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22600.0 | 2023-04-27 00:00:00 UTC | US STOCKS-Wall St rallies as Meta earnings offset economy worries | ABBV | https://www.nasdaq.com/articles/us-stocks-wall-st-rallies-as-meta-earnings-offset-economy-worries | nan | nan | For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
Lower inventories restrains Q1 US economic growth
Meta up, touts AI might as digital ads boost outlook
Eli Lilly up on annual profit forecast raise
Amazon.com earnings due after market close
Indexes up: Dow 0.75%, S&P 1.13%, Nasdaq 1.68%
Updates prices throughout; adds details, comments
By Ankika Biswas and Sruthi Shankar
April 27 (Reuters) - The tech-heavy Nasdaq led a Wall Street rally on Thursday as a strong update from Meta Platforms outweighed concerns over slowing U.S. economic growth.
Meta META.O shares soared 14.4% to touch a more than one-year high after the Facebook owner forecast quarterly revenue above estimate, and as CEO Mark Zuckerberg said AI was increasing traffic to Facebook and Instagram and boosting ad sales.
The S&P 500 communication services index .SPLRCL rallied 5.2% to lead sectoral gains, and was set for its biggest single-day percentage gain in two months.
Shares of other megacap companies Microsoft Corp MSFT.O and Alphabet Inc GOOGL.O, which reported upbeat results earlier this week, rose while Amazon.com Inc AMZN.O jumped 3.8% ahead of its results after market close.
"When you look at Microsoft and Meta, they really show that the rumors of the Nasdaq's demise have been greatly exaggerated," said David Russell, vice president of market intelligence at TradeStation.
"A lot of people wanted to bury technology and say that it was dead forever ... now there's a good chance that growth trade will come back."
Expectations for first-quarter earnings have drastically improved, with analysts projecting a 2.4% year-over-year drop for profits at S&P 500 companies versus the 5.1% decline forecast at the start of the earnings season.
Eli Lilly and Co LLY.N advanced 2.4% on raising its full-year profit forecast, while Comcast Corp CMCSA.O rose 7.8% as it beat estimates for quarterly profit, thanks to sustained demand for its broadband services and higher theme park attendance.
Investors appeared to look past data that showed U.S. economic growth slowed more than expected in the first quarter as an acceleration in consumer spending was offset by businesses cutting back on inventory investment.
"If we're looking to the future, data does seem to be continuing to weaken. The good news is we do think a recession could be mild," said Brian Klimke, investment director at Cetera Investment Management.
Despite slower growth, which mostly reflected a drag from weak inventory investment, the Federal Reserve is expected to raise interest rates by another 25 basis points next week.
Treasury yields moved higher across the board as investors weighed a showdown over the U.S. debt ceiling with economic data suggesting inflation could remain sticky despite a slowing economy. US/
The U.S. House of Representatives on Wednesday narrowly passed a bill to raise the government's $31.4 trillion debt ceiling that includes sweeping spending cuts over the next decade. The bill is expected to get stalled in the Senate.
At 11:32 a.m. ET, the Dow Jones Industrial Average .DJI was up 248.12 points, or 0.75%, at 33,549.99, the S&P 500 .SPX was up 45.69 points, or 1.13%, at 4,101.68, and the Nasdaq Composite .IXIC was up 199.09 points, or 1.68%, at 12,053.44.
EBay Inc EBAY.O climbed 4.6% after the e-commerce company forecast current-quarter revenue above projections.
AbbVie Inc ABBV.N fell 8.1% after the drugmaker missed quarterly revenue estimates for its newer treatments, while heavy machinery maker Caterpillar Inc CAT.N dipped almost 3% as a flat order backlog signaled demand may have peaked.
Advancing issues outnumbered decliners by a 2.07-to-1 ratio on the NYSE and a 1.37-to-1 ratio on the Nasdaq.
The S&P index recorded 11 new 52-week highs and four new lows, while the Nasdaq recorded 25 new highs and 152 new lows.
(Reporting by Sruthi Shankar and Ankika Biswas in Bengaluru Editing by Vinay Dwivedi)
((sruthi.shankar@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2787;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie Inc ABBV.N fell 8.1% after the drugmaker missed quarterly revenue estimates for its newer treatments, while heavy machinery maker Caterpillar Inc CAT.N dipped almost 3% as a flat order backlog signaled demand may have peaked. Lower inventories restrains Q1 US economic growth Meta up, touts AI might as digital ads boost outlook Eli Lilly up on annual profit forecast raise Amazon.com earnings due after market close Indexes up: Dow 0.75%, S&P 1.13%, Nasdaq 1.68% Updates prices throughout; adds details, comments By Ankika Biswas and Sruthi Shankar April 27 (Reuters) - The tech-heavy Nasdaq led a Wall Street rally on Thursday as a strong update from Meta Platforms outweighed concerns over slowing U.S. economic growth. Investors appeared to look past data that showed U.S. economic growth slowed more than expected in the first quarter as an acceleration in consumer spending was offset by businesses cutting back on inventory investment. | AbbVie Inc ABBV.N fell 8.1% after the drugmaker missed quarterly revenue estimates for its newer treatments, while heavy machinery maker Caterpillar Inc CAT.N dipped almost 3% as a flat order backlog signaled demand may have peaked. Lower inventories restrains Q1 US economic growth Meta up, touts AI might as digital ads boost outlook Eli Lilly up on annual profit forecast raise Amazon.com earnings due after market close Indexes up: Dow 0.75%, S&P 1.13%, Nasdaq 1.68% Updates prices throughout; adds details, comments By Ankika Biswas and Sruthi Shankar April 27 (Reuters) - The tech-heavy Nasdaq led a Wall Street rally on Thursday as a strong update from Meta Platforms outweighed concerns over slowing U.S. economic growth. Eli Lilly and Co LLY.N advanced 2.4% on raising its full-year profit forecast, while Comcast Corp CMCSA.O rose 7.8% as it beat estimates for quarterly profit, thanks to sustained demand for its broadband services and higher theme park attendance. | AbbVie Inc ABBV.N fell 8.1% after the drugmaker missed quarterly revenue estimates for its newer treatments, while heavy machinery maker Caterpillar Inc CAT.N dipped almost 3% as a flat order backlog signaled demand may have peaked. Lower inventories restrains Q1 US economic growth Meta up, touts AI might as digital ads boost outlook Eli Lilly up on annual profit forecast raise Amazon.com earnings due after market close Indexes up: Dow 0.75%, S&P 1.13%, Nasdaq 1.68% Updates prices throughout; adds details, comments By Ankika Biswas and Sruthi Shankar April 27 (Reuters) - The tech-heavy Nasdaq led a Wall Street rally on Thursday as a strong update from Meta Platforms outweighed concerns over slowing U.S. economic growth. Eli Lilly and Co LLY.N advanced 2.4% on raising its full-year profit forecast, while Comcast Corp CMCSA.O rose 7.8% as it beat estimates for quarterly profit, thanks to sustained demand for its broadband services and higher theme park attendance. | AbbVie Inc ABBV.N fell 8.1% after the drugmaker missed quarterly revenue estimates for its newer treatments, while heavy machinery maker Caterpillar Inc CAT.N dipped almost 3% as a flat order backlog signaled demand may have peaked. Lower inventories restrains Q1 US economic growth Meta up, touts AI might as digital ads boost outlook Eli Lilly up on annual profit forecast raise Amazon.com earnings due after market close Indexes up: Dow 0.75%, S&P 1.13%, Nasdaq 1.68% Updates prices throughout; adds details, comments By Ankika Biswas and Sruthi Shankar April 27 (Reuters) - The tech-heavy Nasdaq led a Wall Street rally on Thursday as a strong update from Meta Platforms outweighed concerns over slowing U.S. economic growth. Investors appeared to look past data that showed U.S. economic growth slowed more than expected in the first quarter as an acceleration in consumer spending was offset by businesses cutting back on inventory investment. |
22601.0 | 2023-04-27 00:00:00 UTC | ABBV Makes Notable Cross Below Critical Moving Average | ABBV | https://www.nasdaq.com/articles/abbv-makes-notable-cross-below-critical-moving-average | nan | nan | In trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $150.76, changing hands as low as $147.51 per share. AbbVie Inc shares are currently trading off about 8.6% on the day. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average:
Looking at the chart above, ABBV's low point in its 52 week range is $134.09 per share, with $168.11 as the 52 week high point — that compares with a last trade of $147.98. The ABBV DMA information above was sourced from TechnicalAnalysisChannel.com
Click here to find out which 9 other dividend stocks recently crossed below their 200 day moving average »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $150.76, changing hands as low as $147.51 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $134.09 per share, with $168.11 as the 52 week high point — that compares with a last trade of $147.98. The ABBV DMA information above was sourced from TechnicalAnalysisChannel.com Click here to find out which 9 other dividend stocks recently crossed below their 200 day moving average » Also see: ETF Fund Flows IGU Videos ETFs Holding EPE The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $150.76, changing hands as low as $147.51 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $134.09 per share, with $168.11 as the 52 week high point — that compares with a last trade of $147.98. The ABBV DMA information above was sourced from TechnicalAnalysisChannel.com Click here to find out which 9 other dividend stocks recently crossed below their 200 day moving average » Also see: ETF Fund Flows IGU Videos ETFs Holding EPE The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $150.76, changing hands as low as $147.51 per share. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $134.09 per share, with $168.11 as the 52 week high point — that compares with a last trade of $147.98. The ABBV DMA information above was sourced from TechnicalAnalysisChannel.com Click here to find out which 9 other dividend stocks recently crossed below their 200 day moving average » Also see: ETF Fund Flows IGU Videos ETFs Holding EPE The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In trading on Thursday, shares of AbbVie Inc (Symbol: ABBV) crossed below their 200 day moving average of $150.76, changing hands as low as $147.51 per share. AbbVie Inc shares are currently trading off about 8.6% on the day. The chart below shows the one year performance of ABBV shares, versus its 200 day moving average: Looking at the chart above, ABBV's low point in its 52 week range is $134.09 per share, with $168.11 as the 52 week high point — that compares with a last trade of $147.98. |
22602.0 | 2023-04-27 00:00:00 UTC | AbbVie misses sales estimates for some drugs, shares tumble | ABBV | https://www.nasdaq.com/articles/abbvie-misses-sales-estimates-for-some-drugs-shares-tumble | nan | nan | Adds details on drug sales, shares
April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday missed quarterly revenue estimates for some of its major drugs, overshadowing an increased annual profit forecast and driving shares down 5% in premarket trade.
The company recorded $3.54 billion in sales of its blockbuster drug Humira, compared with analysts' average estimate of $3.58 billion, according to Refinitiv IBES data.
The drugmaker had been hoping that newer immunology drugs Skyrizi and Rinvoq would soften the hit from loss of Humira revenue.
However, in the first quarter, Rinvoq garnered sales of $686 million, missing estimates of $713.7 million, while Skyrizi's sales of $1.36 billion also fell short of estimates of $1.46 billion.
Total revenue of $12.23 billion beat estimates of $12.17 billion, boosted by Botox sales for cosmetic applications.
The company, however, raised its annual forecast, and now expects 2023 adjusted earnings to be between $10.72 and $11.12 per share, from between $10.62 and $11.02 it provided earlier this month.
(Reporting by Mariam E Sunny and Leroy Leo in Bengaluru; Editing by Sriraj Kalluvila)
((Mariam.ESunny@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details on drug sales, shares April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday missed quarterly revenue estimates for some of its major drugs, overshadowing an increased annual profit forecast and driving shares down 5% in premarket trade. The drugmaker had been hoping that newer immunology drugs Skyrizi and Rinvoq would soften the hit from loss of Humira revenue. The company, however, raised its annual forecast, and now expects 2023 adjusted earnings to be between $10.72 and $11.12 per share, from between $10.62 and $11.02 it provided earlier this month. | Adds details on drug sales, shares April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday missed quarterly revenue estimates for some of its major drugs, overshadowing an increased annual profit forecast and driving shares down 5% in premarket trade. The company recorded $3.54 billion in sales of its blockbuster drug Humira, compared with analysts' average estimate of $3.58 billion, according to Refinitiv IBES data. However, in the first quarter, Rinvoq garnered sales of $686 million, missing estimates of $713.7 million, while Skyrizi's sales of $1.36 billion also fell short of estimates of $1.46 billion. | Adds details on drug sales, shares April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday missed quarterly revenue estimates for some of its major drugs, overshadowing an increased annual profit forecast and driving shares down 5% in premarket trade. The company recorded $3.54 billion in sales of its blockbuster drug Humira, compared with analysts' average estimate of $3.58 billion, according to Refinitiv IBES data. However, in the first quarter, Rinvoq garnered sales of $686 million, missing estimates of $713.7 million, while Skyrizi's sales of $1.36 billion also fell short of estimates of $1.46 billion. | Adds details on drug sales, shares April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday missed quarterly revenue estimates for some of its major drugs, overshadowing an increased annual profit forecast and driving shares down 5% in premarket trade. The company recorded $3.54 billion in sales of its blockbuster drug Humira, compared with analysts' average estimate of $3.58 billion, according to Refinitiv IBES data. The drugmaker had been hoping that newer immunology drugs Skyrizi and Rinvoq would soften the hit from loss of Humira revenue. |
22603.0 | 2023-04-27 00:00:00 UTC | S&P 500 Movers: ALGN, META | ABBV | https://www.nasdaq.com/articles/sp-500-movers%3A-algn-meta | nan | nan | In early trading on Thursday, shares of Meta Platforms topped the list of the day's best performing components of the S&P 500 index, trading up 14.7%. Year to date, Meta Platforms registers a 99.6% gain.
And the worst performing S&P 500 component thus far on the day is Align Technology, trading down 11.1%. Align Technology is showing a gain of 49.5% looking at the year to date performance.
Two other components making moves today are AbbVie, trading down 8.6%, and Hasbro, trading up 10.4% on the day.
VIDEO: S&P 500 Movers: ALGN, META
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Two other components making moves today are AbbVie, trading down 8.6%, and Hasbro, trading up 10.4% on the day. Year to date, Meta Platforms registers a 99.6% gain. And the worst performing S&P 500 component thus far on the day is Align Technology, trading down 11.1%. | Two other components making moves today are AbbVie, trading down 8.6%, and Hasbro, trading up 10.4% on the day. In early trading on Thursday, shares of Meta Platforms topped the list of the day's best performing components of the S&P 500 index, trading up 14.7%. Year to date, Meta Platforms registers a 99.6% gain. | Two other components making moves today are AbbVie, trading down 8.6%, and Hasbro, trading up 10.4% on the day. In early trading on Thursday, shares of Meta Platforms topped the list of the day's best performing components of the S&P 500 index, trading up 14.7%. And the worst performing S&P 500 component thus far on the day is Align Technology, trading down 11.1%. | Two other components making moves today are AbbVie, trading down 8.6%, and Hasbro, trading up 10.4% on the day. In early trading on Thursday, shares of Meta Platforms topped the list of the day's best performing components of the S&P 500 index, trading up 14.7%. And the worst performing S&P 500 component thus far on the day is Align Technology, trading down 11.1%. |
22604.0 | 2023-04-27 00:00:00 UTC | Drugmakers post healthy results as growth drivers shine | ABBV | https://www.nasdaq.com/articles/drugmakers-post-healthy-results-as-growth-drivers-shine | nan | nan | April 27 (Reuters) - Drugmakers including Merck & Co MRK.N, Eli Lilly LLY.N and AstraZeneca Plc AZN.L reported strong first-quarter earnings and several raised their expectations for 2023, as post-pandemic demand for cancer and other treatments jumped.
The earnings on Thursday shine a spotlight on the pharmaceuticals sector, which has remained largely insulated from the impact of inflation and supply chain disruptions.
Sales at Merck, Lilly, AstraZeneca beat estimates, mainly helped by their growth-driving treatments, such as Eli Lilly's diabetes drug and obesity-hopeful Mounjaro, while sales of Merck's cancer drug Keytruda came in ahead of estimates.
Shares of Eli Lilly jumped 3.5% in premarket trading, while those of Merck rose 2.5%.
AstraZeneca was up marginally after sales of cancer treatment Imfinzi and strong demand in emerging markets helped soften the hit from falling sales of COVID drugs.
Most companies also reported a rise in research and development costs as they ramped up spending on newer treatments and expanded approvals for older ones in preparation of some drugs losing patent protection.
Merck, for example, reported a 66% jump in R&D costs, attributing about $1.2 billion to a charge from its acquisition of Imago, while R&D expenses jumped 23% to $1.99 billion at Eli Lilly.
Eli Lilly missed profit estimates mainly due to the higher costs.
"You gotta spend money, to make money!," said BMO Capital Markets analyst Evan Seigerman.
Drugmakers are also looking to complement internal R&D with deals to fill in the loss of revenue from therapies facing patent losses.
AbbVie ABBV.N reported first-quarter sales that missed estimates for most treatments, including for blockbuster therapy Humira. Humira sales in the U.S. fell 26.1% in the quarter to $2.95 billion as it faced its first competition from a biosimilar rival.
AbbVie shares were down 6.2% after sales of newer treatments Rinvoq and Skyrizi, which it has been hoping will fill the gap of Humira's sales, missed expectations.
Sales of Merck's cancer immunotherapy Keytruda, which will start losing patent protections in 2028, remained strong and trounced analysts' lofty estimates.
At Eli Lilly, the drugmaker raised its annual revenue and profit forecasts after topping first-quarter sales estimates on demand for its closely watched diabetes drug Mounjaro, which is being used off-label as an obesity treatment.
Lilly released trial data that met expectations and said it will complete submission of U.S. regulatory approval for obesity in the coming weeks.
Newer obesity drugs such as Mounjaro and Novo Nordisk's NOVOb.CO Wegovy are expected to compete in a multibillion dollar market.
(Reporting by Manas Mishra in Bengaluru; Editing by Caroline Humer and Sriraj Kalluvila)
((Manas.Mishra@thomsonreuters.com; www.twitter.com/Manaswrites15;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie ABBV.N reported first-quarter sales that missed estimates for most treatments, including for blockbuster therapy Humira. AbbVie shares were down 6.2% after sales of newer treatments Rinvoq and Skyrizi, which it has been hoping will fill the gap of Humira's sales, missed expectations. April 27 (Reuters) - Drugmakers including Merck & Co MRK.N, Eli Lilly LLY.N and AstraZeneca Plc AZN.L reported strong first-quarter earnings and several raised their expectations for 2023, as post-pandemic demand for cancer and other treatments jumped. | AbbVie ABBV.N reported first-quarter sales that missed estimates for most treatments, including for blockbuster therapy Humira. AbbVie shares were down 6.2% after sales of newer treatments Rinvoq and Skyrizi, which it has been hoping will fill the gap of Humira's sales, missed expectations. April 27 (Reuters) - Drugmakers including Merck & Co MRK.N, Eli Lilly LLY.N and AstraZeneca Plc AZN.L reported strong first-quarter earnings and several raised their expectations for 2023, as post-pandemic demand for cancer and other treatments jumped. | AbbVie ABBV.N reported first-quarter sales that missed estimates for most treatments, including for blockbuster therapy Humira. AbbVie shares were down 6.2% after sales of newer treatments Rinvoq and Skyrizi, which it has been hoping will fill the gap of Humira's sales, missed expectations. April 27 (Reuters) - Drugmakers including Merck & Co MRK.N, Eli Lilly LLY.N and AstraZeneca Plc AZN.L reported strong first-quarter earnings and several raised their expectations for 2023, as post-pandemic demand for cancer and other treatments jumped. | AbbVie ABBV.N reported first-quarter sales that missed estimates for most treatments, including for blockbuster therapy Humira. AbbVie shares were down 6.2% after sales of newer treatments Rinvoq and Skyrizi, which it has been hoping will fill the gap of Humira's sales, missed expectations. April 27 (Reuters) - Drugmakers including Merck & Co MRK.N, Eli Lilly LLY.N and AstraZeneca Plc AZN.L reported strong first-quarter earnings and several raised their expectations for 2023, as post-pandemic demand for cancer and other treatments jumped. |
22605.0 | 2023-04-27 00:00:00 UTC | Health Care Sector Update for 04/27/2023: ABBV, MRK, AZN, XLV, IBB | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-for-04-27-2023%3A-abbv-mrk-azn-xlv-ibb | nan | nan | Health care stocks were narrowly mixed pre-bell Thursday. The Health Care Select Sector SPDR Fund (XLV) was 0.2% higher and the iShares Biotechnology ETF (IBB) was marginally lower.
AbbVie (ABBV) was declining by more than 3% after it reported Q1 adjusted earnings of $2.46 per diluted share, compared with $3.16 a year earlier. Analysts polled by Capital IQ expected $2.48.
Merck (MRK) was up over 2% after saying it now expects 2023 adjusted earnings per share of $6.88 to $7, from the previous range of $6.80 to $6.95, and sales of $57.7 billion to $58.9 billion compared with the initial estimate of $57.2 billion to $58.7 billion.
AstraZeneca (AZN) was advancing 0.4% after it reported Q1 core earnings of $1.92 per share compared with $1.89 a year earlier. Analysts polled by Capital IQ expected $1.70.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) was declining by more than 3% after it reported Q1 adjusted earnings of $2.46 per diluted share, compared with $3.16 a year earlier. The Health Care Select Sector SPDR Fund (XLV) was 0.2% higher and the iShares Biotechnology ETF (IBB) was marginally lower. AstraZeneca (AZN) was advancing 0.4% after it reported Q1 core earnings of $1.92 per share compared with $1.89 a year earlier. | AbbVie (ABBV) was declining by more than 3% after it reported Q1 adjusted earnings of $2.46 per diluted share, compared with $3.16 a year earlier. Analysts polled by Capital IQ expected $2.48. Analysts polled by Capital IQ expected $1.70. | AbbVie (ABBV) was declining by more than 3% after it reported Q1 adjusted earnings of $2.46 per diluted share, compared with $3.16 a year earlier. The Health Care Select Sector SPDR Fund (XLV) was 0.2% higher and the iShares Biotechnology ETF (IBB) was marginally lower. Merck (MRK) was up over 2% after saying it now expects 2023 adjusted earnings per share of $6.88 to $7, from the previous range of $6.80 to $6.95, and sales of $57.7 billion to $58.9 billion compared with the initial estimate of $57.2 billion to $58.7 billion. | AbbVie (ABBV) was declining by more than 3% after it reported Q1 adjusted earnings of $2.46 per diluted share, compared with $3.16 a year earlier. Health care stocks were narrowly mixed pre-bell Thursday. The Health Care Select Sector SPDR Fund (XLV) was 0.2% higher and the iShares Biotechnology ETF (IBB) was marginally lower. |
22606.0 | 2023-04-27 00:00:00 UTC | AbbVie (ABBV) Q1 Earnings and Revenues Top Estimates | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-q1-earnings-and-revenues-top-estimates | nan | nan | AbbVie (ABBV) came out with quarterly earnings of $2.46 per share, beating the Zacks Consensus Estimate of $2.44 per share. This compares to earnings of $3.16 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 0.82%. A quarter ago, it was expected that this drugmaker would post earnings of $3.54 per share when it actually produced earnings of $3.60, delivering a surprise of 1.69%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
AbbVie, which belongs to the Zacks Large Cap Pharmaceuticals industry, posted revenues of $12.23 billion for the quarter ended March 2023, surpassing the Zacks Consensus Estimate by 1.17%. This compares to year-ago revenues of $13.54 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
AbbVie shares have added about 0.1% since the beginning of the year versus the S&P 500's gain of 5.6%.
What's Next for AbbVie?
While AbbVie has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for AbbVie: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $2.85 on $13.39 billion in revenues for the coming quarter and $10.94 on $52.45 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Large Cap Pharmaceuticals is currently in the top 16% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the broader Zacks Medical sector, Prometheus Biosciences, Inc. (RXDX), is yet to report results for the quarter ended March 2023.
This company is expected to post quarterly loss of $0.92 per share in its upcoming report, which represents a year-over-year change of -12.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Prometheus Biosciences, Inc.'s revenues are expected to be $0.63 million, down 83.9% from the year-ago quarter.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) came out with quarterly earnings of $2.46 per share, beating the Zacks Consensus Estimate of $2.44 per share. AbbVie, which belongs to the Zacks Large Cap Pharmaceuticals industry, posted revenues of $12.23 billion for the quarter ended March 2023, surpassing the Zacks Consensus Estimate by 1.17%. AbbVie shares have added about 0.1% since the beginning of the year versus the S&P 500's gain of 5.6%. | AbbVie, which belongs to the Zacks Large Cap Pharmaceuticals industry, posted revenues of $12.23 billion for the quarter ended March 2023, surpassing the Zacks Consensus Estimate by 1.17%. Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report Prometheus Biosciences, Inc. (RXDX) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie (ABBV) came out with quarterly earnings of $2.46 per share, beating the Zacks Consensus Estimate of $2.44 per share. | AbbVie (ABBV) came out with quarterly earnings of $2.46 per share, beating the Zacks Consensus Estimate of $2.44 per share. AbbVie, which belongs to the Zacks Large Cap Pharmaceuticals industry, posted revenues of $12.23 billion for the quarter ended March 2023, surpassing the Zacks Consensus Estimate by 1.17%. Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report Prometheus Biosciences, Inc. (RXDX) : Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie (ABBV) came out with quarterly earnings of $2.46 per share, beating the Zacks Consensus Estimate of $2.44 per share. AbbVie, which belongs to the Zacks Large Cap Pharmaceuticals industry, posted revenues of $12.23 billion for the quarter ended March 2023, surpassing the Zacks Consensus Estimate by 1.17%. AbbVie shares have added about 0.1% since the beginning of the year versus the S&P 500's gain of 5.6%. |
22607.0 | 2023-04-27 00:00:00 UTC | 1 Dividend Stock to Buy Hand Over Fist in May and 1 to Avoid | ABBV | https://www.nasdaq.com/articles/1-dividend-stock-to-buy-hand-over-fist-in-may-and-1-to-avoid | nan | nan | Some dividend stocks will pay a tidy and ever-increasing sum into your account for years. Others will run out of steam and slash your quarterly paycheck. Ideally, you'd buy shares of the first kind and avoid the second kind. So here's one example of each.
Image source: Getty Images.
1. AbbVie
AbbVie (NYSE: ABBV) is a major pharmaceutical company that's also a majorly appealing dividend stock. Thanks to its colossal drug development pipeline with more than 240 different ongoing clinical trials, and a portfolio of marketed medicines borne from 25 major regulatory approvals since its inception in 2013, AbbVie has both a track record of success and a long future of likely growth ahead.
In 2024 alone, AbbVie plans to send six more programs to regulators for their review, and it could commercialize seven others too. That's a huge amount of activity, even by the standards of big pharma.
To sweeten the pot even further for shareholders, its forward dividend yield is 3.7%, which is much higher than the market's average forward yield near 1.6%. That means you'll be getting more dividend income per share with an investment in AbbVie than you would with an index fund.
More importantly for long-term investors, over the last five years, its dividend per share grew at an average annual rate of 17.6%, rising by a total of 54.1%, though that pace has slowed considerably, and it only hiked the dividend by 8.4% for 2023.
Management is signaling that increasing the payout even further is a priority. There's reason to believe they'll be able to do so. As AbbVie's payout ratio is near 85% of its 2022 annual earnings of $11.8 billion, there's still some room for the dividend to grow in the absence of earnings growth.
That's key, since the company is entering a transitional period with its revenue mix for the next two years as its top-earning medicine, Humira, gets its market share eaten by new generic copies. After that, management expects a return to annual earnings growth in the ballpark of 8% through the end of the decade, which isn't half bad.
As the transitional period (hopefully) proceeds without incident, its share price is likely to rise, which will lower the dividend yield. So investors might want to consider a purchase within the year for an optimal passive income impact. It reports Q1 earnings on April 27, so buying after that could be a smart move.
2. Walgreens
Walgreens Boots Alliance (NASDAQ: WBA) is, unfortunately, very much the opposite story of AbbVie's.
The last five years saw the pharmacy chain's quarterly revenue remain almost flat and its quarterly earnings decline by 47.6% to reach $703 million in Q2 of 2023. In the same period, its quarterly free cash flow (FCF) dwindled by 87% to reach $248 million. Those stats aren't the marks of a healthy company, to say the least. It also sold off investments in a trio of other healthcare businesses from November 2022 through March 2023, generating more than $3.6 billion in cash in the process.
There are a few problems at play for Walgreens, none of which can be easily fixed. To gin up some growth, it's trying to enter the primary care market by providing additional services at its pharmacies, and it's also trying to enter the specialty care and post-acute care markets.
At the same time, its core segment, U.S. retail pharmacies, is failing to post year-over-year growth, and it's rapidly becoming less profitable as demand for services like coronavirus vaccination plummet. Put differently, it needs to be making big capital outlays and running losses for the next few years while it spins up new expansion initiatives, right when its formerly reliable source of income is starting to run dry.
The dividend is one place where management is trying to conserve capital; since 2018, its payout only grew by 20%, though its forward yield of 5.3% is presently on the higher side. A lack of further hikes or perhaps even a cut to the dividend is entirely on the table.
In Q2, its FCF was smaller than the $414 million outflow of paying its dividend. It still has upwards of $1.8 billion in cash and equivalents, but that might not last very long, considering that it burned more than $2.3 billion in the second quarter alone.
So it probably makes sense to avoid buying Walgreens stock for now. While there might be a few positive signs when it reports earnings in late June, don't hold your breath.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Thanks to its colossal drug development pipeline with more than 240 different ongoing clinical trials, and a portfolio of marketed medicines borne from 25 major regulatory approvals since its inception in 2013, AbbVie has both a track record of success and a long future of likely growth ahead. AbbVie AbbVie (NYSE: ABBV) is a major pharmaceutical company that's also a majorly appealing dividend stock. In 2024 alone, AbbVie plans to send six more programs to regulators for their review, and it could commercialize seven others too. | AbbVie AbbVie (NYSE: ABBV) is a major pharmaceutical company that's also a majorly appealing dividend stock. Thanks to its colossal drug development pipeline with more than 240 different ongoing clinical trials, and a portfolio of marketed medicines borne from 25 major regulatory approvals since its inception in 2013, AbbVie has both a track record of success and a long future of likely growth ahead. In 2024 alone, AbbVie plans to send six more programs to regulators for their review, and it could commercialize seven others too. | AbbVie AbbVie (NYSE: ABBV) is a major pharmaceutical company that's also a majorly appealing dividend stock. As AbbVie's payout ratio is near 85% of its 2022 annual earnings of $11.8 billion, there's still some room for the dividend to grow in the absence of earnings growth. Thanks to its colossal drug development pipeline with more than 240 different ongoing clinical trials, and a portfolio of marketed medicines borne from 25 major regulatory approvals since its inception in 2013, AbbVie has both a track record of success and a long future of likely growth ahead. | * They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! AbbVie AbbVie (NYSE: ABBV) is a major pharmaceutical company that's also a majorly appealing dividend stock. Thanks to its colossal drug development pipeline with more than 240 different ongoing clinical trials, and a portfolio of marketed medicines borne from 25 major regulatory approvals since its inception in 2013, AbbVie has both a track record of success and a long future of likely growth ahead. |
22608.0 | 2023-04-27 00:00:00 UTC | AbbVie Q1 Profit Drops, Inline With Estimates | ABBV | https://www.nasdaq.com/articles/abbvie-q1-profit-drops-inline-with-estimates | nan | nan | (RTTNews) - AbbVie (ABBV) reported earnings for first quarter that decreased from last year in line with the Street estimates.
The company's earnings totaled $239 million, or $0.13 per share. This compares with $4.49 billion, or $2.51 per share, in last year's first quarter.
Excluding items, AbbVie reported adjusted earnings of $4.39 billion or $2.46 per share for the period.
Analysts on average had expected the company to earn $2.46 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.
The company's revenue for the quarter fell 9.7% to $12.23 billion from $13.54 billion last year.
AbbVie earnings at a glance (GAAP) :
-Earnings (Q1): $239 Mln. vs. $4.49 Bln. last year. -EPS (Q1): $0.13 vs. $2.51 last year. -Analyst Estimates: $2.46 -Revenue (Q1): $12.23 Bln vs. $13.54 Bln last year.
-Guidance: Full year EPS guidance: $10.72 - $11.12
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie (ABBV) reported earnings for first quarter that decreased from last year in line with the Street estimates. Excluding items, AbbVie reported adjusted earnings of $4.39 billion or $2.46 per share for the period. AbbVie earnings at a glance (GAAP) : -Earnings (Q1): $239 Mln. | Excluding items, AbbVie reported adjusted earnings of $4.39 billion or $2.46 per share for the period. (RTTNews) - AbbVie (ABBV) reported earnings for first quarter that decreased from last year in line with the Street estimates. AbbVie earnings at a glance (GAAP) : -Earnings (Q1): $239 Mln. | (RTTNews) - AbbVie (ABBV) reported earnings for first quarter that decreased from last year in line with the Street estimates. Excluding items, AbbVie reported adjusted earnings of $4.39 billion or $2.46 per share for the period. AbbVie earnings at a glance (GAAP) : -Earnings (Q1): $239 Mln. | Excluding items, AbbVie reported adjusted earnings of $4.39 billion or $2.46 per share for the period. (RTTNews) - AbbVie (ABBV) reported earnings for first quarter that decreased from last year in line with the Street estimates. AbbVie earnings at a glance (GAAP) : -Earnings (Q1): $239 Mln. |
22609.0 | 2023-04-27 00:00:00 UTC | AbbVie raises annual profit forecast as Humira demand holds steady | ABBV | https://www.nasdaq.com/articles/abbvie-raises-annual-profit-forecast-as-humira-demand-holds-steady | nan | nan | Adds missing words in headline
April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday raised its 2023 profit forecast on a less-than-feared hit to U.S. sales of arthritis drug Humira from rival biosimilar drugs.
The company now expects 2023 adjusted earnings to be between $10.72 and $11.12 per share, from between $10.62 and $11.02 it provided earlier this month.
Analysts on average have estimated annual adjusted profit of $10.94 per share, according to Refinitiv IBES data.
(Reporting by Mariam E Sunny and Leroy Leo in Bengaluru; Editing by Sriraj Kalluvila)
((Mariam.ESunny@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds missing words in headline April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday raised its 2023 profit forecast on a less-than-feared hit to U.S. sales of arthritis drug Humira from rival biosimilar drugs. The company now expects 2023 adjusted earnings to be between $10.72 and $11.12 per share, from between $10.62 and $11.02 it provided earlier this month. Analysts on average have estimated annual adjusted profit of $10.94 per share, according to Refinitiv IBES data. | Adds missing words in headline April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday raised its 2023 profit forecast on a less-than-feared hit to U.S. sales of arthritis drug Humira from rival biosimilar drugs. Analysts on average have estimated annual adjusted profit of $10.94 per share, according to Refinitiv IBES data. (Reporting by Mariam E Sunny and Leroy Leo in Bengaluru; Editing by Sriraj Kalluvila) ((Mariam.ESunny@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds missing words in headline April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday raised its 2023 profit forecast on a less-than-feared hit to U.S. sales of arthritis drug Humira from rival biosimilar drugs. Analysts on average have estimated annual adjusted profit of $10.94 per share, according to Refinitiv IBES data. (Reporting by Mariam E Sunny and Leroy Leo in Bengaluru; Editing by Sriraj Kalluvila) ((Mariam.ESunny@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds missing words in headline April 27 (Reuters) - AbbVie Inc ABBV.N on Thursday raised its 2023 profit forecast on a less-than-feared hit to U.S. sales of arthritis drug Humira from rival biosimilar drugs. The company now expects 2023 adjusted earnings to be between $10.72 and $11.12 per share, from between $10.62 and $11.02 it provided earlier this month. Analysts on average have estimated annual adjusted profit of $10.94 per share, according to Refinitiv IBES data. |
22610.0 | 2023-04-27 00:00:00 UTC | SPYG, CVX, MRK, ABBV: ETF Inflow Alert | ABBV | https://www.nasdaq.com/articles/spyg-cvx-mrk-abbv%3A-etf-inflow-alert | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $199.9 million dollar inflow -- that's a 1.3% increase week over week in outstanding units (from 288,800,000 to 292,450,000). Among the largest underlying components of SPYG, in trading today Chevron Corporation (Symbol: CVX) is up about 0.1%, Merck & Co Inc (Symbol: MRK) is down about 1.9%, and AbbVie Inc (Symbol: ABBV) is lower by about 8.2%. For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average:
Looking at the chart above, SPYG's low point in its 52 week range is $47.91 per share, with $62.18 as the 52 week high point — that compares with a last trade of $55.08. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of SPYG, in trading today Chevron Corporation (Symbol: CVX) is up about 0.1%, Merck & Co Inc (Symbol: MRK) is down about 1.9%, and AbbVie Inc (Symbol: ABBV) is lower by about 8.2%. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. | Among the largest underlying components of SPYG, in trading today Chevron Corporation (Symbol: CVX) is up about 0.1%, Merck & Co Inc (Symbol: MRK) is down about 1.9%, and AbbVie Inc (Symbol: ABBV) is lower by about 8.2%. For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $47.91 per share, with $62.18 as the 52 week high point — that compares with a last trade of $55.08. Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. | Among the largest underlying components of SPYG, in trading today Chevron Corporation (Symbol: CVX) is up about 0.1%, Merck & Co Inc (Symbol: MRK) is down about 1.9%, and AbbVie Inc (Symbol: ABBV) is lower by about 8.2%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $199.9 million dollar inflow -- that's a 1.3% increase week over week in outstanding units (from 288,800,000 to 292,450,000). For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $47.91 per share, with $62.18 as the 52 week high point — that compares with a last trade of $55.08. | Among the largest underlying components of SPYG, in trading today Chevron Corporation (Symbol: CVX) is up about 0.1%, Merck & Co Inc (Symbol: MRK) is down about 1.9%, and AbbVie Inc (Symbol: ABBV) is lower by about 8.2%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 Growth ETF (Symbol: SPYG) where we have detected an approximate $199.9 million dollar inflow -- that's a 1.3% increase week over week in outstanding units (from 288,800,000 to 292,450,000). For a complete list of holdings, visit the SPYG Holdings page » The chart below shows the one year price performance of SPYG, versus its 200 day moving average: Looking at the chart above, SPYG's low point in its 52 week range is $47.91 per share, with $62.18 as the 52 week high point — that compares with a last trade of $55.08. |
22611.0 | 2023-04-26 00:00:00 UTC | Drug/Biotech Stocks' Q1 Earnings Due Apr 27: LLY, ABBV & More | ABBV | https://www.nasdaq.com/articles/drug-biotech-stocks-q1-earnings-due-apr-27%3A-lly-abbv-more | nan | nan | The first-quarter 2023 reporting cycle of the Medical sector is about to pick up pace this week. The sector mainly comprises pharma/biotech and medical device companies.
The earnings season for the Medical sector kicked off last week when bellwether Johnson & Johnson reported better-than-expected first-quarter results. It beat estimates for earnings as well as sales. All three segments, Pharmaceutical, MedTech and Consumer Health, delivered a strong performance in the quarter, gaining from solid demand trends for its products. Among the biotechs, Biogen reported its first-quarter results this week, beating estimates on both earnings and revenues. It maintained its previously-issued financial outlook for 2023.
The Earnings Trends report states that as of Apr 19, 8.8% of the companies in the Medical sector — representing 27.5% of the sector’s market capitalization — reported quarterly earnings. 100% of participants have outperformed on both earnings and revenues so far. Earnings decreased 2.4% year over year, while revenues increased 9.8%. Overall, first-quarter earnings of the Medical sector are expected to decline 22.4%, while sales are expected to rise 1% from the year-ago quarter.
Eli Lilly LLY, AbbVie ABBV, Bristol Myers BMY, Merck MRK and Gilead Sciences GILD are scheduled to release first-quarter earnings on Apr 27. While LLY, ABBV, BMY and MRK are set to report before the opening bell, GILD will report after market close.
Let’s see how the biotech/pharma companies mentioned above might have performed in the soon-to-be-reported quarter.
Eli Lilly
Lilly has a mixed earnings track record so far. LLY’s earnings beat estimates in three of the trailing four quarters while missing the mark on one occasion, delivering an average negative surprise of 0.73%. In the last reported quarter, Lilly’s earnings beat estimates by 14.21%.
Our proven model indicates that the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
For the quarter to be reported, Lilly has an Earnings ESP of +0.83% and a Zacks Rank #3, implying a likely earnings surprise. The Zacks Consensus Estimate and our model estimate for adjusted EPS are pegged at $1.73 and $1.63 per share, respectively. You can see the complete list of today’s Zacks #1 Rank stocks here.
In the first quarter, higher demand and volume growth for Lilly’s key drugs, including Trulicity, Taltz, Verzenio, Jardiance and Emgality are likely to have provided top-line support, along with contributions made by newer products like Retevmo and Mounjaro.
Eli Lilly and Company Price and EPS Surprise
Eli Lilly and Company price-eps-surprise | Eli Lilly and Company Quote
AbbVie
AbbVie has an encouraging earnings track record to date. ABBV’s earnings beat estimates in each of the trailing four quarters, delivering an average earnings surprise of 1.66%. In the last reported quarter, AbbVie’s earnings beat estimates by 1.69%.
For the quarter to be reported, AbbVie has an Earnings ESP of -0.71% and a Zacks Rank #3. The Zacks Consensus Estimate and our model estimate for earnings are pegged at $2.45 and $2.40 per share, respectively.
AbbVie’s top line is expected to have been driven by sales of new immunology drugs, Skyrizi and Rinvoq, which registered strong growth in the past few quarters. This trend is expected to have continued in the to-be-reported quarter.
AbbVie Inc. Price and EPS Surprise
AbbVie Inc. price-eps-surprise | AbbVie Inc. Quote
Bristol Myers
Bristol Myers has a decent earnings track record so far. It beat earnings estimates in all the last four quarters, delivering an average earnings surprise of 6.27%. In the last reported quarter, BMY beat earnings estimates by 6.43%.
For the quarter to be reported, Bristol Myers has an Earnings ESP of +0.28% and a Zacks Rank #3, implying a likely earnings surprise. The Zacks Consensus Estimate and our model estimate for earnings are pegged at $1.98 and $1.94 per share, respectively.
BMY’s first-quarter revenues are likely to have been driven by improving growth trends of key drugs, Eliquis, Opdivo, Pomalyst, Orencia and Yervoy. Contributions from new drugs like Reblozyl and Opdualag are also likely to have boosted the top line.
Our previous article showed that BMY did not have the favorable combination to beat earnings in the soon-to-be-reported quarter. However, estimates changed thereafter and we are more certain of a beat now.
Bristol Myers Squibb Company Price and EPS Surprise
Bristol Myers Squibb Company price-eps-surprise | Bristol Myers Squibb Company Quote
Merck
Merck has an encouraging earnings track record to date. It beat earnings estimates in each of the last four quarters, delivering an average earnings surprise of 11.21%. In the last reported quarter, MRK beat earnings estimates by 3.85%.
For the quarter to be reported, Merck has an Earnings ESP of -0.72% and a Zacks Rank #3. The Zacks Consensus Estimate and our model estimate for earnings are pegged at $1.34 and $1.41 per share, respectively.
Strong global underlying demand across its business, particularly for cancer drug Keytruda and HPV vaccine, Gardasil, are likely to have boosted sales growth in the first quarter like several previous quarters.
Merck & Co., Inc. Price and EPS Surprise
Merck & Co., Inc. price-eps-surprise | Merck & Co., Inc. Quote
Gilead Sciences
Gilead boasts an excellent earnings track record so far. It beat earnings estimates in each of the last four quarters, delivering an average earnings surprise of 16.92%. In the last reported quarter, GILD beat earnings estimates by 11.33%.
For the quarter to be reported, Gilead has an Earnings ESP of -6.48% and a Zacks Rank #3. The Zacks Consensus Estimate and our model estimate for earnings are pegged at $1.63 and $1.50 per share, respectively.
Gilead’s increased sales in oncology, HIV and hepatitis C virus drugs, partially offset by lower Veklury (remdesivir) sales, are expected to have driven revenues in the first quarter.
Our previous article showed that GILD had the favorable combination to beat earnings in the soon-to-be-reported quarter. However, estimates changed thereafter and we are not certain of a beat now.
Gilead Sciences, Inc. Price and EPS Surprise
Gilead Sciences, Inc. price-eps-surprise | Gilead Sciences, Inc. Quote
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Eli Lilly LLY, AbbVie ABBV, Bristol Myers BMY, Merck MRK and Gilead Sciences GILD are scheduled to release first-quarter earnings on Apr 27. AbbVie’s top line is expected to have been driven by sales of new immunology drugs, Skyrizi and Rinvoq, which registered strong growth in the past few quarters. While LLY, ABBV, BMY and MRK are set to report before the opening bell, GILD will report after market close. | Eli Lilly and Company Price and EPS Surprise Eli Lilly and Company price-eps-surprise | Eli Lilly and Company Quote AbbVie AbbVie has an encouraging earnings track record to date. Click to get this free report Bristol Myers Squibb Company (BMY) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report Gilead Sciences, Inc. (GILD) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly LLY, AbbVie ABBV, Bristol Myers BMY, Merck MRK and Gilead Sciences GILD are scheduled to release first-quarter earnings on Apr 27. | Click to get this free report Bristol Myers Squibb Company (BMY) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report Gilead Sciences, Inc. (GILD) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Eli Lilly LLY, AbbVie ABBV, Bristol Myers BMY, Merck MRK and Gilead Sciences GILD are scheduled to release first-quarter earnings on Apr 27. While LLY, ABBV, BMY and MRK are set to report before the opening bell, GILD will report after market close. | In the last reported quarter, AbbVie’s earnings beat estimates by 1.69%. Eli Lilly LLY, AbbVie ABBV, Bristol Myers BMY, Merck MRK and Gilead Sciences GILD are scheduled to release first-quarter earnings on Apr 27. While LLY, ABBV, BMY and MRK are set to report before the opening bell, GILD will report after market close. |
22612.0 | 2023-04-26 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-19 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
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About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22613.0 | 2023-04-26 00:00:00 UTC | Earnings Beat In The Cards For Merck Stock? | ABBV | https://www.nasdaq.com/articles/earnings-beat-in-the-cards-for-merck-stock | nan | nan | Merck (NYSE: MRK) will report its Q1 2023 results on Thursday, April 27. We expect MRK stock to trade higher, with its revenue and earnings expected to be above the street estimates. Although the company should benefit from continued market share gains for Keytruda and Gardasil, among other products, forex headwinds and generic competition for some of its drugs, including Januvia/Janumet, may weigh on its overall performance. MRK stock is up 4% this year, underperforming the broader indices, with the S&P500 index rising 8%. After its recent rise, we find MRK stock is fully valued, as discussed below. Our interactive dashboard analysis on Merck’s Earnings Preview has additional details.
(1) Revenues expected to be above the consensus estimates
Trefis estimates Merck’s Q1 2023 revenues to be $13.9 billion, reflecting a 13% y-o-y decline and slightly above the $13.8 billion consensus estimate.
Market share gains will likely continue to drive revenue growth for Keytruda and Gardasil. However, prior-year quarter sales included a $3.2 billion contribution from its Covid-19 antiviral drug Lagevrio, which will likely garner less than $1 billion in Q1 2023, impacting the overall sales growth for Merck.
Looking at Q4 2022, Merck reported revenue of $13.8 billion, reflecting a 2% y-o-y growth, driven by a 19% rise in Keytruda sales to $5.5 billion, while Gardasil sales were down 4% to $1.5 billion.
Merck’s diabetes drugs – Januvia/Janumet – now face generic competition in Europe and the Asia Pacific, likely resulting in a deep cut in sales in Q1. These drugs saw a significant 34% y-o-y fall in sales in Q4 2022.
Our dashboard on Merck Revenues offers details on the company’s segments.
(2) EPS expected to be above the consensus estimates
Merck’s Q1 2023 adjusted earnings per share (EPS) is expected to be $1.36 per Trefis analysis, higher than the consensus estimate of $1.32. This compares with the $2.14 figure the company reported in the prior-year quarter.
