair prices". Today 4.9% yielding AbbVie is Berkshire's 2nd biggest aristocrat holding, totaling over $2.3 billion. AbbVie combines world-class quality, safety, dependability, and risk management (82nd industry percentile), all in a 29% undervalued anti-bubble package. ABBV is trading at just 8.8X patent cliff trough earnings, baking in virtually zero growth, despite 3.9% CAGR consensus growth forecasts and an impeccable track record for beating expectations. AbbVie could double in the next five years, making it one of the best Buffett aristocrats you can buy if you're comfortable with the risk profile.

Sep 14

AbbVie: The FDA Decision On RINVOQ Likely Means Trouble

AbbVie is a premier dividend stock with a superior and safe dividend. The business has been firing on all cylinders but a recent FDA decision likely spells trouble. One of AbbVie's slated future blockbuster drugs, RINVOQ, is now required to carry a problematic safety warning label which may dramatically damage its sales potential. The FDA decision is certainly not something investors should brush aside easily as it could have damaging long-term implications. Risks regarding AbbVie's ability to quickly replace expected declines in HUMIRA revenues have undoubtedly increased.

Sep 10
Downward Pressures and Flat Earnings Outweigh the AbbVie Inc.'s (NYSE:ABBV) Dividend Yield

Downward Pressures and Flat Earnings Outweigh the AbbVie Inc.'s (NYSE:ABBV) Dividend Yield

AbbVie Inc. (NYSE: ABBV) recently catered, as modest yearly gains almost got wiped out in a single session. Meanwhile, downward pressure continues as the price looks to test the support around US$100 for the third time this year. We will examine the dividend as the stock dips down below the P/E of 30 since a 4.8% yield is certainly interesting at the right price.

Aug 30

AbbVie: Is This Dividend Aristocrat Overbought Or Is There More Room To Run?

Investors are looking to add defensive, stable dividend stocks to their portfolio. AbbVie is a beloved "Dividend Aristocrat" currently yielding 4.4%. But the stock also is trading around a 52-week high. Can you still buy AbbVie at current prices or should you wait for a dip?

Shareholder Returns

ABBVUS BiotechsUS Market
7D-0.6%0.07%-0.5%
1Y24.2%31.0%37.5%

Return vs Industry: ABBV underperformed the US Biotechs industry which returned 31% over the past year.

Return vs Market: ABBV underperformed the US Market which returned 37.5% over the past year.

Price Volatility

Is ABBV's price volatile compared to industry and market?
ABBV volatility
ABBV Beta0.79
Industry Beta1.03
Market Beta1

Stable Share Price: ABBV is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ABBV's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201248,000Rick Gonzalezhttps://www.abbvie.com

AbbVie Inc. discovers, develops, manufactures, and sells pharmaceuticals in the worldwide. The company offers HUMIRA, a therapy administered as an injection for autoimmune and intestinal Behçet's diseases; SKYRIZI to treat moderate to severe plaque psoriasis in adults; RINVOQ, a JAK inhibitor for the treatment of moderate to severe active rheumatoid arthritis in adult patients; IMBRUVICA to treat adult patients with chronic lymphocytic leukemia (CLL), small lymphocytic lymphoma (SLL), mantle cell lymphoma, waldenström’s macroglobulinemia, marginal zone lymphoma, and chronic graft versus host disease; VENCLEXTA, a BCL-2 inhibitor used to treat adults with CLL or SLL; and MAVYRET to treat patients with chronic HCV genotype 1-6 infection. It also provides CREON, a pancreatic enzyme therapy for exocrine pancreatic insufficiency; Synthroid used in the treatment of hypothyroidism; AndroGel for males diagnosed with symptomatic low testosterone; Linzess/Constella to treat irritable bowel syndrome with constipation and chronic idiopathic constipation; Lupron for the palliative treatment of advanced prostate cancer, endometriosis and central precocious puberty, and patients with anemia caused by uterine fibroids; and Botox therapeutic.

AbbVie Fundamentals Summary

How do AbbVie's earnings and revenue compare to its market cap?
ABBV fundamental statistics
Market CapUS$189.72b
Earnings (TTM)US$6.60b
Revenue (TTM)US$53.73b

28.7x

P/E Ratio

3.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ABBV income statement (TTM)
RevenueUS$53.73b
Cost of RevenueUS$17.13b
Gross ProfitUS$36.60b
ExpensesUS$30.00b
EarningsUS$6.60b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.73
Gross Margin68.12%
Net Profit Margin12.28%
Debt/Equity Ratio652.3%

How did ABBV perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

136%

Payout Ratio

Does ABBV pay a reliable dividends?

