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AbbVie (ABBV) Stock Moves 0.47%: What You Should Know

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In the latest trading session, AbbVie (ABBV - Free Report) closed at $94.60, marking a +0.47% move from the previous day. The stock outpaced the S&P 500's daily of 0%. Meanwhile, the Dow gained 0.07%, and the Nasdaq, a tech-heavy index, added 0.06%.

Coming into today, shares of the drugmaker had lost 2.74% in the past month. In that same time, the Medical sector gained 2.32%, while the S&P 500 gained 0.78%.

Wall Street will be looking for positivity from ABBV as it approaches its next earnings report date. This is expected to be November 2, 2018. The company is expected to report EPS of $2.01, up 42.55% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $8.20 billion, up 17.19% from the year-ago period.

ABBV's full-year Zacks Consensus Estimates are calling for earnings of $7.86 per share and revenue of $32.89 billion. These results would represent year-over-year changes of +40.36% and +16.55%, respectively.

It is also important to note the recent changes to analyst estimates for ABBV. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ABBV is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that ABBV has a Forward P/E ratio of 11.97 right now. This represents a discount compared to its industry's average Forward P/E of 16.62.

Meanwhile, ABBV's PEG ratio is currently 0.91. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.05 at yesterday's closing price.

The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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