Merck’s adjusted net income of $4.1 billion in Q4 2022 reflected a 10% fall from its $4.6 billion figure in the prior-year quarter due to higher R&D expenses.
For the full year 2023, we expect the adjusted EPS to be lower at $6.95, compared to $7.48 in 2022.
(3) MRK stock is fully valued
We estimate Merck’s Valuation to be $116 per share, aligning with its current market price.
At its current levels, MRK is trading a forward P/E multiple of 17x based on our EPS forecast of $6.95 in 2023, slightly higher than the last three-year average of 14x, implying that MRK stock is fully priced.
However, if the company reports upbeat results, along with the 2023 guidance better than the street estimates, the P/E multiple will likely be revised upward, resulting in higher levels for MRK stock.
While MRK stock looks reasonably priced, it is helpful to see how Merck’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Furthermore, the Covid-19 crisis has created many pricing discontinuities which can offer attractive trading opportunities. For example, you’ll be surprised at how counter-intuitive the stock valuation is for Xylem vs. Merck.
Despite inflation rising and the Fed raising interest rates, Merck stock has risen 4% this year. But can it drop from here? See how low Merck stock can go by comparing its decline in previous market crashes. Here is a performance summary of all stocks in previous market crashes.
What if you’re looking for a more balanced portfolio instead? Our high-quality portfolio and multi-strategy portfolio have beaten the market consistently since the end of 2016.
Returns Apr 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
MRK Return 9% 4% 97%
S&P 500 Return 1% 8% 85%
Trefis Multi-Strategy Portfolio 1% 9% 244%
[1] Month-to-date and year-to-date as of 4/25/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
See all Trefis Price Estimates
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Although the company should benefit from continued market share gains for Keytruda and Gardasil, among other products, forex headwinds and generic competition for some of its drugs, including Januvia/Janumet, may weigh on its overall performance. Merck’s diabetes drugs – Januvia/Janumet – now face generic competition in Europe and the Asia Pacific, likely resulting in a deep cut in sales in Q1. (3) MRK stock is fully valued We estimate Merck’s Valuation to be $116 per share, aligning with its current market price. | (1) Revenues expected to be above the consensus estimates Trefis estimates Merck’s Q1 2023 revenues to be $13.9 billion, reflecting a 13% y-o-y decline and slightly above the $13.8 billion consensus estimate. Looking at Q4 2022, Merck reported revenue of $13.8 billion, reflecting a 2% y-o-y growth, driven by a 19% rise in Keytruda sales to $5.5 billion, while Gardasil sales were down 4% to $1.5 billion. (2) EPS expected to be above the consensus estimates Merck’s Q1 2023 adjusted earnings per share (EPS) is expected to be $1.36 per Trefis analysis, higher than the consensus estimate of $1.32. | (1) Revenues expected to be above the consensus estimates Trefis estimates Merck’s Q1 2023 revenues to be $13.9 billion, reflecting a 13% y-o-y decline and slightly above the $13.8 billion consensus estimate. Looking at Q4 2022, Merck reported revenue of $13.8 billion, reflecting a 2% y-o-y growth, driven by a 19% rise in Keytruda sales to $5.5 billion, while Gardasil sales were down 4% to $1.5 billion. Total [2] MRK Return 9% 4% 97% S&P 500 Return 1% 8% 85% Trefis Multi-Strategy Portfolio 1% 9% 244% [1] Month-to-date and year-to-date as of 4/25/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | This compares with the $2.14 figure the company reported in the prior-year quarter. (3) MRK stock is fully valued We estimate Merck’s Valuation to be $116 per share, aligning with its current market price. Total [2] MRK Return 9% 4% 97% S&P 500 Return 1% 8% 85% Trefis Multi-Strategy Portfolio 1% 9% 244% [1] Month-to-date and year-to-date as of 4/25/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
22614.0 | 2023-04-25 00:00:00 UTC | This Supercharged Dividend King Stock Might Soon Run Out of Steam | ABBV | https://www.nasdaq.com/articles/this-supercharged-dividend-king-stock-might-soon-run-out-of-steam | nan | nan | AbbVie (NYSE: ABBV) has been a top growth and passive-income machine for investors since splitting off from parent company Abbott Laboratories (NYSE: ABT) in 2013. Speaking to this point, the drugmaker has grown its annual revenue by a healthy 215% and its dividend payout by 270% since becoming an independent entity.
As a result of its rapid top-line growth and ever-rising dividend payout, AbbVie has been one of the best-performing Dividend King stocks over the past 10 years. To wit: The company's shares have delivered a staggering 637% total return on capital (when including dividends) over this period.
Image source: Getty Images.
As a refresher, a Dividend King is a company that has raised its payout for at least 50 consecutive years. AbbVie falls into this bucket thanks, in part, to Abbott's long track record of annual dividend increases.
AbbVie's success has centered around the anti-inflammatory biologic medicine Humira, which has topped $20 billion in annual sales each of the past three years. It accounted for 37% of the company's total net revenue in 2022.
The end of an era
Humira's sales are in sunset mode due to the therapy's recent patent expirations in both the E.U. and the United States. To overcome this headwind, the company has been rapidly expanding the approved indications for its interleukin-23 (IL-23) inhibitor Skyrizi, as well as the reversible JAK inhibitor Rinvoq.
Taken together, AbbVie expects these two next-generation immunology products to generate over $17.5 billion in annual sales by 2025. What's more, these two drugs are expected to eventually exceed Humira's peak sales in the back half of the current decade.
If true, Humira's anticipated sales decline over the next three years won't be all that big a deal for shareholders. The good news is that management has given shareholders some solid reasons to believe in its ability to maintain a top-shelf position in immunology, despite this key patent expiration.
For example, it has consistently faced fierce competitive threats in immunology from elite drugmakers such as Bristol-Myers Squibb, Johnson & Johnson, Pfizer, and Takeda Pharmaceutical. While some of these rivals have carved out a profitable niche in this $200-billion-a-year space, AbbVie has nonetheless maintained a top-shelf market share in several key indications, such as rheumatoid arthritis and inflammatory bowel disease (IBD), among others.
A new competitive threat could flip the script
AbbVie's dominance in immunology might nevertheless wane in the back half of the decade. The key reason is Merck's (NYSE: MRK) decision to lean into immunology through a $10.8 billion buyout of Prometheus Biosciences (NASDAQ: RXDX). This buyout centers around a novel anti-inflammatory medicine known as a tumor necrosis factor-like ligand 1A (TL1A). Merck's newly acquired TL1A therapeutic is currently dubbed PRA023.
This drug is presently in trials for ulcerative colitis and Crohn's disease, two common forms of IBD. However, a deeper dive shows the drug could have a best-in-class efficacy profile in several other immune-mediated diseases such as rheumatoid arthritis, psoriatic arthritis, and ankylosing spondylitis.
AbbVie, for its part, is relying on these additional indications to push its next-generation immunology meds beyond Humira's high-water point from a commercial standpoint. If Merck does indeed pursue these indications with PRA023, as most industry insiders expect, AbbVie might have to contend with a serious competitive threat to its immunology franchise in the second half of the decade.
AbbVie has other problems, too
In 2015, AbbVie paid $21 billion to acquire the groundbreaking blood-cancer medicine Imbruvica. Although the drug has indeed been a star from a growth standpoint since this deal took place, Imbruvica's sales have started to falter in response to the launch of new competitors in the space. In the most recent quarter, for instance, global Imbruvica sales fell by a worrisome 19.5%. It was originally billed as a key pillar for growth in the post-Humira environment for the drugmaker, but that thesis might no longer hold water.
And AbbVie spent a whopping $63 billion for the medical-aesthetic specialist Allergan in 2020. This deal, in many ways, centered around the wrinkle treatment Botox. Like Imbruvica, Botox has been a key growth product for AbbVie since this transaction. Again, though, it is also facing new competitive threats that could undermine its commercial opportunity in the near future.
More importantly, though, AbbVie's decision to buy additional revenue through these two high-dollar deals wasn't exactly budget friendly. At last count, the company had more than $63 billion in outstanding debt on its balance sheet.
While the drugmaker has been quickly de-leveraging in recent years, the bulk of the cash flows responsible for AbbVie's ability to do so have stemmed mainly from Humira. With Humira, Imbruvica, and Botox sales under threat, it might become harder for the company to carry out its de-leveraging plan within the next two to three years.
ABBV total long-term debt (annual) data by YCharts.
The big picture
AbbVie's management has earned a vote of confidence from shareholders. Its collective ability to shepherd Humira to the pinnacle of the immunology world in the face of enormous competition is a rare feat.
In fact, the only other two pharma companies that have maintained an overwhelmingly dominant position in their core area of expertise in the last 20 years are Gilead Sciences in HIV and Vertex Pharmaceuticals in cystic fibrosis. The reason is that rapid innovation in the space makes it nearly impossible to fend off competition forever.
Now, AbbVie has so far stayed ahead of the curve with the advent of Skyrizi and Rinvoq. But Merck and a slew of other companies do appear to have designs on wrestling market share away in the years to come. What's more, AbbVie's high debt load could limit the drugmaker's ability to pursue additional bolt-on acquisitions in the event its post-Humira growth plan starts to unravel.
All told, AbbVie's goal of returning to high levels of top-line growth by 2025 is far from a sure thing. This stated goal will heavily depend on the clinical development of rival therapies in key therapeutic areas such as immunology and oncology, as well as the company's ability to hit on additional value drivers in its earlier-stage pipeline. Since clinical trials are inherently unpredictable, AbbVie's risk-to-reward ratio could be tilting in the wrong direction. Time will tell.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | While some of these rivals have carved out a profitable niche in this $200-billion-a-year space, AbbVie has nonetheless maintained a top-shelf market share in several key indications, such as rheumatoid arthritis and inflammatory bowel disease (IBD), among others. AbbVie (NYSE: ABBV) has been a top growth and passive-income machine for investors since splitting off from parent company Abbott Laboratories (NYSE: ABT) in 2013. As a result of its rapid top-line growth and ever-rising dividend payout, AbbVie has been one of the best-performing Dividend King stocks over the past 10 years. | While some of these rivals have carved out a profitable niche in this $200-billion-a-year space, AbbVie has nonetheless maintained a top-shelf market share in several key indications, such as rheumatoid arthritis and inflammatory bowel disease (IBD), among others. AbbVie (NYSE: ABBV) has been a top growth and passive-income machine for investors since splitting off from parent company Abbott Laboratories (NYSE: ABT) in 2013. As a result of its rapid top-line growth and ever-rising dividend payout, AbbVie has been one of the best-performing Dividend King stocks over the past 10 years. | As a result of its rapid top-line growth and ever-rising dividend payout, AbbVie has been one of the best-performing Dividend King stocks over the past 10 years. AbbVie's success has centered around the anti-inflammatory biologic medicine Humira, which has topped $20 billion in annual sales each of the past three years. AbbVie has other problems, too In 2015, AbbVie paid $21 billion to acquire the groundbreaking blood-cancer medicine Imbruvica. | As a result of its rapid top-line growth and ever-rising dividend payout, AbbVie has been one of the best-performing Dividend King stocks over the past 10 years. Like Imbruvica, Botox has been a key growth product for AbbVie since this transaction. AbbVie (NYSE: ABBV) has been a top growth and passive-income machine for investors since splitting off from parent company Abbott Laboratories (NYSE: ABT) in 2013. |
22615.0 | 2023-04-25 00:00:00 UTC | Health Care Sector Update for 04/25/2023: ENTA, ABBV, TCON, IMAB, BIIB, ABUS | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-for-04-25-2023%3A-enta-abbv-tcon-imab-biib-abus | nan | nan | Health care stocks were lower late Tuesday afternoon, with the NYSE Health Care Index falling 0.7% and the Health Care Select Sector SPDR Fund (XLV) down 1.1%.
The iShares Biotechnology ETF (IBB) was decreasing 1.9%.
In company news, Enanta Pharmaceuticals (ENTA) said it sold its 54.5% of future royalty payments from AbbVie (ABBV) on global sales of Mavyret/Maviret to OMERS, a Canadian pension fund, for $200 million. Enanta shares were down 4.4%.
Tracon Pharmaceuticals (TCON) shares dropped 47% after the company said the tribunal in the arbitration against I-Mab (IMAB) conducted under the arbitration of the International Chamber of Commerce awarded Tracon about $23 million. I-Mab in a separate statement called the outcome "positive." I-Mab shares were down 1.6%.
Biogen (BIIB) fell 3.6% after Chief Executive Christopher Viehbacher said the company has initiated an additional program to cut costs.
Arbutus Biopharma (ABUS) said it has been verbally notified that the US Food and Drug Administration has placed on clinical hold its investigational new drug application for its hepatitis B drug candidate, AB-101. The company's shares fell 12%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In company news, Enanta Pharmaceuticals (ENTA) said it sold its 54.5% of future royalty payments from AbbVie (ABBV) on global sales of Mavyret/Maviret to OMERS, a Canadian pension fund, for $200 million. Tracon Pharmaceuticals (TCON) shares dropped 47% after the company said the tribunal in the arbitration against I-Mab (IMAB) conducted under the arbitration of the International Chamber of Commerce awarded Tracon about $23 million. Biogen (BIIB) fell 3.6% after Chief Executive Christopher Viehbacher said the company has initiated an additional program to cut costs. | In company news, Enanta Pharmaceuticals (ENTA) said it sold its 54.5% of future royalty payments from AbbVie (ABBV) on global sales of Mavyret/Maviret to OMERS, a Canadian pension fund, for $200 million. Health care stocks were lower late Tuesday afternoon, with the NYSE Health Care Index falling 0.7% and the Health Care Select Sector SPDR Fund (XLV) down 1.1%. The company's shares fell 12%. | In company news, Enanta Pharmaceuticals (ENTA) said it sold its 54.5% of future royalty payments from AbbVie (ABBV) on global sales of Mavyret/Maviret to OMERS, a Canadian pension fund, for $200 million. Health care stocks were lower late Tuesday afternoon, with the NYSE Health Care Index falling 0.7% and the Health Care Select Sector SPDR Fund (XLV) down 1.1%. Tracon Pharmaceuticals (TCON) shares dropped 47% after the company said the tribunal in the arbitration against I-Mab (IMAB) conducted under the arbitration of the International Chamber of Commerce awarded Tracon about $23 million. | In company news, Enanta Pharmaceuticals (ENTA) said it sold its 54.5% of future royalty payments from AbbVie (ABBV) on global sales of Mavyret/Maviret to OMERS, a Canadian pension fund, for $200 million. Enanta shares were down 4.4%. I-Mab shares were down 1.6%. |
22616.0 | 2023-04-25 00:00:00 UTC | Is Global X SuperDividend U.S. ETF (DIV) a Strong ETF Right Now? | ABBV | https://www.nasdaq.com/articles/is-global-x-superdividend-u.s.-etf-div-a-strong-etf-right-now-7 | nan | nan | Launched on 03/11/2013, the Global X SuperDividend U.S. ETF (DIV) is a smart beta exchange traded fund offering broad exposure to the Style Box - All Cap Value category of the market.
What Are Smart Beta ETFs?
For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.
Fund Sponsor & Index
The fund is sponsored by Global X Management. It has amassed assets over $628.49 million, making it one of the larger ETFs in the Style Box - All Cap Value. Before fees and expenses, this particular fund seeks to match the performance of the INDXX SuperDividend U.S. Low Volatility Index.
The INDXX SuperDividend U.S. Low Volatility Index tracks the performance of 50 equally weighted common stocks, MLPs & REITs that rank among the highest dividend yielding equity securities in the US.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.45%.
It has a 12-month trailing dividend yield of 7.20%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
DIV's heaviest allocation is in the Energy sector, which is about 19.20% of the portfolio. Its Utilities and Consumer Staples round out the top three.
When you look at individual holdings, B&g Foods Inc (BGS) accounts for about 2.71% of the fund's total assets, followed by San Juan Basin Royalty Tr (SJT) and Abbvie Inc (ABBV).
Its top 10 holdings account for approximately 22.38% of DIV's total assets under management.
Performance and Risk
So far this year, DIV has lost about -5.83%, and is down about -11.89% in the last one year (as of 04/25/2023). During this past 52-week period, the fund has traded between $16.61 and $21.19.
The ETF has a beta of 1.02 and standard deviation of 17.37% for the trailing three-year period, making it a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk.
Alternatives
Global X SuperDividend U.S. ETF is a reasonable option for investors seeking to outperform the Style Box - All Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
WBI Power Factor High Dividend ETF (WBIY) tracks Solactive Power Factor High Dividend Index and the Global X SuperDividend ETF (SDIV) tracks Solactive Global SuperDividend Index. WBI Power Factor High Dividend ETF has $76.68 million in assets, Global X SuperDividend ETF has $752.42 million. WBIY has an expense ratio of 0.70% and SDIV charges 0.58%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - All Cap Value.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Global X SuperDividend U.S. ETF (DIV): ETF Research Reports
B&G Foods, Inc. (BGS) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
Global X SuperDividend ETF (SDIV): ETF Research Reports
WBI Power Factor High Dividend ETF (WBIY): ETF Research Reports
San Juan Basin Royalty Trust (SJT) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | When you look at individual holdings, B&g Foods Inc (BGS) accounts for about 2.71% of the fund's total assets, followed by San Juan Basin Royalty Tr (SJT) and Abbvie Inc (ABBV). Click to get this free report Global X SuperDividend U.S. ETF (DIV): ETF Research Reports B&G Foods, Inc. (BGS) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Global X SuperDividend ETF (SDIV): ETF Research Reports WBI Power Factor High Dividend ETF (WBIY): ETF Research Reports San Juan Basin Royalty Trust (SJT) : Free Stock Analysis Report To read this article on Zacks.com click here. Launched on 03/11/2013, the Global X SuperDividend U.S. ETF (DIV) is a smart beta exchange traded fund offering broad exposure to the Style Box - All Cap Value category of the market. | Click to get this free report Global X SuperDividend U.S. ETF (DIV): ETF Research Reports B&G Foods, Inc. (BGS) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Global X SuperDividend ETF (SDIV): ETF Research Reports WBI Power Factor High Dividend ETF (WBIY): ETF Research Reports San Juan Basin Royalty Trust (SJT) : Free Stock Analysis Report To read this article on Zacks.com click here. When you look at individual holdings, B&g Foods Inc (BGS) accounts for about 2.71% of the fund's total assets, followed by San Juan Basin Royalty Tr (SJT) and Abbvie Inc (ABBV). WBI Power Factor High Dividend ETF (WBIY) tracks Solactive Power Factor High Dividend Index and the Global X SuperDividend ETF (SDIV) tracks Solactive Global SuperDividend Index. | Click to get this free report Global X SuperDividend U.S. ETF (DIV): ETF Research Reports B&G Foods, Inc. (BGS) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Global X SuperDividend ETF (SDIV): ETF Research Reports WBI Power Factor High Dividend ETF (WBIY): ETF Research Reports San Juan Basin Royalty Trust (SJT) : Free Stock Analysis Report To read this article on Zacks.com click here. When you look at individual holdings, B&g Foods Inc (BGS) accounts for about 2.71% of the fund's total assets, followed by San Juan Basin Royalty Tr (SJT) and Abbvie Inc (ABBV). WBI Power Factor High Dividend ETF (WBIY) tracks Solactive Power Factor High Dividend Index and the Global X SuperDividend ETF (SDIV) tracks Solactive Global SuperDividend Index. | When you look at individual holdings, B&g Foods Inc (BGS) accounts for about 2.71% of the fund's total assets, followed by San Juan Basin Royalty Tr (SJT) and Abbvie Inc (ABBV). Click to get this free report Global X SuperDividend U.S. ETF (DIV): ETF Research Reports B&G Foods, Inc. (BGS) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Global X SuperDividend ETF (SDIV): ETF Research Reports WBI Power Factor High Dividend ETF (WBIY): ETF Research Reports San Juan Basin Royalty Trust (SJT) : Free Stock Analysis Report To read this article on Zacks.com click here. However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta. |
22617.0 | 2023-04-25 00:00:00 UTC | Should SPDR Portfolio S&P 500 High Dividend ETF (SPYD) Be on Your Investing Radar? | ABBV | https://www.nasdaq.com/articles/should-spdr-portfolio-sp-500-high-dividend-etf-spyd-be-on-your-investing-radar-6 | nan | nan | Looking for broad exposure to the Large Cap Value segment of the US equity market? You should consider the SPDR Portfolio S&P 500 High Dividend ETF (SPYD), a passively managed exchange traded fund launched on 10/21/2015.
The fund is sponsored by State Street Global Advisors. It has amassed assets over $6.77 billion, making it one of the larger ETFs attempting to match the Large Cap Value segment of the US equity market.
Why Large Cap Value
Companies that find themselves in the large cap category typically have a market capitalization above $10 billion. Overall, they are usually a stable option, with less risk and more sure-fire cash flows than mid and small cap companies.
Carrying lower than average price-to-earnings and price-to-book ratios, value stocks also have lower than average sales and earnings growth rates. Looking at their long-term performance, value stocks have outperformed growth stocks in almost all markets. They are however likely to underperform growth stocks in strong bull markets.
Costs
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.07%, making it one of the least expensive products in the space.
It has a 12-month trailing dividend yield of 4.52%.
Sector Exposure and Top Holdings
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Financials sector--about 19.20% of the portfolio. Utilities and Real Estate round out the top three.
Looking at individual holdings, Abbvie Inc. (ABBV) accounts for about 1.50% of total assets, followed by Pinnacle West Capital Corporation (PNW) and Packaging Corporation Of America (PKG).
The top 10 holdings account for about 13.31% of total assets under management.
Performance and Risk
SPYD seeks to match the performance of the S&P 500 High Dividend Index before fees and expenses. The S&P 500 High Dividend Index is designed to measure the performance of the top 80 dividend-paying securities listed on the S&P 500 Index, based on dividend yield.
The ETF has lost about -3.09% so far this year and is down about -10.05% in the last one year (as of 04/25/2023). In the past 52-week period, it has traded between $35.47 and $44.96.
The ETF has a beta of 0.98 and standard deviation of 22.13% for the trailing three-year period, making it a medium risk choice in the space. With about 82 holdings, it effectively diversifies company-specific risk.
Alternatives
SPDR Portfolio S&P 500 High Dividend ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, SPYD is an outstanding option for investors seeking exposure to the Style Box - Large Cap Value segment of the market. There are other additional ETFs in the space that investors could consider as well.
The iShares Russell 1000 Value ETF (IWD) and the Vanguard Value ETF (VTV) track a similar index. While iShares Russell 1000 Value ETF has $50.57 billion in assets, Vanguard Value ETF has $102.70 billion. IWD has an expense ratio of 0.18% and VTV charges 0.04%.
Bottom-Line
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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SPDR Portfolio S&P 500 High Dividend ETF (SPYD): ETF Research Reports
Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report
Packaging Corporation of America (PKG) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
Vanguard Value ETF (VTV): ETF Research Reports
iShares Russell 1000 Value ETF (IWD): ETF Research Reports
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Looking at individual holdings, Abbvie Inc. (ABBV) accounts for about 1.50% of total assets, followed by Pinnacle West Capital Corporation (PNW) and Packaging Corporation Of America (PKG). Click to get this free report SPDR Portfolio S&P 500 High Dividend ETF (SPYD): ETF Research Reports Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report Packaging Corporation of America (PKG) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. You should consider the SPDR Portfolio S&P 500 High Dividend ETF (SPYD), a passively managed exchange traded fund launched on 10/21/2015. | Looking at individual holdings, Abbvie Inc. (ABBV) accounts for about 1.50% of total assets, followed by Pinnacle West Capital Corporation (PNW) and Packaging Corporation Of America (PKG). Click to get this free report SPDR Portfolio S&P 500 High Dividend ETF (SPYD): ETF Research Reports Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report Packaging Corporation of America (PKG) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. You should consider the SPDR Portfolio S&P 500 High Dividend ETF (SPYD), a passively managed exchange traded fund launched on 10/21/2015. | Click to get this free report SPDR Portfolio S&P 500 High Dividend ETF (SPYD): ETF Research Reports Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report Packaging Corporation of America (PKG) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Abbvie Inc. (ABBV) accounts for about 1.50% of total assets, followed by Pinnacle West Capital Corporation (PNW) and Packaging Corporation Of America (PKG). Alternatives SPDR Portfolio S&P 500 High Dividend ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. | Click to get this free report SPDR Portfolio S&P 500 High Dividend ETF (SPYD): ETF Research Reports Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report Packaging Corporation of America (PKG) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Abbvie Inc. (ABBV) accounts for about 1.50% of total assets, followed by Pinnacle West Capital Corporation (PNW) and Packaging Corporation Of America (PKG). Annual operating expenses for this ETF are 0.07%, making it one of the least expensive products in the space. |
22618.0 | 2023-04-24 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-18 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
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Harry Browne Permanent Portfolio
Ray Dalio All Weather Portfolio
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22619.0 | 2023-04-24 00:00:00 UTC | Can Amgen (AMGN) Keep the Earnings Streak Alive in Q1? | ABBV | https://www.nasdaq.com/articles/can-amgen-amgn-keep-the-earnings-streak-alive-in-q1 | nan | nan | We expect Amgen AMGN to beat expectations when it reports first-quarter 2023 results on Apr 27, after market close. In the last reported quarter, the company delivered an earnings surprise of 1.24%.
This large biotech’s performance has been strong, with earnings beating estimates in all the trailing four quarters. The company delivered a four-quarter earnings surprise of 3.43%, on average.
Amgen Inc. Price and EPS Surprise
Amgen Inc. price-eps-surprise | Amgen Inc. Quote
Amgen’s stock has declined 3.3% in the past year compared with a decrease of 9.2% for the industry.
Image Source: Zacks Investment Research
Factors to Consider
The first quarter is expected to have been the lowest revenue quarter of the year. Revenues are expected to be slightly below the figure reported for the first quarter of 2022. Product sales are expected to have been flat from the prior-year levels, while other revenues are expected to have been lower on a year-over-year basis due to a decline in revenues from Amgen’s COVID-19 manufacturing collaboration with Eli Lilly.
In the first quarter, volume growth from Amgen key drugs like Prolia, Repatha and Evenity, among others is expected to have driven top-line growth.
In addition, newer drugs like Tezspire and Tavneos are expected to have contributed to top-line growth. Amgen has a partnership with AstraZeneca AZN for Tezspire. In September, AstraZeneca announced that Tezspire was approved in Japan and Europe. Amgen and AstraZeneca share costs and profits equally after payment by AstraZeneca of a mid-single-digit inventor royalty to Amgen. While AstraZeneca leads development, Amgen leads manufacturing.
However, increasing branded and generic competition for its legacy products like Enbrel, Aranesp, Epogen, Neupogen, Neulasta and Sensipar is likely to have hurt the top line. Negative volume and net price trends are likely to have hurt Enbrel’s sales.
Also, pricing pressure, currency headwinds and increased competition are likely to have continued to hurt sales of some drugs as well as biosimilar products. While increased competitive pressure is expected to have hurt Xgeva’s sales, a lower selling price to maintain broad patient access amid rising competition is expected to have hurt Aimovig’s sales.
Sales of Otezla and Enbrel are expected to have been lower in the first quarter per historical trends due to the impact of benefit plan changes, insurance re-verification and increased co-pay expenses as U.S. patients work through deductibles.
Due to this effect, Amgen believes that first-quarter 2023 Otezla sales could be in line with or below first-quarter 2022 sales.
The Zacks Consensus Estimate for Prolia, Xgeva, Blincyto, Repatha, Kyprolis and Evenity sales is pegged at $911 million, $497 million, $156 million, $342 million, $313.0 million and $226 million, respectively.
Our estimates for Prolia, Xgeva, Blincyto, Repatha, Kyprolis and Evenity sales are pegged at $933.9 million, $484.3 million, $139.9 million, $330.5 million, $305.6 million and $245.4 million, respectively.
The Zacks Consensus Estimate for Otezla is $503 million, while our estimate is $503.6 million.
In the fourth quarter, sales of Amgen’s new KRAS inhibitor, Lumakras, declined sequentially due to lower net selling prices, unfavorable changes to estimated sales deductions and an unfavorable one-time adjustment. It remains to be seen if sales improved in the first quarter as the impact of the negative factors is expected to have reversed. The Zacks Consensus Estimate for Lumakras/Lumykras is $91 million, while our estimate is $118.9 million.
Volume decline and price erosion due to increased competition are expected to have hurt its oncology biosimilars, Kanjinti and Mvasi.
In January, Amgen launched Amjevita in the United States at a list price 55% below the current list price set by AbbVie ABBV for Humira. Amgen is the first company to have launched a biosimilar of AbbVie’s Humira in the United States. Investors will be keen to know the sales numbers of Amjevita in the first quarter. Amgen already markets a biosimilar of AbbVie’s Humira, Amgevita, outside the United States.
Adjusted operating margin is expected to be below 50%, as a percentage of product sales, in the first quarter.
Earnings Whispers
Our proven model predicts an earnings beat for Amgen in the to-be-reported quarter. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for a likely positive surprise. This is the case here, as elaborated below.
Earnings ESP: Amgen’s Earnings ESP is +1.82% as the Most Accurate Estimate of $3.91 is higher than the Zacks Consensus Estimate of $3.84. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Amgen has a Zacks Rank #3.
Another Stock to Consider
A large drug stock that has the right combination of elements to beat on earnings this time around is Novo Nordisk NVO. It has an Earnings ESP of +10.71% and a Zacks Rank #1.
Novo Nordisk’s stock has risen 51.8% in the past year. Novo Nordisk topped earnings estimates in three of the last four quarters while missing in one. It has a four-quarter earnings surprise of 3.0%, on average. NVO is scheduled to release its first-quarter results on May 4.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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AstraZeneca PLC (AZN) : Free Stock Analysis Report
Novo Nordisk A/S (NVO) : Free Stock Analysis Report
Amgen Inc. (AMGN) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In January, Amgen launched Amjevita in the United States at a list price 55% below the current list price set by AbbVie ABBV for Humira. Amgen is the first company to have launched a biosimilar of AbbVie’s Humira in the United States. Amgen already markets a biosimilar of AbbVie’s Humira, Amgevita, outside the United States. | Click to get this free report AstraZeneca PLC (AZN) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Amgen Inc. (AMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. In January, Amgen launched Amjevita in the United States at a list price 55% below the current list price set by AbbVie ABBV for Humira. Amgen is the first company to have launched a biosimilar of AbbVie’s Humira in the United States. | Click to get this free report AstraZeneca PLC (AZN) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Amgen Inc. (AMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. In January, Amgen launched Amjevita in the United States at a list price 55% below the current list price set by AbbVie ABBV for Humira. Amgen is the first company to have launched a biosimilar of AbbVie’s Humira in the United States. | In January, Amgen launched Amjevita in the United States at a list price 55% below the current list price set by AbbVie ABBV for Humira. Amgen is the first company to have launched a biosimilar of AbbVie’s Humira in the United States. Amgen already markets a biosimilar of AbbVie’s Humira, Amgevita, outside the United States. |
22620.0 | 2023-04-24 00:00:00 UTC | AbbVie (ABBV) to Report Q1 Earnings: What's in the Cards? | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-to-report-q1-earnings%3A-whats-in-the-cards | nan | nan | AbbVie ABBV will report first-quarter 2023 results on Apr 27, before market open. In the last reported quarter, the company delivered an earnings surprise of 1.69%.
This large drugmaker’s performance has been impressive, with its earnings beating estimates in each of the trailing four quarters. The company has a trailing four-quarter earnings surprise of 1.66%, on average.
AbbVie’s shares have inched up 0.5% so far this year compared with the industry’s 3.3% growth.
Factors to Consider
AbbVie’s top line is expected to have been driven by sales of new immunology drugs, Skyrizi and Rinvoq, which registered strong growth in the past few quarters. This trend is expected to have continued in the to-be-reported quarter. Our model estimates for the sales of Rinvoq and Skyrizi in the first quarter are pegged at $699 million and $1.43 billion, respectively.
Growth in Rinvoq and Skyrizi sales is expected to partially make up for the fall in the flagship drug Humira’s sales. The drug recently lost exclusivity in the United States following the launch of Amgen’s Amjevita, the first U.S. biosimilar to Humira. Many other companies have also developed their own Humira biosimilars, which are expected to be launched at different times throughout this year. Novartis’ generic arm Sandoz is expected to launch its Humira biosimilar Hyrimoz later this July. The impact of these biosimilars on Humira sales will be seen in subsequent quarters. The drug has already lost the exclusivity in ex-U.S. territories following the launch of generics in 2018.
The Zacks Consensus Estimate and our model estimate for Humira are pegged at $3.44 billion and $3.45 billion, respectively.
AbbVie markets Imbruvica in partnership with Johnson & Johnson JNJ and Venclexta in partnership with Roche RHHBY. We expect JNJ-partnered Imbruvica sales to decline due to novel oral therapies hurting the drug’s sales, while Roche-partnered Venclexta sales are likely to rise as new patient starts are expected to improve. Our model estimates for the J&J-partnered drug are pegged at $938 million while our estimates for the Roche-partnered drug stand at $508 million.
In the aesthetics franchise, we expect Botox and Juvederm sales to fall as economic pressure is impacting consumers' discretionary spending. ABBV’s suspension of its aesthetics business operations in Russia also affected the company’s sales, as Russia is a key market for fillers. The Zacks Consensus Estimate and our model estimate for aesthetics product sales is pegged at $1.21 billion and $1.25 billion, respectively.
Sales of the neuroscience franchise have shown strong growth in recent quarters, with additional sales generated by the recently-approved migraine drugs — Ubrelvy and Qulipta. The trend is expected to have continued for the franchise in the soon-to-be-reported quarter. The Zacks Consensus Estimate and our model estimate suggest neuroscience product sales at $1.52 billion and $1.55 billion, respectively.
Investor are likely to forward questions regarding updates on new product launches.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for AbbVie this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Earnings ESP: AbbVie has an Earnings ESP of -1.13% as the Most Accurate Estimate of $2.44 per share is lower than the Zacks Consensus Estimate of $2.46.
Zacks Rank: AbbVie currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Stock to Consider
Here is a large drug stock that has the right combination of elements to beat on earnings this time around:
Novo Nordisk NVO has an Earnings ESP of +10.71% and a Zacks Rank #1.
Novo Nordisk’s stock has surged 27.6% in the year-to-date period. Novo Nordisk beat earnings estimates in three of the last four quarters, while missing the mark on one occasion. Novo Nordisk has delivered an earnings surprise of 3.00%, on average. The company will report its first-quarter results on May 4, before the opening bell.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Roche Holding AG (RHHBY) : Free Stock Analysis Report
Johnson & Johnson (JNJ) : Free Stock Analysis Report
Novo Nordisk A/S (NVO) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Factors to Consider AbbVie’s top line is expected to have been driven by sales of new immunology drugs, Skyrizi and Rinvoq, which registered strong growth in the past few quarters. AbbVie ABBV will report first-quarter 2023 results on Apr 27, before market open. AbbVie’s shares have inched up 0.5% so far this year compared with the industry’s 3.3% growth. | AbbVie markets Imbruvica in partnership with Johnson & Johnson JNJ and Venclexta in partnership with Roche RHHBY. Click to get this free report Roche Holding AG (RHHBY) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV will report first-quarter 2023 results on Apr 27, before market open. | Earnings ESP: AbbVie has an Earnings ESP of -1.13% as the Most Accurate Estimate of $2.44 per share is lower than the Zacks Consensus Estimate of $2.46. Click to get this free report Roche Holding AG (RHHBY) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV will report first-quarter 2023 results on Apr 27, before market open. | Earnings ESP: AbbVie has an Earnings ESP of -1.13% as the Most Accurate Estimate of $2.44 per share is lower than the Zacks Consensus Estimate of $2.46. AbbVie ABBV will report first-quarter 2023 results on Apr 27, before market open. AbbVie’s shares have inched up 0.5% so far this year compared with the industry’s 3.3% growth. |
22621.0 | 2023-04-23 00:00:00 UTC | The Best Stocks to Invest $20,000 in Right Now | ABBV | https://www.nasdaq.com/articles/the-best-stocks-to-invest-%2420000-in-right-now-5 | nan | nan | If you have $20,000 to invest, you could put it all in one stock -- or you could invest across several. I favor buying a few stocks that can each offer you something different. For instance, one may pay you a top-notch dividend, another may offer you a solid track record of earnings growth, and a third might promise the potential for enormous growth ahead.
Healthcare is the perfect place to look for the safety of earnings and dividends -- and the exciting possibilities of growth. How you decide to divide up your investment depends on your appetite for risk. If you're a cautious investor, you should favor dividend stocks and companies that have increased their earnings over time. If you don't mind risk, though, you might put more money into young growth stocks. Let's check out a list to consider.
1. AbbVie
AbbVie (NYSE: ABBV) is a stock you'll like for its earnings and dividend growth over time. We'll talk earnings first. The company sells blockbusters in areas that include immunology, neuroscience, aesthetics, and oncology.
Today, AbbVie's top immunology drug, Humira, is losing exclusivity, but the good news is AbbVie has two other immunology drugs set to compensate -- and extend growth. In fact, AbbVie forecasts that by 2027, Rinvoq and Skyrizi together may generate more than $21 billion in revenue. That would surpass Humira's peak revenue.
As for dividends, AbbVie has lifted its quarterly dividend by 270% since the first payment. Today, AbbVie pays an annual dividend of $5.92 per share at a yield of 3.66%. And AbbVie's policy of raising its dividend year after year suggests your passive income might grow over time if you invest in this top stock.
2. Intuitive Surgical
Intuitive Surgical's (NASDAQ: ISRG) superpower is its moat. The company is the leader, by far, in the robotic surgery market -- and that will probably continue for a very long time.
Why? For two reasons. First, robotic systems are million-dollar investments, so hospitals likely will stick with their investments rather than switch to other products. Second, most doctors train on Intuitive's da Vinci robot. It's likely they'll want to continue with a system they know well.
Over time, this has translated into earnings growth for Intuitive. Another thing to like about Intuitive is that it generates revenue by selling not only robots -- but also the disposable accessories and instruments needed for each procedure. And that equals recurring revenue.
Intuitive also has recently repurchased shares. That's a sign of confidence in its own business -- and should add to our confidence, too.
3. Moderna
Moderna (NASDAQ: MRNA) is one of those companies promising growth on the horizon. Yes, it's seeing a drop in demand for its coronavirus vaccine. But outside of the coronavirus program, Moderna has three candidates in phase 3 studies: vaccines for flu, respiratory syncytial virus (RSV), and cytomegalovirus (CMV).
Each has blockbuster potential and could reach commercialization within the next few years. In fact, Moderna aims to launch the RSV candidate early next year if the regulatory review goes well.
Coronavirus vaccine revenue also is set to bring in billions for Moderna -- even if at a lower level than in the past. The company predicts the market will follow that of the flu, with many going for annual boosters. Moderna is investing in its business right now -- from research to logistics. And all of that could pay off big in a few years. So now is a great time to hop on board.
4. CRISPR Therapeutics
CRISPR Therapeutics (NASDAQ: CRSP) has reached a very exciting moment. The biotech stock recently completed regulatory submissions in the U.S., Europe, and the U.K. for its first potential product. Exa-cel is a gene-editing treatment for two blood disorders: beta thalassemia and sickle cell disease.
Exa-cel could be a big step for CRISPR for two reasons. First, it represents revenue -- and a lot of it. The company will share with partner Vertex Pharmaceuticals. But exa-cel's blockbuster potential means it still could be a significant product, financially, for CRISPR.
Second, exa-cel uses CRISPR's gene-editing technology. An approval would be a vote of confidence from regulators. That bodes well for CRISPR's other candidates and could encourage other companies to license CRISPR's technology for their own uses.
CRISPR also has other candidates in the pipeline, including an immuno-oncology therapy that recently delivered positive data. So exa-cel could be just the start for this innovative biotech company.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie AbbVie (NYSE: ABBV) is a stock you'll like for its earnings and dividend growth over time. Today, AbbVie's top immunology drug, Humira, is losing exclusivity, but the good news is AbbVie has two other immunology drugs set to compensate -- and extend growth. In fact, AbbVie forecasts that by 2027, Rinvoq and Skyrizi together may generate more than $21 billion in revenue. | Today, AbbVie's top immunology drug, Humira, is losing exclusivity, but the good news is AbbVie has two other immunology drugs set to compensate -- and extend growth. AbbVie AbbVie (NYSE: ABBV) is a stock you'll like for its earnings and dividend growth over time. In fact, AbbVie forecasts that by 2027, Rinvoq and Skyrizi together may generate more than $21 billion in revenue. | AbbVie AbbVie (NYSE: ABBV) is a stock you'll like for its earnings and dividend growth over time. And AbbVie's policy of raising its dividend year after year suggests your passive income might grow over time if you invest in this top stock. Today, AbbVie's top immunology drug, Humira, is losing exclusivity, but the good news is AbbVie has two other immunology drugs set to compensate -- and extend growth. | AbbVie AbbVie (NYSE: ABBV) is a stock you'll like for its earnings and dividend growth over time. Today, AbbVie's top immunology drug, Humira, is losing exclusivity, but the good news is AbbVie has two other immunology drugs set to compensate -- and extend growth. In fact, AbbVie forecasts that by 2027, Rinvoq and Skyrizi together may generate more than $21 billion in revenue. |
22622.0 | 2023-04-22 00:00:00 UTC | 3 Top Dividend Kings to Buy for the Long Haul | ABBV | https://www.nasdaq.com/articles/3-top-dividend-kings-to-buy-for-the-long-haul-7 | nan | nan | Investing in Dividend Kings is just one part of a solid long-term strategy. The attraction is that their long history of annual dividend increases (50 consecutive years or more) reflects well on the companies' business growth and stability.
That doesn't mean that they won't see their shares jump or fall; they're not immune to market volatility. It's just that in the long run, they are generally safer bets than most growth stocks that don't provide a dividend, especially since these stocks pay investors to hold on to them.
Johnson & Johnson (NYSE: JNJ), AbbVie (NYSE: ABBV), and Embecta (NASDAQ: EMBC.V) are Dividend Kings that represent good long-term investments. All three offer above-average dividends, and two have delivered triple-digit total returns over the past decade.
JNJ revenue (annual) data by YCharts.
1. Johnson & Johnson is dependable
Johnson & Johnson just announced on April 18 that it was raising its dividend for the 61st consecutive year. The latest boost is 5.3% to $1.19 per share per quarter. The yield at its current price is just under 3%, well above the S&P 500 average of 1.7%. The payout ratio is a little high at 68%, but the company's long history of stable cash flows makes that less concerning.
The biggest knock against Johnson & Johnson is its lack of growth, and that's a fair complaint. Over the past 10 years, the company has grown annual revenue by 33%, well below the 209% that AbbVie has in that time.
However, if you take a deeper look, Johnson & Johnson paid off handsomely for investors over the past decade in total return and earnings per share (EPS). It also remains to be seen how much the company's revenue will grow once it completes its spinoff of its consumer healthcare segment (expected to be later this year), as that segment has had lower profit margins than the company overall.
The stock price is down a little more than 8% this year after it released first-quarter earnings on April 18 showing a $68 million quarterly loss due to a $6.9 billion one-time expense from its talc lawsuits. The company has agreed to pay $8.9 billion to settle the lawsuits, which claim that the companies' talc products caused various illnesses.
Other financial metrics explain why investors consistently stay with the company. In the first quarter, it reported revenue of $24.7 billion, up 5.6% year over year. Its guidance points to an eighth consecutive year of revenue growth, with 2023 revenue estimated between $97.9 billion and $98.9 billion, representing an increase of between 5.5% and 6.5%.
The company has two other segments besides consumer healthcare: medtech and pharmaceuticals. Consumer healthcare is the smallest of the three and will be spun off later this year as a new company, Kenvue. It brought in $3.5 billion in the quarter, up 7.4%, year over year, thanks to better over-the-counter product sales.
The pharmaceuticals segment reported $13.413 billion in revenue, up 4.2% over the same period last year, thanks to improved sales for multiple myeloma drug Darzalex, immunology drug Stelara, and prostate cancer therapy Erleada.
Medtech's sales rose 7.3% year over year to $7.41 billion, driven mainly by improved sales of electrophysiology products, contact lenses, artificial knees, and wound-closure products.
2. AbbVie will rebound quickly
Counting its time before 2013 as part of Abbott Laboratories, AbbVie has raised its dividend for 51 consecutive years, including a boost of 5% this year to $1.48 per share per quarter. The company has increased its dividend by 270% since the spinoff. The yield is around 3.7%, more than double the S&P 500 average. The payout ratio is 41%, which is considered plenty safe.
AbbVie's blockbuster immunology drug Humira brought in $21.2 billion last year, but the company said it expects its sales to decline 37% this year, thanks to the introduction of biosimilar competition in the United States.
For the time being, the drug will still pull in big numbers because, while seven Humira biosimilars are expected in 2023, only one has launched: Amgen's Amjevita.
That biosimilar's top price tag is only 5% less than the $6,922 per month that Humira costs. Amjevita also comes in an unbranded form that costs 55% less than Humira, according to Reuters, but many pharmacy benefit managers will use the pricier version because the pricing system will benefit them.
As Humira's revenue declines, though, the company's other two leading immunology blockbusters, Skyrizi and Rinvoq, will continue to add indications and increase revenue. The two drugs combined for $7.7 billion in sales last year, up 67%.
AbbVie management said it expects the pair to be worth $15 billion in annual sales by 2025. Rinvoq was just approved in Europe to treat Crohn's disease (CD), a type of inflammatory bowel disease (IBD), and the company has said it expects an approval in the U.S. this year for CD as well. The drug is also in phase 3 trials to treat giant cell arteritis (an inflammation of the lining of the arteries) and Takayasu arteritis (inflammation of the aorta, the main artery that carries blood to the heart).
Skyrizi just did well in a phase 3 study to treat ulcerative colitis (UC), which is an IBD that causes damage to the gastrointestinal tract. The company said it is hoping for an approval by the Food and Drug Administration in 2024.
Skyrizi is already approved to treat CD in adults, and between that and UC, more than 1.4 million Americans are affected by the two conditions, according to the Crohn's & Colitis Foundation, so the drug's target group is expanding, along with Rinvoq's.
The company has more than 90 programs in its pipeline, and more than half of those are in phase 2 or phase 3 trials. The company spent deeply on research and development the past few years, including $6.4 billion last year. Eventually, that will pay off.
AbbVie had $13.77 in adjusted annual EPS in 2022, and this year, it expects adjusted EPS to be between $10.70 and $11.10. In 2024, the company said it expects EPS to be no lower than $10.70, and by 2025, it says it expects to get back to revenue growth. While it may take a while for AbbVie to get back to its current numbers, the path there is pretty clear.
3. Embecta is a hidden king
Like AbbVie, Embecta inherited its Dividend King status. The company, which is the global leader in insulin delivery devices for diabetes patients, split off last year from medical device maker Becton, Dickinson & Co., which has increased its dividend for 51 consecutive years.
In the first quarter of fiscal 2023, Embecta reported revenue of $275.7 million, down 4.7% year over year. Net income of $35.2 million was down from $98.8 million a year ago, and EPS of $0.61 fell from $1.73 in the same period in 2022.
But those numbers might be misleading because the company's financial results before its spinoff last year were done on a carve-out basis of accounting, not exactly how Embecta would have done it as a stand-alone company. On top of that, Embecta is still in the transition stage as a new company and has added expenses as it fully separates from Becton, Dickinson.
More importantly, the company is doing better sequentially. First-quarter revenue was up 0.04% over the fourth quarter, and EPS in the first quarter was $0.61, compared to a loss per share of $0.30 in the fourth quarter.
Embecta's quarterly per share dividend is $0.15, which equals a yield of around 2% and means the company technically has increased its dividend for 51 consecutive years. The dividend has plenty of room to grow as the current payout ratio is only 2.2%.