See ABBV dividend history and benchmarks
When do you need to buy ABBV by to receive an upcoming dividend?
AbbVie dividend dates
Ex Dividend DateOct 14 2021
Dividend Pay DateNov 15 2021
Days until Ex dividend19 days
Days until Dividend pay date51 days

Does ABBV pay a reliable dividends?

See ABBV dividend history and benchmarks

Valuation

Is AbbVie undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ABBV ($107.07) is trading below our estimate of fair value ($214.75)

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


Price To Earnings Ratio

PE vs Industry: ABBV is poor value based on its PE Ratio (28.7x) compared to the US Biotechs industry average (25.4x).

PE vs Market: ABBV is poor value based on its PE Ratio (28.7x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: ABBV is poor value based on its PEG Ratio (14.4x)


Price to Book Ratio

PB vs Industry: ABBV is overvalued based on its PB Ratio (15.1x) compared to the US Biotechs industry average (3.3x).


Future Growth

How is AbbVie forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ABBV's forecast earnings growth (2% per year) is below the savings rate (2%).

Earnings vs Market: ABBV's earnings (2% per year) are forecast to grow slower than the US market (14.9% per year).

High Growth Earnings: ABBV's earnings are forecast to grow, but not significantly.

Revenue vs Market: ABBV's revenue (0.2% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: ABBV's revenue (0.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ABBV's Return on Equity is forecast to be very high in 3 years time (102.5%).


Past Performance

How has AbbVie performed over the past 5 years?

0.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ABBV has a large one-off loss of $10.5B impacting its June 30 2021 financial results.

Growing Profit Margin: ABBV's current net profit margins (12.3%) are lower than last year (19.1%).


Past Earnings Growth Analysis

Earnings Trend: ABBV's earnings have grown by 0.1% per year over the past 5 years.

Accelerating Growth: ABBV's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ABBV had negative earnings growth (-4.5%) over the past year, making it difficult to compare to the Biotechs industry average (4.9%).


Return on Equity

High ROE: Whilst ABBV's Return on Equity (53%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is AbbVie's financial position?


Financial Position Analysis

Short Term Liabilities: ABBV's short term assets ($26.0B) do not cover its short term liabilities ($28.7B).

Long Term Liabilities: ABBV's short term assets ($26.0B) do not cover its long term liabilities ($106.7B).


Debt to Equity History and Analysis

Debt Level: ABBV's debt to equity ratio (652.3%) is considered high.

Reducing Debt: ABBV's debt to equity ratio has reduced from 669.8% to 652.3% over the past 5 years.

Debt Coverage: ABBV's debt is well covered by operating cash flow (24.9%).

Interest Coverage: ABBV's interest payments on its debt are well covered by EBIT (7.7x coverage).


Balance Sheet


Dividend

What is AbbVie current dividend yield, its reliability and sustainability?

4.86%

Current Dividend Yield


Upcoming Dividend Payment

TodaySep 25 2021Ex Dividend DateOct 14 2021Dividend Pay DateNov 15 202132 days from Ex DividendBuy in the next 19 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: ABBV's dividend (4.86%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: ABBV's dividend (4.86%) is in the top 25% of dividend payers in the US market (3.59%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, ABBV has been paying a dividend for less than 10 years.

Growing Dividend: ABBV's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (136.3%), ABBV's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ABBV's dividends in 3 years are forecast to be well covered by earnings (47.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Rick Gonzalez (67 yo)

8.67yrs

Tenure

US$24,007,591

Compensation

Mr. Richard A. Gonzalez, also known as Rick, serves as the Chairman of AbbVie Inc. and has been its Chief Executive Officer at AbbVie Inc. since 2013. Mr. Gonzalez served as an Executive Vice President of...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD24.01M) is above average for companies of similar size in the US market ($USD11.33M).

Compensation vs Earnings: Rick's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ABBV's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: ABBV's board of directors are considered experienced (8.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

AbbVie Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: AbbVie Inc.
  • Ticker: ABBV
  • Exchange: NYSE
  • Founded: 2012
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$189.724b
  • Shares outstanding: 1.77b
  • Website: https://www.abbvie.com

Number of Employees


Location

  • AbbVie Inc.
  • 1 North Waukegan Road
  • North Chicago
  • Illinois
  • 60064-6400
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/24 22:01
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.