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AbbVie (ABBV) Beats Stock Market Upswing: What Investors Need to Know
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The latest trading session saw AbbVie (ABBV - Free Report) ending at $178.91, denoting a +1.62% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily gain of 0.8%. Elsewhere, the Dow saw an upswing of 0.23%, while the tech-heavy Nasdaq appreciated by 1.14%.
The drugmaker's stock has climbed by 5.05% in the past month, exceeding the Medical sector's gain of 3.58% and lagging the S&P 500's gain of 5.2%.
Market participants will be closely following the financial results of AbbVie in its upcoming release. The company's upcoming EPS is projected at $2.34, signifying a 4.88% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $11.94 billion, reflecting a 2.31% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.15 per share and revenue of $54.5 billion, indicating changes of +0.36% and +0.33%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for AbbVie. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.66% lower. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AbbVie currently has a Forward P/E ratio of 15.79. For comparison, its industry has an average Forward P/E of 14.9, which means AbbVie is trading at a premium to the group.
Also, we should mention that ABBV has a PEG ratio of 2.24. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.67 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 177, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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AbbVie (ABBV) Beats Stock Market Upswing: What Investors Need to Know
The latest trading session saw AbbVie (ABBV - Free Report) ending at $178.91, denoting a +1.62% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily gain of 0.8%. Elsewhere, the Dow saw an upswing of 0.23%, while the tech-heavy Nasdaq appreciated by 1.14%.
The drugmaker's stock has climbed by 5.05% in the past month, exceeding the Medical sector's gain of 3.58% and lagging the S&P 500's gain of 5.2%.
Market participants will be closely following the financial results of AbbVie in its upcoming release. The company's upcoming EPS is projected at $2.34, signifying a 4.88% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $11.94 billion, reflecting a 2.31% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.15 per share and revenue of $54.5 billion, indicating changes of +0.36% and +0.33%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for AbbVie. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.66% lower. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AbbVie currently has a Forward P/E ratio of 15.79. For comparison, its industry has an average Forward P/E of 14.9, which means AbbVie is trading at a premium to the group.
Also, we should mention that ABBV has a PEG ratio of 2.24. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.67 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 177, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.