Share prices are down more than 13%, but the growth in the diabetes-care market works in the company's favor. One-in-10 people in the world have been diagnosed with some form of diabetes, and the number of cases is rising, especially in emerging markets, due to an aging population, lifestyle factors, and improved medical care.
According to the International Diabetes Foundation, the number of people living with diabetes is expected to jump to 643 million by 2030 and to 783 million by 2045.
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Jim Halley has positions in AbbVie and Johnson & Johnson. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends Becton, Dickinson & Co. and Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Johnson & Johnson (NYSE: JNJ), AbbVie (NYSE: ABBV), and Embecta (NASDAQ: EMBC.V) are Dividend Kings that represent good long-term investments. Over the past 10 years, the company has grown annual revenue by 33%, well below the 209% that AbbVie has in that time. AbbVie will rebound quickly Counting its time before 2013 as part of Abbott Laboratories, AbbVie has raised its dividend for 51 consecutive years, including a boost of 5% this year to $1.48 per share per quarter. | Johnson & Johnson (NYSE: JNJ), AbbVie (NYSE: ABBV), and Embecta (NASDAQ: EMBC.V) are Dividend Kings that represent good long-term investments. AbbVie will rebound quickly Counting its time before 2013 as part of Abbott Laboratories, AbbVie has raised its dividend for 51 consecutive years, including a boost of 5% this year to $1.48 per share per quarter. AbbVie's blockbuster immunology drug Humira brought in $21.2 billion last year, but the company said it expects its sales to decline 37% this year, thanks to the introduction of biosimilar competition in the United States. | AbbVie's blockbuster immunology drug Humira brought in $21.2 billion last year, but the company said it expects its sales to decline 37% this year, thanks to the introduction of biosimilar competition in the United States. Johnson & Johnson (NYSE: JNJ), AbbVie (NYSE: ABBV), and Embecta (NASDAQ: EMBC.V) are Dividend Kings that represent good long-term investments. Over the past 10 years, the company has grown annual revenue by 33%, well below the 209% that AbbVie has in that time. | Over the past 10 years, the company has grown annual revenue by 33%, well below the 209% that AbbVie has in that time. Johnson & Johnson (NYSE: JNJ), AbbVie (NYSE: ABBV), and Embecta (NASDAQ: EMBC.V) are Dividend Kings that represent good long-term investments. AbbVie will rebound quickly Counting its time before 2013 as part of Abbott Laboratories, AbbVie has raised its dividend for 51 consecutive years, including a boost of 5% this year to $1.48 per share per quarter. |
22623.0 | 2023-04-21 00:00:00 UTC | Noteworthy Friday Option Activity: ABBV, PEN, DE | ABBV | https://www.nasdaq.com/articles/noteworthy-friday-option-activity%3A-abbv-pen-de | nan | nan | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 21,236 contracts have traded so far, representing approximately 2.1 million underlying shares. That amounts to about 50.2% of ABBV's average daily trading volume over the past month of 4.2 million shares. Especially high volume was seen for the $175 strike call option expiring January 19, 2024, with 2,690 contracts trading so far today, representing approximately 269,000 underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $175 strike highlighted in orange:
Penumbra Inc (Symbol: PEN) options are showing a volume of 1,543 contracts thus far today. That number of contracts represents approximately 154,300 underlying shares, working out to a sizeable 49.5% of PEN's average daily trading volume over the past month, of 311,885 shares. Particularly high volume was seen for the $270 strike call option expiring April 21, 2023, with 653 contracts trading so far today, representing approximately 65,300 underlying shares of PEN. Below is a chart showing PEN's trailing twelve month trading history, with the $270 strike highlighted in orange:
And Deere & Co. (Symbol: DE) saw options trading volume of 7,585 contracts, representing approximately 758,500 underlying shares or approximately 48.9% of DE's average daily trading volume over the past month, of 1.6 million shares. Particularly high volume was seen for the $405 strike call option expiring April 21, 2023, with 408 contracts trading so far today, representing approximately 40,800 underlying shares of DE. Below is a chart showing DE's trailing twelve month trading history, with the $405 strike highlighted in orange:
For the various different available expirations for ABBV options, PEN options, or DE options, visit StockOptionsChannel.com.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Especially high volume was seen for the $175 strike call option expiring January 19, 2024, with 2,690 contracts trading so far today, representing approximately 269,000 underlying shares of ABBV. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 21,236 contracts have traded so far, representing approximately 2.1 million underlying shares. That amounts to about 50.2% of ABBV's average daily trading volume over the past month of 4.2 million shares. | Below is a chart showing ABBV's trailing twelve month trading history, with the $175 strike highlighted in orange: Penumbra Inc (Symbol: PEN) options are showing a volume of 1,543 contracts thus far today. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 21,236 contracts have traded so far, representing approximately 2.1 million underlying shares. That amounts to about 50.2% of ABBV's average daily trading volume over the past month of 4.2 million shares. | Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 21,236 contracts have traded so far, representing approximately 2.1 million underlying shares. That amounts to about 50.2% of ABBV's average daily trading volume over the past month of 4.2 million shares. Especially high volume was seen for the $175 strike call option expiring January 19, 2024, with 2,690 contracts trading so far today, representing approximately 269,000 underlying shares of ABBV. | Below is a chart showing DE's trailing twelve month trading history, with the $405 strike highlighted in orange: For the various different available expirations for ABBV options, PEN options, or DE options, visit StockOptionsChannel.com. Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in AbbVie Inc (Symbol: ABBV), where a total of 21,236 contracts have traded so far, representing approximately 2.1 million underlying shares. That amounts to about 50.2% of ABBV's average daily trading volume over the past month of 4.2 million shares. |
22624.0 | 2023-04-21 00:00:00 UTC | Pharma Stock Roundup: JNJ Beats on Q1 Earnings, MRK to Buy RXDX & Other Updates | ABBV | https://www.nasdaq.com/articles/pharma-stock-roundup%3A-jnj-beats-on-q1-earnings-mrk-to-buy-rxdx-other-updates | nan | nan | This week, J&J JNJ began the first-quarter earnings season for the drug and biotech sector with strong results. Merck MRK offered to buy Prometheus Biosciences RXDX for around $10.8 billion. The FDA approved AbbVie’s ABBV Qulipta for chronic migraine indication.
Recap of the Week’s Most Important Stories
J&J Begins Q1 Earnings Season: J&J kickstarted the earnings season for the drug and biotech sector by reporting strong first-quarter results. It beat estimates for earnings as well as sales. All three segments delivered a strong performance in the quarter, with sales rising sequentially over the fourth quarter. The company raised its previously issued financial guidance for 2023. J&J raised its revenue guidance to a range of $97.9 billion to $98.9 billion from $96.9 billion to $97.9 billion. The adjusted earnings per share guidance was raised from a range of $10.45-$10.65 to $10.60-$10.70 per share. J&J also announced a 5.3% increase in the quarterly dividend to $1.19 per share from $1.13 per share.
Merck to Acquire Prometheus Biosciences: Merck announced a definitive agreement to acquire Prometheus Biosciences for $200 per share in cash for a total equity value of approximately $10.8 billion. The deal will add Prometheus’ lead product candidate, PRA023, a humanized monoclonal antibody (mAb). PRA023 is currently being developed in mid-stage studies for the treatment of immune-mediated diseases, including ulcerative colitis (UC), Crohn’s disease (CD) and other autoimmune conditions.
Merck and Moderna announced detailed data from a phase IIb study, which evaluated their personalized cancer vaccine (“PCV”) candidate, mRNA-4157/V940, in patients with stage III/IV melanoma. Earlier data from the study showed that mRNA-4157, when combined with Keytruda led to a statistically significant and clinically meaningful reduction in the risk of disease recurrence or death by 44% compared with Keytruda alone. In the latest data presentation, Moderna and Merck revealed that subsequent to a follow-up period of around two years, 22.4% of patients treated with mRNA-4157/Keytruda combination reported disease recurrence/death compared to 40% in the control arm. Based on a detailed analysis of the above data, management now believes that the mRNA-4157/Keytruda combination has the potential to extend the lives of patients with high-risk melanoma. The companies plan to initiate a phase III study in patients with adjuvant melanoma in 2023.
FDA Approves AbbVie’s Qulipta for Chronic Migraine: The FDA approved AbbVie’s new drug Qulipta (60 mg) for the prevention of chronic migraine in adults. Qulipta is already approved for the preventive treatment of episodic migraine in adults at three different dose levels — 10 mg, 30 mg and 60 mg. With the latest label expansion, Qulipta is now the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent migraine across frequencies, including episodic and chronic migraines. The label-expansion approval is based on data from the phase III PROGRESS study.
The European Commission granted approval to AbbVie’s Rinvoq (upadacitinib – 15 mg and 30 mg) for the treatment of adults with moderately to severely active Crohn's disease. The approval was based on results from two induction studies and one maintenance study. Data from the studies showed that a significantly higher proportion of patients treated with Rinvoq achieved the co-primary endpoints of endoscopic response and clinical remission and the key secondary endpoint of corticosteroid-free clinical remission at weeks 12 and 52 compared to placebo. With the latest approval, Rinvoq is approved for seven indications in the European Union (EU).
The NYSE ARCA Pharmaceutical Index declined 0.93% in the last five trading sessions.
Large Cap Pharmaceuticals Industry 5YR % Return
Large Cap Pharmaceuticals Industry 5YR % Return
Here’s how the eight major stocks performed in the last five trading sessions.
Image Source: Zacks Investment Research
In the last five trading sessions, all the stocks were in the red except Novartis (up 0.4%). Pfizer declined the most (3.9%).
In the past six months, AstraZeneca has risen the most (35.1%), while Pfizer has declined the most (12.5%).
(See the last pharma stock roundup here: FDA Rejects LLY’s Mirikizumab, NVO Ups 2023 Sales & Profit View)
What's Next in the Pharma World?
Watch out for the Q1 results of several large drugmakers and regular pipeline and regulatory updates next week.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The FDA approved AbbVie’s ABBV Qulipta for chronic migraine indication. FDA Approves AbbVie’s Qulipta for Chronic Migraine: The FDA approved AbbVie’s new drug Qulipta (60 mg) for the prevention of chronic migraine in adults. The European Commission granted approval to AbbVie’s Rinvoq (upadacitinib – 15 mg and 30 mg) for the treatment of adults with moderately to severely active Crohn's disease. | FDA Approves AbbVie’s Qulipta for Chronic Migraine: The FDA approved AbbVie’s new drug Qulipta (60 mg) for the prevention of chronic migraine in adults. Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Prometheus Biosciences, Inc. (RXDX) : Free Stock Analysis Report To read this article on Zacks.com click here. The FDA approved AbbVie’s ABBV Qulipta for chronic migraine indication. | FDA Approves AbbVie’s Qulipta for Chronic Migraine: The FDA approved AbbVie’s new drug Qulipta (60 mg) for the prevention of chronic migraine in adults. Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Prometheus Biosciences, Inc. (RXDX) : Free Stock Analysis Report To read this article on Zacks.com click here. The FDA approved AbbVie’s ABBV Qulipta for chronic migraine indication. | The European Commission granted approval to AbbVie’s Rinvoq (upadacitinib – 15 mg and 30 mg) for the treatment of adults with moderately to severely active Crohn's disease. The FDA approved AbbVie’s ABBV Qulipta for chronic migraine indication. FDA Approves AbbVie’s Qulipta for Chronic Migraine: The FDA approved AbbVie’s new drug Qulipta (60 mg) for the prevention of chronic migraine in adults. |
22625.0 | 2023-04-20 00:00:00 UTC | Abbvie Inc Shares Close in on 52-Week High - Market Mover | ABBV | https://www.nasdaq.com/articles/abbvie-inc-shares-close-in-on-52-week-high-market-mover-0 | nan | nan | Abbvie Inc (ABBV) shares closed today at 1.6% below its 52 week high of $165.01, giving the company a market cap of $285B. The stock is currently up 2.0% year-to-date, up 7.2% over the past 12 months, and up 120.6% over the past five years. This week, the Dow Jones Industrial Average fell 0.7%, and the S&P 500 fell 0.4%.
Trading Activity
Trading volume this week was 10.0% lower than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.4.
Technical Indicators
The Relative Strength Index (RSI) on the stock was between 30 and 70.
MACD, a trend-following momentum indicator, indicates a downward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and beats it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and beats it on a 5-year basis
The company share price is the same as the performance of its peers in the Health Care industry sector , beats it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date beats the peer average by -194.0%
The company's stock price performance over the past 12 months beats the peer average by 13.4%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -23.2% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbvie Inc (ABBV) shares closed today at 1.6% below its 52 week high of $165.01, giving the company a market cap of $285B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.4. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70. | Abbvie Inc (ABBV) shares closed today at 1.6% below its 52 week high of $165.01, giving the company a market cap of $285B. This week, the Dow Jones Industrial Average fell 0.7%, and the S&P 500 fell 0.4%. Trading Activity Trading volume this week was 10.0% lower than the 20-day average. | Abbvie Inc (ABBV) shares closed today at 1.6% below its 52 week high of $165.01, giving the company a market cap of $285B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Health Care industry sector , beats it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by -194.0% The company's stock price performance over the past 12 months beats the peer average by 13.4% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -23.2% lower than the average peer. This story was produced by the Kwhen Automated News Generator. | Abbvie Inc (ABBV) shares closed today at 1.6% below its 52 week high of $165.01, giving the company a market cap of $285B. This week, the Dow Jones Industrial Average fell 0.7%, and the S&P 500 fell 0.4%. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70. |
22626.0 | 2023-04-20 00:00:00 UTC | Earnings Preview: AbbVie (ABBV) Q1 Earnings Expected to Decline | ABBV | https://www.nasdaq.com/articles/earnings-preview%3A-abbvie-abbv-q1-earnings-expected-to-decline | nan | nan | Wall Street expects a year-over-year decline in earnings on lower revenues when AbbVie (ABBV) reports results for the quarter ended March 2023. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 27. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on theearnings callwill mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus Estimate
This drugmaker is expected to post quarterly earnings of $2.46 per share in its upcoming report, which represents a year-over-year change of -22.2%.
Revenues are expected to be $12.08 billion, down 10.7% from the year-ago quarter.
Estimate Revisions Trend
The consensus EPS estimate for the quarter has been revised 0.29% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Earnings Whisper
Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for AbbVie?
For AbbVie, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.13%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination makes it difficult to conclusively predict that AbbVie will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?
While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that AbbVie would post earnings of $3.54 per share when it actually produced earnings of $3.60, delivering a surprise of +1.69%.
Over the last four quarters, the company has beaten consensus EPS estimates four times.
Bottom Line
An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
AbbVie doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Wall Street expects a year-over-year decline in earnings on lower revenues when AbbVie (ABBV) reports results for the quarter ended March 2023. How Have the Numbers Shaped Up for AbbVie? For AbbVie, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. | Wall Street expects a year-over-year decline in earnings on lower revenues when AbbVie (ABBV) reports results for the quarter ended March 2023. How Have the Numbers Shaped Up for AbbVie? For AbbVie, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. | For AbbVie, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. Wall Street expects a year-over-year decline in earnings on lower revenues when AbbVie (ABBV) reports results for the quarter ended March 2023. How Have the Numbers Shaped Up for AbbVie? | For AbbVie, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. Wall Street expects a year-over-year decline in earnings on lower revenues when AbbVie (ABBV) reports results for the quarter ended March 2023. How Have the Numbers Shaped Up for AbbVie? |
22627.0 | 2023-04-19 00:00:00 UTC | Is Merck Stock a Screaming Buy After This $11 Billion Acquisition? | ABBV | https://www.nasdaq.com/articles/is-merck-stock-a-screaming-buy-after-this-%2411-billion-acquisition | nan | nan | Earlier this week, Merck (NYSE: MRK) went shopping and purchased the precision-medicine company Prometheus Biosciences (NASDAQ: RXDX) for $200 a share, for a total value of $10.8 billion. The transaction is expected to close in the third quarter of 2023.
The deal centers around PRA023, the late-stage autoimmune disorder therapy poised to enter phase 3 testing for ulcerative colitis and Crohn's disease later this year.
Prior to this deal, Merck was widely expected to add another late-stage asset to its pipeline. The core reason is that the pharma company is barreling toward the patent expiration of its most important commercial asset, Keytruda, in 2028.
Keytruda is a cancer therapy indicated for a wide variety of solid tumors. It generated over a third of the company's total sales in 2022. As such, it was imperative for the company to add high-value assets to its pipeline ahead of this all-important patent expiration.
Image source: Getty Images.
Is Merck's stock a table-pounding buy after this midsize immunology acquisition? Let's dig deeper to find out.
Pros and cons of the deal
On the pro side of the ledger, PRA023's mid-stage data in both ulcerative colitis and Crohn's disease imply that the biologic might turn out to be a best-in-class therapy. Wall Street analysts, in turn, think that if PRA023 can replicate these results (or at least come close) in late-stage trials, it will have a chance at garnering no less than a 10% market share for both indications.
A 10% market share would translate into approximately $2 billion in annual sales as things stand now. But these markets are expected to grow modestly by low single digits over the course of the decade, giving PRA023 a chance to perhaps hit $2.5 billion in peak sales for its lead indications by the end of the decade. If this line holds true, Merck's $10.8 billion investment will prove to be money well spent.
In terms of deep value, Prometheus seemingly had plans to test PRA023 across a wide range of autommune disorders worth over $200 billion in potential sales. Merck, for its part, is likely to accelerate this plan in an effort to transform PRA023 into a franchise-level immunology medication. So, under a best-case scenario, this biologic therapy could one day generate upward of $20 billion in annual sales.
On the con side, Merck will have two entrenched competitors in immunology, AbbVie (NYSE: ABBV) and Johnson & Johnson, along with several other big pharma players in the space. Moreover, Merck has long been more of an oncology, infectious disease, and cardio/metabolic specialist. Immunology, in effect, wasn't the company's biggest strength going into this deal. So competing against the likes of AbbVie on its home turf will be a tough ask, to put it mildly.
The verdict
All things considered, Merck's splash in immunology is very interesting. The drugmaker might have nabbed a top-flight immunology therapy at a steep discount. That being said, there's no guarantee that PRA023's "pipeline in a drug" thesis will pan out or that Merck will be able to wrestle market share away from AbbVie.
After all, there have been multiple challengers to AbbVie's dominance in immunology over the past decade, and no one has really come all that close to rivaling the drugmaker in this field. Consequently, investors might not want to base their buy (or sell) decision for Merck stock on this acquisition quite yet.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | On the con side, Merck will have two entrenched competitors in immunology, AbbVie (NYSE: ABBV) and Johnson & Johnson, along with several other big pharma players in the space. So competing against the likes of AbbVie on its home turf will be a tough ask, to put it mildly. That being said, there's no guarantee that PRA023's "pipeline in a drug" thesis will pan out or that Merck will be able to wrestle market share away from AbbVie. | On the con side, Merck will have two entrenched competitors in immunology, AbbVie (NYSE: ABBV) and Johnson & Johnson, along with several other big pharma players in the space. So competing against the likes of AbbVie on its home turf will be a tough ask, to put it mildly. That being said, there's no guarantee that PRA023's "pipeline in a drug" thesis will pan out or that Merck will be able to wrestle market share away from AbbVie. | On the con side, Merck will have two entrenched competitors in immunology, AbbVie (NYSE: ABBV) and Johnson & Johnson, along with several other big pharma players in the space. So competing against the likes of AbbVie on its home turf will be a tough ask, to put it mildly. That being said, there's no guarantee that PRA023's "pipeline in a drug" thesis will pan out or that Merck will be able to wrestle market share away from AbbVie. | On the con side, Merck will have two entrenched competitors in immunology, AbbVie (NYSE: ABBV) and Johnson & Johnson, along with several other big pharma players in the space. So competing against the likes of AbbVie on its home turf will be a tough ask, to put it mildly. That being said, there's no guarantee that PRA023's "pipeline in a drug" thesis will pan out or that Merck will be able to wrestle market share away from AbbVie. |
22628.0 | 2023-04-19 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-16 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
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Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22629.0 | 2023-04-19 00:00:00 UTC | Noteworthy ETF Inflows: IWB, JPM, CVX, ABBV | ABBV | https://www.nasdaq.com/articles/noteworthy-etf-inflows%3A-iwb-jpm-cvx-abbv | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $216.1 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 126,100,000 to 127,050,000). Among the largest underlying components of IWB, in trading today JPMorgan Chase & Co (Symbol: JPM) is down about 0.3%, Chevron Corporation (Symbol: CVX) is off about 0.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 0.5%. For a complete list of holdings, visit the IWB Holdings page » The chart below shows the one year price performance of IWB, versus its 200 day moving average:
Looking at the chart above, IWB's low point in its 52 week range is $192.01 per share, with $248.99 as the 52 week high point — that compares with a last trade of $226.63. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Free Report: Top 8%+ Dividends (paid monthly)
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
Also see:
BFYT shares outstanding history
Funds Holding PL
OI Insider Buying
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of IWB, in trading today JPMorgan Chase & Co (Symbol: JPM) is down about 0.3%, Chevron Corporation (Symbol: CVX) is off about 0.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 0.5%. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. | Among the largest underlying components of IWB, in trading today JPMorgan Chase & Co (Symbol: JPM) is down about 0.3%, Chevron Corporation (Symbol: CVX) is off about 0.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 0.5%. For a complete list of holdings, visit the IWB Holdings page » The chart below shows the one year price performance of IWB, versus its 200 day moving average: Looking at the chart above, IWB's low point in its 52 week range is $192.01 per share, with $248.99 as the 52 week high point — that compares with a last trade of $226.63. Free Report: Top 8%+ Dividends (paid monthly) Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. | Among the largest underlying components of IWB, in trading today JPMorgan Chase & Co (Symbol: JPM) is down about 0.3%, Chevron Corporation (Symbol: CVX) is off about 0.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 0.5%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $216.1 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 126,100,000 to 127,050,000). For a complete list of holdings, visit the IWB Holdings page » The chart below shows the one year price performance of IWB, versus its 200 day moving average: Looking at the chart above, IWB's low point in its 52 week range is $192.01 per share, with $248.99 as the 52 week high point — that compares with a last trade of $226.63. | Among the largest underlying components of IWB, in trading today JPMorgan Chase & Co (Symbol: JPM) is down about 0.3%, Chevron Corporation (Symbol: CVX) is off about 0.7%, and AbbVie Inc (Symbol: ABBV) is higher by about 0.5%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $216.1 million dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 126,100,000 to 127,050,000). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. |
22630.0 | 2023-04-18 00:00:00 UTC | COWZ ETF: A Cash Cow for Your Portfolio | ABBV | https://www.nasdaq.com/articles/cowz-etf%3A-a-cash-cow-for-your-portfolio | nan | nan | The market is flooded with plenty of growth ETFs, dividend ETFs, and sector-specific ETFs. How about an ETF that takes an entirely different approach? That’s exactly what the Pacer Cash Cows ETF (BATS:COWZ) does, and it has produced phenomenal annualized total returns of ~31% over the past three years (as of the end of the first quarter of 2023). Therefore, let’s break down COWZ and why it could make sense as a core portfolio holding for many investors.
Who Let the COWZ Out?
The Pacer Cash Cows ETF is a $13.5 billion ETF that invests in the top 100 companies in the Russell 1000 index based on their free cash flow (FCF) yield. Free cash flow is simply the cash that a company has left over after it pays for its expenses, interest, taxes, and long-term investments. This cash can then be used to create value for shareholders by being used for share buybacks, dividends, or M&A activity.
Free cash flow yield is simply a company’s free cash flow per share divided by its share price. The higher the free cash flow yield, the more attractive a stock looks on this basis. Some investors feel that looking at free cash flow is superior to using earnings to evaluate stocks because it paints a clearer picture of a company's "true" profitability. This is because management teams can and do make a variety of arbitrary adjustments to a company's earnings with things like amortization and depreciation, but it's harder to do this with a cash flow statement.
Pacer believes that focusing on free cash flow yield indicates “whether a company is producing more cash than it needs to run its businesses, therefore allowing for growth opportunities through other investments.” It says that these companies are more likely to survive turbulent economic times and also more likely to reinvest this spare cash in long-term growth, dividends, and share buybacks.
Track Record
While no strategy is fail-proof, COWZ's strategy seems like a solid one, and it is borne out by the funds’ strong performance over time. At the end of the most recent quarter, COWZ had a loss of 3.9% trailing-year loss (remember that the broader market was in bear-market territory over much of the past year). However, over the past three years, COWZ stock has returned an exceptional 31.1% on an annualized basis, trouncing the returns of the broader market over the same time frame.
This type of remarkable annualized return likely isn’t sustainable over the long term, but zooming further out, even the fund’s five-year annualized return of 12.6% is a fruitful result that beats the S&P 500 (SPX). Further, since its inception, COWZ has produced an annualized total return of 12.9%, a result that most investors, including myself, would be very satisfied with.
Is COWZ Stock a Buy, According to Analysts?
In addition to this strong track record, COWZ enjoys a largely favorable (if unspectacular) view from the analyst community. Analysts collectively give the ETF a Moderate Buy rating, and the average COWZ price target of $55.63 implies 16.5% upside potential from current levels.
Of the 1,132 analyst ratings on COWZ, 51.6% are Buys, 41% are Holds, and 7.4% are Sells.
Cash COWZ
As mentioned earlier, COWZ invests in the top 100 stocks in the Russell 1000 based on free cash flow yield, so it has ample diversification, sporting 101 holdings. Furthermore, the fund caps each investment at 2% of assets, and it rebalances these positions on a frequent basis, so COWZ's top 10 holdings make up just 21.4% of the fund as of right now.
The fund’s top position is oil producer Pioneer Natural Resources (NYSE:PXD), and energy companies, in general, are well-represented in the top 10 (shown below) through oil powerhouses like Occidental Petroleum (NYSE:OXY), Chevron (NYSE:CVX), and ExxonMobil (NYSE:XOM).
This is unsurprising as oil companies are seeing their free cash flows swell because of oil prices that have sustained higher levels over the past several years. Altogether, the energy sector accounts for 36.1% of the fund, making it the sector with the largest weighting in the COWZ ETF.
In addition to energy, there are quite a few large-cap health and pharma stocks in the top 10, including McKesson (NYSE:MCK), AbbVie (NYSE:ABBV), Gilead (NASDAQ:GILD), and Bristol Myers (NYSE:BMY). With a weighting of 18.75%, healthcare is the second-largest sector in COWZ's portfolio.
One additional point of interest about COWZ holdings is that it mostly excludes stocks from the financial sector from its investment universe.
Clearly, Pacer believes that screening for free cash flow yield is a strong way to select holdings, and there is some overlap between Pacer’s criteria and TipRanks’ Smart Score system as five of the top 10 holdings have Smart Scores of 8 or better, which is equivalent to an Outperform rating.
The Smart Score is TipRanks’ proprietary quantitative stock scoring system that evaluates stocks on eight different market factors. The result is data-driven and does not require any human intervention.
Final Thoughts
It’s important to remember that no strategy is guaranteed to outperform over the long term, but COWZ’s strategy of focusing on the top 100 stocks in the Russell 1000 based on FCF yield seems like a sound one, and its results over the last few years are hard to argue with.
One minor risk factor worth mentioning is the fund's outsized weighting towards energy, which exposes it to more risk if oil prices go down. However, this isn't necessarily a negative as valuations in the energy sector are fairly cheap, to begin with, and if you are bullish on oil, then this is a feature, not a bug.
Another thing worth noting is COWZ's expense ratio of 0.49%, which is not high but also not very low. Additionally, the ETF currently has a 2% dividend yield.
To conclude, given its strong track record, ample diversification, and focus on high-quality companies producing strong free cash flows, COWZ looks like a good ETF that can serve as a sturdy building block in investors' portfolios.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In addition to energy, there are quite a few large-cap health and pharma stocks in the top 10, including McKesson (NYSE:MCK), AbbVie (NYSE:ABBV), Gilead (NASDAQ:GILD), and Bristol Myers (NYSE:BMY). That’s exactly what the Pacer Cash Cows ETF (BATS:COWZ) does, and it has produced phenomenal annualized total returns of ~31% over the past three years (as of the end of the first quarter of 2023). This is because management teams can and do make a variety of arbitrary adjustments to a company's earnings with things like amortization and depreciation, but it's harder to do this with a cash flow statement. | In addition to energy, there are quite a few large-cap health and pharma stocks in the top 10, including McKesson (NYSE:MCK), AbbVie (NYSE:ABBV), Gilead (NASDAQ:GILD), and Bristol Myers (NYSE:BMY). The Pacer Cash Cows ETF is a $13.5 billion ETF that invests in the top 100 companies in the Russell 1000 index based on their free cash flow (FCF) yield. Cash COWZ As mentioned earlier, COWZ invests in the top 100 stocks in the Russell 1000 based on free cash flow yield, so it has ample diversification, sporting 101 holdings. | In addition to energy, there are quite a few large-cap health and pharma stocks in the top 10, including McKesson (NYSE:MCK), AbbVie (NYSE:ABBV), Gilead (NASDAQ:GILD), and Bristol Myers (NYSE:BMY). The Pacer Cash Cows ETF is a $13.5 billion ETF that invests in the top 100 companies in the Russell 1000 index based on their free cash flow (FCF) yield. Pacer believes that focusing on free cash flow yield indicates “whether a company is producing more cash than it needs to run its businesses, therefore allowing for growth opportunities through other investments.” It says that these companies are more likely to survive turbulent economic times and also more likely to reinvest this spare cash in long-term growth, dividends, and share buybacks. | In addition to energy, there are quite a few large-cap health and pharma stocks in the top 10, including McKesson (NYSE:MCK), AbbVie (NYSE:ABBV), Gilead (NASDAQ:GILD), and Bristol Myers (NYSE:BMY). The Pacer Cash Cows ETF is a $13.5 billion ETF that invests in the top 100 companies in the Russell 1000 index based on their free cash flow (FCF) yield. This is unsurprising as oil companies are seeing their free cash flows swell because of oil prices that have sustained higher levels over the past several years. |
22631.0 | 2023-04-18 00:00:00 UTC | AbbVie (ABBV) Stock Sinks As Market Gains: What You Should Know | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-stock-sinks-as-market-gains%3A-what-you-should-know-9 | nan | nan | AbbVie (ABBV) closed at $159.59 in the latest trading session, marking a -0.99% move from the prior day. This move lagged the S&P 500's daily gain of 0.09%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 2.51%.
Coming into today, shares of the drugmaker had gained 3.24% in the past month. In that same time, the Medical sector gained 6.47%, while the S&P 500 gained 6.17%.
Investors will be hoping for strength from AbbVie as it approaches its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.47 per share. This would mark a year-over-year decline of 21.84%. Our most recent consensus estimate is calling for quarterly revenue of $12.08 billion, down 10.74% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.96 per share and revenue of $52.45 billion, which would represent changes of -20.41% and -9.66%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for AbbVie. These revisions help to show the ever-changing nature of near-term business trends. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 0.46% lower. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AbbVie currently has a Forward P/E ratio of 14.7. Its industry sports an average Forward P/E of 14.87, so we one might conclude that AbbVie is trading at a discount comparatively.
We can also see that ABBV currently has a PEG ratio of 3.68. 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. ABBV's industry had an average PEG ratio of 1.84 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 41, putting it in the top 17% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) closed at $159.59 in the latest trading session, marking a -0.99% move from the prior day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.47 per share. | AbbVie (ABBV) closed at $159.59 in the latest trading session, marking a -0.99% move from the prior day. Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors will be hoping for strength from AbbVie as it approaches its next earnings release, which is expected to be April 27, 2023. | Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie (ABBV) closed at $159.59 in the latest trading session, marking a -0.99% move from the prior day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release, which is expected to be April 27, 2023. | AbbVie (ABBV) closed at $159.59 in the latest trading session, marking a -0.99% move from the prior day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.47 per share. |
22632.0 | 2023-04-17 00:00:00 UTC | FDA Approves AbbVie's Qulipta For Preventive Treatment Of Migraine In Adults | ABBV | https://www.nasdaq.com/articles/fda-approves-abbvies-qulipta-for-preventive-treatment-of-migraine-in-adults | nan | nan | (RTTNews) - AbbVie (ABBV) said that the U.S. Food and Drug Administration approved expanding the indication of Qulipta (atogepant) for the preventive treatment of migraine in adults.
The company noted that the approval makes Qulipta the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent episodic and chronic migraine. People living with chronic migraine experience headaches for 15 or more days per month, with at least eight of those days associated with migraine.
Qulipta blocks CGRP through a once-daily dose and is available in three strengths for the preventive treatment of episodic migraine - 10 mg, 30 mg and 60 mg. Only the 60 mg dose of Qulipta is indicated for the preventive treatment of chronic migraine. The overall safety profile of Qulipta is consistent with the episodic migraine patient population, with the most common adverse events including constipation, nausea and fatigue/sleepiness.
For More Such Health News, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie (ABBV) said that the U.S. Food and Drug Administration approved expanding the indication of Qulipta (atogepant) for the preventive treatment of migraine in adults. The company noted that the approval makes Qulipta the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent episodic and chronic migraine. The overall safety profile of Qulipta is consistent with the episodic migraine patient population, with the most common adverse events including constipation, nausea and fatigue/sleepiness. | (RTTNews) - AbbVie (ABBV) said that the U.S. Food and Drug Administration approved expanding the indication of Qulipta (atogepant) for the preventive treatment of migraine in adults. The company noted that the approval makes Qulipta the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent episodic and chronic migraine. Qulipta blocks CGRP through a once-daily dose and is available in three strengths for the preventive treatment of episodic migraine - 10 mg, 30 mg and 60 mg. Only the 60 mg dose of Qulipta is indicated for the preventive treatment of chronic migraine. | (RTTNews) - AbbVie (ABBV) said that the U.S. Food and Drug Administration approved expanding the indication of Qulipta (atogepant) for the preventive treatment of migraine in adults. The company noted that the approval makes Qulipta the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent episodic and chronic migraine. Qulipta blocks CGRP through a once-daily dose and is available in three strengths for the preventive treatment of episodic migraine - 10 mg, 30 mg and 60 mg. Only the 60 mg dose of Qulipta is indicated for the preventive treatment of chronic migraine. | (RTTNews) - AbbVie (ABBV) said that the U.S. Food and Drug Administration approved expanding the indication of Qulipta (atogepant) for the preventive treatment of migraine in adults. The company noted that the approval makes Qulipta the first and only oral calcitonin gene-related peptide (CGRP) receptor antagonist approved to prevent episodic and chronic migraine. People living with chronic migraine experience headaches for 15 or more days per month, with at least eight of those days associated with migraine. |
22633.0 | 2023-04-17 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-15 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22634.0 | 2023-04-17 00:00:00 UTC | European Commission Approves AbbVie's Rinvoq To Treat Severely Active Crohn's Disease | ABBV | https://www.nasdaq.com/articles/european-commission-approves-abbvies-rinvoq-to-treat-severely-active-crohns-disease | nan | nan | (RTTNews) - The European Commission approved Rinvoq (upadacitinib, 45 mg [induction dose] and 15 mg and 30 mg [maintenance doses]) as the first oral Janus Kinase (JAK) inhibitor for the treatment of adult patients with moderately to severely active Crohn's disease who have had an inadequate response, lost response or were intolerant to either conventional therapy or a biologic agent, AbbVie (ABBV) said in a statement on Monday.
Crohn's disease is a chronic, systemic disease that manifests as inflammation within the gastrointestinal tract and is progressive, potentially producing complications that require urgent medical care, including surgery.
Rinvoq is approved in the European union for the treatment of adults with radiographic axial spondyloarthritis, non-radiographic axial spondyloarthritis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, adults and adolescents with atopic dermatitis and now Crohn's disease.
For More Such Health News, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - The European Commission approved Rinvoq (upadacitinib, 45 mg [induction dose] and 15 mg and 30 mg [maintenance doses]) as the first oral Janus Kinase (JAK) inhibitor for the treatment of adult patients with moderately to severely active Crohn's disease who have had an inadequate response, lost response or were intolerant to either conventional therapy or a biologic agent, AbbVie (ABBV) said in a statement on Monday. Crohn's disease is a chronic, systemic disease that manifests as inflammation within the gastrointestinal tract and is progressive, potentially producing complications that require urgent medical care, including surgery. Rinvoq is approved in the European union for the treatment of adults with radiographic axial spondyloarthritis, non-radiographic axial spondyloarthritis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, adults and adolescents with atopic dermatitis and now Crohn's disease. | (RTTNews) - The European Commission approved Rinvoq (upadacitinib, 45 mg [induction dose] and 15 mg and 30 mg [maintenance doses]) as the first oral Janus Kinase (JAK) inhibitor for the treatment of adult patients with moderately to severely active Crohn's disease who have had an inadequate response, lost response or were intolerant to either conventional therapy or a biologic agent, AbbVie (ABBV) said in a statement on Monday. Crohn's disease is a chronic, systemic disease that manifests as inflammation within the gastrointestinal tract and is progressive, potentially producing complications that require urgent medical care, including surgery. Rinvoq is approved in the European union for the treatment of adults with radiographic axial spondyloarthritis, non-radiographic axial spondyloarthritis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, adults and adolescents with atopic dermatitis and now Crohn's disease. | (RTTNews) - The European Commission approved Rinvoq (upadacitinib, 45 mg [induction dose] and 15 mg and 30 mg [maintenance doses]) as the first oral Janus Kinase (JAK) inhibitor for the treatment of adult patients with moderately to severely active Crohn's disease who have had an inadequate response, lost response or were intolerant to either conventional therapy or a biologic agent, AbbVie (ABBV) said in a statement on Monday. Rinvoq is approved in the European union for the treatment of adults with radiographic axial spondyloarthritis, non-radiographic axial spondyloarthritis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, adults and adolescents with atopic dermatitis and now Crohn's disease. For More Such Health News, visit rttnews.com The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - The European Commission approved Rinvoq (upadacitinib, 45 mg [induction dose] and 15 mg and 30 mg [maintenance doses]) as the first oral Janus Kinase (JAK) inhibitor for the treatment of adult patients with moderately to severely active Crohn's disease who have had an inadequate response, lost response or were intolerant to either conventional therapy or a biologic agent, AbbVie (ABBV) said in a statement on Monday. Crohn's disease is a chronic, systemic disease that manifests as inflammation within the gastrointestinal tract and is progressive, potentially producing complications that require urgent medical care, including surgery. Rinvoq is approved in the European union for the treatment of adults with radiographic axial spondyloarthritis, non-radiographic axial spondyloarthritis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, adults and adolescents with atopic dermatitis and now Crohn's disease. |
22635.0 | 2023-04-16 00:00:00 UTC | 3 Stocks You Can Keep Forever | ABBV | https://www.nasdaq.com/articles/3-stocks-you-can-keep-forever-8 | nan | nan | As most investors well know, there is no sure thing in the markets. But promising investments still abound. Three to consider now are AbbVie (NYSE: ABBV), Parker-Hannifin (NYSE: PH), and Carlisle Companies (NYSE: CSL). All three stocks have outpaced the S&P 500 in terms of total return over the past five years and each has raised its dividend for 40 or more consecutive years.
Another key similarity they have is a dedication to diversity of products. While pharmaceutical company AbbVie has been heavily reliant on immuno-oncology drug Humira, it has a huge pipeline of future drugs. Parker-Hannifin's products affect nearly every industrial sector, and Carlisle Companies' products touch on every facet of the construction industry.
Here's why these three are the ultimate set-it-and-forget-it stocks.
ABBV Total Return Level data by YCharts
AbbVie: Buy it now and watch it climb
This is the first year that AbbVie's lead therapy, immuno-oncology drug Humira, is facing biosimilar competition in the United States. It's a foregone conclusion the drug will see declining revenue this year -- the company is forecasting it to drop 37%. The company's shares are up only slightly to start the year. However, AbbVie has been preparing for the Humira patent cliff for a long time and the money the company has put into its huge pipeline should pay off for years to come.
AbbVie spent $6.4 billion on research and development in 2022 and is expecting four drug approvals from the Food and Drug Administration (FDA) this year and seven more next year. It has more than 90 programs in its pipeline and more than half of those are in late-stage trials.
The first approval that could come is bispecific antibody Epcoritamab to treat relapsed or refractory large B-cell lymphoma (DLBCL), which affects an average of 5.6 in every 100,000 people. AbbVie is partnering with Genmab on the drug and they expect to have a decision from the FDA by May 21.
The company also has hopes for additional indications this year for immune-mediated inflammatory therapy Rinvoq. The drug, which brought in $2.5 billion in revenue last year, just began its phase 3 clinical trial to treat lupus. It's already approved to treat rheumatoid arthritis, psoriatic arthritis, and eczema. It also is awaiting word from the FDA regarding its approval to treat Crohn's disease.
The company said Rinvoq and another immunology drug, Skyrizi, which had $5.2 billion in sales last year, will combine for more than $15 billion in annual sales by 2025.
The next few years may be bumpy for AbbVie, but the long-term view is solid. In the meantime, investors can benefit from the company's dividend, which it raised by 5% this year to $1.48 a share, delivering a yield of around 3.65%, more than twice the S&P 500 average. The company has increased its dividend by 270% since it split off from Abbott Laboratories in 2013. Counting its time as part of Abbott Labs, it has raised its dividend for 51 consecutive years.
Parker-Hannifin has all the parts for success
Parker-Hannifin is a leader in motion and control technologies, from adhesive coatings to anti-vibration mounts. You probably don't know all the products that Parker-Hannifin makes, but you don't need to if you're looking for a solid company to invest in. All you need to do is look at some key financials.
For starters, the stock has doubled in value over the past five years and is up nearly 12% so far this year.
The company has increased revenue for five consecutive quarters. Parker-Hannifin is coming off a strong second quarter. It reported record quarterly revenue of $4.7 billion, up 22% year over year. Net income was $395 million, up 1.9% over the same period last year, and earnings per share (EPS) were $3.04, up 2.3% year over year. The company also upgraded full-year guidance for EPS between $13.50 to $14, compared to $10.09 last year.
The company operates in two segments, diversified industrial and aerospace systems. The latter is coming back strong. The company is the leading supplier for Boeing. Now that the airplane manufacturer is seeing improved orders, with pandemic slowdowns and 737 Max problems in its rearview mirror, Parker-Hannifin is benefiting. Its aerospace systems sales were up 84% year over year in the second quarter, to $1.14 billion.
The company's dividend yield, at 1.63%, is below the S&P 500 average of 1.74%, but it is as dependable as you're going to see. It has paid out the dividend for 291 consecutive months, and raised it for 66 consecutive years. That includes a 29% bump last April to $1.33 a share, so another increase is likely on the way, particularly since the dividend's payout ratio is a low 30%.
Carlisle keeps building on its base
Carlisle's family of companies produces everything you need in a building, from weatherproofing technologies, wire and cable technologies, and a variety of applied materials. The company's stock is down 10% so far this year, but its finances show a different story.
The company reported fourth-quarter and yearly earnings on Feb. 7 and nearly everything about the report was positive. In the quarter, the company reported revenue of $1.5 billion, up 5.7% year over year. Yearly revenue was $6.6 billion, up 37%. Quarterly EPS from continuing operations was $3.44, up 40% over the same period last year, and yearly EPS from continuing operations was $17.58, up 142%.
The company operates in four segments: construction materials, weatherproofing technologies, interconnect technologies, and fluid technologies. All four saw sales increase in the fourth quarter year over year, led by interconnect technologies, which saw revenue rise 21.5% to $224 million in the quarter. It's worth noting that the last two segments are predicting high-single-digit sales increases this year.
Carlisle increased its quarterly dividend by 39% to $0.75 last August, the 46th consecutive year the company has increased its dividend. The yield is only 1.33%, but with a payout ratio of just 15%, it's possible the company could give the dividend another double-digit increase this year. Over the past five years, Carlisle has increased its dividend by 103%.
10 stocks we like better than AbbVie
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Jim Halley has positions in AbbVie, Boeing, Carlisle Companies, and Parker-Hannifin. The Motley Fool has positions in and recommends Genmab A/s. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | However, AbbVie has been preparing for the Humira patent cliff for a long time and the money the company has put into its huge pipeline should pay off for years to come. Three to consider now are AbbVie (NYSE: ABBV), Parker-Hannifin (NYSE: PH), and Carlisle Companies (NYSE: CSL). While pharmaceutical company AbbVie has been heavily reliant on immuno-oncology drug Humira, it has a huge pipeline of future drugs. | Three to consider now are AbbVie (NYSE: ABBV), Parker-Hannifin (NYSE: PH), and Carlisle Companies (NYSE: CSL). See the 10 stocks *Stock Advisor returns as of April 10, 2023 Jim Halley has positions in AbbVie, Boeing, Carlisle Companies, and Parker-Hannifin. While pharmaceutical company AbbVie has been heavily reliant on immuno-oncology drug Humira, it has a huge pipeline of future drugs. | Three to consider now are AbbVie (NYSE: ABBV), Parker-Hannifin (NYSE: PH), and Carlisle Companies (NYSE: CSL). While pharmaceutical company AbbVie has been heavily reliant on immuno-oncology drug Humira, it has a huge pipeline of future drugs. ABBV Total Return Level data by YCharts AbbVie: Buy it now and watch it climb This is the first year that AbbVie's lead therapy, immuno-oncology drug Humira, is facing biosimilar competition in the United States. | See the 10 stocks *Stock Advisor returns as of April 10, 2023 Jim Halley has positions in AbbVie, Boeing, Carlisle Companies, and Parker-Hannifin. Three to consider now are AbbVie (NYSE: ABBV), Parker-Hannifin (NYSE: PH), and Carlisle Companies (NYSE: CSL). While pharmaceutical company AbbVie has been heavily reliant on immuno-oncology drug Humira, it has a huge pipeline of future drugs. |
22636.0 | 2023-04-16 00:00:00 UTC | 3 Reasons Why I Regret Selling AbbVie | ABBV | https://www.nasdaq.com/articles/3-reasons-why-i-regret-selling-abbvie | nan | nan | At the end of 2021, I unceremoniously dumped my shares of AbbVie (NYSE: ABBV) stock, which were worth a grand total of around $2,095, marking a total return of 40% on top of what I had initially invested 13 months prior.
While I'm certainly quite glad that I picked up a decent return in a very short period, I admit today that selling was a mistake, and I probably shouldn't have sold my shares. If I'd simply held on, I'd be looking at a total return of 76% today -- and I'm fairly certain I'd see my shares rise even more if I kept holding.
So, here are three reasons why I regret selling AbbVie stock, other than the most obvious reason that I'd be seeing my investment grow even more if I'd held.
1. My reason for selling wasn't well thought out
The biggest reason why I regret selling AbbVie is that I didn't sell it for the right reasons.
I was scared that when its money-printing arthritis drug Humira lost its patent exclusivity in 2023, the company's share price would collapse promptly, along with its top and bottom lines. While at the time of my sale I understood that management had a plan to eventually replace the revenue that it expected to lose from the decline of Humira this year, I didn't entirely understand how that plan was going to work in practice, which made it hard for me to have confidence in the stock.
In a nutshell, management's idea was to develop two immunology medicines, Rinvoq and Skyrizi, to replace Humira's sales by competing in the same markets as it did. So far, AbbVie has successfully secured approvals for most of the same indications that Humira had, spread across those two new medicines.
And while their combined revenue isn't yet as much as Humira, over a long-enough period the peak revenue from their sales could actually eclipse it, with management anticipating more than $21 billion in sales of the pair in 2027. The biggest risk is that their combined revenue will fail to ramp up to reach Humira's level before the top line shrinks again as a result of losing exclusivity protections for other major revenue drivers.
But so far, the plan appears to be working. On a reported basis in Q4 2022, Skyrizi saw its sales jump 76% year over year, whereas Rinvoq's revenue increased by 49%. If I had accepted the fact that the risk posed by Humira's loss would take a while to recede, I probably wouldn't have sold because I'd have been more patient.
2. Selling means missing out on dividend income
When I sold my shares of AbbVie, my shares were realizing a dividend yield of around 4.5% on my cost basis annually. Now, its forward yield is a mere 3.7%, as its share price has continued to grow. At the same time, its dividend has also continued to grow.
So by selling my shares, I've been missing out on what could have become a tidy and growing income stream, and buying back into the stock now can't really make up for that because its yield today is lower.
The beauty of dividend stocks is that their price does not need to rise for shareholders to keep getting paid. The thorn in the rose is that dividend stocks often see their shares appreciate more slowly than growth stocks, or other companies that retain their excess earnings for reinvestment rather than distributing them.
When I sold, I believed that I'd make more money by investing in one of those faster-expanding businesses that don't pay a dividend. As it turns out, AbbVie grew plenty, so I didn't get the benefit of the dividends, nor did I get to see my shares rise in value.
3. I didn't hold my shares long enough to prove or disprove my investing thesis
My final regret with selling AbbVie is that in retrospect, I didn't really sell it because my investing thesis had been refuted. I actually hadn't held it for long enough to even see whether my investing thesis had merit -- and that was a problem.
The whole point of maintaining an investing thesis about a stock's merit is that it guides your investing process and orients it around certain facts that are grounded in reality. If those facts change or if you got the facts wrong, it can be worth reevaluating whether your thesis is still true, and whether you should continue to hold the investment or look elsewhere. But if you're investing for the long term (and you should be), your investing theses need to be similarly oriented time-wise.
In other words, if you thought AbbVie was going to be able to keep profitably developing and commercializing new medicines for years to come when you invested, it wouldn't make much sense to sell if you hadn't waited long enough to see if your thesis was sound. And that's what I did -- hence the regrets.
While only a couple of years have passed since my sale, from the perspective of today, my initial investing thesis about the stock was correct. But I didn't have the conviction to hold my shares despite my fears about Humira.
The takeaway here is that you should try to make your investing theses as specific as possible with regard to how long you should wait before calling it quits on a stock, assuming that the facts could still develop favorably, as there's a high risk of bugging out prematurely.
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Alex Carchidi has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | At the end of 2021, I unceremoniously dumped my shares of AbbVie (NYSE: ABBV) stock, which were worth a grand total of around $2,095, marking a total return of 40% on top of what I had initially invested 13 months prior. So, here are three reasons why I regret selling AbbVie stock, other than the most obvious reason that I'd be seeing my investment grow even more if I'd held. My reason for selling wasn't well thought out The biggest reason why I regret selling AbbVie is that I didn't sell it for the right reasons. | My reason for selling wasn't well thought out The biggest reason why I regret selling AbbVie is that I didn't sell it for the right reasons. Selling means missing out on dividend income When I sold my shares of AbbVie, my shares were realizing a dividend yield of around 4.5% on my cost basis annually. At the end of 2021, I unceremoniously dumped my shares of AbbVie (NYSE: ABBV) stock, which were worth a grand total of around $2,095, marking a total return of 40% on top of what I had initially invested 13 months prior. | My reason for selling wasn't well thought out The biggest reason why I regret selling AbbVie is that I didn't sell it for the right reasons. I didn't hold my shares long enough to prove or disprove my investing thesis My final regret with selling AbbVie is that in retrospect, I didn't really sell it because my investing thesis had been refuted. In other words, if you thought AbbVie was going to be able to keep profitably developing and commercializing new medicines for years to come when you invested, it wouldn't make much sense to sell if you hadn't waited long enough to see if your thesis was sound. | Selling means missing out on dividend income When I sold my shares of AbbVie, my shares were realizing a dividend yield of around 4.5% on my cost basis annually. I didn't hold my shares long enough to prove or disprove my investing thesis My final regret with selling AbbVie is that in retrospect, I didn't really sell it because my investing thesis had been refuted. At the end of 2021, I unceremoniously dumped my shares of AbbVie (NYSE: ABBV) stock, which were worth a grand total of around $2,095, marking a total return of 40% on top of what I had initially invested 13 months prior. |
22637.0 | 2023-04-15 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-14 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
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Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22638.0 | 2023-04-15 00:00:00 UTC | 3 Dividend Stocks to Buy and Hold for the Next Decade | ABBV | https://www.nasdaq.com/articles/3-dividend-stocks-to-buy-and-hold-for-the-next-decade | nan | nan | Some stocks are keepers. The best ones even pay you to hold them for years via generous dividends. Three Motley Fool contributors identified their picks for dividend stocks to buy and hold for the next decade. Here's why they chose AbbVie (NYSE: ABBV), Gilead Sciences (NASDAQ: GILD), and Johnson & Johnson (NYSE: JNJ).
A temporary storm before the calm
Keith Speights (AbbVie): If you only looked at what AbbVie faces over the near term, you'd likely want to avoid the stock like the plague. Sales for the company's top-selling drug, Humira, are falling like a brick with new competition from biosimilars in the U.S. market.
However, I view the Humira headwinds as only a temporary storm before the calm for AbbVie. The drugmaker acknowledges that 2023 will be a challenging year. There's no way to sugarcoat losing exclusivity for a drug that generated nearly 37% of total sales last year. But the picture should begin to improve in 2024 with strong sales growth returning in 2025.
AbbVie already has two worthy successors to Humira on the market -- Rinvoq and Skyrizi. The company projects peak combined sales of more than $21 billion by 2027. That's greater than Humira made at its peak.
Other growth drivers for AbbVie include Botox, migraine drugs Qulipta and Ubrelvy, and antipsychotic Vraylar. In addition, the company's pipeline features several promising new programs, with cancer therapy epcoritamab and Parkinson's disease drug ABBV-951 especially standing out.
In the meantime, AbbVie's dividend program gives investors a lot to like. The company is a Dividend King with 51 consecutive years of dividend increases. Its dividend yield currently tops 3.6%.
Gushing with free cash flow
David Jagielski (Gilead Sciences): If you're planning to hold a dividend stock for a decade, you should be confident in the business and its ability to grow and generate plenty of free cash. Having sufficient free cash can help sustain a dividend while also allowing a company to reinvest in its operations.
Gilead Sciences is an excellent example of a business that fits the bill. In each of the past four years, the company has generated more than $7 billion in free cash flow. Its dividend, meanwhile, costs the business about $3.7 billion -- a little over half that tally.
There's room for the company to not only fund its growth, but also raise its dividend, which Gilead has done. Its current quarterly payout of $0.75 is 32% higher than the $0.57 it was paying five years ago. That averages out to a compound annual growth rate of 5.6%. If Gilead were to continue increasing its dividend payments at that rate, it would take approximately 13 years for the dividend to double.
Thus, there's a big incentive for holding the dividend stock for the long term as its already high dividend yield of 3.6% could generate even more recurring income for your portfolio in the future.
While a lot can change during that time, Gilead's HIV business gives it some valuable stability, as patients need to take HIV treatments on an ongoing basis. And Gilead recently obtained approval for a long-acting HIV treatment, Sunlenca, which only needs to be taken twice a year. It's only available for people who cannot take other HIV treatments (e.g., they are resistant to other drugs) but it can be a game changer for those patients who are eligible.
Meanwhile, Gilead is growing oncology business can also set the company up for even more growth down the road. As a case in point, sales from cancer drug Trodelvy rose 79% last year to $680 million.
Gilead's business has a lot of growth potential. With its strong financials and billions in free cash flow, this stock is an income-generating investment you'll want to hang on to for the next decade.
Looking beyond legal troubles
Prosper Junior Bakiny (Johnson & Johnson): There are many things for which Johnson & Johnson is known. Customers are familiar with the popular brands it offers through its consumer health division (Tylenol, Listerine, Aveeno, etc.), which it is currently spinning off. Some admire Johnson & Johnson's long history of medical innovation and solid financial results.
Others are attracted to the drugmaker's run of 60 consecutive years of dividend increases, which makes the company a Dividend King. However, over the years, Johnson & Johnson's image has been tarnished by a litany of lawsuits, especially those surrounding its talcum products that allegedly caused cancer, or so the tens of thousands of plaintiffs claim.
The increased legal burden Johnson & Johnson has faced is perhaps its biggest risk, with the potential to significantly harm the company's finances in the next decade and beyond. Fortunately, it looks increasingly likely that the healthcare giant will be just fine and should continue delivering solid results and dividend hikes for a while.
Johnson & Johnson recently offered $8.9 billion to settle all current and future talc-related lawsuits with no admission of guilt, a settlement that would be favorable in the grand scheme of things and is being backed by many of the concerned parties.
Elsewhere, the company's business remains strong, with the split from its consumer division underway, which will lead to stronger revenue growth. J&J still has plenty of blockbuster products in its pharmaceutical portfolio. It also has a medtech segment that's an important player in cardiovascular health, robotic-assisted surgery, and more areas.
The company should be more than capable of generating consistent profits, just as in the past. Johnson & Johnson's dividend yield of 2.75% is higher than the S&P 500's average of 1.74%, and its dividend track record speaks for itself. That's why it's still worth it for income-seeking investors to stick with Johnson & Johnson through the next 10 years or more despite its legal issues.
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David Jagielski has no position in any of the stocks mentioned. Keith Speights has positions in AbbVie. Prosper Junior Bakiny has positions in Johnson & Johnson. The Motley Fool has positions in and recommends Gilead Sciences. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In addition, the company's pipeline features several promising new programs, with cancer therapy epcoritamab and Parkinson's disease drug ABBV-951 especially standing out. Here's why they chose AbbVie (NYSE: ABBV), Gilead Sciences (NASDAQ: GILD), and Johnson & Johnson (NYSE: JNJ). A temporary storm before the calm Keith Speights (AbbVie): If you only looked at what AbbVie faces over the near term, you'd likely want to avoid the stock like the plague. | Here's why they chose AbbVie (NYSE: ABBV), Gilead Sciences (NASDAQ: GILD), and Johnson & Johnson (NYSE: JNJ). A temporary storm before the calm Keith Speights (AbbVie): If you only looked at what AbbVie faces over the near term, you'd likely want to avoid the stock like the plague. However, I view the Humira headwinds as only a temporary storm before the calm for AbbVie. | Here's why they chose AbbVie (NYSE: ABBV), Gilead Sciences (NASDAQ: GILD), and Johnson & Johnson (NYSE: JNJ). A temporary storm before the calm Keith Speights (AbbVie): If you only looked at what AbbVie faces over the near term, you'd likely want to avoid the stock like the plague. However, I view the Humira headwinds as only a temporary storm before the calm for AbbVie. | Here's why they chose AbbVie (NYSE: ABBV), Gilead Sciences (NASDAQ: GILD), and Johnson & Johnson (NYSE: JNJ). A temporary storm before the calm Keith Speights (AbbVie): If you only looked at what AbbVie faces over the near term, you'd likely want to avoid the stock like the plague. However, I view the Humira headwinds as only a temporary storm before the calm for AbbVie. |
22639.0 | 2023-04-14 00:00:00 UTC | J&J (JNJ) to Initiate Q1 Earnings Season for Pharma Sector | ABBV | https://www.nasdaq.com/articles/jj-jnj-to-initiate-q1-earnings-season-for-pharma-sector | nan | nan | Johnson & Johnson JNJ will report first-quarter 2023 results on Apr 18, before market open. In the last reported quarter, the company delivered an earnings surprise of 5.86%.
The healthcare bellwether’s performance has been pretty impressive, with the company exceeding earnings expectations in each of the trailing four quarters. It delivered a four-quarter earnings surprise of 2.94%, on average.
J&J’s stock has declined 7.6% in the past year against an increase of 6.1% for the industry.
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Factors to Consider
J&J’s Pharma segment is expected to have contributed to the top line led by increased penetration and market share gains of key products such as Darzalex and Stelara. Regarding Stelara, while J&J expects Stelara volumes to increase till the loss of exclusivity in late 2023, the growth might have been hurt by pricing pressure as well as potential increased austerity measures across Europe.
Our model estimates Darzalex and Stelara sales of $2.14 billion and $2.42 billion, respectively.
Other core products like Invega Sustenna and new drugs, Erleada and Tremfya, might have also contributed significantly to sales growth.
However, lower sales of its key medicine, Imbruvica is likely to have hurt the top line in the first quarter. Rising competitive pressure in the United States from novel oral agents is likely to have hurt sales of the key drug, Imbruvica. Also, below pre-COVID levels in the chronic lymphocytic leukemia market are expected to have hurt sales in the United States. Our model estimates Imbruvica sales to be $870.6 million.
Generic/biosimilar competition for drugs like Zytiga and Remicade is likely to have hurt the top line.
Our model estimates J&J’s Pharmaceuticals unit revenues to be $12.62 billion.
Overall, Pharmaceuticals unit sales had slowed down in the fourth quarter though it was an above-market performance. It remains to be seen if the sales trend improved in the first quarter of 2023.
With regard to the MedTech segment, sales are expected to have been driven by continued recovery in surgical procedures, better commercial execution and new product launches. However, lingering headwinds from hospital staffing and the effects of the COVID resurgence in China along with volume-based procurement issues in the country are expected to have hurt international sales. Our model estimates J&J’s MedTech segment revenues to be $7.32 billion.
In the Consumer Healthcare segment, while continued growth in markets and strategic price increases are expected to benefit results in the first quarter, some challenges like inflationary pressure within the supply chain and higher input costs are expected to continue to hurt profits.
Our model estimates J&J’s Consumer Health segment revenues to be $3.64 billion.
Overall, currency headwinds are expected to have a negative impact on J&J’s top line in the first quarter.
J&J expects supply constraints, inflationary pressure and rising input costs to continue to hurt margins in the first quarter of 2023
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for J&J this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here.
Earnings ESP: J&J’s Earnings ESP -0.85% as the Zacks Consensus Estimate of $2.51 per share is higher than the Most Accurate Estimate of $2.49 per share. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: J&J has a Zacks Rank #3.
Stocks to Consider
Here are some large drug stocks that have the right combination of elements to beat on earnings this time around:
Eli Lilly LLY has an Earnings ESP of +10.55% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Lilly’s stock has risen 24.3% in the past year. Lilly beat earnings estimates in three of the last four quarters. LLY has a four-quarter negative earnings surprise of 0.73%, on average. Lilly is scheduled to release its first-quarter results on Apr 27.
Novo Nordisk NVO has an Earnings ESP of +10.31% and a Zacks Rank #1.
Novo Nordisk’s stock has risen 41.8% in the past year. Novo Nordisk topped earnings estimates in three of the last four quarters and has a four-quarter earnings surprise of 3.0%, on average. NVO is scheduled to release its first-quarter results on May 4.
AbbVie ABBV has an Earnings ESP of +3.21% and a Zacks Rank #3.
AbbVie’s stock has risen 0.2% in the past year. AbbVie beat earnings estimates in all the last four quarters. ABBV has a four-quarter earnings surprise of 1.66%, on average. ABBV is scheduled to release its first-quarter results on Apr 27.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie ABBV has an Earnings ESP of +3.21% and a Zacks Rank #3. AbbVie’s stock has risen 0.2% in the past year. AbbVie beat earnings estimates in all the last four quarters. | Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV has an Earnings ESP of +3.21% and a Zacks Rank #3. AbbVie’s stock has risen 0.2% in the past year. | Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV has an Earnings ESP of +3.21% and a Zacks Rank #3. AbbVie’s stock has risen 0.2% in the past year. | AbbVie ABBV has an Earnings ESP of +3.21% and a Zacks Rank #3. AbbVie’s stock has risen 0.2% in the past year. AbbVie beat earnings estimates in all the last four quarters. |
22640.0 | 2023-04-14 00:00:00 UTC | Pharma Stock Roundup: FDA Rejects LLY's Mirikizumab, NVO Ups 2023 Sales & Profit View | ABBV | https://www.nasdaq.com/articles/pharma-stock-roundup%3A-fda-rejects-llys-mirikizumab-nvo-ups-2023-sales-profit-view | nan | nan | This week, Novo Nordisk NVO raised its previously issued sales and operating profit growth guidance for 2023 due to better-than-expected sales performance of its drugs, Wegovy and Ozempic. Eli Lilly LLY and Merck MRK announced pipeline setbacks. AbbVie ABBV voluntarily withdrew accelerated approvals granted for two blood cancer indications for Imbruvica as the confirmatory studies failed to show favorable outcomes.
Recap of the Week’s Most Important Stories
Novo Nordisk Ups Sales and Operating Profit Growth Outlook: Novo Nordisk raised its sales growth expectations for 2023 from 13-19% at CER to 24-30%. Operating profit growth guidance was upped from 13-19% to 28-34% at CER. Higher sales expectations from the new obesity drug, Wegovy and diabetes medicine, Ozempic propelled the increased outlook. Wegovy sales are expected to be better than previously expected due to improved prescription trends and supply capacity. Accelerated volume growth of the GLP-1 class is expected to result in better sales of Ozempic.
Novo Nordisk announced that it is in-licensing exclusive, worldwide rights from Aspect Biosystems to develop bioprinted tissue therapeutics for treating diabetes and obesity, leveraging the latter’s proprietary bioprinting technology. Per the partnership deal, Novo Nordisk will develop up to four products for the treatment of diabetes and/or obesity. For the deal, Novo Nordisk will make an initial payment of $75 million to Aspect Biosystems. The latter will also be entitled to up to $650 million in future milestone payments for every product arising from the collaboration, plus tiered royalties.
FDA Issues CRL to Lilly’s Mirikizumab BLA: The FDA issued a complete response letter to the biologic license application (BLA) seeking approval of Lilly’s pipeline candidate mirikizumab for treating ulcerative colitis. The FDA did not mention any concerns related to the clinical data package, safety, or label of the drug. It rather raised issues related to the proposed manufacturing of mirikizumab. Mirikizumab is already approved in Japan.
Merck’s Keytruda+Lenvima Study Failures: Merck and partner Eisai announced that they are discontinuing the phase III LEAP-003 study evaluating a combination of Keytruda and Lenvima for the first-line treatment of adults with unresectable or metastatic melanoma. Per the DMC’s recommendation, Keytruda plus Lenvima did not demonstrate an improvement in overall survival (OS), one of the study’s dual primary endpoints, versus Keytruda alone.
Merck and Eisai also announced that the phase III LEAP-017 study, evaluating Keytruda plus Lenvima for the treatment of patients with unresectable and metastatic colorectal cancer, did not meet its primary endpoint of OS. Despite witnessing an improvement trend in the final pre-specified analysis of OS, the results failed to meet the criteria for statistical significance, per the pre-specified statistical analysis plan.
The FDA accepted Merck’s supplemental biologics license application (sBLA) seeking approval of Keytruda plus fluoropyrimidine- and platinum-containing chemotherapy for the first-line treatment of patients with locally advanced unresectable or metastatic gastric or gastroesophageal junction adenocarcinoma. The sBLA is based on data from the KEYNOTE-859 study. The FDA is expected to give its decision on the sBLA on Dec 16.
AbbVie Withdraws Two Blood Cancer Indications for Imbruvica: AbbVie announced that it is voluntarily withdrawing the accelerated approval granted to its drug Imbruvica for two blood cancer indications in the United States. The indications are mantle cell lymphoma (MCL) for patients who have received at least one prior therapy and those with marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior anti-CD20-based therapy.
Imbruvica was granted accelerated approvals for these indications based on overall response rates observed in phase II clinical studies. The final approval was subject to clinical benefit observed in confirmatory studies. However, the phase III SHINE study in previously untreated MCL and the phase III SELENE study in relapsed or refractory MZL, which served as confirmatory studies, demonstrated poor outcomes for these indications.
Though the SHINE study met its primary endpoint of progression-free survival, it was associated with increased adverse reactions in the Imbruvica plus chemoimmunotherapy arm versus the placebo-controlled arm. The SELENE study failed to meet its primary endpoint of progression-free survival. The above decision will not affect FDA approval for Imbruvica in other indications.
The NYSE ARCA Pharmaceutical Index rose 1.60% in the last five trading sessions.
Here’s how the eight major stocks performed in the last five trading sessions.
Image Source: Zacks Investment Research
In the last five trading sessions, all the stocks were in the green except Pfizer (down 0.1%). AstraZeneca rose the most (3.3%).
In the past six months, AstraZeneca has risen the most (33.1%), while Roche has declined the most (5.3%).
(See the last pharma stock roundup here: J&J’s $8.9B Offer for Talc Litigation Settlement & Other Updates)
What's Next in the Pharma World?
Watch out for J&J’s Q1 earnings and regular pipeline and regulatory updates next week.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Novo Nordisk A/S (NVO) : Free Stock Analysis Report
Merck & Co., Inc. (MRK) : Free Stock Analysis Report
Eli Lilly and Company (LLY) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie ABBV voluntarily withdrew accelerated approvals granted for two blood cancer indications for Imbruvica as the confirmatory studies failed to show favorable outcomes. AbbVie Withdraws Two Blood Cancer Indications for Imbruvica: AbbVie announced that it is voluntarily withdrawing the accelerated approval granted to its drug Imbruvica for two blood cancer indications in the United States. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. | AbbVie Withdraws Two Blood Cancer Indications for Imbruvica: AbbVie announced that it is voluntarily withdrawing the accelerated approval granted to its drug Imbruvica for two blood cancer indications in the United States. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV voluntarily withdrew accelerated approvals granted for two blood cancer indications for Imbruvica as the confirmatory studies failed to show favorable outcomes. | Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV voluntarily withdrew accelerated approvals granted for two blood cancer indications for Imbruvica as the confirmatory studies failed to show favorable outcomes. AbbVie Withdraws Two Blood Cancer Indications for Imbruvica: AbbVie announced that it is voluntarily withdrawing the accelerated approval granted to its drug Imbruvica for two blood cancer indications in the United States. | AbbVie ABBV voluntarily withdrew accelerated approvals granted for two blood cancer indications for Imbruvica as the confirmatory studies failed to show favorable outcomes. AbbVie Withdraws Two Blood Cancer Indications for Imbruvica: AbbVie announced that it is voluntarily withdrawing the accelerated approval granted to its drug Imbruvica for two blood cancer indications in the United States. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
22641.0 | 2023-04-14 00:00:00 UTC | Here is What to Know Beyond Why AbbVie Inc. (ABBV) is a Trending Stock | ABBV | https://www.nasdaq.com/articles/here-is-what-to-know-beyond-why-abbvie-inc.-abbv-is-a-trending-stock-2 | nan | nan | AbbVie (ABBV) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Shares of this drugmaker have returned +4.8% over the past month versus the Zacks S&P 500 composite's +7.7% change. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 12.7% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings Estimates
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
AbbVie is expected to post earnings of $2.48 per share for the current quarter, representing a year-over-year change of -21.5%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
For the current fiscal year, the consensus earnings estimate of $10.96 points to a change of -20.4% from the prior year. Over the last 30 days, this estimate has changed -0.5%.
For the next fiscal year, the consensus earnings estimate of $11.01 indicates a change of +0.5% from what AbbVie is expected to report a year ago. Over the past month, the estimate has changed +0.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AbbVie is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For AbbVie, the consensus sales estimate for the current quarter of $12.08 billion indicates a year-over-year change of -10.8%. For the current and next fiscal years, $52.39 billion and $52.99 billion estimates indicate -9.8% and +1.1% changes, respectively.
Last Reported Results and Surprise History
AbbVie reported revenues of $15.12 billion in the last reported quarter, representing a year-over-year change of +1.6%. EPS of $3.60 for the same period compares with $3.31 a year ago.
Compared to the Zacks Consensus Estimate of $15.35 billion, the reported revenues represent a surprise of -1.52%. The EPS surprise was +1.69%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company could not beat consensus revenue estimates in any of the last four quarters.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AbbVie is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AbbVie. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Conclusion The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AbbVie. AbbVie (ABBV) has recently been on Zacks.com's list of the most searched stocks. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 12.7% over this period. | For the next fiscal year, the consensus earnings estimate of $11.01 indicates a change of +0.5% from what AbbVie is expected to report a year ago. AbbVie (ABBV) has recently been on Zacks.com's list of the most searched stocks. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 12.7% over this period. | Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AbbVie is rated Zacks Rank #3 (Hold). AbbVie (ABBV) has recently been on Zacks.com's list of the most searched stocks. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 12.7% over this period. | Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AbbVie is rated Zacks Rank #3 (Hold). AbbVie (ABBV) has recently been on Zacks.com's list of the most searched stocks. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 12.7% over this period. |
22642.0 | 2023-04-14 00:00:00 UTC | UnitedHealth ups profit view as lower medical costs drive quarterly beat | ABBV | https://www.nasdaq.com/articles/unitedhealth-ups-profit-view-as-lower-medical-costs-drive-quarterly-beat | nan | nan | adds details on forecast
April 14 (Reuters) - UnitedHealth Group Inc UNH.Nbeat Wall Street estimates for quarterly profit on Friday and raised its annual forecast, after a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit.
The industry bellwether expects costs from medical claims to stabilize this year after fluctuating during the pandemic, as inflation and labor shortages could hinder the number of non-urgent procedures that hospitals perform.
UnitedHealth raised its annual profit forecast to between $24.50 and $25.00 per share on an adjusted basis, higher than its earlier estimate of $24.40 to $24.90. Analysts were expecting a profit of $24.94 per share for 2023, according to Refinitiv.
Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating estimates of $6.13.
(Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath)
((Khushi.Mandowara@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | adds details on forecast April 14 (Reuters) - UnitedHealth Group Inc UNH.Nbeat Wall Street estimates for quarterly profit on Friday and raised its annual forecast, after a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. The industry bellwether expects costs from medical claims to stabilize this year after fluctuating during the pandemic, as inflation and labor shortages could hinder the number of non-urgent procedures that hospitals perform. UnitedHealth raised its annual profit forecast to between $24.50 and $25.00 per share on an adjusted basis, higher than its earlier estimate of $24.40 to $24.90. | adds details on forecast April 14 (Reuters) - UnitedHealth Group Inc UNH.Nbeat Wall Street estimates for quarterly profit on Friday and raised its annual forecast, after a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. The industry bellwether expects costs from medical claims to stabilize this year after fluctuating during the pandemic, as inflation and labor shortages could hinder the number of non-urgent procedures that hospitals perform. UnitedHealth raised its annual profit forecast to between $24.50 and $25.00 per share on an adjusted basis, higher than its earlier estimate of $24.40 to $24.90. | adds details on forecast April 14 (Reuters) - UnitedHealth Group Inc UNH.Nbeat Wall Street estimates for quarterly profit on Friday and raised its annual forecast, after a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. UnitedHealth raised its annual profit forecast to between $24.50 and $25.00 per share on an adjusted basis, higher than its earlier estimate of $24.40 to $24.90. (Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | adds details on forecast April 14 (Reuters) - UnitedHealth Group Inc UNH.Nbeat Wall Street estimates for quarterly profit on Friday and raised its annual forecast, after a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. The industry bellwether expects costs from medical claims to stabilize this year after fluctuating during the pandemic, as inflation and labor shortages could hinder the number of non-urgent procedures that hospitals perform. UnitedHealth raised its annual profit forecast to between $24.50 and $25.00 per share on an adjusted basis, higher than its earlier estimate of $24.40 to $24.90. |
22643.0 | 2023-04-14 00:00:00 UTC | UnitedHealth Group beats quarterly profit estimates on lower medical costs | ABBV | https://www.nasdaq.com/articles/unitedhealth-group-beats-quarterly-profit-estimates-on-lower-medical-costs | nan | nan | April 14 (Reuters) - UnitedHealth Group Inc's UNH.N quarterly profit beat Wall Street estimates on Friday, as a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit.
Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating analysts' average estimate of $6.13 per share, according to Refinitiv IBES data.
(Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath)
((Khushi.Mandowara@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | April 14 (Reuters) - UnitedHealth Group Inc's UNH.N quarterly profit beat Wall Street estimates on Friday, as a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating analysts' average estimate of $6.13 per share, according to Refinitiv IBES data. (Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | April 14 (Reuters) - UnitedHealth Group Inc's UNH.N quarterly profit beat Wall Street estimates on Friday, as a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating analysts' average estimate of $6.13 per share, according to Refinitiv IBES data. (Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | April 14 (Reuters) - UnitedHealth Group Inc's UNH.N quarterly profit beat Wall Street estimates on Friday, as a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating analysts' average estimate of $6.13 per share, according to Refinitiv IBES data. (Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | April 14 (Reuters) - UnitedHealth Group Inc's UNH.N quarterly profit beat Wall Street estimates on Friday, as a slow recovery in non-urgent procedures helped lower medical costs at its insurance unit. Excluding items, the company reported a profit of $6.26 per share for the first quarter, beating analysts' average estimate of $6.13 per share, according to Refinitiv IBES data. (Reporting by Khushi Mandowara and Bhanvi Satija in Bengaluru; Editing by Devika Syamnath) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
22644.0 | 2023-04-13 00:00:00 UTC | US FDA declines to approve Eli Lilly's bowel disease drug | ABBV | https://www.nasdaq.com/articles/us-fda-declines-to-approve-eli-lillys-bowel-disease-drug | nan | nan | Adds details
April 13 (Reuters) - The U.S. Food and Drug Administration (FDA) has declined approval for Eli Lilly and Co's LLY.Ndrug to treat a type of chronic inflammatory bowel disease in adults, the company said on Thursday.
The health regulator cited issues related to the proposed manufacturing of the drug, mirikizumab, with no concerns about the clinical data package, safety, or label for the medicine.
The company said it was confident in the drug's late-stage data and was working with the FDA.
(Reporting by Raghav Mahobe, Bhanvi Satija and Sriparna Roy in Bengaluru; Editing by Rashmi Aich and Anil D'Silva)
((Raghav.Mahobe@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details April 13 (Reuters) - The U.S. Food and Drug Administration (FDA) has declined approval for Eli Lilly and Co's LLY.Ndrug to treat a type of chronic inflammatory bowel disease in adults, the company said on Thursday. The health regulator cited issues related to the proposed manufacturing of the drug, mirikizumab, with no concerns about the clinical data package, safety, or label for the medicine. (Reporting by Raghav Mahobe, Bhanvi Satija and Sriparna Roy in Bengaluru; Editing by Rashmi Aich and Anil D'Silva) ((Raghav.Mahobe@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details April 13 (Reuters) - The U.S. Food and Drug Administration (FDA) has declined approval for Eli Lilly and Co's LLY.Ndrug to treat a type of chronic inflammatory bowel disease in adults, the company said on Thursday. The company said it was confident in the drug's late-stage data and was working with the FDA. (Reporting by Raghav Mahobe, Bhanvi Satija and Sriparna Roy in Bengaluru; Editing by Rashmi Aich and Anil D'Silva) ((Raghav.Mahobe@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details April 13 (Reuters) - The U.S. Food and Drug Administration (FDA) has declined approval for Eli Lilly and Co's LLY.Ndrug to treat a type of chronic inflammatory bowel disease in adults, the company said on Thursday. The health regulator cited issues related to the proposed manufacturing of the drug, mirikizumab, with no concerns about the clinical data package, safety, or label for the medicine. (Reporting by Raghav Mahobe, Bhanvi Satija and Sriparna Roy in Bengaluru; Editing by Rashmi Aich and Anil D'Silva) ((Raghav.Mahobe@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details April 13 (Reuters) - The U.S. Food and Drug Administration (FDA) has declined approval for Eli Lilly and Co's LLY.Ndrug to treat a type of chronic inflammatory bowel disease in adults, the company said on Thursday. The health regulator cited issues related to the proposed manufacturing of the drug, mirikizumab, with no concerns about the clinical data package, safety, or label for the medicine. The company said it was confident in the drug's late-stage data and was working with the FDA. |
22645.0 | 2023-04-13 00:00:00 UTC | The Zacks Analyst Blog Highlights JPMorgan Chase, AbbVie, NextEra Energy, The Boeing and Canadian Natural Resources | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-jpmorgan-chase-abbvie-nextera-energy-the-boeing-and | nan | nan | For Immediate Release
Chicago, IL – April 13, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, AbbVie Inc. ABBV, NextEra Energy, Inc. NEE, The Boeing Co. BA and Canadian Natural Resources Ltd. CNQ.
Here are highlights from Wednesday’s Analyst Blog:
Top Research Reports for JPMorgan, AbbVie and NextEra Energy
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., AbbVie Inc. and NextEra Energy, Inc. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today's research reports here >>>
Shares of JPMorgan Chase have outperformed the Zacks Banks - Major Regional industry and the broader market over the past year (+0.9% vs. -16.7% for the industry and -8.2% for the S&P 500 index). The stock has lagged the broader market as well as the industry over the past month or so since the banking problems took center stage.
The stock was up in response to the last quarterly release on January 13th when the company handily beat estimates and provided reassuring commentary on broader business trends. Ahead of Q1 earnings release before the market's open this Friday (April 14th), estimates have largely been unchanged. A lot will be riding on management's characterization of business conditions following the Silicon Valley episode.
Higher rates and a steady loan demand are expected to have aided net interest income (NII) growth in the Q1 report. Yet, the volatile nature of the capital markets business and higher mortgage rates are likely to have made fee income growth challenging. We expect non-interest income (managed) to be relatively stable this year.
However, steadily rising costs is a major woe, and we expect the same to rise 5.8% in 2023. Given the possibility of an economic slowdown, provisions are likely to keep rising, with we projecting the same to jump 53.1% in 2023.
(You can read the full research report on JPMorgan here >>>)
AbbVie shares have gained +4.5% over the past year against the Zacks Large Cap Pharmaceuticals industry's gain of +7.5%. The company has several new drugs in its portfolio that have the potential to drive the top line to make up for lost Humira revenues. Skyrizi and Rinvoq have established outstanding launch trajectories bolstered by the approval of new indications.
It has several early/mid-stage candidates that have blockbuster potential. However, there are concerns about long-term sales growth since Humira generics have entered the U.S. market. Slowing consumer demand due to economic pressure is hurting the aesthetics franchise's sales.
Nonetheless, though revenues are expected to decline in 2023, AbbVie expects to return to robust sales growth in 2025. Estimates have declined ahead of Q1 earnings. AbbVie has a positive record of earnings surprises in recent quarters.
(You can read the full research report on AbbVie here >>>)
Shares of NextEra Energy have gained +8.4% over the past six months against the Zacks Utility - Electric Power industry's gain of +13.7%. The company continues to expand its operations through the efficient execution of organic projects and strategic acquisitions. The company currently has many renewable projects in its backlog and their completion will ensure reduced emissions.
The merger of Gulf Power and FPL strengthens NextEra's position in Florida. FPL's customer base is expanding as Florida's economy improves and continues to boost demand for its services. NextEra has ample liquidity to meet its near-term debt obligations and efficient debt management acting as tailwinds. Its shares have lost narrower than industry in the past one year.
However, the nature of its business is subject to complex federal, state and other regulations. Risk in operating nuclear units, unfavorable weather conditions and an increase in supply costs adversely impact earnings.
(You can read the full research report on NextEra Energy here >>>)
Other noteworthy reports we are featuring today include The Boeing Co. and Canadian Natural Resources Ltd.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The Boeing Company (BA) : Free Stock Analysis Report
JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
NextEra Energy, Inc. (NEE) : Free Stock Analysis Report
Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, AbbVie Inc. ABBV, NextEra Energy, Inc. NEE, The Boeing Co. BA and Canadian Natural Resources Ltd. CNQ. Here are highlights from Wednesday’s Analyst Blog: Top Research Reports for JPMorgan, AbbVie and NextEra Energy The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., AbbVie Inc. and NextEra Energy, Inc. | Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, AbbVie Inc. ABBV, NextEra Energy, Inc. NEE, The Boeing Co. BA and Canadian Natural Resources Ltd. CNQ. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., AbbVie Inc. and NextEra Energy, Inc. Click to get this free report The Boeing Company (BA) : Free Stock Analysis Report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Here are highlights from Wednesday’s Analyst Blog: Top Research Reports for JPMorgan, AbbVie and NextEra Energy The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., AbbVie Inc. and NextEra Energy, Inc. Click to get this free report The Boeing Company (BA) : Free Stock Analysis Report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., AbbVie Inc. and NextEra Energy, Inc. Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, AbbVie Inc. ABBV, NextEra Energy, Inc. NEE, The Boeing Co. BA and Canadian Natural Resources Ltd. CNQ. Here are highlights from Wednesday’s Analyst Blog: Top Research Reports for JPMorgan, AbbVie and NextEra Energy The Zacks Research Daily presents the best research output of our analyst team. |
22646.0 | 2023-04-12 00:00:00 UTC | Noteworthy Wednesday Option Activity: KMX, AAL, ABBV | ABBV | https://www.nasdaq.com/articles/noteworthy-wednesday-option-activity%3A-kmx-aal-abbv | nan | nan | Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Carmax Inc. (Symbol: KMX), where a total volume of 41,667 contracts has been traded thus far today, a contract volume which is representative of approximately 4.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 135.9% of KMX's average daily trading volume over the past month, of 3.1 million shares. Especially high volume was seen for the $55 strike put option expiring July 21, 2023, with 2,994 contracts trading so far today, representing approximately 299,400 underlying shares of KMX. Below is a chart showing KMX's trailing twelve month trading history, with the $55 strike highlighted in orange:
American Airlines Group Inc (Symbol: AAL) options are showing a volume of 205,884 contracts thus far today. That number of contracts represents approximately 20.6 million underlying shares, working out to a sizeable 99% of AAL's average daily trading volume over the past month, of 20.8 million shares. Particularly high volume was seen for the $14 strike call option expiring May 19, 2023, with 10,677 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $14 strike highlighted in orange:
And AbbVie Inc (Symbol: ABBV) options are showing a volume of 35,299 contracts thus far today. That number of contracts represents approximately 3.5 million underlying shares, working out to a sizeable 54% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Especially high volume was seen for the $165 strike call option expiring April 14, 2023, with 23,565 contracts trading so far today, representing approximately 2.4 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $165 strike highlighted in orange:
For the various different available expirations for KMX options, AAL options, or ABBV options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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ETFs Holding MIND
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Especially high volume was seen for the $165 strike call option expiring April 14, 2023, with 23,565 contracts trading so far today, representing approximately 2.4 million underlying shares of ABBV. Below is a chart showing AAL's trailing twelve month trading history, with the $14 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 35,299 contracts thus far today. That number of contracts represents approximately 3.5 million underlying shares, working out to a sizeable 54% of ABBV's average daily trading volume over the past month, of 6.5 million shares. | Below is a chart showing AAL's trailing twelve month trading history, with the $14 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 35,299 contracts thus far today. That number of contracts represents approximately 3.5 million underlying shares, working out to a sizeable 54% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Especially high volume was seen for the $165 strike call option expiring April 14, 2023, with 23,565 contracts trading so far today, representing approximately 2.4 million underlying shares of ABBV. | That number of contracts represents approximately 3.5 million underlying shares, working out to a sizeable 54% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Below is a chart showing AAL's trailing twelve month trading history, with the $14 strike highlighted in orange: And AbbVie Inc (Symbol: ABBV) options are showing a volume of 35,299 contracts thus far today. Especially high volume was seen for the $165 strike call option expiring April 14, 2023, with 23,565 contracts trading so far today, representing approximately 2.4 million underlying shares of ABBV. | That number of contracts represents approximately 3.5 million underlying shares, working out to a sizeable 54% of ABBV's average daily trading volume over the past month, of 6.5 million shares. Especially high volume was seen for the $165 strike call option expiring April 14, 2023, with 23,565 contracts trading so far today, representing approximately 2.4 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $165 strike highlighted in orange: For the various different available expirations for KMX options, AAL options, or ABBV options, visit StockOptionsChannel.com. |
22647.0 | 2023-04-12 00:00:00 UTC | Top Research Reports for JPMorgan Chase, AbbVie & NextEra Energy | ABBV | https://www.nasdaq.com/articles/top-research-reports-for-jpmorgan-chase-abbvie-nextera-energy | nan | nan | Wednesday, April 12, 2023
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), AbbVie Inc. (ABBV) and NextEra Energy, Inc. (NEE). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Shares of JPMorgan Chase have outperformed the Zacks Banks - Major Regional industry and the broader market over the past year (+0.9% vs. -16.7% for the industry and -8.2% for the S&P 500 index). The stock has lagged the broader market as well as the industry over the past month or so since the banking problems took center stage.
The stock was up in response to the last quarterly release on January 13th when the company handily beat estimates and provided reassuring commentary on broader business trends. Ahead of Q1 earnings release before the market's open this Friday (April 14th), estimates have largely been unchanged. A lot will be riding on management's characterization of business conditions following the Silicon Valley episode.
Higher rates and a steady loan demand are expected to have aided net interest income (NII) growth in the Q1 report. Yet, the volatile nature of the capital markets business and higher mortgage rates are likely to have made fee income growth challenging. We expect non-interest income (managed) to be relatively stable this year.
However, steadily rising costs is a major woe, and we expect the same to rise 5.8% in 2023. Given the possibility of an economic slowdown, provisions are likely to keep rising, with we projecting the same to jump 53.1% in 2023.
(You can read the full research report on JPMorgan here >>>)
AbbVie shares have gained +4.5% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +7.5%. The company has several new drugs in its portfolio that have the potential to drive the top line to make up for lost Humira revenues. Skyrizi and Rinvoq have established outstanding launch trajectories bolstered by the approval in new indications.
It has several early/mid-stage candidates that have blockbuster potential. However, there are concerns about long-term sales growth since Humira generics have entered the U.S. market. Slowing consumer demand due to economic pressure is hurting the aesthetics franchise’s sales.
Nonetheless, though revenues are expected to decline in 2023, AbbVie expects to return to robust sales growth in 2025. Estimates have declined ahead of Q1 earnings. AbbVie has a positive record of earnings surprises in recent quarters.
(You can read the full research report on AbbVie here >>>)
Shares of NextEra Energy have gained +8.4% over the past six months against the Zacks Utility - Electric Power industry’s gain of +13.7%. The company continues to expand its operations through the efficient execution of organic projects and strategic acquisitions. The company currently has many renewable projects in its backlog and their completion will ensure reduced emissions.
The merger of Gulf Power and FPL strengthens NextEra’s position in Florida. FPL’s customer base is expanding as Florida’s economy improves and continues to boost demand for its services. NextEra has ample liquidity to meet its near-term debt obligations and efficient debt management acting as tailwinds. Its shares have lost narrower than industry in the past one year.
However, the nature of its business is subject to complex federal, state and other regulations. Risk in operating nuclear units, unfavorable weather conditions and an increase in supply costs adversely impact earnings.
(You can read the full research report on NextEra Energy here >>>)
Other noteworthy reports we are featuring today include The Boeing Company (BA), BP p.l.c. (BP) and Canadian Natural Resources Limited (CNQ).
Director of Research
Sheraz Mian
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Higher Rates, Buyouts Aid JPMorgan (JPM), Fee Income a Woe
AbbVie's (ABBV) Skyrizi, Rinvoq Key to Long-Term Growth
Steady Investment & Renewable Focus Aid NextEra Energy (NEE)
Featured Reports
Order Growth Boost Boeing (BA), 777X-9 Program Issues Woe
Per the Zacks analyst, order flow for products tend to boost Boeing's revenue growth prospects. Yet, paused production of 777X-9 may result in abnormal production costs which may hurt its performance.
BP Likely to Benefit From Lightsource BP JV Acquisition
The acquisition will enable BP to increase its access to renewable power generation and simplify the decision-making processes. However, rising exploration expenses concern the Zacks analyst.
Diverse Production Mix to Aid Canadian Natural (CNQ)
The Zacks analyst sees Canadian Natural's diverse production mix facilitating long-term value and reducing risk profile but is worried about the company's debt maturities each year out till 2027.
Strong Domestic Demand, Cost Cuts Aid Sherwin-Williams (SHW)
Per the Zacks Analyst, Sherwin-Williams will gain from strong U.S. architectural demand and efforts to cut operating costs. However, higher energy costs are expected to weigh on its margins.
Kroger's (KR) Product Freshness, Digital Efforts to Lift Sales
Per the Zacks analyst, Kroger has been making investments to enhance product freshness and quality as well as expand digital capabilities. Digital sales grew 12% during fourth-quarter fiscal 2022.
Infrastructure Demand Aids Martin Marietta (MLM), Costs High
Per the Zacks analyst, Martin Marietta is poised to gain from global trends in infrastructure modernization, energy transition and national security investments. Higher raw material costs are risks.
Lucrative SCS Market Aids Nevro (NVRO) Amid Stiff Competition
The Zacks analyst is upbeat about Nevro's solid prospects in the global spinal cord stimulation or SCS market despite its operation in a highly competitive medical device industry.
New Upgrades
Buyouts of AVK & VAS Aid Copart's (CPRT) Expansion Efforts
Per the Zacks analyst, buyout of AVK and Vincent Auto Solutions have expanded Copart's portfolio. Strong balance sheet with low leverage and high liquidity provides it with financial flexibility.
Strong Sales, High Client Retention Benefit Insperity (NSP)
Per the Zacks analyst, Insperity's worksite employee growth is being driven by strong sales, higher client retention and a rise in net hiring of worksite employees by the company's client base.
Solid Digital Platform Aids Client Growth at MoneyGram (MGI)
Per the Zacks Analyst, a robust digital platform built on partnerships with financial services providers and significant investments boosts the company's capabilities and customer base.
New Downgrades
Yelp (YELP) Hurt by Rising Competition, Falling Delivery
Per the Zacks analyst, competition from Google and Facebook is a major threat to Yelp. Declining food take-out and delivery order volumes due to reopening of economies is hurting transaction revenues.
Higher Costs, Weak Asset Quality Hurt Truist Financial (TFC)
Per the Zacks analyst, Truist Financial's profits will be hurt because of a rise in costs as the company continues with investments in technology upgrades. Rising provisions is another major concern.
Cogent (CCOI) Plagued by Higher Operating Costs, Margin Woes
Per the Zacks analyst, Cogent is likely to be plagued by margin woes driven by high operating costs to maintain network infrastructure, stiff competitive pressure and high technological obsolescence.
4 Oil Stocks with Massive Upsides
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The Boeing Company (BA) : Free Stock Analysis Report
JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
NextEra Energy, Inc. (NEE) : Free Stock Analysis Report
BP p.l.c. (BP) : Free Stock Analysis Report
Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Higher Rates, Buyouts Aid JPMorgan (JPM), Fee Income a Woe AbbVie's (ABBV) Skyrizi, Rinvoq Key to Long-Term Growth Steady Investment & Renewable Focus Aid NextEra Energy (NEE) Featured Reports Order Growth Boost Boeing (BA), 777X-9 Program Issues Woe Per the Zacks analyst, order flow for products tend to boost Boeing's revenue growth prospects. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), AbbVie Inc. (ABBV) and NextEra Energy, Inc. (NEE). AbbVie shares have gained +4.5% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +7.5%. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Higher Rates, Buyouts Aid JPMorgan (JPM), Fee Income a Woe AbbVie's (ABBV) Skyrizi, Rinvoq Key to Long-Term Growth Steady Investment & Renewable Focus Aid NextEra Energy (NEE) Featured Reports Order Growth Boost Boeing (BA), 777X-9 Program Issues Woe Per the Zacks analyst, order flow for products tend to boost Boeing's revenue growth prospects. (BP) : Free Stock Analysis Report Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), AbbVie Inc. (ABBV) and NextEra Energy, Inc. (NEE). | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Higher Rates, Buyouts Aid JPMorgan (JPM), Fee Income a Woe AbbVie's (ABBV) Skyrizi, Rinvoq Key to Long-Term Growth Steady Investment & Renewable Focus Aid NextEra Energy (NEE) Featured Reports Order Growth Boost Boeing (BA), 777X-9 Program Issues Woe Per the Zacks analyst, order flow for products tend to boost Boeing's revenue growth prospects. (BP) : Free Stock Analysis Report Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), AbbVie Inc. (ABBV) and NextEra Energy, Inc. (NEE). | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Higher Rates, Buyouts Aid JPMorgan (JPM), Fee Income a Woe AbbVie's (ABBV) Skyrizi, Rinvoq Key to Long-Term Growth Steady Investment & Renewable Focus Aid NextEra Energy (NEE) Featured Reports Order Growth Boost Boeing (BA), 777X-9 Program Issues Woe Per the Zacks analyst, order flow for products tend to boost Boeing's revenue growth prospects. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), AbbVie Inc. (ABBV) and NextEra Energy, Inc. (NEE). AbbVie shares have gained +4.5% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +7.5%. |
22648.0 | 2023-04-12 00:00:00 UTC | See Which Of The Latest 13F Filers Holds AbbVie | ABBV | https://www.nasdaq.com/articles/see-which-of-the-latest-13f-filers-holds-abbvie-6 | nan | nan | At Holdings Channel, we have reviewed the latest batch of the 24 most recent 13F filings for the 03/31/2023 reporting period, and noticed that AbbVie Inc (Symbol: ABBV) was held by 16 of these funds. When hedge fund managers appear to be thinking alike, we find it is a good idea to take a closer look.
Before we proceed, it is important to point out that 13F filings do not tell the whole story, because these funds are only required to disclose their long positions with the SEC, but are not required to disclose their short positions. A fund making a bearish bet against a stock by shorting calls, for example, might also be long some amount of stock as they trade around their overall bearish position. This long component could show up in a 13F filing and everyone might assume the fund is bullish, but this tells only part of the story because the bearish/short side of the position is not seen.
Having given that caveat, we believe that looking at groups of 13F filings can be revealing, especially when comparing one holding period to another. Below, let's take a look at the change in ABBV positions, for this latest batch of 13F filers:
FUND NEW POSITION? CHANGE IN SHARE COUNT CHANGE IN MARKET VALUE ($ IN 1000'S)
Old Port Advisors Existing -113 -$19
Mayflower Financial Advisors LLC Existing +283 -$171
Legacy Private Trust Co. Existing -589 -$143
Vontobel Holding Ltd. Existing +163,840 +$25,568
Adams Asset Advisors LLC Existing UNCH -$168
Stokes Capital Advisors LLC Existing UNCH -$3
Country Club Bank GFN Existing +1,209 +$154
CCG Wealth Management LLC Existing -41 -$10
Tealwood Asset Management Inc. Existing -4,177 -$713
Epiq Partners LLC Existing +40 -$37
Founders Capital Management Existing -372 -$140
626 Financial LLC Existing UNCH -$13
Atlas Private Wealth Advisors Existing +193 +$28
Gulf International Bank UK Ltd Existing -64,000 -$10,859
Naviter Wealth LLC Existing +68 +$86
First National Bank of Mount Dora Trust Investment Services Existing +2,125 +$227
Aggregate Change: +98,466 +$13,787
In terms of shares owned, we count 7 of the above funds having increased existing ABBV positions from 12/31/2022 to 03/31/2023, with 6 having decreased their positions.
Looking beyond these particular funds in this one batch of most recent filers, we tallied up the ABBV share count in the aggregate among all of the funds which held ABBV at the 03/31/2023 reporting period (out of the 354 we looked at in total). We then compared that number to the sum total of ABBV shares those same funds held back at the 12/31/2022 period, to see how the aggregate share count held by hedge funds has moved for ABBV. We found that between these two periods, funds increased their holdings by 153,146 shares in the aggregate, from 6,017,656 up to 6,170,802 for a share count increase of approximately 2.54%. The overall top three funds holding ABBV on 03/31/2023 were:
» FUND SHARES OF ABBV HELD
1. Guinness Asset Management LTD 856,660
2. Gateway Investment Advisers LLC 476,862
3. Inspirion Wealth Advisors LLC 239,907
4-10 Find out the full Top 10 Hedge Funds Holding ABBV »
We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. While looking at individual 13F filings can sometimes be misleading due to the long-only nature of the information, the sum total across groups of funds from one reporting period to another can be a lot more revealing and relevant, providing interesting stock ideas that merit further research, like AbbVie Inc (Symbol: ABBV).
10 S&P 500 Components Hedge Funds Are Buying »
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Institutional Holders of OTEC
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | At Holdings Channel, we have reviewed the latest batch of the 24 most recent 13F filings for the 03/31/2023 reporting period, and noticed that AbbVie Inc (Symbol: ABBV) was held by 16 of these funds. While looking at individual 13F filings can sometimes be misleading due to the long-only nature of the information, the sum total across groups of funds from one reporting period to another can be a lot more revealing and relevant, providing interesting stock ideas that merit further research, like AbbVie Inc (Symbol: ABBV). Below, let's take a look at the change in ABBV positions, for this latest batch of 13F filers: | Existing -4,177 -$713 Epiq Partners LLC Existing +40 -$37 Founders Capital Management Existing -372 -$140 626 Financial LLC Existing UNCH -$13 Atlas Private Wealth Advisors Existing +193 +$28 Gulf International Bank UK Ltd Existing -64,000 -$10,859 Naviter Wealth LLC Existing +68 +$86 First National Bank of Mount Dora Trust Investment Services Existing +2,125 +$227 Aggregate Change: +98,466 +$13,787 In terms of shares owned, we count 7 of the above funds having increased existing ABBV positions from 12/31/2022 to 03/31/2023, with 6 having decreased their positions. Inspirion Wealth Advisors LLC 239,907 4-10 Find out the full Top 10 Hedge Funds Holding ABBV » We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. At Holdings Channel, we have reviewed the latest batch of the 24 most recent 13F filings for the 03/31/2023 reporting period, and noticed that AbbVie Inc (Symbol: ABBV) was held by 16 of these funds. | Existing -4,177 -$713 Epiq Partners LLC Existing +40 -$37 Founders Capital Management Existing -372 -$140 626 Financial LLC Existing UNCH -$13 Atlas Private Wealth Advisors Existing +193 +$28 Gulf International Bank UK Ltd Existing -64,000 -$10,859 Naviter Wealth LLC Existing +68 +$86 First National Bank of Mount Dora Trust Investment Services Existing +2,125 +$227 Aggregate Change: +98,466 +$13,787 In terms of shares owned, we count 7 of the above funds having increased existing ABBV positions from 12/31/2022 to 03/31/2023, with 6 having decreased their positions. Inspirion Wealth Advisors LLC 239,907 4-10 Find out the full Top 10 Hedge Funds Holding ABBV » We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. At Holdings Channel, we have reviewed the latest batch of the 24 most recent 13F filings for the 03/31/2023 reporting period, and noticed that AbbVie Inc (Symbol: ABBV) was held by 16 of these funds. | Existing -4,177 -$713 Epiq Partners LLC Existing +40 -$37 Founders Capital Management Existing -372 -$140 626 Financial LLC Existing UNCH -$13 Atlas Private Wealth Advisors Existing +193 +$28 Gulf International Bank UK Ltd Existing -64,000 -$10,859 Naviter Wealth LLC Existing +68 +$86 First National Bank of Mount Dora Trust Investment Services Existing +2,125 +$227 Aggregate Change: +98,466 +$13,787 In terms of shares owned, we count 7 of the above funds having increased existing ABBV positions from 12/31/2022 to 03/31/2023, with 6 having decreased their positions. Inspirion Wealth Advisors LLC 239,907 4-10 Find out the full Top 10 Hedge Funds Holding ABBV » We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. At Holdings Channel, we have reviewed the latest batch of the 24 most recent 13F filings for the 03/31/2023 reporting period, and noticed that AbbVie Inc (Symbol: ABBV) was held by 16 of these funds. |
22649.0 | 2023-04-12 00:00:00 UTC | Why AbbVie (ABBV) Could Beat Earnings Estimates Again | ABBV | https://www.nasdaq.com/articles/why-abbvie-abbv-could-beat-earnings-estimates-again | nan | nan | Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering AbbVie (ABBV), which belongs to the Zacks Large Cap Pharmaceuticals industry.
When looking at the last two reports, this drugmaker has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 2.25%, on average, in the last two quarters.
For the last reported quarter, AbbVie came out with earnings of $3.60 per share versus the Zacks Consensus Estimate of $3.54 per share, representing a surprise of 1.69%. For the previous quarter, the company was expected to post earnings of $3.56 per share and it actually produced earnings of $3.66 per share, delivering a surprise of 2.81%.
Price and EPS Surprise
For AbbVie, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
AbbVie has an Earnings ESP of +3.21% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on April 27, 2023.
Investors should note, however, that a negative Earnings ESP reading is not indicative of an earnings miss, but a negative value does reduce the predictive power of this metric.
Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | It is worth considering AbbVie (ABBV), which belongs to the Zacks Large Cap Pharmaceuticals industry. For the last reported quarter, AbbVie came out with earnings of $3.60 per share versus the Zacks Consensus Estimate of $3.54 per share, representing a surprise of 1.69%. Price and EPS Surprise For AbbVie, estimates have been trending higher, thanks in part to this earnings surprise history. | It is worth considering AbbVie (ABBV), which belongs to the Zacks Large Cap Pharmaceuticals industry. For the last reported quarter, AbbVie came out with earnings of $3.60 per share versus the Zacks Consensus Estimate of $3.54 per share, representing a surprise of 1.69%. Price and EPS Surprise For AbbVie, estimates have been trending higher, thanks in part to this earnings surprise history. | It is worth considering AbbVie (ABBV), which belongs to the Zacks Large Cap Pharmaceuticals industry. For the last reported quarter, AbbVie came out with earnings of $3.60 per share versus the Zacks Consensus Estimate of $3.54 per share, representing a surprise of 1.69%. Price and EPS Surprise For AbbVie, estimates have been trending higher, thanks in part to this earnings surprise history. | It is worth considering AbbVie (ABBV), which belongs to the Zacks Large Cap Pharmaceuticals industry. For the last reported quarter, AbbVie came out with earnings of $3.60 per share versus the Zacks Consensus Estimate of $3.54 per share, representing a surprise of 1.69%. Price and EPS Surprise For AbbVie, estimates have been trending higher, thanks in part to this earnings surprise history. |
22650.0 | 2023-04-12 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-13 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22651.0 | 2023-04-12 00:00:00 UTC | Why 2023 Could Be a Tough Year for AbbVie Stock | ABBV | https://www.nasdaq.com/articles/why-2023-could-be-a-tough-year-for-abbvie-stock | nan | nan | At first glance, AbbVie (NYSE: ABBV) might look like a stock that's reasonably valued or even a cheap buy. It even has the added bonus of an attractive dividend yield of 3.7%. But there are some risks under the hood that should give investors some second thoughts about owning this pharmaceutical stock.
Here's why this year could be a challenging one for the company, and whether you should consider buying the stock despite the obstacles it's facing.
Humira's sales will nosedive this year
Investors have been hesitant about buying AbbVie stock because its top-selling drug Humira is losing some of its patent protection. That reality is hitting hard this year, as AbbVie projects that 2023 sales from its rheumatoid arthritis drug will fall by 37% due to competition from biosimilars. Company management doesn't see things stabilizing until the end of 2024, which means it might be difficult for investors to get a gauge of just how bad things will get any time soon.
AbbVie does have other immunology drugs, Skyrizi and Rinvoq, gaining some traction and the two combined could eventually make up for the loss in revenue. But it could take years before they hit their revenue-generating peaks. And the gap right now is big.
DRUG 2020 REVENUE 2021 REVENUE 2022 REVENUE
Humira $19.83 billion $20.69 billion $21.24 billion
Skyrizi $1.59 billion $2.94 billion $5.17 billion
Rinvoq $0.73 billion $1.65 billion $2.52 billion
Source: Company filings.
Together the two newer drugs generated just under $7.7 billion in revenue in 2022 -- not even near half the sales that Humira brought in. For AbbVie, it could be a bumpy ride as it tries to grow sales of these products.
IPR&D expenses to chip away at earnings
The Humira revenue drop will hurt, and so will the $150 million in added expenses due to in-process research and development expenses (IPR&D) and milestone payments. These are expenses that are normally due to acquisitions and are non-recurring in nature. AbbVie announced multiple acquisitions in 2022, including U.K.-based biotech company DJS Antibodies and Syndesi Therapeutics, which is a Belgian-based business that focuses on cognitive disorders.
As a result of the additional expenses, AbbVie management had to trim its forecast. For 2023, its adjusted earnings will be within a range of $10.62 to $11.02, which is a modest drop from the range of $10.70 to $11.10 that it was projecting previously.
A worsening payout ratio could turn off risk-averse investors
Another consequence of lower sales and profit numbers is that the company's dividend may look riskier to investors. Although AbbVie is technically a Dividend King, its track record for increasing dividend payments stems back to when it was part of Abbott Laboratories.
Currently, its payout ratio of 85% is fairly high, and if there isn't a big improvement on earnings this year, the healthcare stock could find it difficult to attract risk-averse dividend investors, who may see the yield as too risky. At 3.7%, however, AbbVie's dividend yield is a full two points better than the S&P 500 average of 1.7%.
What's encouraging is that free cash flow has totaled $24 billion over the trailing 12 months, which is more than twice the $10 billion the company has paid out in dividends. However, with a steep drop in sales from Humira, that buffer is likely to shrink significantly this year.
Is AbbVie stock a buy?
This year is going to be a challenging one for AbbVie, but in the long run, this still makes for an excellent investment. Revenue from Humira will decline, but it won't go to zero. And with impressive free cash flow, the company has resources that it can put to use to help grow its operations, which includes investing into a robust pipeline that features more than 90 projects currently in development.
At a forward price-to-earnings multiple of 15 (which is based on analyst expectations), AbbVie's stock is also trading below the healthcare average of 18, and it even leaves a bit of a buffer for investors in case things go worse for the company than expected.
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David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie announced multiple acquisitions in 2022, including U.K.-based biotech company DJS Antibodies and Syndesi Therapeutics, which is a Belgian-based business that focuses on cognitive disorders. At first glance, AbbVie (NYSE: ABBV) might look like a stock that's reasonably valued or even a cheap buy. Humira's sales will nosedive this year Investors have been hesitant about buying AbbVie stock because its top-selling drug Humira is losing some of its patent protection. | At a forward price-to-earnings multiple of 15 (which is based on analyst expectations), AbbVie's stock is also trading below the healthcare average of 18, and it even leaves a bit of a buffer for investors in case things go worse for the company than expected. At first glance, AbbVie (NYSE: ABBV) might look like a stock that's reasonably valued or even a cheap buy. Humira's sales will nosedive this year Investors have been hesitant about buying AbbVie stock because its top-selling drug Humira is losing some of its patent protection. | Humira's sales will nosedive this year Investors have been hesitant about buying AbbVie stock because its top-selling drug Humira is losing some of its patent protection. At first glance, AbbVie (NYSE: ABBV) might look like a stock that's reasonably valued or even a cheap buy. That reality is hitting hard this year, as AbbVie projects that 2023 sales from its rheumatoid arthritis drug will fall by 37% due to competition from biosimilars. | Humira's sales will nosedive this year Investors have been hesitant about buying AbbVie stock because its top-selling drug Humira is losing some of its patent protection. At first glance, AbbVie (NYSE: ABBV) might look like a stock that's reasonably valued or even a cheap buy. That reality is hitting hard this year, as AbbVie projects that 2023 sales from its rheumatoid arthritis drug will fall by 37% due to competition from biosimilars. |
22652.0 | 2023-04-11 00:00:00 UTC | AbbVie (ABBV) Stock Moves 0.06%: What You Should Know | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-stock-moves-0.06%3A-what-you-should-know | nan | nan | AbbVie (ABBV) closed at $161.38 in the latest trading session, marking a +0.06% move from the prior day. Elsewhere, the Dow gained 0.29%, while the tech-heavy Nasdaq added 1.92%.
Prior to today's trading, shares of the drugmaker had gained 6.14% over the past month. This has lagged the Medical sector's gain of 6.4% and the S&P 500's gain of 6.51% in that time.
AbbVie will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.49 per share. This would mark a year-over-year decline of 21.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.04 billion, down 11.07% from the year-ago period.
ABBV's full-year Zacks Consensus Estimates are calling for earnings of $10.97 per share and revenue of $52.39 billion. These results would represent year-over-year changes of -20.33% and -9.75%, respectively.
Any recent changes to analyst estimates for AbbVie should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.36% lower within the past month. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, AbbVie is currently trading at a Forward P/E ratio of 14.7. Its industry sports an average Forward P/E of 14.67, so we one might conclude that AbbVie is trading at a premium comparatively.
We can also see that ABBV currently has a PEG ratio of 3.67. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 90, which puts it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) closed at $161.38 in the latest trading session, marking a +0.06% move from the prior day. AbbVie will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.49 per share. | Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie (ABBV) closed at $161.38 in the latest trading session, marking a +0.06% move from the prior day. AbbVie will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. | Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie (ABBV) closed at $161.38 in the latest trading session, marking a +0.06% move from the prior day. AbbVie will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. | AbbVie (ABBV) closed at $161.38 in the latest trading session, marking a +0.06% move from the prior day. AbbVie will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. In that report, analysts expect AbbVie to post earnings of $2.49 per share. |
22653.0 | 2023-04-11 00:00:00 UTC | Ex-Dividend Reminder: AbbVie, Abbott Laboratories and Mid-America Apartment Communities | ABBV | https://www.nasdaq.com/articles/ex-dividend-reminder%3A-abbvie-abbott-laboratories-and-mid-america-apartment-communities-0 | nan | nan | Looking at the universe of stocks we cover at Dividend Channel, on 4/13/23, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Mid-America Apartment Communities Inc (Symbol: MAA) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $1.48 on 5/15/23, Abbott Laboratories will pay its quarterly dividend of $0.51 on 5/15/23, and Mid-America Apartment Communities Inc will pay its quarterly dividend of $1.40 on 4/28/23. As a percentage of ABBV's recent stock price of $161.65, this dividend works out to approximately 0.92%, so look for shares of AbbVie Inc to trade 0.92% lower — all else being equal — when ABBV shares open for trading on 4/13/23. Similarly, investors should look for ABT to open 0.49% lower in price and for MAA to open 0.94% lower, all else being equal.
Below are dividend history charts for ABBV, ABT, and MAA, showing historical dividends prior to the most recent ones declared.
AbbVie Inc (Symbol: ABBV):
Abbott Laboratories (Symbol: ABT):
Mid-America Apartment Communities Inc (Symbol: MAA):
In general, dividends are not always predictable, following the ups and downs of company profits over time. Therefore, a good first due diligence step in forming an expectation of annual yield going forward, is looking at the history above, for a sense of stability over time. This can help in judging whether the most recent dividends from these companies are likely to continue. If they do continue, the current estimated yields on annualized basis would be 3.66% for AbbVie Inc, 1.96% for Abbott Laboratories, and 3.74% for Mid-America Apartment Communities Inc.
In Tuesday trading, AbbVie Inc shares are currently up about 0.2%, Abbott Laboratories shares are up about 0.2%, and Mid-America Apartment Communities Inc shares are off about 0.1% on the day.
Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | If they do continue, the current estimated yields on annualized basis would be 3.66% for AbbVie Inc, 1.96% for Abbott Laboratories, and 3.74% for Mid-America Apartment Communities Inc. Looking at the universe of stocks we cover at Dividend Channel, on 4/13/23, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Mid-America Apartment Communities Inc (Symbol: MAA) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $1.48 on 5/15/23, Abbott Laboratories will pay its quarterly dividend of $0.51 on 5/15/23, and Mid-America Apartment Communities Inc will pay its quarterly dividend of $1.40 on 4/28/23. | Looking at the universe of stocks we cover at Dividend Channel, on 4/13/23, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Mid-America Apartment Communities Inc (Symbol: MAA) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc (Symbol: ABBV): Abbott Laboratories (Symbol: ABT): Mid-America Apartment Communities Inc (Symbol: MAA): In general, dividends are not always predictable, following the ups and downs of company profits over time. AbbVie Inc will pay its quarterly dividend of $1.48 on 5/15/23, Abbott Laboratories will pay its quarterly dividend of $0.51 on 5/15/23, and Mid-America Apartment Communities Inc will pay its quarterly dividend of $1.40 on 4/28/23. | Looking at the universe of stocks we cover at Dividend Channel, on 4/13/23, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Mid-America Apartment Communities Inc (Symbol: MAA) will all trade ex-dividend for their respective upcoming dividends. AbbVie Inc will pay its quarterly dividend of $1.48 on 5/15/23, Abbott Laboratories will pay its quarterly dividend of $0.51 on 5/15/23, and Mid-America Apartment Communities Inc will pay its quarterly dividend of $1.40 on 4/28/23. AbbVie Inc (Symbol: ABBV): Abbott Laboratories (Symbol: ABT): Mid-America Apartment Communities Inc (Symbol: MAA): In general, dividends are not always predictable, following the ups and downs of company profits over time. | As a percentage of ABBV's recent stock price of $161.65, this dividend works out to approximately 0.92%, so look for shares of AbbVie Inc to trade 0.92% lower — all else being equal — when ABBV shares open for trading on 4/13/23. If they do continue, the current estimated yields on annualized basis would be 3.66% for AbbVie Inc, 1.96% for Abbott Laboratories, and 3.74% for Mid-America Apartment Communities Inc. Looking at the universe of stocks we cover at Dividend Channel, on 4/13/23, AbbVie Inc (Symbol: ABBV), Abbott Laboratories (Symbol: ABT), and Mid-America Apartment Communities Inc (Symbol: MAA) will all trade ex-dividend for their respective upcoming dividends. |
22654.0 | 2023-04-11 00:00:00 UTC | 2 Forever Stocks to Buy No Matter What the Market Is Doing | ABBV | https://www.nasdaq.com/articles/2-forever-stocks-to-buy-no-matter-what-the-market-is-doing | nan | nan | In tough economic times, many companies see their revenue decline. And in good times, these companies may see just the opposite -- revenue takes off. It's fine to include these players in your portfolio. But it's also a great idea to buy companies that generally deliver earnings growth no matter what the market is doing.
The perfect place to look for these stocks is in the land of healthcare. That's because people need medicines or procedures regardless of the economic environment. These stocks usually won't make extreme moves. Instead, they may steadily lead your portfolio higher over time. Let's check out two stocks to buy now and possibly hold forever.
1. Intuitive Surgical
Intuitive Surgical (NASDAQ: ISRG) sells and leases robotic surgical systems to hospitals for a wide variety of minimally invasive procedures -- from hernia repair to hysterectomy. The company is the global leader by far, with nearly 80% market share, according to BIS Research.
There's reason to be optimistic about Intuitive keeping much of its market share. First, surgical robots are million-dollar investments, so hospitals probably won't aim to switch to another provider if they're satisfied. Second, most surgeons train on Intuitive's flagship Da Vinci system. It's a platform they're used to, so they're likely to favor it. All of this means Intuitive has a solid moat.
Another thing I like about Intuitive is the way it generates revenue. It doesn't just sell robotic systems. It also sells accessories and instruments and service packages to maintain the platforms. And these items represent recurrent revenue. So, each robot sold or leased results in additional revenue every time a procedure is performed. In fact, revenue from accessories and instruments surpasses Intuitive's revenue from robot sales.
Elements like rising inflation or COVID-19 disruptions have weighed on earnings. Higher inflation has lifted costs. And the pandemic has resulted in postponed surgeries and therefore, postponed revenue. But these are temporary problems. And Intuitive has generally grown earnings over time.
Today, Intuitive shares trade for 48 times forward-earnings estimates. Considering Intuitive's market leadership and moat, they are well worth that price.
2. Pfizer
When most people think of Pfizer (NYSE: PFE) these days, they probably think of the company's coronavirus program. Last year, Pfizer generated more than $37 billion from its Comirnaty vaccine and about $18 billion from Paxlovid, its oral antiviral treatment. These figures are set to decline this year as we head toward a post-pandemic situation.
But Pfizer expects the products to remain blockbusters well into the future. And at the same time, the big pharma player is heading into a whole new era of growth through the development of its own products beyond COVID-19 and through acquisitions.
First, the bad news: Pfizer expects to lose $17 billion in revenue from 2025 through 2030 as some of the company's older drugs lose exclusivity. But here's the good news: Pfizer aims to bring 19 new products or indications to the market within an 18-month period. That's a record for the company. Fifteen of those are from Pfizer's own pipeline, and the others are from recent acquisitions.
Pfizer predicts these fifteen potential products will generate sales in 2030 of about $20 billion. And products gained through acquisition should bring in $25 billion in 2030. So, these new products could more than compensate for the upcoming declines in older blockbusters.
This pharma giant also believes in rewarding shareholders. The company returned $11 billion to investors last year in the form of dividends and share buybacks.
Now let's take a look at valuation.
PFE PE Ratio (Forward) data by YCharts.
Pfizer trades for about 12 times forward-earnings estimates, making it cheaper than peers such as Merck or AbbVie. This looks like a steal for a company offering passive income and a ticket to long-term earnings growth.
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Intuitive Surgical, Merck, and Pfizer. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Pfizer trades for about 12 times forward-earnings estimates, making it cheaper than peers such as Merck or AbbVie. But it's also a great idea to buy companies that generally deliver earnings growth no matter what the market is doing. First, surgical robots are million-dollar investments, so hospitals probably won't aim to switch to another provider if they're satisfied. | Pfizer trades for about 12 times forward-earnings estimates, making it cheaper than peers such as Merck or AbbVie. Intuitive Surgical Intuitive Surgical (NASDAQ: ISRG) sells and leases robotic surgical systems to hospitals for a wide variety of minimally invasive procedures -- from hernia repair to hysterectomy. Today, Intuitive shares trade for 48 times forward-earnings estimates. | Pfizer trades for about 12 times forward-earnings estimates, making it cheaper than peers such as Merck or AbbVie. Intuitive Surgical Intuitive Surgical (NASDAQ: ISRG) sells and leases robotic surgical systems to hospitals for a wide variety of minimally invasive procedures -- from hernia repair to hysterectomy. In fact, revenue from accessories and instruments surpasses Intuitive's revenue from robot sales. | Pfizer trades for about 12 times forward-earnings estimates, making it cheaper than peers such as Merck or AbbVie. In tough economic times, many companies see their revenue decline. So, each robot sold or leased results in additional revenue every time a procedure is performed. |
22655.0 | 2023-04-10 00:00:00 UTC | Morgan Stanley Maintains AbbVie (ABBV) Overweight Recommendation | ABBV | https://www.nasdaq.com/articles/morgan-stanley-maintains-abbvie-abbv-overweight-recommendation | nan | nan | Fintel reports that on April 10, 2023, Morgan Stanley maintained coverage of AbbVie (NYSE:ABBV) with a Overweight recommendation.
Analyst Price Forecast Suggests 3.46% Upside
As of April 6, 2023, the average one-year price target for AbbVie is $167.15. The forecasts range from a low of $136.35 to a high of $210.00. The average price target represents an increase of 3.46% from its latest reported closing price of $161.55.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. The projected annual non-GAAP EPS is $11.88.
AbbVie Declares $1.48 Dividend
On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). Shareholders of record as of April 14, 2023 will receive the payment on May 15, 2023. Previously, the company paid $1.48 per share.
At the current share price of $161.55 / share, the stock's dividend yield is 3.66%. Looking back five years and taking a sample every week, the average dividend yield has been 4.74%, the lowest has been 3.32%, and the highest has been 7.32%. The standard deviation of yields is 0.77 (n=237).
The current dividend yield is 1.40 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.88. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.25%, demonstrating that it has increased its dividend over time.
What are Other Shareholders Doing?
Enhancing Capital holds 2K shares representing 0.00% ownership of the company. No change in the last quarter.
Silverlake Wealth Management holds 10K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 11K shares, representing a decrease of 0.62%. The firm increased its portfolio allocation in ABBV by 10.19% over the last quarter.
Lockerman Financial Group holds 1K shares representing 0.00% ownership of the company.
Pictet & Cie holds 88K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 13K shares, representing an increase of 85.37%. The firm increased its portfolio allocation in ABBV by 716.60% over the last quarter.
Oxler Private Wealth holds 16K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 0K shares, representing an increase of 100.00%.
What is the Fund Sentiment?
There are 4534 funds or institutions reporting positions in AbbVie. This is an increase of 166 owner(s) or 3.80% in the last quarter. Average portfolio weight of all funds dedicated to ABBV is 0.78%, a decrease of 11.36%. Total shares owned by institutions increased in the last three months by 1.08% to 1,442,236K shares.
The put/call ratio of ABBV is 0.66, indicating a bullish outlook.
Abbvie Background Information
(This description is provided by the company.)
AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. The Company strives to have a remarkable impact on people's lives across several key therapeutic areas: immunology, oncology, neuroscience, eye care, virology, women's health and gastroenterology, in addition to products and services across its Allergan Aesthetics portfolio.
See all AbbVie regulatory filings.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Fintel reports that on April 10, 2023, Morgan Stanley maintained coverage of AbbVie (NYSE:ABBV) with a Overweight recommendation. AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. Analyst Price Forecast Suggests 3.46% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. | Fintel reports that on April 10, 2023, Morgan Stanley maintained coverage of AbbVie (NYSE:ABBV) with a Overweight recommendation. Analyst Price Forecast Suggests 3.46% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. | AbbVie Declares $1.48 Dividend On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). Fintel reports that on April 10, 2023, Morgan Stanley maintained coverage of AbbVie (NYSE:ABBV) with a Overweight recommendation. Analyst Price Forecast Suggests 3.46% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. | Fintel reports that on April 10, 2023, Morgan Stanley maintained coverage of AbbVie (NYSE:ABBV) with a Overweight recommendation. Analyst Price Forecast Suggests 3.46% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. |
22656.0 | 2023-04-10 00:00:00 UTC | AbbVie (ABBV), J&J to Withdraw 2 Blood Cancer Nods for Imbruvica | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-jj-to-withdraw-2-blood-cancer-nods-for-imbruvica | nan | nan | AbbVie ABBV and Johnson & Johnson JNJ announced they would voluntarily withdraw the accelerated approvals granted by the FDA to Imbruvica (ibrutinib) in mantle cell lymphoma (MCL) and marginal zone lymphoma (MZL) indications. This decision was made in consultation with the FDA.
This decision to voluntarily withdraw two approvals was based on data from two separate phase III confirmatory studies, which evaluated Imbruvica in MCL and MZL indications, respectively. Per the FDA, data from both confirmatory studies were insufficient to support conversion to full approval.
In the year so far, shares of AbbVie have registered breakeven growth while J&J’s stock price has declined 6.5%. During the same period, the industry has risen 0.7%.
Image Source: Zacks Investment Research
The phase III SHINE study and phase III SELENE study served as confirmatory studies which evaluated Imbruvica in MCL and MZL indications, respectively. Although the SHINE study did achieve its primary endpoint of progression-free survival (PFS), study participants who were administered the drug in addition to chemoimmunotherapy reported increased adverse reactions compared to the placebo-controlled arm. The SELENE study did not achieve its primary endpoint of PFS.
The FDA had granted accelerated approval to Imbruvica for treating MCL patients who have received at least one prior therapy in 2013. The agency granted another accelerated approval to Imbruvica in 2017 to treat MZL patients who require systemic therapy and received at least one prior anti-CD20-based therapy. These accelerated approvals were granted based on overall response rates in separate phase II studies.
The above decision will not affect FDA approval for Imbruvica in other indications. Apart from MCL and MZL, Imbruvica is currently approved for chronic lymphocytic leukemia (CLL)/small lymphocytic lymphoma (SLL), Waldenström’s macroglobulinemia (WM) and chronic graft-versus-host disease (cGVHD) indications.
Imbruvica has been developed by AbbVie in collaboration with J&J. Per the terms of collaboration, the companies jointly market Imbruvica in the United States while J&J has exclusive rights for marketing the drug outside the country. J&J shares international profits earned from Imbruvica with AbbVie.
In the last few quarters, sales of Imbruvica have been declining steadily amid rising competition from novel oral treatments in the United States. The drug is facing stiff competition from AstraZeneca’s AZN Calquence and BeiGene’s Brukinsa, which the FDA has approved to treat similar indications for which Imbruvica is already approved.
Currently, AstraZeneca’s Calquence is approved by the FDA as capsule and tablet formulations to treat CLL/SLL and MCL indications. For fiscal 2022, AstraZeneca generated $2.1 billion from Calquence product sales. BeiGene’s Brukinsa is currently approved by the FDA in CLL/SLL, WM, MCL and MZL indications.
AbbVie Inc. Price
AbbVie Inc. price | AbbVie Inc. Quote
Johnson & Johnson Price
Johnson & Johnson price | Johnson & Johnson Quote
Zacks Rank & Stocks to Consider
Both AbbVie and J&J currently carry a Zacks Rank #3 (Hold). A better-ranked stock in the overall healthcare sector includes Novo Nordisk NVO, which sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
In the past 60 days, estimates for Novo Nordisk’s 2023 earnings per share have increased from $4.20 to $4.51. During the same period, the earnings estimates per share for 2024 have risen from $4.90 to $5.26. Shares of Novo Nordisk are up 17.8% in the year-to-date period.
Earnings of Novo Nordisk beat estimates in three of the last four quarters while missing the mark on one occasion. On average, the company’s earnings witnessed a surprise of 3.00%. In the last reported quarter, Novo Nordisk’searnings beat estimates by 2.47%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie ABBV and Johnson & Johnson JNJ announced they would voluntarily withdraw the accelerated approvals granted by the FDA to Imbruvica (ibrutinib) in mantle cell lymphoma (MCL) and marginal zone lymphoma (MZL) indications. In the year so far, shares of AbbVie have registered breakeven growth while J&J’s stock price has declined 6.5%. Imbruvica has been developed by AbbVie in collaboration with J&J. | AbbVie Inc. Price AbbVie Inc. price | AbbVie Inc. Quote Johnson & Johnson Price Johnson & Johnson price | Johnson & Johnson Quote Zacks Rank & Stocks to Consider Both AbbVie and J&J currently carry a Zacks Rank #3 (Hold). Click to get this free report AstraZeneca PLC (AZN) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV and Johnson & Johnson JNJ announced they would voluntarily withdraw the accelerated approvals granted by the FDA to Imbruvica (ibrutinib) in mantle cell lymphoma (MCL) and marginal zone lymphoma (MZL) indications. | AbbVie Inc. Price AbbVie Inc. price | AbbVie Inc. Quote Johnson & Johnson Price Johnson & Johnson price | Johnson & Johnson Quote Zacks Rank & Stocks to Consider Both AbbVie and J&J currently carry a Zacks Rank #3 (Hold). Click to get this free report AstraZeneca PLC (AZN) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Novo Nordisk A/S (NVO) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV and Johnson & Johnson JNJ announced they would voluntarily withdraw the accelerated approvals granted by the FDA to Imbruvica (ibrutinib) in mantle cell lymphoma (MCL) and marginal zone lymphoma (MZL) indications. | AbbVie ABBV and Johnson & Johnson JNJ announced they would voluntarily withdraw the accelerated approvals granted by the FDA to Imbruvica (ibrutinib) in mantle cell lymphoma (MCL) and marginal zone lymphoma (MZL) indications. J&J shares international profits earned from Imbruvica with AbbVie. In the year so far, shares of AbbVie have registered breakeven growth while J&J’s stock price has declined 6.5%. |
22657.0 | 2023-04-10 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-12 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
Factor-Based Stock Portfolios
Factor-Based ETF Portfolios
Harry Browne Permanent Portfolio
Ray Dalio All Weather Portfolio
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22658.0 | 2023-04-10 00:00:00 UTC | Is Invesco Dynamic Pharmaceuticals ETF (PJP) a Strong ETF Right Now? | ABBV | https://www.nasdaq.com/articles/is-invesco-dynamic-pharmaceuticals-etf-pjp-a-strong-etf-right-now-7 | nan | nan | The Invesco Dynamic Pharmaceuticals ETF (PJP) made its debut on 06/23/2005, and is a smart beta exchange traded fund that provides broad exposure to the Health Care ETFs category of the market.
What Are Smart Beta ETFs?
The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
The fund is managed by Invesco, and has been able to amass over $310.33 million, which makes it one of the average sized ETFs in the Health Care ETFs. PJP, before fees and expenses, seeks to match the performance of the Dynamic Pharmaceutical Intellidex Index.
The Dynamic Pharmaceutical Intellidex Index is comprised of stocks of U.S. pharmaceutical companies. It is designed to provide capital appreciation by thoroughly evaluating companies based on a variety of investment merit criteria, including fundamental growth, stock valuation, investment timeliness and risk factors.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
Operating expenses on an annual basis are 0.56% for PJP, making it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.96%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Healthcare sector - about 100% of the portfolio.
Looking at individual holdings, Pfizer Inc (PFE) accounts for about 6.84% of total assets, followed by Merck & Co Inc (MRK) and Abbvie Inc (ABBV).
The top 10 holdings account for about 60.62% of total assets under management.
Performance and Risk
Year-to-date, the Invesco Dynamic Pharmaceuticals ETF has lost about -1.28% so far, and is down about -6.36% over the last 12 months (as of 04/10/2023). PJP has traded between $69.08 and $82.25 in this past 52-week period.
The fund has a beta of 0.66 and standard deviation of 17.83% for the trailing three-year period, which makes PJP a high risk choice in this particular space. With about 24 holdings, it has more concentrated exposure than peers.
Alternatives
Invesco Dynamic Pharmaceuticals ETF is not a suitable option for investors seeking to outperform the Health Care ETFs segment of the market. Instead, there are other ETFs in the space which investors should consider.
VanEck Pharmaceutical ETF (PPH) tracks MVIS US Listed Pharmaceutical 25 Index and the iShares U.S. Pharmaceuticals ETF (IHE) tracks Dow Jones U.S. Select Pharmaceuticals Index. VanEck Pharmaceutical ETF has $382.29 million in assets, iShares U.S. Pharmaceuticals ETF has $390.46 million. PPH has an expense ratio of 0.36% and IHE charges 0.39%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Health Care ETFs.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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iShares U.S. Pharmaceuticals ETF (IHE): ETF Research Reports
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Looking at individual holdings, Pfizer Inc (PFE) accounts for about 6.84% of total assets, followed by Merck & Co Inc (MRK) and Abbvie Inc (ABBV). Click to get this free report Invesco Dynamic Pharmaceuticals ETF (PJP): ETF Research Reports Pfizer Inc. (PFE) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report iShares U.S. Pharmaceuticals ETF (IHE): ETF Research Reports VanEck Pharmaceutical ETF (PPH): ETF Research Reports To read this article on Zacks.com click here. However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta. | Click to get this free report Invesco Dynamic Pharmaceuticals ETF (PJP): ETF Research Reports Pfizer Inc. (PFE) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report iShares U.S. Pharmaceuticals ETF (IHE): ETF Research Reports VanEck Pharmaceutical ETF (PPH): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Pfizer Inc (PFE) accounts for about 6.84% of total assets, followed by Merck & Co Inc (MRK) and Abbvie Inc (ABBV). VanEck Pharmaceutical ETF (PPH) tracks MVIS US Listed Pharmaceutical 25 Index and the iShares U.S. Pharmaceuticals ETF (IHE) tracks Dow Jones U.S. | Click to get this free report Invesco Dynamic Pharmaceuticals ETF (PJP): ETF Research Reports Pfizer Inc. (PFE) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report iShares U.S. Pharmaceuticals ETF (IHE): ETF Research Reports VanEck Pharmaceutical ETF (PPH): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Pfizer Inc (PFE) accounts for about 6.84% of total assets, followed by Merck & Co Inc (MRK) and Abbvie Inc (ABBV). The Invesco Dynamic Pharmaceuticals ETF (PJP) made its debut on 06/23/2005, and is a smart beta exchange traded fund that provides broad exposure to the Health Care ETFs category of the market. | Looking at individual holdings, Pfizer Inc (PFE) accounts for about 6.84% of total assets, followed by Merck & Co Inc (MRK) and Abbvie Inc (ABBV). Click to get this free report Invesco Dynamic Pharmaceuticals ETF (PJP): ETF Research Reports Pfizer Inc. (PFE) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report iShares U.S. Pharmaceuticals ETF (IHE): ETF Research Reports VanEck Pharmaceutical ETF (PPH): ETF Research Reports To read this article on Zacks.com click here. The Invesco Dynamic Pharmaceuticals ETF (PJP) made its debut on 06/23/2005, and is a smart beta exchange traded fund that provides broad exposure to the Health Care ETFs category of the market. |
22659.0 | 2023-04-07 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-11 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
Factor-Based Stock Portfolios
Factor-Based ETF Portfolios
Harry Browne Permanent Portfolio
Ray Dalio All Weather Portfolio
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22660.0 | 2023-04-07 00:00:00 UTC | Is ProShares S&P 500 Dividend Aristocrats ETF (NOBL) a Strong ETF Right Now? | ABBV | https://www.nasdaq.com/articles/is-proshares-sp-500-dividend-aristocrats-etf-nobl-a-strong-etf-right-now-6 | nan | nan | Making its debut on 10/09/2013, smart beta exchange traded fund ProShares S&P 500 Dividend Aristocrats ETF (NOBL) provides investors broad exposure to the Style Box - Large Cap Value category of the market.
What Are Smart Beta ETFs?
The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.
Fund Sponsor & Index
Managed by Proshares, NOBL has amassed assets over $11.09 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. Before fees and expenses, this particular fund seeks to match the performance of the S&P 500 DividendAristocrats Index.
The S&P 500 Dividend Aristocrats Index targets companies that are currently members of the S&P 500, have increased dividend payments each year for at least 25 years & meet certain market capitalization & liquidity requirements.
Cost & Other Expenses
For ETF investors, expense ratios are an important factor when considering a fund's return; in the long-term, cheaper funds actually have the ability to outperform their more expensive cousins if all other things remain the same.
Annual operating expenses for this ETF are 0.35%, making it on par with most peer products in the space.
It's 12-month trailing dividend yield comes in at 1.93%.
Performance and Risk
So far this year, NOBL has gained about 0.89%, and is down about -3.68% in the last one year (as of 04/07/2023). During this past 52-week period, the fund has traded between $79.96 and $97.74.
The fund has a beta of 0.89 and standard deviation of 18.53% for the trailing three-year period, which makes NOBL a medium risk choice in this particular space. With about 67 holdings, it effectively diversifies company-specific risk.
Alternatives
ProShares S&P 500 Dividend Aristocrats ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well.
IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $23.27 billion in assets, Vanguard Dividend Appreciation ETF has $65.49 billion. DGRO has an expense ratio of 0.08% and VIG charges 0.06%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Making its debut on 10/09/2013, smart beta exchange traded fund ProShares S&P 500 Dividend Aristocrats ETF (NOBL) provides investors broad exposure to the Style Box - Large Cap Value category of the market. Fund Sponsor & Index Managed by Proshares, NOBL has amassed assets over $11.09 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $23.27 billion in assets, Vanguard Dividend Appreciation ETF has $65.49 billion. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Making its debut on 10/09/2013, smart beta exchange traded fund ProShares S&P 500 Dividend Aristocrats ETF (NOBL) provides investors broad exposure to the Style Box - Large Cap Value category of the market. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Making its debut on 10/09/2013, smart beta exchange traded fund ProShares S&P 500 Dividend Aristocrats ETF (NOBL) provides investors broad exposure to the Style Box - Large Cap Value category of the market. The fund has a beta of 0.89 and standard deviation of 18.53% for the trailing three-year period, which makes NOBL a medium risk choice in this particular space. |
22661.0 | 2023-04-06 00:00:00 UTC | AbbVie plans to pull US accelerated approvals for some blood cancer treatments | ABBV | https://www.nasdaq.com/articles/abbvie-plans-to-pull-us-accelerated-approvals-for-some-blood-cancer-treatments | nan | nan | Adds details
April 6 (Reuters) - AbbVie Inc ABBV.N intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer, the drugmaker said on Thursday.
The company plans to voluntarily withdraw accelerated approvals of Imbruvica for patients with mantle cell lymphoma (MCL) who have received at least one prior therapy, and with marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior therapy.
A late-stage study in previously untreated MCL met its main goal of progression-free survival, the one for relapsed or refractory MZL did not meet the main goal, the company said.
The drug was approved in these indications based on overall response rates in a mid-stage study, the company said, adding that the U.S. Food and Drug Administration (FDA) requires additional studies to confirm the clinical benefit following accelerated approvals.
Other approved indications for Imbruvica in the U.S. are not affected, the company said.
The FDA did not immediately respond to Reuters' request for comment.
(Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar)
((Sriparna.Roy@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details April 6 (Reuters) - AbbVie Inc ABBV.N intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer, the drugmaker said on Thursday. A late-stage study in previously untreated MCL met its main goal of progression-free survival, the one for relapsed or refractory MZL did not meet the main goal, the company said. The drug was approved in these indications based on overall response rates in a mid-stage study, the company said, adding that the U.S. Food and Drug Administration (FDA) requires additional studies to confirm the clinical benefit following accelerated approvals. | Adds details April 6 (Reuters) - AbbVie Inc ABBV.N intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer, the drugmaker said on Thursday. The company plans to voluntarily withdraw accelerated approvals of Imbruvica for patients with mantle cell lymphoma (MCL) who have received at least one prior therapy, and with marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior therapy. The drug was approved in these indications based on overall response rates in a mid-stage study, the company said, adding that the U.S. Food and Drug Administration (FDA) requires additional studies to confirm the clinical benefit following accelerated approvals. | Adds details April 6 (Reuters) - AbbVie Inc ABBV.N intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer, the drugmaker said on Thursday. The company plans to voluntarily withdraw accelerated approvals of Imbruvica for patients with mantle cell lymphoma (MCL) who have received at least one prior therapy, and with marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior therapy. The drug was approved in these indications based on overall response rates in a mid-stage study, the company said, adding that the U.S. Food and Drug Administration (FDA) requires additional studies to confirm the clinical benefit following accelerated approvals. | Adds details April 6 (Reuters) - AbbVie Inc ABBV.N intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer, the drugmaker said on Thursday. The company plans to voluntarily withdraw accelerated approvals of Imbruvica for patients with mantle cell lymphoma (MCL) who have received at least one prior therapy, and with marginal zone lymphoma (MZL) who require systemic therapy and have received at least one prior therapy. A late-stage study in previously untreated MCL met its main goal of progression-free survival, the one for relapsed or refractory MZL did not meet the main goal, the company said. |
22662.0 | 2023-04-06 00:00:00 UTC | Unusual Put Option Trade in AbbVie (ABBV) Worth $936.31K | ABBV | https://www.nasdaq.com/articles/unusual-put-option-trade-in-abbvie-abbv-worth-%24936.31k | nan | nan | On April 6, 2023 at 10:53:11 ET an unusually large $936.31K block of Put contracts in AbbVie (ABBV) was sold, with a strike price of $160.00 / share, expiring in 71 days (on June 16, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.22 sigmas above the mean, placing it in the 99.29 percentile of all recent large trades made in ABBV options.
This trade was first picked up on Fintel's real time Unusual Option Trades tool, where unusual option trades are highlighted.
Analyst Price Forecast Suggests 3.95% Upside
As of April 6, 2023, the average one-year price target for AbbVie is $167.15. The forecasts range from a low of $136.35 to a high of $210.00. The average price target represents an increase of 3.95% from its latest reported closing price of $160.80.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. The projected annual non-GAAP EPS is $11.88.
What is the Fund Sentiment?
There are 4534 funds or institutions reporting positions in AbbVie. This is an increase of 166 owner(s) or 3.80% in the last quarter. Average portfolio weight of all funds dedicated to ABBV is 0.78%, a decrease of 11.48%. Total shares owned by institutions increased in the last three months by 1.08% to 1,442,209K shares. The put/call ratio of ABBV is 0.67, indicating a bullish outlook.
What are Large Shareholders Doing?
Jpmorgan Chase & holds 60,910K shares representing 3.45% ownership of the company. In it's prior filing, the firm reported owning 58,479K shares, representing an increase of 3.99%. The firm increased its portfolio allocation in ABBV by 15.14% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 53,756K shares representing 3.05% ownership of the company. In it's prior filing, the firm reported owning 52,745K shares, representing an increase of 1.88%. The firm increased its portfolio allocation in ABBV by 13.33% over the last quarter.
Capital International Investors holds 47,099K shares representing 2.67% ownership of the company. In it's prior filing, the firm reported owning 45,827K shares, representing an increase of 2.70%. The firm increased its portfolio allocation in ABBV by 13.88% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 40,882K shares representing 2.32% ownership of the company. In it's prior filing, the firm reported owning 40,081K shares, representing an increase of 1.96%. The firm increased its portfolio allocation in ABBV by 13.15% over the last quarter.
Capital Research Global Investors holds 36,712K shares representing 2.08% ownership of the company. In it's prior filing, the firm reported owning 36,193K shares, representing an increase of 1.41%. The firm increased its portfolio allocation in ABBV by 12.36% over the last quarter.
AbbVie Declares $1.48 Dividend
On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). Shareholders of record as of April 14, 2023 will receive the payment on May 15, 2023. Previously, the company paid $1.48 per share.
At the current share price of $160.80 / share, the stock's dividend yield is 3.68%. Looking back five years and taking a sample every week, the average dividend yield has been 4.74%, the lowest has been 3.32%, and the highest has been 7.32%. The standard deviation of yields is 0.77 (n=237).
The current dividend yield is 1.38 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.88. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.25%, demonstrating that it has increased its dividend over time.
Abbvie Background Information
(This description is provided by the company.)
AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. The Company strives to have a remarkable impact on people's lives across several key therapeutic areas: immunology, oncology, neuroscience, eye care, virology, women's health and gastroenterology, in addition to products and services across its Allergan Aesthetics portfolio.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | On April 6, 2023 at 10:53:11 ET an unusually large $936.31K block of Put contracts in AbbVie (ABBV) was sold, with a strike price of $160.00 / share, expiring in 71 days (on June 16, 2023). AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. Fintel tracks all large options trades, and the premium spent on this trade was 2.22 sigmas above the mean, placing it in the 99.29 percentile of all recent large trades made in ABBV options. | On April 6, 2023 at 10:53:11 ET an unusually large $936.31K block of Put contracts in AbbVie (ABBV) was sold, with a strike price of $160.00 / share, expiring in 71 days (on June 16, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.22 sigmas above the mean, placing it in the 99.29 percentile of all recent large trades made in ABBV options. Analyst Price Forecast Suggests 3.95% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. | AbbVie Declares $1.48 Dividend On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). On April 6, 2023 at 10:53:11 ET an unusually large $936.31K block of Put contracts in AbbVie (ABBV) was sold, with a strike price of $160.00 / share, expiring in 71 days (on June 16, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.22 sigmas above the mean, placing it in the 99.29 percentile of all recent large trades made in ABBV options. | Analyst Price Forecast Suggests 3.95% Upside As of April 6, 2023, the average one-year price target for AbbVie is $167.15. On April 6, 2023 at 10:53:11 ET an unusually large $936.31K block of Put contracts in AbbVie (ABBV) was sold, with a strike price of $160.00 / share, expiring in 71 days (on June 16, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.22 sigmas above the mean, placing it in the 99.29 percentile of all recent large trades made in ABBV options. |
22663.0 | 2023-04-06 00:00:00 UTC | AbbVie intends to withdraw accelerated approvals of blood cancer drug | ABBV | https://www.nasdaq.com/articles/abbvie-intends-to-withdraw-accelerated-approvals-of-blood-cancer-drug | nan | nan | April 6 (Reuters) - AbbVie Inc said on Thursday it intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer.
The company said other approved indications for the drug in the U.S. are not affected. (Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar) ((Sriparna.Roy@thomsonreuters.com;)) Keywords: ABBVIE CANCER DRUG/ (URGENT)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | April 6 (Reuters) - AbbVie Inc said on Thursday it intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer. (Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar) ((Sriparna.Roy@thomsonreuters.com;)) Keywords: ABBVIE CANCER DRUG/ (URGENT) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The company said other approved indications for the drug in the U.S. are not affected. | April 6 (Reuters) - AbbVie Inc said on Thursday it intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer. (Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar) ((Sriparna.Roy@thomsonreuters.com;)) Keywords: ABBVIE CANCER DRUG/ (URGENT) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The company said other approved indications for the drug in the U.S. are not affected. | April 6 (Reuters) - AbbVie Inc said on Thursday it intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer. (Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar) ((Sriparna.Roy@thomsonreuters.com;)) Keywords: ABBVIE CANCER DRUG/ (URGENT) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The company said other approved indications for the drug in the U.S. are not affected. | April 6 (Reuters) - AbbVie Inc said on Thursday it intends to voluntarily withdraw in the U.S. the accelerated approvals of its Imbruvica drug for patients with certain types of blood cancer. (Reporting by Sriparna Roy in Bengaluru; Editing by Shilpi Majumdar) ((Sriparna.Roy@thomsonreuters.com;)) Keywords: ABBVIE CANCER DRUG/ (URGENT) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The company said other approved indications for the drug in the U.S. are not affected. |
22664.0 | 2023-04-06 00:00:00 UTC | Health Care Sector Update for 04/06/2023: ZIVO, ABBV, PFE, XLV, IBB | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-for-04-06-2023%3A-zivo-abbv-pfe-xlv-ibb | nan | nan | Health care stocks were advancing premarket Thursday. The Health Care Select Sector SPDR Fund (XLV) was up 0.27% and the iShares Biotechnology ETF (IBB) was recently unchanged.
Zivo Bioscience (ZIVO) was up more than 4% after saying it has received a $1 million unsecured six-month loan from its Chief Executive Officer John Payne.
AbbVie (ABBV) was slightly lower after saying it expects its Q1 per-share adjusted earnings to take a $0.08 hit from acquired in-process research and development and milestones expense of $150 million on a pre-tax basis.
Pfizer's (PFE) investigational respiratory syncytial virus, or RSV, vaccine was effective in preventing severe infection in infants when given to expecting mothers, interim data from a phase 3 trial show. Pfizer was marginally advancing recently.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) was slightly lower after saying it expects its Q1 per-share adjusted earnings to take a $0.08 hit from acquired in-process research and development and milestones expense of $150 million on a pre-tax basis. The Health Care Select Sector SPDR Fund (XLV) was up 0.27% and the iShares Biotechnology ETF (IBB) was recently unchanged. Pfizer's (PFE) investigational respiratory syncytial virus, or RSV, vaccine was effective in preventing severe infection in infants when given to expecting mothers, interim data from a phase 3 trial show. | AbbVie (ABBV) was slightly lower after saying it expects its Q1 per-share adjusted earnings to take a $0.08 hit from acquired in-process research and development and milestones expense of $150 million on a pre-tax basis. Health care stocks were advancing premarket Thursday. The Health Care Select Sector SPDR Fund (XLV) was up 0.27% and the iShares Biotechnology ETF (IBB) was recently unchanged. | AbbVie (ABBV) was slightly lower after saying it expects its Q1 per-share adjusted earnings to take a $0.08 hit from acquired in-process research and development and milestones expense of $150 million on a pre-tax basis. The Health Care Select Sector SPDR Fund (XLV) was up 0.27% and the iShares Biotechnology ETF (IBB) was recently unchanged. Pfizer's (PFE) investigational respiratory syncytial virus, or RSV, vaccine was effective in preventing severe infection in infants when given to expecting mothers, interim data from a phase 3 trial show. | AbbVie (ABBV) was slightly lower after saying it expects its Q1 per-share adjusted earnings to take a $0.08 hit from acquired in-process research and development and milestones expense of $150 million on a pre-tax basis. Health care stocks were advancing premarket Thursday. Zivo Bioscience (ZIVO) was up more than 4% after saying it has received a $1 million unsecured six-month loan from its Chief Executive Officer John Payne. |
22665.0 | 2023-04-06 00:00:00 UTC | Johnson & Johnson (JNJ) Soars 4.5%: Is Further Upside Left in the Stock? | ABBV | https://www.nasdaq.com/articles/johnson-johnson-jnj-soars-4.5%3A-is-further-upside-left-in-the-stock | nan | nan | Johnson & Johnson JNJ shares ended the last trading session 4.5% higher at $165.61. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 2.9% gain over the past four weeks.
Share price rose after management announced that J&J’s subsidiary LTL Management revised the settlement amount for talc litigations to $8.9 billion, payable over a 25-year period. This amount was more than 4 times the previously announced $2.0 billion J&J had previously committed alongside subsidiary LTL Management’s first bankruptcy filing in October 2021. J&J established LTL Management to manage claims in the cosmetic talc litigation. However, J&J still maintains its stance that its talc-based products are safe and the talc lawsuits lack merit.
This world's biggest maker of health care products is expected to post quarterly earnings of $2.50 per share in its upcoming report, which represents a year-over-year change of -6.4%. Revenues are expected to be $23.56 billion, up 0.6% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For Johnson & Johnson, the consensus EPS estimate for the quarter has been revised marginally higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on JNJ going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Johnson & Johnson belongs to the Zacks Large Cap Pharmaceuticals industry. Another stock from the same industry, AbbVie ABBV, closed the last trading session 0.6% higher at $160.80. Over the past month, ABBV has returned 4.5%.
AbbVie's consensus EPS estimate for the upcoming report has changed -0.1% over the past month to $2.49. Compared to the company's year-ago EPS, this represents a change of -21.2%. AbbVie currently boasts a Zacks Rank of #3 (Hold).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Another stock from the same industry, AbbVie ABBV, closed the last trading session 0.6% higher at $160.80. Over the past month, ABBV has returned 4.5%. AbbVie's consensus EPS estimate for the upcoming report has changed -0.1% over the past month to $2.49. | AbbVie's consensus EPS estimate for the upcoming report has changed -0.1% over the past month to $2.49. Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Another stock from the same industry, AbbVie ABBV, closed the last trading session 0.6% higher at $160.80. | Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Another stock from the same industry, AbbVie ABBV, closed the last trading session 0.6% higher at $160.80. Over the past month, ABBV has returned 4.5%. | AbbVie's consensus EPS estimate for the upcoming report has changed -0.1% over the past month to $2.49. Another stock from the same industry, AbbVie ABBV, closed the last trading session 0.6% higher at $160.80. Over the past month, ABBV has returned 4.5%. |
22666.0 | 2023-04-05 00:00:00 UTC | Argus Research Downgrades AbbVie (ABBV) | ABBV | https://www.nasdaq.com/articles/argus-research-downgrades-abbvie-abbv | nan | nan | On April 5, 2023, Argus Research downgraded their outlook for AbbVie (NYSE:ABBV) from Buy to Hold .
Analyst Price Forecast Suggests 4.61% Upside
As of March 30, 2023, the average one-year price target for AbbVie is $167.15. The forecasts range from a low of $136.35 to a high of $210.00. The average price target represents an increase of 4.61% from its latest reported closing price of $159.78.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. The projected annual non-GAAP EPS is $11.88.
AbbVie Declares $1.48 Dividend
On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). Shareholders of record as of April 14, 2023 will receive the payment on May 15, 2023. Previously, the company paid $1.48 per share.
At the current share price of $159.78 / share, the stock's dividend yield is 3.71%. Looking back five years and taking a sample every week, the average dividend yield has been 4.74%, the lowest has been 3.32%, and the highest has been 7.32%. The standard deviation of yields is 0.77 (n=237).
The current dividend yield is 1.34 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.88. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.25%, demonstrating that it has increased its dividend over time.
What are Other Shareholders Doing?
ALLIANZ VARIABLE INSURANCE PRODUCTS TRUST - AZL S&P 500 Index Fund Class 1 holds 132K shares representing 0.01% ownership of the company. In it's prior filing, the firm reported owning 135K shares, representing a decrease of 2.22%. The firm increased its portfolio allocation in ABBV by 12.59% over the last quarter.
Lyell Wealth Management holds 2K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 2K shares, representing an increase of 13.32%. The firm increased its portfolio allocation in ABBV by 28.96% over the last quarter.
ELDFX - ELFUN DIVERSIFIED FUND Elfun Diversified Fund holds 3K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 3K shares, representing an increase of 2.95%. The firm increased its portfolio allocation in ABBV by 20.27% over the last quarter.
Kennedy Capital Management holds 1K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 0K shares, representing an increase of 100.00%.
Aptus Capital Advisors holds 63K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 56K shares, representing an increase of 12.45%. The firm increased its portfolio allocation in ABBV by 75.45% over the last quarter.
What is the Fund Sentiment?
There are 4533 funds or institutions reporting positions in AbbVie. This is an increase of 166 owner(s) or 3.80% in the last quarter. Average portfolio weight of all funds dedicated to ABBV is 0.78%, a decrease of 11.63%. Total shares owned by institutions increased in the last three months by 1.08% to 1,442,222K shares. The put/call ratio of ABBV is 0.69, indicating a bullish outlook.
Abbvie Background Information
(This description is provided by the company.)
AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. The Company strives to have a remarkable impact on people's lives across several key therapeutic areas: immunology, oncology, neuroscience, eye care, virology, women's health and gastroenterology, in addition to products and services across its Allergan Aesthetics portfolio.
See all AbbVie regulatory filings.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. On April 5, 2023, Argus Research downgraded their outlook for AbbVie (NYSE:ABBV) from Buy to Hold . Analyst Price Forecast Suggests 4.61% Upside As of March 30, 2023, the average one-year price target for AbbVie is $167.15. | On April 5, 2023, Argus Research downgraded their outlook for AbbVie (NYSE:ABBV) from Buy to Hold . Analyst Price Forecast Suggests 4.61% Upside As of March 30, 2023, the average one-year price target for AbbVie is $167.15. The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. | AbbVie Declares $1.48 Dividend On February 16, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). On April 5, 2023, Argus Research downgraded their outlook for AbbVie (NYSE:ABBV) from Buy to Hold . Analyst Price Forecast Suggests 4.61% Upside As of March 30, 2023, the average one-year price target for AbbVie is $167.15. | On April 5, 2023, Argus Research downgraded their outlook for AbbVie (NYSE:ABBV) from Buy to Hold . Analyst Price Forecast Suggests 4.61% Upside As of March 30, 2023, the average one-year price target for AbbVie is $167.15. The projected annual revenue for AbbVie is $55,229MM, a decrease of 4.87%. |
22667.0 | 2023-04-05 00:00:00 UTC | Better Dividend Stock: AbbVie vs. Johnson & Johnson | ABBV | https://www.nasdaq.com/articles/better-dividend-stock%3A-abbvie-vs.-johnson-johnson | nan | nan | The pharmaceutical industry is a great place to look for dividend stocks, and AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) are among the best. Both drugmakers generally grow their dividends at a good clip, and both are part of the highly exclusive group of Dividend Kings, having raised their payouts for more than 50 years straight. But which of these pharmaceutical giants is the better dividend stock? Let's look into both companies and decide.
The case for AbbVie: It has an answer to the loss of Humira's patent exclusivity
AbbVie is going through a bit of a difficult period. In January, it started facing biosimilar competition in the U.S. for its blockbuster immunology medicine, Humira. The drugmaker expects its top line to decrease this year and the next as a result. But AbbVie's dividend is safe, and its prospects remain attractive. The company's lineup of medicines is vast, with several products that will help supplement Humira's sales drop gaining momentum.
One of them is the migraine treatment Qulipta. There is also cancer medicine Venclexta and AbbVie's Botox franchise. But AbbVie's most important growth drivers will be Skyrizi and Rinvoq, two immunology drugs taking over many of Humira's indications. For instance, Skyrizi proved more effective than Humira at clearing skin in plaque psoriasis patients. Skyrizi and Rinvoq are expected to surpass Humira's peak annual sales by 2027 and maintain their momentum thereafter.
So there is a long road of growth ahead for these medicines. Last year, AbbVie's net revenue increased by 3.3% year over year to $58.1 billion. The company's adjusted earnings per share (EPS) of $13.77 increased by about 16.4% year over year. As a Dividend King, AbbVie has raised its payouts for 51 consecutive years when taking into consideration that it used to be under the banner of medical device giant Abbott Laboratories. But since it split from its former parent company in 2013, AbbVie has increased its payouts by 270%.
Its current yield of 3.71% is higher than the S&P 500 average of 1.74%, and its cash payout ratio of 41.42% leaves plenty of room for further hikes. AbbVie looks strong enough to overcome the challenges to Humira and come out with a stronger company that still routinely rewards its shareholders with dividend increases.
The case for Johnson & Johnson: Its upcoming consumer health spinoff should boost revenue growth
Johnson & Johnson has a diversified business. The company is a leader in the pharmaceutical industry, with a presence in oncology, immunology, neuroscience, infectious diseases, and more. But the company also boasts a prominent medical device unit that recently got even stronger with the acquisition of Abiomed, which most notably provides oxygenation support medical technology.
There is another important way in which Johnson & Johnson is changing. The company is still splitting up its consumer health segment. The transaction should boost Johnson & Johnson's revenue growth as this segment has been trailing the company's two other units on this front. Regardless of all these changes, Johnson & Johnson will continue to generate solid revenue and earnings, just as it has in the past.
Last year, the drugmaker's top line increased by 1.3% to $94.9 billion. Johnson & Johnson's adjusted EPS came in at $10.15, rising by 3.6% compared to 2021. The healthcare giant does face some issues, most notably a barrage of lawsuits related to its talcum powder products. However, Johnson & Johnson has a robust balance sheet -- with an AAA rating from Standard & Poor's -- and it is more than capable of taking care of its obligations.
Johnson & Johnson has raised its dividend for 60 years straight, including by 71.2% in the past 10 years; its dividend yield is at 2.95%, also higher than that of the S&P 500. The company's cash payout ratio of almost 68% looks a bit high. But Johnson & Johnson's impeccable dividend record is unlikely to come to a halt anytime soon.
The verdict: Both are great, but AbbVie has a higher yield
Both companies are solid dividend stocks. They even have comparable forward price-to-earning (P/E) ratios, with AbbVie's 14.3 slightly lower than Johnson & Johnson's 14.7. So income-seeking investors can't go wrong with either. But which one is better for dividends? My vote goes to AbbVie, but only by a very slight margin. The company has a higher dividend per share ($1.41 vs. $1.13) and has raised its dividends much faster than its peer in recent years.
AbbVie's lower cash payout ratio shows that it can still afford to do so more than Johnson & Johnson, and what's more, AbbVie has a more attractive yield. Although the loss of patent exclusivity for Humira will be a challenge, AbbVie's revenue growth should pick back up in 2025. The company's business will be just fine over the long run and can support sustained dividend growth for a long time.
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Prosper Junior Bakiny has positions in Johnson & Johnson. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | As a Dividend King, AbbVie has raised its payouts for 51 consecutive years when taking into consideration that it used to be under the banner of medical device giant Abbott Laboratories. AbbVie looks strong enough to overcome the challenges to Humira and come out with a stronger company that still routinely rewards its shareholders with dividend increases. The pharmaceutical industry is a great place to look for dividend stocks, and AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) are among the best. | As a Dividend King, AbbVie has raised its payouts for 51 consecutive years when taking into consideration that it used to be under the banner of medical device giant Abbott Laboratories. AbbVie's lower cash payout ratio shows that it can still afford to do so more than Johnson & Johnson, and what's more, AbbVie has a more attractive yield. The pharmaceutical industry is a great place to look for dividend stocks, and AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) are among the best. | AbbVie's lower cash payout ratio shows that it can still afford to do so more than Johnson & Johnson, and what's more, AbbVie has a more attractive yield. The pharmaceutical industry is a great place to look for dividend stocks, and AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) are among the best. The case for AbbVie: It has an answer to the loss of Humira's patent exclusivity AbbVie is going through a bit of a difficult period. | The pharmaceutical industry is a great place to look for dividend stocks, and AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) are among the best. The case for AbbVie: It has an answer to the loss of Humira's patent exclusivity AbbVie is going through a bit of a difficult period. But AbbVie's dividend is safe, and its prospects remain attractive. |
22668.0 | 2023-04-05 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-10 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22669.0 | 2023-04-05 00:00:00 UTC | Want to Collect Big Dividends Each Month? Buy These 3 Stocks | ABBV | https://www.nasdaq.com/articles/want-to-collect-big-dividends-each-month-buy-these-3-stocks | nan | nan | Dividend growth investing is a strategy that can help you achieve financial independence -- a state in which your monthly passive income is equal to or greater than your monthly expenses. Building a balanced portfolio with dividend income coming in every month is a surefire way to reach financial independence in the long run.
If you're looking to build a dividend growth stock portfolio or want to strengthen your existing portfolio, here are three quality dividend growth stocks that could be a good place to start.
Image source: Getty Images.
1. AbbVie: Fully prepared to build a bright future
Unfortunately, illnesses such as cancer and autoimmune conditions (like rheumatoid arthritis and inflammatory bowel diseases) will eventually impact most people at some point in their lives. The good news is that pharmaceutical companies such as AbbVie (NYSE: ABBV) are working to improve patients' quality of life.
The company generated $58.1 billion in total net revenue in 2022, which makes it one of the largest drugmakers in the world. AbbVie's top-selling drug, arthritis-fighting Humira, will face significant competition from biosimilar drugs as the year unfolds. But with its latest generation of immunology drugs like Skyrizi and Rinvoq, the company looks poised to rebound from its anticipated decline in net revenue and non-GAAP (adjusted) diluted earnings per share (EPS) starting in 2024.
Income investors will appreciate the stock's well-covered and market-beating 3.7% dividend yield, which is double the S&P 500 index's 1.6% yield. AbbVie's dividend is typically paid in the middle of the middle month of each quarter (February, May, August, and November). Investors can scoop up shares of AbbVie at a forward price-to-earnings (P/E) ratio of 14.3, which is only slightly above the drug manufacturing industry's average forward P/E of 13.6.
2. Vici Properties: Assets that provide timeless memories to tenants' customers
There's a quote attributed to Mark Twain that supports the idea of investing in real estate: "Buy land, they're not making it anymore." Whether you're a seasoned investor or a complete novice, you intuitively know that location is everything. And with nearly 50 properties that are known worldwide, Vici Properties (NYSE: VICI) owns some of the most valuable and irreplaceable land in the world. This includes the likes of Caesars Palace Las Vegas (operated by Caesars Entertainment) and MGM Grand Las Vegas (operated by MGM Resorts International).
A recent third-party research study found that nearly three-quarters (74%) of consumers value experiences more highly than possessions. Coupled with the high name recognition of Vici Properties' gaming facilities, this explains how the company has collected 100% of rent due from tenants since its formation in 2017.
Vici Properties currently offers income investors a 4.8% dividend yield. The company's generous dividend is also secure, with the payout ratio clocking in at 76%. Its dividend is paid in the first week of the quarter (January, April, July, October). Yield-focused investors can pick up shares of the stock at a reasonable valuation: Its forward ratio of price to adjusted funds from operations per share is 15.4.
3. Broadcom: A blue chip tech giant
Laptops, smartphones, modern cars, and medical equipment couldn't function without one key component: microchips. And Broadcom (NASDAQ: AVGO) is one of the world's largest semiconductor companies that produces these chips on a large-scale basis.
Rising consumption of consumer electronics devices around the world is a major growth catalyst for the global semiconductor market. This is why market researcher Fortune Business Insights expects the global semiconductor market to grow by 12.2% annually from $573.4 billion in 2022 to $1.4 trillion in 2029. As a result, analysts believe that Broadcom's earnings will rise by 9.4% annually over the next five years.
Paired with a 2.9% dividend yield, that provides a nice combination of starting income and growth potential. Although its fiscal year ends in October, Broadcom's dividend is paid at the end of each calendar quarter (March, June, September, December). Investors can snatch up shares of the stock at a forward P/E of 14.5, which is less than the 19.1 average forward P/E of the semiconductor industry.
10 stocks we like better than AbbVie
When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! That's right -- they think these 10 stocks are even better buys.
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Kody Kester has positions in AbbVie, Broadcom, and Vici Properties. The Motley Fool recommends Broadcom and Vici Properties. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie: Fully prepared to build a bright future Unfortunately, illnesses such as cancer and autoimmune conditions (like rheumatoid arthritis and inflammatory bowel diseases) will eventually impact most people at some point in their lives. The good news is that pharmaceutical companies such as AbbVie (NYSE: ABBV) are working to improve patients' quality of life. AbbVie's top-selling drug, arthritis-fighting Humira, will face significant competition from biosimilar drugs as the year unfolds. | AbbVie: Fully prepared to build a bright future Unfortunately, illnesses such as cancer and autoimmune conditions (like rheumatoid arthritis and inflammatory bowel diseases) will eventually impact most people at some point in their lives. The good news is that pharmaceutical companies such as AbbVie (NYSE: ABBV) are working to improve patients' quality of life. AbbVie's top-selling drug, arthritis-fighting Humira, will face significant competition from biosimilar drugs as the year unfolds. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Kody Kester has positions in AbbVie, Broadcom, and Vici Properties. AbbVie: Fully prepared to build a bright future Unfortunately, illnesses such as cancer and autoimmune conditions (like rheumatoid arthritis and inflammatory bowel diseases) will eventually impact most people at some point in their lives. The good news is that pharmaceutical companies such as AbbVie (NYSE: ABBV) are working to improve patients' quality of life. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Kody Kester has positions in AbbVie, Broadcom, and Vici Properties. AbbVie: Fully prepared to build a bright future Unfortunately, illnesses such as cancer and autoimmune conditions (like rheumatoid arthritis and inflammatory bowel diseases) will eventually impact most people at some point in their lives. The good news is that pharmaceutical companies such as AbbVie (NYSE: ABBV) are working to improve patients' quality of life. |
22670.0 | 2023-04-03 00:00:00 UTC | 3 Dividend ETFs to Consider Buying with Your Tax Return | ABBV | https://www.nasdaq.com/articles/3-dividend-etfs-to-consider-buying-with-your-tax-return | nan | nan | If you’re getting a tax return, there are plenty of ways you can spend it. However, investing in a dividend ETF may be one of the best choices. The top dividend ETFs give you instant diversification to a broad swath of dividend-paying stocks, they pay you passive income on a periodic basis, and you can use these payments to build wealth over time.
Here are three of the top dividend ETFs that you can consider buying with your tax return. All three take different approaches, but what they have in common is that they all pay solid dividends, own an impressive collection of blue-chip companies, and have solid track records.
1. JPMorgan Premium Income ETF (NYSEARCA:JEPI)
With an 11.75% yield and a monthly payout schedule, it's hard to look past the JPMorgan Premium Income ETF when it comes to dividend ETFs.
JEPI invests in blue-chip U.S. dividend companies like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and AbbVie (NYSE:ABBV) and then invests up to 20% of its assets into equity-linked notes or ELNs. According to JEPI's summary prospectus, the ELNs that JEPI invests in are "derivative instruments that are specifically designed to combine the economic characteristics of the S&P 500 Index and written call options in a single note form and are not traded on an exchange."
This helps JEPI execute its strategy of capturing most of the returns of the S&P 500 while also exposing investors to less volatility than the index and providing monthly dividend payments. The one potential downside of this strategy is that it will likely cap some of JEPI's potential upside in a bull market, so this isn't really an investment to make if you are looking for growth or capital appreciation.
What is the Price Target for JEPI Stock?
The lack of capital appreciation potential can be seen in JEPI's analyst forecast. Analysts rate it a Moderate Buy, and the average JEPI stock forecast implies 12.1% upside potential, which isn't bad, but likely isn't something to write home about. However, if dividend income and total returns are your goals, JEPI is a good starting point for a portfolio.
Investors can feel comfortable with JEPI's portfolio of high-quality blue chip stocks. Below, you'll find JEPI's top holdings using TipRanks' holdings screen. As you can see, there are the aforementioned consumer staples giants like Coca-Cola and Pepsi, plus the Hershey Company (NYSE:HSY), in addition to other well-known large-cap U.S. stocks like Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOGL), Mastercard (NYSE:MA), and Visa (NYSE:V).
For the most part, these stocks boast strong Smart Scores -- 7 out of the top 10 holdings boast Smart Scores of 8 out of 10 or better, which is equivalent to an Outperform rating. The Smart Score is TipRanks’ proprietary quantitative stock scoring system that evaluates stocks on eight different market factors. The result is data-driven and does not involve any human intervention.
Moving on, JEPI has a reasonable enough expense ratio of 0.35%, and it lived up to its billing of mitigating volatility last year when the broader market suffered significant losses, with a loss of just 3.5% for 2022 on a total-return basis (which came after a strong 21.5% total return in 2021).
With JEPI's strong track record thus far, monthly payout, massive dividend yield, and collection of blue-chip holdings, this is a great ETF to consider for a dividend portfolio, and it's one that I own for these very reasons.
2. Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD)
SCHD takes a different approach than JEPI, but the Schwab U.S. Dividend Equity ETF is another top dividend ETF for investors to consider this tax season. While its dividend yield of 3.6% isn’t nearly as high as JEPI’s, there’s a lot to like about SCHD, as it offers a good mix of income and potential capital appreciation.
SCHD is relatively well-diversified with 103 stocks, although, with a weighting of 41.6%, its top 10 positions also make up a greater proportion of the fund than JEPI’s top 10 (at 17.4%). Looking at SCHD's top holdings, there are actually quite a few of the same names that you’ll find in JEPI’s fund as well, such as AbbVie, Pepsi, and Coca-Cola. Meanwhile, positions in Cisco (NASDAQ:CSCO), Texas Instruments (NASDAQ:TXN), and Broadcom (NASDAQ:AVGO) give SCHD a little bit more tech exposure than JEPI. Below are SCHD's top 10 holdings, with Broadcom just missing the mark (at number 11 on the list).
Another thing I really like about SCHD is its minuscule expense ratio of just 0.06%. This means that in year one, an investor putting $10,000 into the fund would pay just $6 in management fees, and it's hard to beat that type of investor-friendly approach.
SCHD also boasts an enviable long-term track record. Since its inception in 2011, this ETF has returned 13.8% per year on an annualized basis.
What is the Price Target for SCHD Stock?
The analyst community has a Hold rating on SCHD, and the average SCHD stock price target of $81.27 implies 10.4% upside potential. However, given the ETF's long-term outperformance and its 3.6% yield, I believe they may be underselling SCHD at this point in time.
SCHD is one of the more popular ETFs out there, sporting just over $45 billion in assets under management. With its great track record of performance, solid dividend yield, and rock-bottom expense ratio, it's easy to see why. Therefore, this is likely another great choice for dividend investors looking to put their tax returns to work.
3. Vanguard International High Dividend Yield ETF (NASDAQ:VYMI)
Last but not least, the Vanguard International High Dividend Yield ETF is another great dividend ETF that investors can consider. VYMI boasts a 4.5% yield, which tops not only the average yield of the S&P 500 (1.7%) but also that of the 10-year Treasury note (3.4%). VYMI also offers relatively low fees, with an expense ratio of 0.22%.
Additionally, VYMI is extremely diversified. Not only does it hold 1,276 stocks, but its top 10 positions make up just 14.4% of assets.
These are all international stocks, but U.S. investors will likely be familiar with top holding Shell (NYSE:SHEL) as well as names like Roche (OTC:RHHBY), Novartis (NYSE:NVS), and Toyota (NYSE:TM).
Holdings like Shell and Royal Bank of Canada (NYSE:RY) enjoy 'Perfect 10' Smart Scores, while HSBC (NYSE:HSBC), BHP Group (NYSE:BHP), and Unilever (NYSE:UL) also have "Outperform" Smart Scores of 8 or better.
The benefit of VYMI is that it allows U.S. investors to gain exposure to international markets, giving them access to some of the growth in different markets beyond their home market. It also spreads out their risk, giving them more diversification.
While international markets have underperformed the U.S. in recent years, there could be some reversion to the mean going forward, meaning that it could be a good time to buy low on international equities. Similarly, while VYMI has lagged the return of the aforementioned U.S.-focused SCHD, for example, its annualized return of 7.6% since inception is still solid, and the situation could reverse at some point in the future.
As you can see below using TipRanks' ETF comparison tool, things can change quickly, and VYMI is actually outperforming SCHD by a wide margin over the past six months.
Use Your Tax Return Wisely
In conclusion, consider using your tax return wisely this year by investing it to create long-term wealth. You can use these three ETFs to start or give a boost to your own dividend portfolio. Your future self will thank you, as dividends are the gifts that keep on giving.
I believe none of these ETFs look like a bad way to allocate your tax return, and you can even consider splitting it between two or three of them for even more diversification.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | JEPI invests in blue-chip U.S. dividend companies like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and AbbVie (NYSE:ABBV) and then invests up to 20% of its assets into equity-linked notes or ELNs. Looking at SCHD's top holdings, there are actually quite a few of the same names that you’ll find in JEPI’s fund as well, such as AbbVie, Pepsi, and Coca-Cola. The top dividend ETFs give you instant diversification to a broad swath of dividend-paying stocks, they pay you passive income on a periodic basis, and you can use these payments to build wealth over time. | JEPI invests in blue-chip U.S. dividend companies like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and AbbVie (NYSE:ABBV) and then invests up to 20% of its assets into equity-linked notes or ELNs. Looking at SCHD's top holdings, there are actually quite a few of the same names that you’ll find in JEPI’s fund as well, such as AbbVie, Pepsi, and Coca-Cola. JPMorgan Premium Income ETF (NYSEARCA:JEPI) With an 11.75% yield and a monthly payout schedule, it's hard to look past the JPMorgan Premium Income ETF when it comes to dividend ETFs. | JEPI invests in blue-chip U.S. dividend companies like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and AbbVie (NYSE:ABBV) and then invests up to 20% of its assets into equity-linked notes or ELNs. Looking at SCHD's top holdings, there are actually quite a few of the same names that you’ll find in JEPI’s fund as well, such as AbbVie, Pepsi, and Coca-Cola. JPMorgan Premium Income ETF (NYSEARCA:JEPI) With an 11.75% yield and a monthly payout schedule, it's hard to look past the JPMorgan Premium Income ETF when it comes to dividend ETFs. | JEPI invests in blue-chip U.S. dividend companies like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and AbbVie (NYSE:ABBV) and then invests up to 20% of its assets into equity-linked notes or ELNs. Looking at SCHD's top holdings, there are actually quite a few of the same names that you’ll find in JEPI’s fund as well, such as AbbVie, Pepsi, and Coca-Cola. Here are three of the top dividend ETFs that you can consider buying with your tax return. |
22671.0 | 2023-04-03 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-9 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22672.0 | 2023-04-03 00:00:00 UTC | AbbVie (ABBV) Outpaces Stock Market Gains: What You Should Know | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-outpaces-stock-market-gains%3A-what-you-should-know-3 | nan | nan | In the latest trading session, AbbVie (ABBV) closed at $160.42, marking a +0.66% move from the previous day. This move outpaced the S&P 500's daily gain of 0.37%. Elsewhere, the Dow gained 0.98%, while the tech-heavy Nasdaq added 0.62%.
Coming into today, shares of the drugmaker had gained 2.12% in the past month. In that same time, the Medical sector gained 3.28%, while the S&P 500 gained 3.71%.
Wall Street will be looking for positivity from AbbVie as it approaches its next earnings report date. In that report, analysts expect AbbVie to post earnings of $3.54 per share. This would mark year-over-year growth of 12.03%. Meanwhile, our latest consensus estimate is calling for revenue of $12.04 billion, down 11.09% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.97 per share and revenue of $52.33 billion, which would represent changes of -20.33% and -9.86%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for AbbVie. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection has moved 0.2% lower. AbbVie is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, AbbVie currently has a Forward P/E ratio of 14.52. This represents a premium compared to its industry's average Forward P/E of 14.3.
Also, we should mention that ABBV has a PEG ratio of 3.63. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.67 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 102, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In the latest trading session, AbbVie (ABBV) closed at $160.42, marking a +0.66% move from the previous day. Wall Street will be looking for positivity from AbbVie as it approaches its next earnings report date. In that report, analysts expect AbbVie to post earnings of $3.54 per share. | In the latest trading session, AbbVie (ABBV) closed at $160.42, marking a +0.66% move from the previous day. Wall Street will be looking for positivity from AbbVie as it approaches its next earnings report date. In that report, analysts expect AbbVie to post earnings of $3.54 per share. | Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, AbbVie (ABBV) closed at $160.42, marking a +0.66% move from the previous day. Wall Street will be looking for positivity from AbbVie as it approaches its next earnings report date. | In the latest trading session, AbbVie (ABBV) closed at $160.42, marking a +0.66% move from the previous day. Wall Street will be looking for positivity from AbbVie as it approaches its next earnings report date. In that report, analysts expect AbbVie to post earnings of $3.54 per share. |
22673.0 | 2023-04-02 00:00:00 UTC | These 5 High-Yield Dividend Stocks Should Make Me $3,000 in Passive Income This Year | ABBV | https://www.nasdaq.com/articles/these-5-high-yield-dividend-stocks-should-make-me-%243000-in-passive-income-this-year | nan | nan | Nearly everyone has to work for their money. But too few put their money to work for them. There are plenty of ways to do it. My favorite method is investing in stocks.
Stocks can make you money in a couple of key ways. Their share prices can appreciate. Some also pay dividends. My portfolio currently includes 12 high-yield dividend stocks. But some of them will generate more money for me than others. These five high-yield dividend stocks should make me over $3,000 in passive income this year.
My fabulous five
The top stocks for passive income that I own right now are (listed in alphabetical order):
STOCK CURRENT DIVIDEND YIELD MY COST BASIS DIVIDEND YIELD
AbbVie (NYSE: ABBV) 3.73% 9.75%
Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) 4.55% 4.74%
Devon Energy (NYSE: DVN) 10% 11.93%
Enterprise Products Partners (NYSE: EPD) 7.56% 8.37%
Medical Properties Trust (NYSE: MPW) 14.22% 11.11%
Data source for current dividend yields: Google Finance.
I initially invested a total of a little over $36,100 in these five stocks. Based on their current dividend payments, they'll generate around $3,050 in income for me in 2023, some of which I've already received. That translates to an average yield of 8.45%.
Of course, it's possible that I could make more or less than $3,050. Some of the companies could, and almost certainly will, increase their dividends. Perhaps one or two of them could reduce their dividend payout. However, I'm confident that the actual passive income I receive will be more than $3,000.
Also, you might have noticed that my dividend yield based on cost basis, what I paid for the stocks, differs from the current dividend yield quite a bit in some cases. AbbVie especially stands out. The big drugmaker has increased its dividend significantly since I first bought the stock. I initiated a stake in Medical Properties Trust only a few weeks ago. Its share price has fallen since then, boosting its dividend yield.
What I like about these stocks
I initially bought shares of AbbVie because its valuation was attractive. I thought the company had a good strategy for dealing with the then-pending loss of U.S. exclusivity for its top-selling drug Humira. I also liked that AbbVie was on course to become a Dividend King. I still like AbbVie's valuation and post-Humira strategy. And the stock did attain Dividend King status -- just as I expected.
My purchase of Brookfield Infrastructure was made mainly because I believed that the demand for infrastructure would provide a long-term tailwind. I haven't changed my view whatsoever.
I anticipated that Devon Energy would take off as the global economy recovered from the COVID-19 pandemic. That proved to be the right call. I also liked Devon's juicy dividend. Although the stock has lost momentum in recent months with falling oil prices, my hunch is that it will rebound as oil prices rise yet again.
Enterprise Products Partners' steady track record was one of the top draws for me. The midstream energy company has increased its distribution for 24 consecutive years. I also expect that the demand for the natural gas and natural gas liquids that flow through the company's pipelines will increase.
As mentioned, I bought shares of Medical Properties Trust recently. My view is that many investors are focusing too much on the healthcare REIT's short-term headwinds and not on its much better longer-term prospects. I also like Medical Properties Trust's valuation and, of course, its really high dividend yield.
Putting the money to work
What do I plan to do with the $3,000 or so I'll make in dividend income this year from these five stocks? I'll reinvest it. I won't necessarily buy more shares of these five stocks, but it's possible that I could add to my positions in one or more of them. The important thing is that I will definitely put the money to work.
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Keith Speights has positions in AbbVie, Brookfield Infrastructure, Brookfield Infrastructure Partners, Devon Energy, Enterprise Products Partners, and Medical Properties Trust. The Motley Fool recommends Brookfield Infrastructure Partners and Enterprise Products Partners. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Keith Speights has positions in AbbVie, Brookfield Infrastructure, Brookfield Infrastructure Partners, Devon Energy, Enterprise Products Partners, and Medical Properties Trust. AbbVie (NYSE: ABBV) 3.73% 9.75% Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) 4.55% 4.74% Devon Energy (NYSE: DVN) 10% 11.93% Enterprise Products Partners (NYSE: EPD) 7.56% 8.37% Medical Properties Trust (NYSE: MPW) 14.22% 11.11% Data source for current dividend yields: Google Finance. AbbVie especially stands out. | AbbVie (NYSE: ABBV) 3.73% 9.75% Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) 4.55% 4.74% Devon Energy (NYSE: DVN) 10% 11.93% Enterprise Products Partners (NYSE: EPD) 7.56% 8.37% Medical Properties Trust (NYSE: MPW) 14.22% 11.11% Data source for current dividend yields: Google Finance. See the 10 stocks *Stock Advisor returns as of March 8, 2023 Keith Speights has positions in AbbVie, Brookfield Infrastructure, Brookfield Infrastructure Partners, Devon Energy, Enterprise Products Partners, and Medical Properties Trust. AbbVie especially stands out. | AbbVie (NYSE: ABBV) 3.73% 9.75% Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) 4.55% 4.74% Devon Energy (NYSE: DVN) 10% 11.93% Enterprise Products Partners (NYSE: EPD) 7.56% 8.37% Medical Properties Trust (NYSE: MPW) 14.22% 11.11% Data source for current dividend yields: Google Finance. See the 10 stocks *Stock Advisor returns as of March 8, 2023 Keith Speights has positions in AbbVie, Brookfield Infrastructure, Brookfield Infrastructure Partners, Devon Energy, Enterprise Products Partners, and Medical Properties Trust. AbbVie especially stands out. | What I like about these stocks I initially bought shares of AbbVie because its valuation was attractive. See the 10 stocks *Stock Advisor returns as of March 8, 2023 Keith Speights has positions in AbbVie, Brookfield Infrastructure, Brookfield Infrastructure Partners, Devon Energy, Enterprise Products Partners, and Medical Properties Trust. AbbVie (NYSE: ABBV) 3.73% 9.75% Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) 4.55% 4.74% Devon Energy (NYSE: DVN) 10% 11.93% Enterprise Products Partners (NYSE: EPD) 7.56% 8.37% Medical Properties Trust (NYSE: MPW) 14.22% 11.11% Data source for current dividend yields: Google Finance. |
22674.0 | 2023-04-01 00:00:00 UTC | Could This Drug News Lift AbbVie's Stock? | ABBV | https://www.nasdaq.com/articles/could-this-drug-news-lift-abbvies-stock | nan | nan | Perhaps as much as any industry, pharmaceutical makers must innovate to survive and thrive. That's because the same patents which protect a medicine from biosimilar competition eventually expire, often leading to a precipitous decline in sales.
Consider AbbVie's (NYSE: ABBV) crown jewel drug, Humira, which hauled in $21.2 billion in revenue in 2022. But now that it faces competition from the likes of Amgen's biosimilar Amjevita in the U.S., this should prove to be the medicine's peak sales figure.
The good news is that AbbVie knew this day would come and has been preparing. One of its newer, more promising drugs is Rinvoq. Already approved for six indications in the U.S., the medicine could soon be on its way to the seventh. AbbVie recently enrolled patients in a phase 3 clinical trial for treating moderate to severe cases of systemic lupus erythematosus (SLE), an autoimmune disease.
Let's see what this could all mean for the company's prospects.
Another treatment option for a disruptive condition
SLE is an autoimmune disease that affects multiple organs of the body. The condition triggers the body to attack healthy tissue, such as the kidneys, musculoskeletal system, and skin. This results in symptoms like fatigue, impaired function, and joint pain.
Approximately half (48.7%) of SLE cases are mild in nature while the other half are moderate to severe. Because the complications of SLE can include kidney failure, stroke, or heart attack, it is critically important that patients and their healthcare providers collaborate to find the best individual treatment for a particular patient.
One such medicine that could become an option in the near future is Rinvoq. Pleased with the results from its phase 2 clinical trials, AbbVie announced just days ago that it had advanced the drug to phase 3 clinical trials.
Specific data from the clinical trials isn't available yet. But Rinvoq met the primary endpoint of at least a 4-point reduction in the SLE Responder Index (SRI-4). This measure is used to assess the extent to which an SLE patient improves on a particular therapy. For the sake of its clinical trial, AbbVie defined SRI-4 as an at least 4-point reduction on the SLE Disease Activity Index 2000 (SLEDAI-2K) score without worsening of the overall condition or the development of significant disease activity in new organs.
Patients receiving Rinvoq as a therapy achieved SRI-4 at a rate that impressed AbbVie enough to justify moving the project forward. The condition was under adequate enough control in the treatment group that patients were able to receive prednisone doses of less than or equal to 10 milligrams once per day at week 24. This is good news because while first-line treatments like steroids such as prednisone are effective, they are also dangerous at high doses over the long-term. Patients are able to avoid high doses of prednisone while on Rinvoq, which should limit the risk of the most common steroid complication of irreversible organ damage.
Image source: Getty Images.
Marginal add-on revenue prospects
As more treatments make their way to the market, the global SLE medicine market is poised to grow from $2 billion in 2021 to $3.5 billion by 2030. Until clear data comes out from the phase 2 clinical trial, I will conservatively assume that Rinvoq can seize 10% of the market. That's because no single treatment will work optimally for every patient. This works out to $350 million in annual revenue.
Stacked against the $52.7 billion in total revenue that analysts expect AbbVie to record in 2023, this would be a 0.7% bump in its revenue base. With the company aggressively expanding its indications for Rinvoq and Skyrizi, AbbVie expects that the two drugs will bring in $27 billion in combined annual revenue by 2027.
Putting this into perspective, that's almost quadruple the $7.7 billion that the two drugs brought in for the company in 2022. In all, AbbVie has over 90 compounds or indications currently in clinical development to keep the top line moving higher over the long haul.
Buy the Dividend King at a fair valuation
By way of its prior corporate history as part of Abbott Laboratories, AbbVie has raised its payout for 51 consecutive years. And with the company's dividend payout ratio set to come in at approximately 53% in 2023, future dividend growth could persist.
Income investors can scoop up AbbVie and its market-doubling dividend yield of 3.8% at a forward price-to-earnings (P/E) ratio of 14.2. This is only slightly above the drug manufacturers industry average of 13.3, which arguably makes the stock a buy.
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Kody Kester has positions in AbbVie and Abbott Laboratories. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie recently enrolled patients in a phase 3 clinical trial for treating moderate to severe cases of systemic lupus erythematosus (SLE), an autoimmune disease. With the company aggressively expanding its indications for Rinvoq and Skyrizi, AbbVie expects that the two drugs will bring in $27 billion in combined annual revenue by 2027. Buy the Dividend King at a fair valuation By way of its prior corporate history as part of Abbott Laboratories, AbbVie has raised its payout for 51 consecutive years. | AbbVie recently enrolled patients in a phase 3 clinical trial for treating moderate to severe cases of systemic lupus erythematosus (SLE), an autoimmune disease. Pleased with the results from its phase 2 clinical trials, AbbVie announced just days ago that it had advanced the drug to phase 3 clinical trials. Consider AbbVie's (NYSE: ABBV) crown jewel drug, Humira, which hauled in $21.2 billion in revenue in 2022. | AbbVie recently enrolled patients in a phase 3 clinical trial for treating moderate to severe cases of systemic lupus erythematosus (SLE), an autoimmune disease. Pleased with the results from its phase 2 clinical trials, AbbVie announced just days ago that it had advanced the drug to phase 3 clinical trials. With the company aggressively expanding its indications for Rinvoq and Skyrizi, AbbVie expects that the two drugs will bring in $27 billion in combined annual revenue by 2027. | AbbVie recently enrolled patients in a phase 3 clinical trial for treating moderate to severe cases of systemic lupus erythematosus (SLE), an autoimmune disease. For the sake of its clinical trial, AbbVie defined SRI-4 as an at least 4-point reduction on the SLE Disease Activity Index 2000 (SLEDAI-2K) score without worsening of the overall condition or the development of significant disease activity in new organs. With the company aggressively expanding its indications for Rinvoq and Skyrizi, AbbVie expects that the two drugs will bring in $27 billion in combined annual revenue by 2027. |
22675.0 | 2023-03-31 00:00:00 UTC | This Blockbuster Drug's Latest News Could Be Another Home Run for AbbVie | ABBV | https://www.nasdaq.com/articles/this-blockbuster-drugs-latest-news-could-be-another-home-run-for-abbvie | nan | nan | AbbVie (NYSE: ABBV) recently shared positive top-line results from its phase 3 clinical trial of Skyrizi that treated patients with moderately to severely active ulcerative colitis (UC).
With an approval from the U.S. Food and Drug Administration looking more like a matter of "when" than "if," it's worth asking the following question: What would such an event mean for the pharmaceutical company's revenue? Let's examine the data from the clinical trial and the U.S. UC market to resolve this question.
An impressive efficacy and safety profile
Ulcerative colitis is a form of inflammatory bowel disease (IBD) that causes damage to the gastrointestinal (GI) tract. Not to be confused with the other type of IBD that hurts the GI tract, Crohn's disease, UC is limited to the colon and rectum. This is opposed to Crohn's disease, which can affect any section of the GI tract from the mouth to the anus.
Both UC and Crohn's disease limit the GI tract's ability to fulfill its functions. This can result in symptoms such as diarrhea, fatigue, and abdominal pain. The severity of the two conditions can vary from mild in nature to severe. More severe cases can lead to blood loss, which can bring on anemia. Other complications of IBD include kidney stones, liver cirrhosis (severe scarring), and osteoporosis.
Thankfully, UC is becoming a more manageable disease because of advances in treatments. Skyrizi is one such treatment that could hit the market in the not-so-distant future.
AbbVie enrolled patients with moderately to severely active UC in a randomized and double-blind phase 3 clinical trial. This means that patients would receive either a dose of Skyrizi every four weeks or a dose of placebo every four weeks, and neither group knew what they were receiving throughout the study.
The treatment group attained clinical remission at a rate of 20.3% at week 12, which was more than triple the 6.2% clinical remission rate of the placebo group. Clinical remission, according to the Adapted Mayo Score clinical guideline, is a significant improvement in stool frequency, rectal bleeding, and endoscopic subscores.
Serious adverse events were observed in just 2.3% of patients in the treatment group, which was well below the 10.2% rate of the placebo group. This suggests that Skyrizi strikes a balance in being a safe and effective treatment for UC.
Image source: Getty Images.
The indication could be a growth catalyst
Skyrizi could be an effective treatment for UC. But how much of a boost could an indication in the U.S. provide to AbbVie's sales?
There are approximately 907,000 UC patients in the U.S. And since 21% to 22% of patients have moderate-to-severe disease activity in a particular year, this means there are around 195,000 patients with moderate-to-severe UC each year. AbbVie's Humira is the first-line treatment for moderate-to-severe UC. But only between 30% and 40% of patients experience improvement beyond at least the first year of treatment. This means that Skyrizi's addressable market is nearly 127,000 patients.
Because of Skyrizi's tremendous safety and efficacy results, I will assume the medicine can seize 20% of the U.S. patient share. That works out to 25,000 patients.
While Skyrizi doesn't yet have an annual list price for ulcerative colitis, its annual list price is $79,000 for psoriatic arthritis. But with patient financial assistance programs and deductibles from health insurers, most patients don't pay anywhere near that amount out-of-pocket. That's why I will assume an annual net price per patient of $40,000, with the costs to be split in some way between the patient and their health insurer. That is equivalent to $1 billion in annual revenue for AbbVie. Against the $52.7 billion in revenue that analysts expect from the company in 2023, this would be a 1.9% lift to the company's top line.
A blue chip stock at a discounted valuation
AbbVie is a fundamentally healthy business, and the stock appears to be a solid value at the current $158 share price.
AbbVie's trailing 12-month (TTM) price-to-free cash flow (P/FCF) ratio of 11.6 is slightly below the 10-year median TTM P/FCF ratio of 12.5. And given that the company's drug pipeline consists of more than 90 indications or compounds, AbbVie appears to be just as strong now as it has been in recent years. This is why the stock looks like a compelling pick for investors.
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Kody Kester has positions in AbbVie. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (NYSE: ABBV) recently shared positive top-line results from its phase 3 clinical trial of Skyrizi that treated patients with moderately to severely active ulcerative colitis (UC). AbbVie enrolled patients with moderately to severely active UC in a randomized and double-blind phase 3 clinical trial. But how much of a boost could an indication in the U.S. provide to AbbVie's sales? | AbbVie (NYSE: ABBV) recently shared positive top-line results from its phase 3 clinical trial of Skyrizi that treated patients with moderately to severely active ulcerative colitis (UC). AbbVie enrolled patients with moderately to severely active UC in a randomized and double-blind phase 3 clinical trial. But how much of a boost could an indication in the U.S. provide to AbbVie's sales? | AbbVie (NYSE: ABBV) recently shared positive top-line results from its phase 3 clinical trial of Skyrizi that treated patients with moderately to severely active ulcerative colitis (UC). AbbVie enrolled patients with moderately to severely active UC in a randomized and double-blind phase 3 clinical trial. But how much of a boost could an indication in the U.S. provide to AbbVie's sales? | AbbVie (NYSE: ABBV) recently shared positive top-line results from its phase 3 clinical trial of Skyrizi that treated patients with moderately to severely active ulcerative colitis (UC). AbbVie enrolled patients with moderately to severely active UC in a randomized and double-blind phase 3 clinical trial. But how much of a boost could an indication in the U.S. provide to AbbVie's sales? |
22676.0 | 2023-03-31 00:00:00 UTC | The Top Healthcare Stocks to Buy With $100 | ABBV | https://www.nasdaq.com/articles/the-top-healthcare-stocks-to-buy-with-%24100-2 | nan | nan | A common misconception is that you need a lot of money to invest in the stock market. However, even a small amount is enough to start. With the right stocks, a small investment can grow greatly in value. Some growth stocks have the potential to deliver massive returns as long as you have a little patience and a reasonable risk appetite.
The healthcare industry is both risky and defensive. People will continue to fall ill regardless of the economic situation. As a result, demand for healthcare products will never decline. At the same time, not all potential medications make it to the market.
Let's look at three healthcare stocks that can be purchased for $100 and have good prospects to grow over time.
Axsome Therapeutics
While most growth stocks struggled in 2022, Axsome Therapeutics' (NASDAQ: AXSM) shares increased by 104%. The stock hasn't been off to a great start this year, dipping 18%, but the odds look pretty good for the company in the near future. This biotech has two promising new drugs in its portfolio.
In May, the company purchased Sunosi from Jazz Pharmaceuticals. This medication, which is used to treat narcolepsy-related excessive daytime drowsiness, is the company's best-selling product. The drug generated $19.2 million in net sales in the U.S. during 2022's fourth quarter.
Auvelity, another of its products, debuted in the U.S. this past October. This medication is prescribed to treat depression or major depressive disorder (MDD). In the fourth quarter, it made $5.2 million in net sales. Since the pandemic, the diagnosis of MDD has increased dramatically. This drug has the potential to be a game changer for Axsome. Axsome's revenue could skyrocket once both drugs are available in international markets. Sunosi has already begun selling in a few international markets as of November 2022.
Axsome is investing heavily in research and development to expand its portfolio, which totaled $58 million in 2022. The company's pipeline is full of exciting potential products. AXS-05 is intended to treat MDD, smoking cessation, and agitation in Alzheimer's disease. A clinical trial is currently in its second phase.
More in the pipeline -- AXS-07 for migraine treatment, AXS-12 for narcolepsy treatment, and AXS-14 for fibromyalgia management -- could be enticing prospects for the company once they hit the market. Financially, the company is strong enough to support its pipeline advancement. At the end of the fourth quarter, it had $201 million in cash.
The company's financial resources are adequate for funding its current and future pipelines. At the end of the fourth quarter, it had $201 million in cash. Management believes that "its current cash, along with the remaining committed capital from the $350 million term loan facility" will be sufficient to cover projected pipeline progress.
AbbVie
Investors became cautious about AbbVie's (NYSE: ABBV) stock after its star drug Humira lost patent exclusivity in the U.S. at the beginning of 2023. The drug is prescribed to adults who have moderate to severe rheumatoid arthritis. In 2022, it generated $21 billion in sales, accounting for 36% of AbbVie's total revenue.
Humira sales in the U.S. are projected to drop by 37% in 2023, according to the management. Humira has been the biotech company's most successful product. However, AbbVie is wise to not rely on a single product to thrive. Its portfolio includes several other successful drugs.
Rinvoq (used to treat moderate to severely active rheumatoid arthritis in adults) and Skyrizi (used to treat moderate to severe plaque psoriasis in adults) are two of its other promising drugs. Management believes that these two drugs will eventually outsell Humira by 2027. Both drugs generated $7.6 billion in sales for the entire year 2022.
The company continues to make significant investments in research and development, which totaled $6.5 billion, or 12% of revenue, in 2022. Though the short term looks difficult for AbbVie until it compensates for the loss of Humira, the company's long-term prospects are bright.
An additional benefit is that AbbVie is also a dividend-paying stock. It has earned the title of Dividend King by raising dividends for 51 consecutive years (including its time at Abbott Laboratories, which spun it off in 2013). AbbVie's dividends have increased by more than 250% since the spinoff. It is a credible growth and income stock due to its consistent dividend payments and a strong portfolio of effective drugs.
Even a small investment in these growth stocks, combined with a diversified portfolio of stable stocks, would be a wise long-term move.
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Sushree Mohanty has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories and Axsome Therapeutics. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie Investors became cautious about AbbVie's (NYSE: ABBV) stock after its star drug Humira lost patent exclusivity in the U.S. at the beginning of 2023. In 2022, it generated $21 billion in sales, accounting for 36% of AbbVie's total revenue. However, AbbVie is wise to not rely on a single product to thrive. | AbbVie Investors became cautious about AbbVie's (NYSE: ABBV) stock after its star drug Humira lost patent exclusivity in the U.S. at the beginning of 2023. In 2022, it generated $21 billion in sales, accounting for 36% of AbbVie's total revenue. However, AbbVie is wise to not rely on a single product to thrive. | AbbVie Investors became cautious about AbbVie's (NYSE: ABBV) stock after its star drug Humira lost patent exclusivity in the U.S. at the beginning of 2023. In 2022, it generated $21 billion in sales, accounting for 36% of AbbVie's total revenue. However, AbbVie is wise to not rely on a single product to thrive. | AbbVie Investors became cautious about AbbVie's (NYSE: ABBV) stock after its star drug Humira lost patent exclusivity in the U.S. at the beginning of 2023. In 2022, it generated $21 billion in sales, accounting for 36% of AbbVie's total revenue. However, AbbVie is wise to not rely on a single product to thrive. |
22677.0 | 2023-03-31 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-8 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
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Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22678.0 | 2023-03-30 00:00:00 UTC | PFE vs. ABBV: Which Pharmaceutical Stock is Better? | ABBV | https://www.nasdaq.com/articles/pfe-vs.-abbv%3A-which-pharmaceutical-stock-is-better | nan | nan | In this piece, I used TipRanks' comparison tool to evaluate two pharmaceutical stocks, Pfizer Inc. (NYSE:PFE) and AbbVie Inc. (NYSE:ABBV), to determine which is better. Pfizer has plummeted more than 20% year-to-date, while AbbVie has held up much better, with a decline of about 2%. A closer look at both companies reveals why investors appear to overwhelmingly prefer AbbVie over Pfizer. However, investors may want to consider Pfizer as a buy-the-dip opportunity.
Pfizer (NYSE:PFE)
On the surface, Pfizer looks deeply discounted based on its valuation multiples, both relative to its industry and to its history. Unfortunately, the company is facing a steep patent cliff in the coming years, but given its long-term success, a bullish view looks appropriate at current levels — with the caveats that it could take a long time to play out and a better entry point may appear.
The company is trading at a trailing price-to-earnings (P/E) multiple of around 7.3 and a price-to-sales (P/S) multiple of about 2.3 versus its mean P/E of 15.8 and mean P/S of 4.0 over the last five years.
Further, the American pharmaceuticals industry is trading at a P/E of about 22.4 times, significantly lower than its three-year average of 43.9. As well, the industry is trading at a P/S ratio of 3.9 times, slightly lower than its three-year average of 4.4 times. Notably, the industry comparisons are likely skewed by the high valuations of some biotech companies.
Part of Pfizer's current problem may be the safety issue with the updated bivalent COVID-19 vaccine it developed in partnership with BioNTech (NASDAQ:BNTX). The CDC reported the possibility of increased stroke risk in seniors in January but added that some confounding factors in the data may mean it doesn't represent a true risk.
However, a deeper dive reveals a sizable patent cliff. Pfizer loses exclusivity for five key oral drugs between 2026 and 2029. In fact, those drugs represent about 40% of its revenue, excluding its COVID products, which will be hard to predict in the coming years. On the other hand, the company has new drugs in its pipeline that should help take up some of the slack from those patent expirations.
Pfizer has been clear about its plans to deal with that lost revenue, announcing plans for $25 billion in risk-adjusted revenue via mergers and acquisitions by 2030. With its strong track record and clear patent-cliff strategy, Pfizer looks like a solid long-term play.
Finally, Pfizer offers an attractive dividend yield of 4%, qualifying it for potential inclusion in a dividend portfolio.
What is the Price Target for PFE Stock?
Pfizer has a Moderate Buy consensus rating based on four Buys, 10 Holds, and zero Sell ratings assigned over the last three months. At $48.54, the average Pfizer stock price target implies upside potential of 20.2%.
AbbVie (NYSE:ABBV)
At about 23.8 times earnings, AbbVie is trading slightly above its industry's current P/E, although it's slightly below the mean of 25 times over the last five years. Its P/S of about 4.8 is slightly above its five-year mean P/S and the industry averages. Thus, a neutral view looks appropriate at this time, although AbbVie's near-term challenges may mean a better entry point could arrive soon.
Of note, AbbVie insiders have unloaded $8.4 million in shares over the last three months. The company is losing U.S. patent exclusivity on Humira, one of the top-selling drugs in recent years that accounted for more than one-third of its revenue.
AbbVie expects Humira sales to plummet between 35% and 55% this year, so it faces similar risks as Pfizer, except its shares haven't sold off like Pfizer's have. The company already has two new autoimmune-disease drugs on the market that could take up the slack from the lost Humira revenue, although it expects Rinvoq and Skyrizi to only generate $15 billion in sales by 2025.
Finally, AbbVie offers an attractive dividend yield of 3.7%, making it a potential fit for a dividend portfolio.
What is the Price Target for ABBV Stock?
AbbVie has a Moderate Buy consensus rating based on seven Buys, six Holds, and one Sell rating assigned over the last three months. At $163.23, the average AbbVie stock price target implies upside potential of 3.36%.
Conclusion: Long-Term Bullish on PFE, Neutral on ABBV
Pfizer and AbbVie both face significant challenges from patent expirations by the end of the decade, but Pfizer's recent sell-off makes it look like the better choice. While Pfizer has displayed staying power, it requires a long-term mindset, although an even better entry point may appear. Similarly, AbbVie may sell off to the point where it also looks attractive, but we aren't there yet.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In this piece, I used TipRanks' comparison tool to evaluate two pharmaceutical stocks, Pfizer Inc. (NYSE:PFE) and AbbVie Inc. (NYSE:ABBV), to determine which is better. Pfizer has plummeted more than 20% year-to-date, while AbbVie has held up much better, with a decline of about 2%. A closer look at both companies reveals why investors appear to overwhelmingly prefer AbbVie over Pfizer. | At $163.23, the average AbbVie stock price target implies upside potential of 3.36%. Conclusion: Long-Term Bullish on PFE, Neutral on ABBV Pfizer and AbbVie both face significant challenges from patent expirations by the end of the decade, but Pfizer's recent sell-off makes it look like the better choice. In this piece, I used TipRanks' comparison tool to evaluate two pharmaceutical stocks, Pfizer Inc. (NYSE:PFE) and AbbVie Inc. (NYSE:ABBV), to determine which is better. | AbbVie (NYSE:ABBV) At about 23.8 times earnings, AbbVie is trading slightly above its industry's current P/E, although it's slightly below the mean of 25 times over the last five years. AbbVie expects Humira sales to plummet between 35% and 55% this year, so it faces similar risks as Pfizer, except its shares haven't sold off like Pfizer's have. Conclusion: Long-Term Bullish on PFE, Neutral on ABBV Pfizer and AbbVie both face significant challenges from patent expirations by the end of the decade, but Pfizer's recent sell-off makes it look like the better choice. | AbbVie expects Humira sales to plummet between 35% and 55% this year, so it faces similar risks as Pfizer, except its shares haven't sold off like Pfizer's have. Similarly, AbbVie may sell off to the point where it also looks attractive, but we aren't there yet. In this piece, I used TipRanks' comparison tool to evaluate two pharmaceutical stocks, Pfizer Inc. (NYSE:PFE) and AbbVie Inc. (NYSE:ABBV), to determine which is better. |
22679.0 | 2023-03-30 00:00:00 UTC | IVW, CVX, ABBV, MRK: Large Inflows Detected at ETF | ABBV | https://www.nasdaq.com/articles/ivw-cvx-abbv-mrk%3A-large-inflows-detected-at-etf | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares S&P 500 Growth ETF (Symbol: IVW) where we have detected an approximate $172.1 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 466,150,000 to 468,900,000). Among the largest underlying components of IVW, in trading today Chevron Corporation (Symbol: CVX) is up about 0.7%, AbbVie Inc (Symbol: ABBV) is trading flat, and Merck & Co Inc (Symbol: MRK) is lower by about 0.1%. For a complete list of holdings, visit the IVW Holdings page » The chart below shows the one year price performance of IVW, versus its 200 day moving average:
Looking at the chart above, IVW's low point in its 52 week range is $55.30 per share, with $77.83 as the 52 week high point — that compares with a last trade of $62.94. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of IVW, in trading today Chevron Corporation (Symbol: CVX) is up about 0.7%, AbbVie Inc (Symbol: ABBV) is trading flat, and Merck & Co Inc (Symbol: MRK) is lower by about 0.1%. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. | Among the largest underlying components of IVW, in trading today Chevron Corporation (Symbol: CVX) is up about 0.7%, AbbVie Inc (Symbol: ABBV) is trading flat, and Merck & Co Inc (Symbol: MRK) is lower by about 0.1%. For a complete list of holdings, visit the IVW Holdings page » The chart below shows the one year price performance of IVW, versus its 200 day moving average: Looking at the chart above, IVW's low point in its 52 week range is $55.30 per share, with $77.83 as the 52 week high point — that compares with a last trade of $62.94. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». | Among the largest underlying components of IVW, in trading today Chevron Corporation (Symbol: CVX) is up about 0.7%, AbbVie Inc (Symbol: ABBV) is trading flat, and Merck & Co Inc (Symbol: MRK) is lower by about 0.1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares S&P 500 Growth ETF (Symbol: IVW) where we have detected an approximate $172.1 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 466,150,000 to 468,900,000). For a complete list of holdings, visit the IVW Holdings page » The chart below shows the one year price performance of IVW, versus its 200 day moving average: Looking at the chart above, IVW's low point in its 52 week range is $55.30 per share, with $77.83 as the 52 week high point — that compares with a last trade of $62.94. | Among the largest underlying components of IVW, in trading today Chevron Corporation (Symbol: CVX) is up about 0.7%, AbbVie Inc (Symbol: ABBV) is trading flat, and Merck & Co Inc (Symbol: MRK) is lower by about 0.1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares S&P 500 Growth ETF (Symbol: IVW) where we have detected an approximate $172.1 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 466,150,000 to 468,900,000). For a complete list of holdings, visit the IVW Holdings page » The chart below shows the one year price performance of IVW, versus its 200 day moving average: Looking at the chart above, IVW's low point in its 52 week range is $55.30 per share, with $77.83 as the 52 week high point — that compares with a last trade of $62.94. |
22680.0 | 2023-03-30 00:00:00 UTC | 2 High-Yielding Dividend Investments to Buy for the Long Haul | ABBV | https://www.nasdaq.com/articles/2-high-yielding-dividend-investments-to-buy-for-the-long-haul | nan | nan | Want some safe stocks you can hold in your portfolio and not worry about, and that also provide high yields? Two companies which fit the bill and you should consider loading up on now are AbbVie (NYSE: ABBV) and Coca-Cola (NYSE: KO). These are among the best dividend stocks you can buy for the long haul.
1. Coca-Cola
One business that looks to be in rock-solid shape is one of Warren Buffett's favorites: Coca-Cola. The soft drink giant has been able to raise prices to battle inflation, and customers for the most part haven't wavered -- at least, not enough so that a lack of demand is hurting the company's sales. That's a good sign of the brand's strength.
What stands out to me is that its current growth rate, even amid inflation, is better than its 10-year average.
KO Revenue (Quarterly YoY Growth) data by YCharts
The biggest headwind for the business is foreign currency: Coca-Cola's business grew organically at a rate of 15% for the last three months of 2022, but its reported growth was just 7%. This was largely due to the company's broad geographic operations and the need to convert all those currencies.
Coca-Cola's business has been able to withstand inflation, recessions, wars, and all sorts of economic challenges over the years. And for decades the company has still been able to continue paying a dividend. Its streak of increasing dividend payments for 61 straight years is among the longest of the publicly traded stocks, and puts it on the very exclusive Dividend Kings list.
The stock's dividend yield is right around 3.1%, which is well above the S&P 500 average of 1.7%. And while its payout ratio of 80% might be a tad high, it's definitely sustainable given the company's strong results and continued growth. For investors looking for a safe place to invest in right now and collect a dividend, Coca-Cola's stock is a great option.
2. AbbVie
Another Dividend King stock is AbbVie. That includes the time when it was part of Abbott Laboratories' business, before it was spun off as its own entity in 2013. AbbVie pays a slightly higher dividend than Coca-Cola as its yield is 3.8%. Its payout ratio may appear concerning at 85%, but AbbVie generated more than $24 billion in free cash flow last year -- more than double the $10 billion it paid out in dividends.
AbbVie is more of a typical growth stock than Coca-Cola. While Coca-Cola is benefiting from higher prices, AbbVie may generate a better return for investors due to its growth opportunities. It acquired Botox maker Allergan in 2020 to bolster its portfolio and help diversify its offerings. While AbbVie's sales of $58.1 billion were up just 3% last year, its Botox therapeutic and Botox cosmetic products generated stronger growth, with their sales rising by 11% and 17%, respectively.
Over the past several years, AbbVie has done a phenomenal job of growing both its revenue and profits, thanks in part to acquisitions.
ABBV Net Income (Annual) data by YCharts
And there's more down the road. The company's pipeline is full of potential, with AbbVie working on more than 50 programs that are either in their mid or late stages of development.
Meanwhile, investors worried about losses of exclusivity in top-selling drug Humira should be at ease knowing that both Rinvoq and Skyrizi can make up for the inevitable declines in revenue. AbbVie has a plan to replace that revenue, plus it has some terrific growth prospects ahead, which make both its business and dividend look incredibly strong right now.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie has a plan to replace that revenue, plus it has some terrific growth prospects ahead, which make both its business and dividend look incredibly strong right now. Two companies which fit the bill and you should consider loading up on now are AbbVie (NYSE: ABBV) and Coca-Cola (NYSE: KO). AbbVie Another Dividend King stock is AbbVie. | Two companies which fit the bill and you should consider loading up on now are AbbVie (NYSE: ABBV) and Coca-Cola (NYSE: KO). While Coca-Cola is benefiting from higher prices, AbbVie may generate a better return for investors due to its growth opportunities. AbbVie Another Dividend King stock is AbbVie. | AbbVie Another Dividend King stock is AbbVie. AbbVie is more of a typical growth stock than Coca-Cola. Two companies which fit the bill and you should consider loading up on now are AbbVie (NYSE: ABBV) and Coca-Cola (NYSE: KO). | AbbVie Another Dividend King stock is AbbVie. AbbVie is more of a typical growth stock than Coca-Cola. Two companies which fit the bill and you should consider loading up on now are AbbVie (NYSE: ABBV) and Coca-Cola (NYSE: KO). |
22681.0 | 2023-03-29 00:00:00 UTC | Investing Your Tax Return? Check Out This 11.8%-Yielding ETF | ABBV | https://www.nasdaq.com/articles/investing-your-tax-return-check-out-this-11.8-yielding-etf | nan | nan | Tax season is upon us once again. If you are getting a tax return, why not consider investing in a dividend ETF instead of spending it on a new gadget or a night out on the town?
Using your tax return to buy a high-yielding dividend ETF can help you to jump-start your own dividend portfolio. Investing in a dividend ETF like the JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI) gives you access to a diverse array of dividend stocks and pays you passive income on a monthly basis, which helps compound your wealth over time. Here's why you should consider allocating your tax return to an ETF like JEPI in order to give your future self some serious passive income.
The Gift That Keeps on Giving
If you’re looking to get started as a dividend investor with an influx of tax return money, JEPI is a pretty good place to start. While the majority of dividend stocks and dividend ETFs pay dividends on a quarterly basis, this popular ETF pays them each month. I own JEPI, and what I like about this cadence is that by the time I receive the monthly dividend and reinvest it, I know it’s only going to be a few more weeks until I get the next one.
Even better, JEPI boasts a massive dividend yield -- currently just under 12%. Think of it this way -- each month, you are essentially receiving 1% of your investment in dividend payments. According to the internal revenue service (IRS), the average tax return so far in 2023 has been $2,933. If you put that $2,933 ETF into JEPI at its current price with a yield of 11.8%, you could expect to earn about $29 a month in dividend payments over the course of the next year, making this the gift that keeps giving.
Furthermore, by reinvesting these dividends (which many online brokerages allow you to do automatically) and adding more fresh capital over time, you can compound the size of your dividend portfolio and watch it snowball over time.
What is JEPI's Strategy?
JEPI seeks to generate income while mitigating volatility and downside. The ETF “generates income through a combination of selling options and investing in U.S. large-cap stocks, seeking to deliver a monthly income stream from associated option premiums and stock dividends.” JEPI also looks to “deliver a significant portion of the returns associated with the S&P 500 index (SPX) with less volatility.”
A Collection of Blue-Chip Dividend Stocks
JEPI is a diversified ETF with 121 holdings. Its top 10 holdings make up a minuscule 17.5% of the fund. Below is an overview of JEPI’s top holdings, using TipRanks’ holdings tool, which gives investors a birds-eye view of key data about an ETF’s components.
As you can see, there are plenty of blue chip dividend stocks here, such as consumer staples giants like Coca-Cola (NYSE:KO), Pepsi (NASDAQ:PEP), and Hershey (NYSE:HSY). Abbvie (NYSE:ABBV) and UnitedHealth (NYSE:UNH) represent the healthcare sector within the top 10, and payment networks Visa (NYSE:V) and Mastercard (NYSE:MA) also find a home within JEPI.
While there are a lot of value stocks here, even a higher-growth sector like tech is represented through the likes of Microsoft (NASDAQ:MSFT) and Alphabet (NASDAQ:GOOGL) (which is interesting because Alphabet is not a dividend stock).
You can really see the overall quality of JEPI’s holdings when you look at the Smart Scores of its individual components. Hershey, Visa, and Alphabet enjoy 'Perfect 10' Smart Scores, while Coca-Cola, Pepsi, Mastercard, and Microsoft all boast Smart Scores of 8 or above, which is equivalent to an Outperform rating.
The Smart Score is TipRanks’ proprietary quantitative stock scoring system that evaluates stocks on eight different market factors. The result is data-driven and does not involve any human intervention.
What's the Price Target for JEPI Stock?
Analysts collectively have a Moderate Buy rating on JEPI, and the average JEPI stock price target of $61.43 represents upside potential of 13.8% from here. Of the 1,778 analyst ratings on JEPI, 64.51% are Buys, 31.83% are Holds, and 3.66% are Sells.
TipRanks uses proprietary technology to compile analyst forecasts and price targets for ETFs based on a combination of the individual performances of the underlying assets. Further, TipRanks calculates a weighted average based on the combination of all the ETFs’ holdings. The average price forecast for an ETF is calculated by multiplying each individual holding’s price target by its weighting within the ETF and adding them all up.
A Word to the Wise
One important thing that investors should be aware of is that JEPI also achieves this high yield by investing up to 20% of its assets into ELNs (equity-linked notes) and selling call options with exposure to the S&P 500. This isn’t a cause for concern in and of itself, but it's something investors should be aware of. While this strategy has been very successful at generating income and it successfully preserved investor capital during last year’s downturn (JEPI lost just 3.5% while the S&P 500 lost about 20%), it will likely cap some of JEPI’s upside in an environment where stocks are soaring.
Still, JEPI has a lot of appeal as a dividend generator that can really boost the yield of your portfolio, and I own it in my IRA so that I can receive monthly payouts and not worry about taxes on them.
A Smart Way to Use Your Tax Return
Using your tax return to start a dividend portfolio is a smart way to put your money to work for you. And if you're looking to kickstart a new dividend portfolio, it’s hard to beat JEPI’s double-digit yield and monthly payout. Plus, JEPI gives you instant diversification with its strong collection of over 100 stocks.
While there are other monthly dividend ETFs on the market with high yields, many of their long-term track records leave a lot to be desired in terms of total returns, whereas for JEPI, things are “so far so good” since its launch in 2020. I also like that JEPI’s top holdings are largely comprised of blue-chip stocks that you can count on, like Coca-Cola and Pepsi, instead of reaching into some of the riskier parts of the market in search of yield.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbvie (NYSE:ABBV) and UnitedHealth (NYSE:UNH) represent the healthcare sector within the top 10, and payment networks Visa (NYSE:V) and Mastercard (NYSE:MA) also find a home within JEPI. TipRanks uses proprietary technology to compile analyst forecasts and price targets for ETFs based on a combination of the individual performances of the underlying assets. A Word to the Wise One important thing that investors should be aware of is that JEPI also achieves this high yield by investing up to 20% of its assets into ELNs (equity-linked notes) and selling call options with exposure to the S&P 500. | Abbvie (NYSE:ABBV) and UnitedHealth (NYSE:UNH) represent the healthcare sector within the top 10, and payment networks Visa (NYSE:V) and Mastercard (NYSE:MA) also find a home within JEPI. The ETF “generates income through a combination of selling options and investing in U.S. large-cap stocks, seeking to deliver a monthly income stream from associated option premiums and stock dividends.” JEPI also looks to “deliver a significant portion of the returns associated with the S&P 500 index (SPX) with less volatility.” A Collection of Blue-Chip Dividend Stocks JEPI is a diversified ETF with 121 holdings. Hershey, Visa, and Alphabet enjoy 'Perfect 10' Smart Scores, while Coca-Cola, Pepsi, Mastercard, and Microsoft all boast Smart Scores of 8 or above, which is equivalent to an Outperform rating. | Abbvie (NYSE:ABBV) and UnitedHealth (NYSE:UNH) represent the healthcare sector within the top 10, and payment networks Visa (NYSE:V) and Mastercard (NYSE:MA) also find a home within JEPI. Investing in a dividend ETF like the JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI) gives you access to a diverse array of dividend stocks and pays you passive income on a monthly basis, which helps compound your wealth over time. While the majority of dividend stocks and dividend ETFs pay dividends on a quarterly basis, this popular ETF pays them each month. | Abbvie (NYSE:ABBV) and UnitedHealth (NYSE:UNH) represent the healthcare sector within the top 10, and payment networks Visa (NYSE:V) and Mastercard (NYSE:MA) also find a home within JEPI. Using your tax return to buy a high-yielding dividend ETF can help you to jump-start your own dividend portfolio. The ETF “generates income through a combination of selling options and investing in U.S. large-cap stocks, seeking to deliver a monthly income stream from associated option premiums and stock dividends.” JEPI also looks to “deliver a significant portion of the returns associated with the S&P 500 index (SPX) with less volatility.” A Collection of Blue-Chip Dividend Stocks JEPI is a diversified ETF with 121 holdings. |
22682.0 | 2023-03-29 00:00:00 UTC | Better Growth Stock: Vertex Pharmaceuticals vs. AbbVie | ABBV | https://www.nasdaq.com/articles/better-growth-stock%3A-vertex-pharmaceuticals-vs.-abbvie | nan | nan | Vertex Pharmaceuticals (NASDAQ: VRTX) and AbbVie (NYSE: ABBV) both beat last year's bear market. In fact, in 2022 these dynamic biotech stocks climbed by percentages in the double digits, and for good reason. People need medicines no matter what the market is doing -- and this helps healthcare companies maintain earnings during good times and bad, making them solid investments in tough economies.
Vertex and AbbVie also happen to offer a lot of growth potential. Vertex has a new potential blockbuster drug on the horizon. And AbbVie may become the leader in prescription-drug market share within the next few years.
Which of these superstar stocks is the better growth pick right now? Let's find out.
The case for Vertex Pharmaceuticals
Vertex is known for its specialty of cystic fibrosis (CF) treatment. The company sells four CF drugs, including blockbuster Trikafta. As the company's newest CF drug, it brought in more than $7.6 billion in revenue last year. The company is the global CF leader and could keep that position at least through the late 2030s. In fact, the future drug that may unseat Trikafta is another CF candidate that Vertex is testing in phase 3 right now.
But investors wanted more: They wanted Vertex to show it could be successful beyond CF. The company is about to do just that. Vertex has submitted exa-cel, its treatment for the blood disorders beta thalassemia and sickle cell disease, to regulators in the U.S., Europe, and the U.K. Exa-cel could become a blockbuster -- and a regulatory decision may be right around the corner.
Vertex's pipeline includes other interesting candidates that may solidify its expansion into other treatment areas -- and potentially bring in significant revenue. An example is VX-548, a non-opioid candidate to treat pain. There's huge market opportunity to treat this common problem. That's because today, our choices are limited to a few over-the-counter options -- or prescription opioids that have been linked to addiction.
Vertex is studying VX-548 in phase 3 trials, so if all goes well, this represents another big revenue opportunity within the next few years. All of this means Vertex's revenue growth -- in CF and beyond -- is far from over.
The case for AbbVie
AbbVie has reached an important turning point. The bad news is that its megablockbuster immunology drug Humira has lost exclusivity, so the company says that the drug is facing a 37% drop in U.S. revenue this year.
But here's the good news. AbbVie's prepping two newer immunology drugs, Rinvoq and Skyrizi, to boost its portfolio. And together, it seems they'll even top Humira's peak annual revenue of more than $20 billion. Both drugs already are blockbusters. AbbVie predicts that together they'll bring in more than $17.5 billion in 2025, and more than $21 billion in 2027.
So while this year probably won't be a big one of growth for AbbVie, that should quickly change as Rinvoq and Skyrizi gain regulatory approvals for additional indications. At the moment, Rinvoq is approved for five indications and Skyrizi three.
AbbVie also has impressive neuroscience and aesthetics portfolios. Vraylar is used to treat major depressive disorder and bipolar disorder, and in the most recent quarter, its revenue climbed by over 15%. Botox for migraines saw its revenue advance more than 8%, and Botox as a wrinkle treatment also posted gains. AbbVie is expected to hold the biggest share of the prescription drug market by 2026, according to Evaluate Pharma.
Investors also can count on AbbVie for dividend payments and growth. The company has increased its payment year after year. And today, AbbVie pays an annual dividend of $5.92 per share. The current yield of 3.76% beats the average paid by the pharma industry.
All of this means that AbbVie offers solid long-term earnings growth prospects -- and passive income while you wait.
Vertex or AbbVie?
Both of these stocks make great long-term investments. They have a track record of earnings growth, and products and candidates that are set to deliver growth over time. Their valuations have increased, but they both remain at reasonable levels considering their prospects:
VRTX PE Ratio (Forward) data by YCharts.
But if I had to choose just one to invest in today, I'd go for Vertex. That's because growth could come sooner for this biotech stock: Regulators are reviewing exa-cel now, so a decision isn't far away. Meanwhile, AbbVie faces declines in Humira revenue this year -- and that could weigh on the stock.
AbbVie may take a bit of time to enter its new phase of growth. Vertex, though, could transition to its next phase of growth more quickly. So if you buy Vertex now, you may benefit in the near term...and over the long term, too.
Find out why Vertex Pharmaceuticals is one of the 10 best stocks to buy now
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | So while this year probably won't be a big one of growth for AbbVie, that should quickly change as Rinvoq and Skyrizi gain regulatory approvals for additional indications. Vertex Pharmaceuticals (NASDAQ: VRTX) and AbbVie (NYSE: ABBV) both beat last year's bear market. Vertex and AbbVie also happen to offer a lot of growth potential. | So while this year probably won't be a big one of growth for AbbVie, that should quickly change as Rinvoq and Skyrizi gain regulatory approvals for additional indications. All of this means that AbbVie offers solid long-term earnings growth prospects -- and passive income while you wait. Vertex Pharmaceuticals (NASDAQ: VRTX) and AbbVie (NYSE: ABBV) both beat last year's bear market. | Vertex Pharmaceuticals (NASDAQ: VRTX) and AbbVie (NYSE: ABBV) both beat last year's bear market. Vertex and AbbVie also happen to offer a lot of growth potential. And AbbVie may become the leader in prescription-drug market share within the next few years. | Vertex or AbbVie? Vertex Pharmaceuticals (NASDAQ: VRTX) and AbbVie (NYSE: ABBV) both beat last year's bear market. Vertex and AbbVie also happen to offer a lot of growth potential. |
22683.0 | 2023-03-29 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-7 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22684.0 | 2023-03-29 00:00:00 UTC | Better Growth Stock: AbbVie vs. Pfizer | ABBV | https://www.nasdaq.com/articles/better-growth-stock%3A-abbvie-vs.-pfizer | nan | nan | AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) are two of the world's biggest pharmaceutical companies, and the similarities don't end there. Both players are going to face some headwinds over the next couple of years as the income from their cash cow medicines sharply erodes. Beyond that, however, both have big plans to keep growing. But which will grow at a faster pace? Let's look at the arguments for each.
Image source: Getty Images.
AbbVie's pivot is proceeding as planned
The case for AbbVie as a growth stock can't avoid two issues: the decline of Humira, and the stagnation of its oncology portfolio.
For 2022, Humira, its arthritis drug and one of the best-selling medicines of all time, brought in $21.2 billion out of AbbVie's top line of roughly $58 billion. But now that generic versions are on the cusp of devouring its market share, the business will have a hard time expanding its top line anytime before 2025.
To make matters worse, management is also expecting oncology revenue to fall this year and remain at a lower level until roughly 2026, when new launches should return the segment to growth. So the next few years will be difficult for AbbVie.
But after 2025, the two new medicines that the company developed to compete in the same markets as Humira, Skyrizi and Rinvoq, should start to see their sales pick up -- and by 2027, they are anticipated to surpass the total revenue of Humira. Furthermore, AbbVie's aesthetics segment, which holds the rights to popular treatments like Botox and Juvederm, is slated to grow from 2022's total of $5.3 billion to reach more than $9 billion in annual revenue in 2029.
If management's projections are correct, and so far with the ramp-up of Skyrizi and Rinvoq they have been, the business will be increasing its sales between 7% and 9% annually by the end of the decade. While that might not seem like rapid growth, it's important to note that AbbVie also pays a dividend that currently has a forward yield of around 3.8%, and it plans to continue doing share repurchases, so investors will get rewarded in more ways than just top-line expansion.
Will Pfizer's oncology gambit with Seagen pay off?
Like AbbVie, Pfizer is going to see its sales crater in the near term thanks to declining demand for its coronavirus medicines -- vaccine Comirnaty, and antiviral pill Paxlovid.
Excluding any residual sales from coronavirus products, management is expecting to bring in $52 billion in 2025, a brutal drop from its 2022 revenue of $100.3 billion. But after that, it'll also lose another $17 billion from its top line as a result of expiring exclusivity protections for some of its medicines between 2025 and 2030.
To partially mitigate that drop, the company is spending $43 billion in cash to acquire Seagen, a biopharma that focuses on oncology drugs. The Seagen purchase could contribute around $10 billion to the additional $25 billion in sales that Pfizer is hoping to generate in 2030 via acquisitions. So under management's best set of guesses, it could have a top line worth $84 billion by the end of the decade.
But that's still less than it made last year, even if Pfizer is going to continue paying out its dividend, which currently yields 4%, and performing share buybacks too.
It's a close call
Both AbbVie and Pfizer are good investments that most people should feel relatively comfortable buying and holding as long as you don't expect to beat the market every single year. But AbbVie's growth trajectory through 2030 makes it a better growth stock today.
Even losing its biggest moneymaker isn't going to cause its top line to sag by as much as Pfizer's loss of most of its coronavirus revenue will, because AbbVie had the luxury of planning for Humira's decline many years in advance of it actually happening, unlike Pfizer. And while the Seagen acquisition will probably be a positive for Pfizer shareholders, it still won't be enough to power actual growth from the standpoint of 2022.
Still, it's important to note that neither AbbVie nor Pfizer is likely to expand by as much as a far smaller company at the start of its growth journey. So if you're able to take on more risk, you might see your money grow faster elsewhere.
10 stocks we like better than AbbVie
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Alexander Carchidi has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Pfizer and Seagen. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | While that might not seem like rapid growth, it's important to note that AbbVie also pays a dividend that currently has a forward yield of around 3.8%, and it plans to continue doing share repurchases, so investors will get rewarded in more ways than just top-line expansion. It's a close call Both AbbVie and Pfizer are good investments that most people should feel relatively comfortable buying and holding as long as you don't expect to beat the market every single year. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) are two of the world's biggest pharmaceutical companies, and the similarities don't end there. | For 2022, Humira, its arthritis drug and one of the best-selling medicines of all time, brought in $21.2 billion out of AbbVie's top line of roughly $58 billion. AbbVie (NYSE: ABBV) and Pfizer (NYSE: PFE) are two of the world's biggest pharmaceutical companies, and the similarities don't end there. AbbVie's pivot is proceeding as planned The case for AbbVie as a growth stock can't avoid two issues: the decline of Humira, and the stagnation of its oncology portfolio. | AbbVie's pivot is proceeding as planned The case for AbbVie as a growth stock can't avoid two issues: the decline of Humira, and the stagnation of its oncology portfolio. For 2022, Humira, its arthritis drug and one of the best-selling medicines of all time, brought in $21.2 billion out of AbbVie's top line of roughly $58 billion. Even losing its biggest moneymaker isn't going to cause its top line to sag by as much as Pfizer's loss of most of its coronavirus revenue will, because AbbVie had the luxury of planning for Humira's decline many years in advance of it actually happening, unlike Pfizer. | For 2022, Humira, its arthritis drug and one of the best-selling medicines of all time, brought in $21.2 billion out of AbbVie's top line of roughly $58 billion. But AbbVie's growth trajectory through 2030 makes it a better growth stock today. Even losing its biggest moneymaker isn't going to cause its top line to sag by as much as Pfizer's loss of most of its coronavirus revenue will, because AbbVie had the luxury of planning for Humira's decline many years in advance of it actually happening, unlike Pfizer. |
22685.0 | 2023-03-28 00:00:00 UTC | DIV ETF Yields 7.3% and Pays Monthly. Here are the Pros and Cons | ABBV | https://www.nasdaq.com/articles/div-etf-yields-7.3-and-pays-monthly.-here-are-the-pros-and-cons | nan | nan | With a monthly dividend payout and a yield that beats inflation, the Global X SuperDividend ETF (NYSEARCA:DIV) is a tempting choice for dividend investors. However, there are several pros and cons that investors should weigh when it comes to this high-yield ETF.
What Does the DIV ETF Do?
DIV is another one of Global X’s family of monthly-dividend ETFs, which also includes the likes of the Global X SuperDividend ETF (NYSEARCA:SDIV) and the Global X SuperDividend REIT ETF (NYSE:SRET). DIV “seeks to track the performance of the Solactive Global SuperDividend Index.”
The key difference between DIV and SDIV is that while SDIV focuses on investing in the highest-yielding dividend stocks globally, DIV narrows it down to just the United States by accessing fifty of the highest-yielding equities in the U.S. market. This gives investors less international diversification but also less volatility and possibly a higher-quality group of holdings.
DIV currently yields 7.3%, dwarfing the S&P 500's (SPX) dividend yield of 1.7% and more than doubling the yield of the 10-Year Treasury note. It even beats the rate of inflation (a high hurdle of 6%), making it a compelling play from an income perspective. The ETF has a sterling track record when it comes to the consistency and longevity of its payout -- DIV has paid out a monthly dividend every month for over 10 years.
In addition to generating monthly dividend income, part of DIV’s strategy is to also reduce volatility by screening for equities with low betas in relation to the S&P 500.
Solid Diversification
This is a nicely-diversified ETF. It contains 51 stocks, and DIV's top 10 holdings make up just 22.6% of the fund, while no single position makes up more than 2.75%.
DIV is also fairly diversified by sector. While real estate makes up nearly 30% of holdings, basic materials stocks account for 16.8%, industrials account for 13.4%, energy makes up 12.4%, and financials make up 10.5%. Generally speaking, these are lower-growth, more cyclical sectors of the stock market but ones that are also known for their dividend payouts and typically higher dividend yields.
You’ll find a pretty wide mix of holdings here -- top position B&G Foods (NYSE:BGS) is a packaged foods company perhaps best known for its B&G Pickles and brands like Crisco and Cream of Wheat. It yields nearly 5% even after slashing the size of its dividend payout last year.
The energy sector is well-known for high yields, and there are plenty of energy stocks and MLPs here among DIV’s top holdings, including San Juan Basin Royalty (NYSE:SJT), MPLX LP (NYSE:MPLX) and Magellan Midstream Partners (NYSE:MMP).
Tobacco companies have been strong dividend payers for a long time, and you’ll also find tobacco stalwarts like Altria (NYSE:MO) and Philip Morris (NYSE:PM) on the list of DIV’s holdings. Altria and Philip Morris currently sport dividend yields of 8.4% and 5.5%, respectively.
DIV's holdings also include a few other well-known U.S. large-cap stocks like Verizon (NYSE:VZ), 3M (NYSE:MMM), and AbbVie (NYSE:ABBV), and then beyond these names, there are plenty of REITs and shipping companies.
Below you’ll find an overview of DIV’s top 10 holdings along with their Smart Scores. The Smart Score is TipRanks’ proprietary quantitative stock scoring system that evaluates stocks on eight different market factors. The result is data-driven and does not involve any human intervention.
A large number of the stocks listed above score very well when using TipRanks’ Smart Score system. For instance, Iron Mountain (NYSE:IRM) and Magellan Midstream Partners receive coveted 'Perfect 10' scores, while San Juan Basin Trust, AbbVie, USA Compression (NYSE:USAC), MPLX LP, and Kraft Heinz (NASDAQ:KHC) all have scores of 8 or better, which equates to an Outperform rating.
DIV itself has an ETF Smart Score of 7, which is a Neutral rating, but it is right on the cusp of being an Outperform rating. Further, DIV's blogger sentiment and crowd wisdom metrics are both positive.
Is DIV Stock a Buy, According to Analysts?
On the other hand, analysts have a fairly lukewarm view of DIV. It has a Hold consensus rating, and the average DIV stock price target of $19.56 implies 14.5% upside potential.
Of the 253 analyst ratings on DIV, 43.48% are Buys, 45.45% are Holds, and 11.07% are Sells, indicating the mixed views that analysts have on the ETF.
TipRanks uses proprietary technology to compile analyst forecasts and price targets for ETFs based on a combination of the individual performances of the underlying assets. Further, TipRanks calculates a weighted average based on the combination of all the ETFs’ holdings. The average price forecast for an ETF is calculated by multiplying each individual holding’s price target by its weighting within the ETF and adding them all up.
DIV's Long-Term Performance
In addition to the tepid view from analysts, there’s an additional reason for caution when it comes to this ETF -- it hasn’t been a winner over the long term. As of the end of February 2023, the ETF had a one-year total return of -4.3%, which actually isn’t bad since the broader market struggled in 2022.
But zooming further out, DIV has returned 3.1% per year over a three-year time frame, and its 1.3% return per year over a five-year time frame leaves more to be desired. In fact, since its inception in 2011, DIV has returned just 3.6% per year, meaning that investors who held the ETF would have been much better off simply investing in one of the three major U.S. indices, which all enjoyed a decade of banner gains in that time.
The Takeaway
DIV presents an interesting investment opportunity thanks to its high yield and frequent dividend payout. However, its mixed analyst ratings and lackluster long-term performance detract from its appeal. With its 7.3% yield, DIV can be a useful vehicle to boost your portfolio's yield, but given its subpar long-term track record, I wouldn’t make it into a large allocation. There are also a growing number of other dividend ETFs that pay distributions on a monthly basis that investors can consider instead.
One final thought on DIV is that it looks more attractive than other monthly-dividend ETFs from Global X that I've recently covered, like SDIV and SRET. While it has a lower yield, it has posted a better long-term performance than those two. Also, the strong Smart Scores of many of its top 10 holdings indicate that it has a higher-quality group of components and that it likely has a bit more potential for growth and capital appreciation than those two ETFs.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | DIV's holdings also include a few other well-known U.S. large-cap stocks like Verizon (NYSE:VZ), 3M (NYSE:MMM), and AbbVie (NYSE:ABBV), and then beyond these names, there are plenty of REITs and shipping companies. For instance, Iron Mountain (NYSE:IRM) and Magellan Midstream Partners receive coveted 'Perfect 10' scores, while San Juan Basin Trust, AbbVie, USA Compression (NYSE:USAC), MPLX LP, and Kraft Heinz (NASDAQ:KHC) all have scores of 8 or better, which equates to an Outperform rating. In addition to generating monthly dividend income, part of DIV’s strategy is to also reduce volatility by screening for equities with low betas in relation to the S&P 500. | DIV's holdings also include a few other well-known U.S. large-cap stocks like Verizon (NYSE:VZ), 3M (NYSE:MMM), and AbbVie (NYSE:ABBV), and then beyond these names, there are plenty of REITs and shipping companies. For instance, Iron Mountain (NYSE:IRM) and Magellan Midstream Partners receive coveted 'Perfect 10' scores, while San Juan Basin Trust, AbbVie, USA Compression (NYSE:USAC), MPLX LP, and Kraft Heinz (NASDAQ:KHC) all have scores of 8 or better, which equates to an Outperform rating. DIV is another one of Global X’s family of monthly-dividend ETFs, which also includes the likes of the Global X SuperDividend ETF (NYSEARCA:SDIV) and the Global X SuperDividend REIT ETF (NYSE:SRET). | DIV's holdings also include a few other well-known U.S. large-cap stocks like Verizon (NYSE:VZ), 3M (NYSE:MMM), and AbbVie (NYSE:ABBV), and then beyond these names, there are plenty of REITs and shipping companies. For instance, Iron Mountain (NYSE:IRM) and Magellan Midstream Partners receive coveted 'Perfect 10' scores, while San Juan Basin Trust, AbbVie, USA Compression (NYSE:USAC), MPLX LP, and Kraft Heinz (NASDAQ:KHC) all have scores of 8 or better, which equates to an Outperform rating. DIV is another one of Global X’s family of monthly-dividend ETFs, which also includes the likes of the Global X SuperDividend ETF (NYSEARCA:SDIV) and the Global X SuperDividend REIT ETF (NYSE:SRET). | DIV's holdings also include a few other well-known U.S. large-cap stocks like Verizon (NYSE:VZ), 3M (NYSE:MMM), and AbbVie (NYSE:ABBV), and then beyond these names, there are plenty of REITs and shipping companies. For instance, Iron Mountain (NYSE:IRM) and Magellan Midstream Partners receive coveted 'Perfect 10' scores, while San Juan Basin Trust, AbbVie, USA Compression (NYSE:USAC), MPLX LP, and Kraft Heinz (NASDAQ:KHC) all have scores of 8 or better, which equates to an Outperform rating. With a monthly dividend payout and a yield that beats inflation, the Global X SuperDividend ETF (NYSEARCA:DIV) is a tempting choice for dividend investors. |
22686.0 | 2023-03-28 00:00:00 UTC | ABBV December 2025 Options Begin Trading | ABBV | https://www.nasdaq.com/articles/abbv-december-2025-options-begin-trading | nan | nan | Investors in AbbVie Inc (Symbol: ABBV) saw new options begin trading today, for the December 2025 expiration. One of the key data points that goes into the price an option buyer is willing to pay, is the time value, so with 997 days until expiration the newly trading contracts represent a possible opportunity for sellers of puts or calls to achieve a higher premium than would be available for the contracts with a closer expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the ABBV options chain for the new December 2025 contracts and identified one put and one call contract of particular interest.
The put contract at the $155.00 strike price has a current bid of $20.45. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $155.00, but will also collect the premium, putting the cost basis of the shares at $134.55 (before broker commissions). To an investor already interested in purchasing shares of ABBV, that could represent an attractive alternative to paying $157.84/share today.
Because the $155.00 strike represents an approximate 2% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 13.19% return on the cash commitment, or 4.83% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $155.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $160.00 strike price has a current bid of $21.40. If an investor was to purchase shares of ABBV stock at the current price level of $157.84/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $160.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 14.93% if the stock gets called away at the December 2025 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if ABBV shares really soar, which is why looking at the trailing twelve month trading history for AbbVie Inc, as well as studying the business fundamentals becomes important. Below is a chart showing ABBV's trailing twelve month trading history, with the $160.00 strike highlighted in red:
Considering the fact that the $160.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 13.56% boost of extra return to the investor, or 4.96% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $157.84) to be 23%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Of course, a lot of upside could potentially be left on the table if ABBV shares really soar, which is why looking at the trailing twelve month trading history for AbbVie Inc, as well as studying the business fundamentals becomes important. Below is a chart showing ABBV's trailing twelve month trading history, with the $160.00 strike highlighted in red: Considering the fact that the $160.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in AbbVie Inc (Symbol: ABBV) saw new options begin trading today, for the December 2025 expiration. | Below is a chart showing ABBV's trailing twelve month trading history, with the $160.00 strike highlighted in red: Considering the fact that the $160.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Investors in AbbVie Inc (Symbol: ABBV) saw new options begin trading today, for the December 2025 expiration. | Below is a chart showing the trailing twelve month trading history for AbbVie Inc, and highlighting in green where the $155.00 strike is located relative to that history: Turning to the calls side of the option chain, the call contract at the $160.00 strike price has a current bid of $21.40. Below is a chart showing ABBV's trailing twelve month trading history, with the $160.00 strike highlighted in red: Considering the fact that the $160.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in AbbVie Inc (Symbol: ABBV) saw new options begin trading today, for the December 2025 expiration. | At Stock Options Channel, our YieldBoost formula has looked up and down the ABBV options chain for the new December 2025 contracts and identified one put and one call contract of particular interest. Below is a chart showing ABBV's trailing twelve month trading history, with the $160.00 strike highlighted in red: Considering the fact that the $160.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in AbbVie Inc (Symbol: ABBV) saw new options begin trading today, for the December 2025 expiration. |
22687.0 | 2023-03-28 00:00:00 UTC | 2 Relatively Safe Dividend Stocks You Won't Regret Owning | ABBV | https://www.nasdaq.com/articles/2-relatively-safe-dividend-stocks-you-wont-regret-owning | nan | nan | Most of us spend a lot of mental energy on trying to avoid bumbling into fresh regrets, especially when it comes to our investments. While there's no ironclad method for picking perfectly safe stocks, thankfully there are a few dividend-paying companies that are a bit less risky than average -- as a result of their history of effective competition and their management's skill at executing their business models.
Both of the stocks I'll review in a moment are likely to keep growing and paying their shareholders for a very long time, and that means you aren't likely to regret making a purchase. So let's dive in.
Image source: Getty Images.
1. AbbVie
When it comes to appealing biopharma dividend stocks that investors can depend on, AbbVie (NYSE: ABBV) is near the top of the list. Thanks to its gargantuan pipeline of more than 80 immunology, oncology, neuroscience, and aesthetics programs, not to mention its dozens of drugs on the market, it has more than enough avenues of growth to keep shareholders happy for years to come. And with its dividend, which presently has a forward yield of 3.8%, holding on to its shares is typically a pleasant ride.
For 2022, AbbVie's net income was over $11.8 billion, and it only paid out around $10 billion in dividends. It's true that its payout ratio is on the high side, at 85%, but there's little chance its dividend will need to get cut anytime soon. The company expects its top-line growth to slow in 2023 and 2024 as a result of eroding market share of its psoriatic arthritis drug Humira because of newly commercialized generic versions from competitors.
But by 2025, management is anticipating annual sales to return to a compound annual growth rate between 7% and 9%. To accomplish that, AbbVie will be ramping up sales of its latest immunology medicines, Rinvoq and Skyrizi, and it'll also be realizing more revenue from its aesthetics portfolio.
In the long term, AbbVie's pipeline will continue to drive growth, and it's planning to start 110 new studies in 2023 alone. Next year, regulators could approve as many as seven new indications for its existing medicines, enabling it to squeeze even more money out of its initial research and development work required for commercialization.
The most important potential regret that AbbVie investors might have stems from its drug pricing practices. Per the newly passed Inflation Reduction Act (IRA), it'll need to pay a fine to Medicare for hiking the price of Humira faster than the pace of inflation. It's unclear how much that fine will be, or whether there will be more legislation seeking to control prices. But if there is, it could cause a few (likely temporary) regrets for shareholders.
2. NextEra Energy
NextEra Energy (NYSE: NEE) is a relatively safe dividend stock because it's one of the world's largest producers of something almost everyone wants more of: renewable energy. With the company inking deals to build and operate more than 8,000 megawatts of capacity via renewables in 2022 alone, and with government subsidies in the IRA slated to slash some of its operating costs for wind and solar sources, this company's future is quite bright. That's not to imply that its past was anything other than great for shareholders, though; in the last five years, the total return of its shares topped 106%.
Its dividend yield near 2.4% won't make shareholders wealthy overnight. But when paired with management's plan to hike the dividend by 10% per year through at least 2024, holding on to its shares for a decade or more will likely result in a massively increased income stream for those who are patient.
And it isn't as though there's much danger of the payout getting cut, either. It paid $3.3 billion in dividends in 2022 from its net income of $4.1 billion, and management is banking on its earnings continuing to grow. Given that it's anticipating building up to 42 gigawatts of new renewable energy and energy storage resources in the next three years alone, it's hard to disagree.
The biggest risk with owning NextEra stock is that the political environment could shift against it and eschew the green transition. That's quite unlikely to happen, but it could still make for a huge regret if it does. On the other hand, new legislation could also easily be a potential tailwind of epic proportions, like the IRA is shaping up to be -- the company estimates it will significantly lower its overall tax burden over the next 15 years.
So don't be too scared of the worst-case scenario as this stock is ready to buy today.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie When it comes to appealing biopharma dividend stocks that investors can depend on, AbbVie (NYSE: ABBV) is near the top of the list. For 2022, AbbVie's net income was over $11.8 billion, and it only paid out around $10 billion in dividends. To accomplish that, AbbVie will be ramping up sales of its latest immunology medicines, Rinvoq and Skyrizi, and it'll also be realizing more revenue from its aesthetics portfolio. | AbbVie When it comes to appealing biopharma dividend stocks that investors can depend on, AbbVie (NYSE: ABBV) is near the top of the list. For 2022, AbbVie's net income was over $11.8 billion, and it only paid out around $10 billion in dividends. To accomplish that, AbbVie will be ramping up sales of its latest immunology medicines, Rinvoq and Skyrizi, and it'll also be realizing more revenue from its aesthetics portfolio. | AbbVie When it comes to appealing biopharma dividend stocks that investors can depend on, AbbVie (NYSE: ABBV) is near the top of the list. For 2022, AbbVie's net income was over $11.8 billion, and it only paid out around $10 billion in dividends. To accomplish that, AbbVie will be ramping up sales of its latest immunology medicines, Rinvoq and Skyrizi, and it'll also be realizing more revenue from its aesthetics portfolio. | AbbVie When it comes to appealing biopharma dividend stocks that investors can depend on, AbbVie (NYSE: ABBV) is near the top of the list. For 2022, AbbVie's net income was over $11.8 billion, and it only paid out around $10 billion in dividends. To accomplish that, AbbVie will be ramping up sales of its latest immunology medicines, Rinvoq and Skyrizi, and it'll also be realizing more revenue from its aesthetics portfolio. |
22688.0 | 2023-03-28 00:00:00 UTC | This Is the Best Dividend ETF You Can Buy | ABBV | https://www.nasdaq.com/articles/this-is-the-best-dividend-etf-you-can-buy | nan | nan | The Schwab U.S. Dividend ETF (NYSEMKT: SCHD) just went through its annual reconstitution, meaning the top positions look different than they did just a few weeks prior. AbbVie (NYSE: ABBV) is now the fund's largest weighted position. SCHD is great because it can offer a solid yield, strong dividend growth, and share appreciation potential.
Check out this short video to learn more, consider subscribing to the channel, and check out the special offer in the link below.
*Stock prices used were end-of-day prices of March 24, 2023. The video was published on March 28, 2023.
10 stocks we like better than Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF
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Mark Roussin, CPA has positions in AbbVie and Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Mark Roussin is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (NYSE: ABBV) is now the fund's largest weighted position. See the 10 stocks *Stock Advisor returns as of March 8, 2023 Mark Roussin, CPA has positions in AbbVie and Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF. The Schwab U.S. Dividend ETF (NYSEMKT: SCHD) just went through its annual reconstitution, meaning the top positions look different than they did just a few weeks prior. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Mark Roussin, CPA has positions in AbbVie and Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF. AbbVie (NYSE: ABBV) is now the fund's largest weighted position. 10 stocks we like better than Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF When our award-winning analyst team has a stock tip, it can pay to listen. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Mark Roussin, CPA has positions in AbbVie and Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF. AbbVie (NYSE: ABBV) is now the fund's largest weighted position. 10 stocks we like better than Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF When our award-winning analyst team has a stock tip, it can pay to listen. | See the 10 stocks *Stock Advisor returns as of March 8, 2023 Mark Roussin, CPA has positions in AbbVie and Schwab Strategic Trust-Schwab U.S. Dividend Equity ETF. AbbVie (NYSE: ABBV) is now the fund's largest weighted position. The Motley Fool has no position in any of the stocks mentioned. |
22689.0 | 2023-03-27 00:00:00 UTC | AbbVie (ABBV) Stock Sinks As Market Gains: What You Should Know | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-stock-sinks-as-market-gains%3A-what-you-should-know-8 | nan | nan | In the latest trading session, AbbVie (ABBV) closed at $157.54, marking a -0.3% move from the previous day. This change lagged the S&P 500's daily gain of 0.17%. Elsewhere, the Dow gained 0.6%, while the tech-heavy Nasdaq added 0.67%.
Heading into today, shares of the drugmaker had gained 3.48% over the past month, outpacing the Medical sector's gain of 0.23% and the S&P 500's gain of 0.25% in that time.
Investors will be hoping for strength from AbbVie as it approaches its next earnings release. The company is expected to report EPS of $2.49, down 21.2% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $12.04 billion, down 11.09% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.97 per share and revenue of $52.33 billion, which would represent changes of -20.33% and -9.86%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for AbbVie. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 has moved 0.2% lower. AbbVie is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, AbbVie is holding a Forward P/E ratio of 14.4. This valuation marks a premium compared to its industry's average Forward P/E of 14.02.
It is also worth noting that ABBV currently has a PEG ratio of 3.6. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.62 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 97, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In the latest trading session, AbbVie (ABBV) closed at $157.54, marking a -0.3% move from the previous day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release. Investors should also note any recent changes to analyst estimates for AbbVie. | Click to get this free report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, AbbVie (ABBV) closed at $157.54, marking a -0.3% move from the previous day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release. | AbbVie is holding a Zacks Rank of #3 (Hold) right now. In the latest trading session, AbbVie (ABBV) closed at $157.54, marking a -0.3% move from the previous day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release. | In the latest trading session, AbbVie (ABBV) closed at $157.54, marking a -0.3% move from the previous day. Investors will be hoping for strength from AbbVie as it approaches its next earnings release. Investors should also note any recent changes to analyst estimates for AbbVie. |
22690.0 | 2023-03-27 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-6 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22691.0 | 2023-03-27 00:00:00 UTC | The Zacks Analyst Blog Highlights Sanofi, Regeneron, AbbVie, Roche and Eli Lilly | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-sanofi-regeneron-abbvie-roche-and-eli-lilly | nan | nan | For Immediate Release
Chicago, IL – March 27, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Sanofi SNY, Regeneron REGN, AbbVie ABBV, Roche RHHBY and Eli Lilly LLY.
Here are highlights from Friday’s Analyst Blog:
Pharma Stock Roundup: Meeting Goals, Receiving CRLs
This week, Sanofi and partner Regeneron’s blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s Parkinson’s disease (PD) therapy, ABBV-951.Roche entered into a deal with Eli Lilly for the development of its blood test for early diagnosis of Alzheimer’s disease.
Recap of the Week’s Most Important Stories
Sanofi’s Dupixent Meets Primary Endpoint in COPD study: The pivotal phase III study, BOREAS, which evaluated Sanofi/Regeneron’s Dupixent for treating COPD, met both its primary and secondary endpoints. Data from the BOREAS study demonstrated that Dupixent led to a clinically meaningful and statistically significant reduction (30%) in exacerbations compared to placebo. In fact, treatment with the drug also led to significant improvement in lung function, quality of life and respiratory symptoms.
Dupixent is currently approved in the United States and EU for five type II inflammatory diseases, namely severe chronic rhinosinusitis with nasal polyposis, severe asthma, moderate-to-severe atopic dermatitis, eosinophilic esophagitis and prurigo nodularis. The promising data from the COPD study opens up a new avenue for growth for this already highly successful medicine.
Sanofi and Regeneron are also evaluating Dupixent in the COPD indication in an ongoing second replicate phase III study (NOTUS). Data from the same is expected next year, following which the companies plan to file for approval.
The European Commission approved Dupixent for treating children six months to five years of age with severe atopic dermatitis, also called eczema, who are candidates for systemic therapy. Dupixent was approved by the FDA for atopic dermatitis in children in this age group in June 2022. In Europe, approximately 80,000 infants and young children have uncontrolled severe atopic dermatitis, which signifies the drug’s significant unmet need for kids under 5 years.
FDA Gives CRL to AbbVie NDA for Parkinson’s Candidate: The FDA issued a complete response letter (CRL) to AbbVie’s new drug application (“NDA”) seeking approval for ABBV-951 for the treatment of motor fluctuations in patients with advanced PD. ABBV-951 is a solution of carbidopa and levodopa prodrugs, which are the standard of care for PD patients. ABBV-951 has been designed to offer continuous subcutaneous delivery of CD/LD prodrugs through a pump device and offer a better patient experience. In the CRL, the FDA has asked for some extra information about the pump device used to administer the medicine. The FDA has not requested any additional efficacy/safety studies.
AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. The primary endpoint of the study was achieving SLE Responder Index (SRI-4) with a steroid dose less than or equal to 10 mg prednisone equivalent once daily at week 24. Based on the phase II positive data, AbbVie is advancing upadacitinib to phase III development for SLE.
AbbVie also announced positive data from a phase III induction study evaluating Skyrizi (risankizumab) to treat moderately to severely active ulcerative colitis. The data showed that a significantly higher proportion of patients, 20.3% treated with risankizumab achieved the primary endpoint of clinical remission compared to 6.2% of patients on placebo at week 12. The study also met all secondary endpoints, including clinical, endoscopic and histologic outcomes. Skyrizi is presently approved for Crohn's disease, psoriatic arthritis and psoriasis.
Roche & Lilly’s Alzheimer’s Collaboration: Roche announced a collaboration with Lilly for the development of Elecsys Amyloid Plasma Panel (EAPP), its blood test for earlier diagnosis of Alzheimer’s disease. The FDA had granted Breakthrough Device Designation to EAPP in July last year. Lilly has donanemab and remternetug in its Alzheimer’s pipeline. In January, the FDA issued a CRL to Lilly’s biologics license application for donanemab for treating early symptomatic Alzheimer's disease.
The NYSE ARCA Pharmaceutical Index declined 1.8% in the last five trading sessions.
In the last five trading sessions, AstraZeneca rose the most (1.9%), while Merck declined the most (2.9%).
In the past six months, AstraZeneca has risen the most (26.9%), while Roche has declined the most (9.5%).
(See the last pharma stock roundup here: M&A Boom in Drug Industry With PFE & SNY Deals, Other Updates)
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. AbbVie also announced positive data from a phase III induction study evaluating Skyrizi (risankizumab) to treat moderately to severely active ulcerative colitis. Stocks recently featured in the blog include: Sanofi SNY, Regeneron REGN, AbbVie ABBV, Roche RHHBY and Eli Lilly LLY. | Here are highlights from Friday’s Analyst Blog: Pharma Stock Roundup: Meeting Goals, Receiving CRLs This week, Sanofi and partner Regeneron’s blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s Parkinson’s disease (PD) therapy, ABBV-951.Roche entered into a deal with Eli Lilly for the development of its blood test for early diagnosis of Alzheimer’s disease. Click to get this free report Regeneron Pharmaceuticals, Inc. (REGN) : Free Stock Analysis Report Sanofi (SNY) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include: Sanofi SNY, Regeneron REGN, AbbVie ABBV, Roche RHHBY and Eli Lilly LLY. | Here are highlights from Friday’s Analyst Blog: Pharma Stock Roundup: Meeting Goals, Receiving CRLs This week, Sanofi and partner Regeneron’s blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s Parkinson’s disease (PD) therapy, ABBV-951.Roche entered into a deal with Eli Lilly for the development of its blood test for early diagnosis of Alzheimer’s disease. Click to get this free report Regeneron Pharmaceuticals, Inc. (REGN) : Free Stock Analysis Report Sanofi (SNY) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include: Sanofi SNY, Regeneron REGN, AbbVie ABBV, Roche RHHBY and Eli Lilly LLY. | Here are highlights from Friday’s Analyst Blog: Pharma Stock Roundup: Meeting Goals, Receiving CRLs This week, Sanofi and partner Regeneron’s blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s Parkinson’s disease (PD) therapy, ABBV-951.Roche entered into a deal with Eli Lilly for the development of its blood test for early diagnosis of Alzheimer’s disease. Stocks recently featured in the blog include: Sanofi SNY, Regeneron REGN, AbbVie ABBV, Roche RHHBY and Eli Lilly LLY. FDA Gives CRL to AbbVie NDA for Parkinson’s Candidate: The FDA issued a complete response letter (CRL) to AbbVie’s new drug application (“NDA”) seeking approval for ABBV-951 for the treatment of motor fluctuations in patients with advanced PD. |
22692.0 | 2023-03-27 00:00:00 UTC | BioNTech Is Ripe For A Rebound In 2023 | ABBV | https://www.nasdaq.com/articles/biontech-is-ripe-for-a-rebound-in-2023 | nan | nan | BioNTech (NASDAQ: BNTX) got a substantial boost from the pandemic and its mRNA vaccine, developed with Pfizer (NYSE: PFE). The stock has seen a substantial correction since then due to slowing COVID sales, but the bottom is in. While COVID sales have slowed, this company is not dependent on COVID for its bread and butter and is set up for a rebound in 2023. Not only does it have a growing pipeline of drugs and candidates in the pipeline advancing toward approval, but there are factors in play that make it a potential takeover target in 2023.
BioNTech Is A Takeover Target In 2023
The stock is trading at a ridiculously low valuation for a significant biopharma company, about 9X its 2023 consensus EPS target, which is several multiples below the group average. This is a value for investors and potentially attractive for a larger biotechnology company looking to grow, but there is more. Major pharma companies are approaching a patent cliff that will shave billions off their top lines. AbbVie (NYE: ABBV) and Merck (NYSE: MRK) are already struggling with biosimilar compounds competing with Humira and Januvia, and others, like Bristol-Meyers Squibb (NYSE: BMY)/Pfizer’s Eliquis and Merck’s Keytruda, are fast approaching theirs.
BioNTech’s Q4 earnings release included an update to the pipeline, making it an attractive candidate for larger pharma companies approaching their patent cliffs. The company expanded its advanced oncology pipeline to 20 programs, including 24 trials. There are at least 5 candidates in phase 2 trials and several in phase 1 trials with potential registration dates in late 2023 or early 2024. The pipeline also includes phase 1 trials for 4 mRNA vaccine candidates.
“We made significant progress in 2022 by advancing our pipeline and launching the world’s first Omicron BA.4/BA.5 adapted bivalent COVID-19 vaccine. In addition, multiple new modalities achieved encouraging clinical data and we progressed nine new programs into clinical trials,” said Prof. Ugur Sahin, M.D., CEO and Co-Founder of BioNTech.
Pfizer is an obvious choice. Pfizer has 2 blockbusters in the top 10 list of drugs exposed to patent expiration. These drugs account for nearly $10 billion in revenue for Pfizer and its partner (in Eliquis) Bristol-Myers Squibb, a double-digit figure relative to their gross revenue. The caveat is that Pfizer and Bristol-Myers both have robust pipelines of their own and may not need to buy patents to drive sales. Pfizer has more than 100 trials, with 34 in phase 1.
BioNTech Has a Robust Quarter
BioNTech had a robust quarter driven by substantial revenues from COVID and the newer Omicron-specific vaccine. The bad news is the company reported a 22% decline in revenue, but the expectations offset that. The revenue fell but beat the Marketbeat.com consensus by 1080 basis points, and there was also notable margin strength. The company reported €9.26 in EPS, also down YOY but 2000 bps ahead of the consensus due to top-line strength, leverage, and a decline in SG&A expenses.
Marketbeat.com’s analysts' tracking tools haven’t picked up any post-release commentary, but the trend going into the report is promising. The price target has been falling, offset by the expectation of a 60% upside and firming sentiment. The price target is trending lower, but the sentiment is trending higher and a Moderate Buy compared to last year’s hold. If not set up for a reversal, this combination has the stock price bottoming.
The price action is down following the Q4 release, but at a critical support level, so it may not move lower. The stock price will probably continue to move sideways within its range in this scenario. If not, this stock may move to a new low that would open up an even deeper value.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (NYE: ABBV) and Merck (NYSE: MRK) are already struggling with biosimilar compounds competing with Humira and Januvia, and others, like Bristol-Meyers Squibb (NYSE: BMY)/Pfizer’s Eliquis and Merck’s Keytruda, are fast approaching theirs. BioNTech (NASDAQ: BNTX) got a substantial boost from the pandemic and its mRNA vaccine, developed with Pfizer (NYSE: PFE). BioNTech’s Q4 earnings release included an update to the pipeline, making it an attractive candidate for larger pharma companies approaching their patent cliffs. | AbbVie (NYE: ABBV) and Merck (NYSE: MRK) are already struggling with biosimilar compounds competing with Humira and Januvia, and others, like Bristol-Meyers Squibb (NYSE: BMY)/Pfizer’s Eliquis and Merck’s Keytruda, are fast approaching theirs. BioNTech’s Q4 earnings release included an update to the pipeline, making it an attractive candidate for larger pharma companies approaching their patent cliffs. The pipeline also includes phase 1 trials for 4 mRNA vaccine candidates. | AbbVie (NYE: ABBV) and Merck (NYSE: MRK) are already struggling with biosimilar compounds competing with Humira and Januvia, and others, like Bristol-Meyers Squibb (NYSE: BMY)/Pfizer’s Eliquis and Merck’s Keytruda, are fast approaching theirs. BioNTech Is A Takeover Target In 2023 The stock is trading at a ridiculously low valuation for a significant biopharma company, about 9X its 2023 consensus EPS target, which is several multiples below the group average. BioNTech’s Q4 earnings release included an update to the pipeline, making it an attractive candidate for larger pharma companies approaching their patent cliffs. | AbbVie (NYE: ABBV) and Merck (NYSE: MRK) are already struggling with biosimilar compounds competing with Humira and Januvia, and others, like Bristol-Meyers Squibb (NYSE: BMY)/Pfizer’s Eliquis and Merck’s Keytruda, are fast approaching theirs. Not only does it have a growing pipeline of drugs and candidates in the pipeline advancing toward approval, but there are factors in play that make it a potential takeover target in 2023. The company expanded its advanced oncology pipeline to 20 programs, including 24 trials. |
22693.0 | 2023-03-27 00:00:00 UTC | Amgen-Sanofi patent case divides makers of antibody drugs | ABBV | https://www.nasdaq.com/articles/amgen-sanofi-patent-case-divides-makers-of-antibody-drugs | nan | nan | By Patrick Wingrove
March 27 (Reuters) - Amgen Inc's AMGN.O battle with Sanofi SASY.PA and Regeneron REGN.O at the U.S. Supreme Court over its cholesterol drug Repatha on Monday has some drugmakers hoping a ruling will reshape U.S. patent law and competition among companies that make antibody medicines.
In the dispute with Sanofi and partner Regeneron, whose cholesterol-lowering monoclonal antibody drug Praluent works in a similar way as Repatha, Amgen wants the court to rule on how much information it and others need to disclose when describing inventions in patents.
The court has been asked to weigh in on the validity of two patents for Repatha, which garnered sales of $1.5 billion in 2022 for Amgen, to determine whether Praluent infringes them.
The Supreme Court could maintain the legal status quo with its decision – expected by the end of June – which would keep the antibodies market open to numerous players. It could also decide to make it easier for drug companies to muscle competitors out of some market areas with broad patents that cover more ground.
Market research consultant Global Market Insights said the monoclonal antibodies market, which includes big-selling treatments for cancer, high cholesterol, COVID-19 and many other conditions, was worth $181 billion in 2021.
Under U.S. patent law, drug companies can get 20 years of market exclusivity for publishing their inventions, but must describe them clearly enough so skilled people can copy and use them without too much trial and error. Companies that describe inventions too broadly run the risk of having their patents canceled.
Amgen, supported at the Supreme Court by AbbVie ABBV.N, Bristol Myers Squibb BMY.N and GSK GSK.L, wants the high court to rule that it can use “genus claims,” which describe a set of characteristics or features common to a group, to describe what Repatha does in broad language.
If successful, Amgen would claim ownership of all antibodies that inhibit the PCSK9 protein, the mechanism of action for both Repatha and Praluent. Other companies could then do the same with their own antibody treatments in other disease areas.
Sanofi and Regeneron, backed by Johnson & Johnson JNJ.N, Pfizer PFE.N, Eli Lilly < LLY.N> and at least six other companies, have argued that broad patent protection like Amgen is seeking is not allowed by U.S. patent law.
Patent lawyer Irena Royzman of Kramer Levin said the companies taking Sanofi and Regeneron’s side are doing so because a win would allow them to keep bringing competitive drugs to market more easily.
“The J&Js, Eli Lillys and Pfizers recognize that if a particular company controls an entire therapeutic target, we’re all the poorer for it,” Royzman said.
The case might also affect newer technologies used in medicine, such as CRISPR gene editing and messenger RNA, she said.
Amgen's side says if forced to only claim the structural components of their drugs in patents, competitors could easily design around them, disincentivizing investment in monoclonal antibodies.
Baird analyst Brian Skorney said the immediate financial impact of the decision is limited to the companies involved, although it could give some an advantage in future litigation.
Regeneron made $130 million from Praluent in the U.S. last year, and Sanofi collected $400 million in the rest of the world.
U.S. courts have so far sided with Sanofi. A Washington, D.C.-based federal appeals court that covers U.S. patent cases invalidated Amgen's patent claiming ownership of all PCSK9 inhibitors as a whole in 2021.
Amgen sued Sanofi and Regeneron in 2014. Both drugs use lab-made antibodies to block PCSK9 proteins that inhibit removal of bad LDL cholesterol from the blood, but they achieve that result through different chemical combinations.
U.S. Supreme Court mulls Amgen bid to revive cholesterol drug patents
(Reporting by Patrick Wingrove Editing by Caroline Humer and Bill Berkrot)
((Patrick.Wingrove@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Amgen, supported at the Supreme Court by AbbVie ABBV.N, Bristol Myers Squibb BMY.N and GSK GSK.L, wants the high court to rule that it can use “genus claims,” which describe a set of characteristics or features common to a group, to describe what Repatha does in broad language. By Patrick Wingrove March 27 (Reuters) - Amgen Inc's AMGN.O battle with Sanofi SASY.PA and Regeneron REGN.O at the U.S. Supreme Court over its cholesterol drug Repatha on Monday has some drugmakers hoping a ruling will reshape U.S. patent law and competition among companies that make antibody medicines. In the dispute with Sanofi and partner Regeneron, whose cholesterol-lowering monoclonal antibody drug Praluent works in a similar way as Repatha, Amgen wants the court to rule on how much information it and others need to disclose when describing inventions in patents. | Amgen, supported at the Supreme Court by AbbVie ABBV.N, Bristol Myers Squibb BMY.N and GSK GSK.L, wants the high court to rule that it can use “genus claims,” which describe a set of characteristics or features common to a group, to describe what Repatha does in broad language. By Patrick Wingrove March 27 (Reuters) - Amgen Inc's AMGN.O battle with Sanofi SASY.PA and Regeneron REGN.O at the U.S. Supreme Court over its cholesterol drug Repatha on Monday has some drugmakers hoping a ruling will reshape U.S. patent law and competition among companies that make antibody medicines. A Washington, D.C.-based federal appeals court that covers U.S. patent cases invalidated Amgen's patent claiming ownership of all PCSK9 inhibitors as a whole in 2021. | Amgen, supported at the Supreme Court by AbbVie ABBV.N, Bristol Myers Squibb BMY.N and GSK GSK.L, wants the high court to rule that it can use “genus claims,” which describe a set of characteristics or features common to a group, to describe what Repatha does in broad language. By Patrick Wingrove March 27 (Reuters) - Amgen Inc's AMGN.O battle with Sanofi SASY.PA and Regeneron REGN.O at the U.S. Supreme Court over its cholesterol drug Repatha on Monday has some drugmakers hoping a ruling will reshape U.S. patent law and competition among companies that make antibody medicines. In the dispute with Sanofi and partner Regeneron, whose cholesterol-lowering monoclonal antibody drug Praluent works in a similar way as Repatha, Amgen wants the court to rule on how much information it and others need to disclose when describing inventions in patents. | Amgen, supported at the Supreme Court by AbbVie ABBV.N, Bristol Myers Squibb BMY.N and GSK GSK.L, wants the high court to rule that it can use “genus claims,” which describe a set of characteristics or features common to a group, to describe what Repatha does in broad language. In the dispute with Sanofi and partner Regeneron, whose cholesterol-lowering monoclonal antibody drug Praluent works in a similar way as Repatha, Amgen wants the court to rule on how much information it and others need to disclose when describing inventions in patents. If successful, Amgen would claim ownership of all antibodies that inhibit the PCSK9 protein, the mechanism of action for both Repatha and Praluent. |
22694.0 | 2023-03-25 00:00:00 UTC | Better Buy: AbbVie vs. Johnson & Johnson | ABBV | https://www.nasdaq.com/articles/better-buy%3A-abbvie-vs.-johnson-johnson | nan | nan | AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) did something many other stocks didn't last year. They outperformed the S&P 500 index.
These pharmaceutical giants defied the bear market as investors favored the safety of healthcare. After all, even in a difficult economy, people generally still need their medications. And this means healthcare companies may hold up better than others.
This year, though, AbbVie and J&J aren't off to a strong start. They've both declined. But this might be a buying opportunity. After all, these stocks offer a track record of earnings growth and dividend increases.
Which makes the better buy right now? Let's find out.
The case for AbbVie
I've got some good news and some bad news about AbbVie. We'll start with the bad first. The company's mega-blockbuster immunology drug, Humira, recently started facing competition in the U.S. And AbbVie predicts that this will result in a 37% decline in the drug's sales this year. This is key because AbbVie brought in more than $20 billion in revenue at its peak in 2021.
Now let's move on to the good news. AbbVie's two newer immunology drugs -- Rinvoq and Skyrizi -- are on their way to compensating for Humira's loss. The two already are blockbusters, generating billions in annual revenue.
The company predicts that, together, they'll deliver $17.5 billion in revenue in 2025. And in 2027, they should bring in a total of more than $21 billion in revenue. That means they'll actually surpass Humira.
AbbVie also has a portfolio of other blockbusters across treatment areas, from neuroscience to aesthetics. And the company has many potential products in the pipeline, too. These should drive growth over time. In fact, AbbVie is set to dominate the prescription-drug market by 2026, with a 4.2% share, according to Evaluate.
Investors can count on AbbVie for dividend growth, too. It's lifted its quarterly dividend by more than 270% since its beginnings. And today, the company delivers a dividend yield of 3.79%, higher than the industry average.
The case for Johnson & Johnson
J&J is heading for a big transition this year, and one that could help this pharmaceutical giant grow earnings. The company plans on spinning off its consumer health business into a separate entity called Kenvue later in 2023.
Consumer health owns many products we're familiar with -- like Band-Aid brand bandages and Tylenol. But this business is weighing on overall growth at J&J.
The company's two other businesses -- pharmaceuticals and medtech -- reported revenue growth of more than 6% last year. That's as consumer health reported a revenue increase of 3.9% for the year.
Without consumer health, J&J's growth should benefit. At the same time, J&J is investing in growth, too. It completed the acquisition of heart-pump specialist Abiomed in December. Abiomed grew profit over 18 years.
J&J expects the deal to boost the revenue of its medtech business, even adding to adjusted earnings by next year. The Abiomed purchase gives J&J 12 medtech platforms with more than $1 billion in yearly sales.
J&J brought in more than $94 billion in sales in 2022. And the company has more than 100 candidates in the pipeline to keep growth going -- even as it loses exclusivity later this year for blockbuster immunology drug Stelara.
Like AbbVie, J&J is a top dividend stock. As a Dividend King, it's lifted its dividend for more than 50 years.
AbbVie or J&J?
Both of these stocks sound like great buys today, considering their prospects. And the price is right, too. They each trade at around 14 times forward earnings estimates.
But if I could only choose one of these pharma giants to buy right now, I'd go for J&J, and here's why. J&J is heading for a positive move that should support growth -- the spinoff of the consumer health business. And it's right around the corner.
Meanwhile, AbbVie may face some pressure this year as Humira sales fall. Blockbusters do eventually lose patent protection, but considering the number of sales Humira generates, the loss is pretty big. Yes, other drugs will take over and boost growth over the long term. But AbbVie shares may stagnate a bit during this transition.
All of this means, while both stocks are solid long-term buys, J&J may be the one to scoop up first.
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) did something many other stocks didn't last year. This year, though, AbbVie and J&J aren't off to a strong start. The case for AbbVie I've got some good news and some bad news about AbbVie. | The company's mega-blockbuster immunology drug, Humira, recently started facing competition in the U.S. And AbbVie predicts that this will result in a 37% decline in the drug's sales this year. AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) did something many other stocks didn't last year. This year, though, AbbVie and J&J aren't off to a strong start. | AbbVie (NYSE: ABBV) and Johnson & Johnson (NYSE: JNJ) did something many other stocks didn't last year. The company's mega-blockbuster immunology drug, Humira, recently started facing competition in the U.S. And AbbVie predicts that this will result in a 37% decline in the drug's sales this year. This year, though, AbbVie and J&J aren't off to a strong start. | The company's mega-blockbuster immunology drug, Humira, recently started facing competition in the U.S. And AbbVie predicts that this will result in a 37% decline in the drug's sales this year. AbbVie or J&J? * They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! |
22695.0 | 2023-03-24 00:00:00 UTC | Guru Fundamental Report for ABBV | ABBV | https://www.nasdaq.com/articles/guru-fundamental-report-for-abbv-5 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
22696.0 | 2023-03-24 00:00:00 UTC | Pharma Stock Roundup: SNY's COPD Study Meets Goal, ABBV Parkinson's Drug Gets CRL | ABBV | https://www.nasdaq.com/articles/pharma-stock-roundup%3A-snys-copd-study-meets-goal-abbv-parkinsons-drug-gets-crl | nan | nan | This week, Sanofi SNY and partner Regeneron’s REGN blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s ABBV Parkinson’s disease (PD) therapy, ABBV-951. Roche RHHBY entered into a deal with Eli Lilly LLY for the development of its blood test for early diagnosis of Alzheimer’s disease.
Recap of the Week’s Most Important Stories
Sanofi’s Dupixent Meets Primary Endpoint in COPD study: The pivotal phase III study, BOREAS, which evaluated Sanofi/Regeneron’s Dupixent for treating COPD, met both its primary and secondary endpoints. Data from the BOREAS study demonstrated that Dupixent led to a clinically meaningful and statistically significant reduction (30%) in exacerbations compared to placebo. In fact, treatment with the drug also led to significant improvement in lung function, quality of life and respiratory symptoms.
Dupixent is currently approved in the United States and EU for five type II inflammatory diseases, namely severe chronic rhinosinusitis with nasal polyposis, severe asthma, moderate-to-severe atopic dermatitis, eosinophilic esophagitis and prurigo nodularis. The promising data from the COPD study opens up a new avenue for growth for this already highly successful medicine.
Sanofi and Regeneron are also evaluating Dupixent in the COPD indication in an ongoing second replicate phase III study (NOTUS). Data from the same is expected next year, following which the companies plan to file for approval.
The European Commission approved Dupixent for treating children six months to five years of age with severe atopic dermatitis, also called eczema, who are candidates for systemic therapy. Dupixent was approved by the FDA for atopic dermatitis in children in this age group in June 2022. In Europe, approximately 80,000 infants and young children have uncontrolled severe atopic dermatitis, which signifies the drug’s significant unmet need for kids under 5 years.
FDA Gives CRL to AbbVie NDA for Parkinson’s Candidate: The FDA issued a complete response letter (CRL) to AbbVie’s new drug application (“NDA”) seeking approval for ABBV-951 for the treatment of motor fluctuations in patients with advanced PD. ABBV-951 is a solution of carbidopa and levodopa prodrugs, which are the standard of care for PD patients. ABBV-951 has been designed to offer continuous subcutaneous delivery of CD/LD prodrugs through a pump device and offer a better patient experience. In the CRL, the FDA has asked for some extra information about the pump device used to administer the medicine. The FDA has not requested any additional efficacy/safety studies.
AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. The primary endpoint of the study was achieving SLE Responder Index (SRI-4) with a steroid dose less than or equal to 10 mg prednisone equivalent once daily at week 24. Based on the phase II positive data, AbbVie is advancing upadacitinib to phase III development for SLE.
AbbVie also announced positive data from a phase III induction study evaluating Skyrizi (risankizumab) to treat moderately to severely active ulcerative colitis. The data showed that a significantly higher proportion of patients, 20.3% treated with risankizumab achieved the primary endpoint of clinical remission compared to 6.2% of patients on placebo at week 12. The study also met all secondary endpoints, including clinical, endoscopic and histologic outcomes. Skyrizi is presently approved for Crohn's disease, psoriatic arthritis and psoriasis.
Roche & Lilly’s Alzheimer’s Collaboration: Roche announced a collaboration with Lilly for the development of Elecsys Amyloid Plasma Panel (EAPP), its blood test for earlier diagnosis of Alzheimer’s disease. The FDA had granted Breakthrough Device Designation to EAPP in July last year. Lilly has donanemab and remternetug in its Alzheimer’s pipeline. In January, the FDA issued a CRL to Lilly’s biologics license application for donanemab for treating early symptomatic Alzheimer's disease.
The NYSE ARCA Pharmaceutical Index declined 1.8% in the last five trading sessions.
Large Cap Pharmaceuticals Industry 5YR % Return
Large Cap Pharmaceuticals Industry 5YR % Return
Here’s how the eight major stocks performed in the last five trading sessions.
Image Source: Zacks Investment Research
In the last five trading sessions, AstraZeneca rose the most (1.9%), while Merck declined the most (2.9%).
In the past six months, AstraZeneca has risen the most (26.9%), while Roche has declined the most (9.5%).
(See the last pharma stock roundup here: M&A Boom in Drug Industry With PFE & SNY Deals, Other Updates)
What's Next in the Pharma World?
Watch out for regular pipeline and regulatory updates next week.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. AbbVie also announced positive data from a phase III induction study evaluating Skyrizi (risankizumab) to treat moderately to severely active ulcerative colitis. This week, Sanofi SNY and partner Regeneron’s REGN blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s ABBV Parkinson’s disease (PD) therapy, ABBV-951. | AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. Click to get this free report Regeneron Pharmaceuticals, Inc. (REGN) : Free Stock Analysis Report Sanofi (SNY) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. This week, Sanofi SNY and partner Regeneron’s REGN blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s ABBV Parkinson’s disease (PD) therapy, ABBV-951. | This week, Sanofi SNY and partner Regeneron’s REGN blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s ABBV Parkinson’s disease (PD) therapy, ABBV-951. Click to get this free report Regeneron Pharmaceuticals, Inc. (REGN) : Free Stock Analysis Report Sanofi (SNY) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. FDA Gives CRL to AbbVie NDA for Parkinson’s Candidate: The FDA issued a complete response letter (CRL) to AbbVie’s new drug application (“NDA”) seeking approval for ABBV-951 for the treatment of motor fluctuations in patients with advanced PD. | AbbVie’s phase II study evaluating Rinvoq (upadacitinib) for patients with moderately to severely active systemic lupus erythematosus (SLE) met the primary endpoint in the 30 mg group. This week, Sanofi SNY and partner Regeneron’s REGN blockbuster medicine, Dupixent succeeded in a pivotal study for yet another new indication, chronic obstructive pulmonary disease (COPD).The FDA declined to approve AbbVie’s ABBV Parkinson’s disease (PD) therapy, ABBV-951. FDA Gives CRL to AbbVie NDA for Parkinson’s Candidate: The FDA issued a complete response letter (CRL) to AbbVie’s new drug application (“NDA”) seeking approval for ABBV-951 for the treatment of motor fluctuations in patients with advanced PD. |
22697.0 | 2023-03-24 00:00:00 UTC | 3 Simple Ways to Supercharge Your Biopharma Investing Using Artificial Intelligence | ABBV | https://www.nasdaq.com/articles/3-simple-ways-to-supercharge-your-biopharma-investing-using-artificial-intelligence | nan | nan | If you're not using artificial intelligence (AI) in your investing process, you're missing out on something that could empower your decision-making unlike anything ever before. Biotech and pharma investing is quite complex, and AI is a great way to slash through the complexity to make it more understandable. And you don't need to know anything about programming a computer or similar issues to get started, either.
All you need is a willingness to experiment and a few leads that'll inform you about what's possible. So here are three ideas for how you can use the AI tools of today to be a better biopharma investor.
Image source: Getty Images.
1. Generate investing ideas based on your preferences
One of the easiest ways to use AI in your investing process is to use it for generating ideas that are tailored to your preferences.
For example, let's say you want to invest in some kind of pre-revenue gene-editing stock because you think it'll be a huge area moving forward, and you are OK with some uncertainty, but you don't want to take a big risk by investing in a super early-stage biotech that might fail to commercialize a new medicine and wipe out. Simply ask the AI system like OpenAI's ChatGPT or Microsoft's Bing for a few ideas given what you're looking for and why, and you'll have a list of companies that'll probably contain ones like CRISPR Therapeutics (NASDAQ: CRSP) as it's on the cusp of seeking regulatory approval for a pair of its programs.
The point isn't to then go and immediately invest in whatever options the AI suggests, though. The idea is to use its output as a starting point for your own research process, which you can then also augment with its help. In the case of a recommendation like CRISPR Therapeutics, the next step would be to confirm that the AI's interpretation of your risk profile and the company's focus is accurate, as AIs aren't yet infallible on matters of fact nor on matters of interpretation. Heading over to the biotech's website to look at its pipeline and investor materials is a good place to start.
2. Explain complicated scientific concepts in simple language and learn how they relate to competitive factors
Perhaps the most powerful and most useful way to implement AI in your biopharma investing is to ask it to explain economically relevant scientific topics that you don't understand, like how a company's technology platform or its therapy is supposed to work and why it's better than what came before in terms of its efficacy or cost characteristics. The BioGPT model that's out now is designed especially for this purpose, but many of the others can do it competently too.
In other words, you don't need to squint at AbbVie's explanations of how its biologic therapies for ankylosing spondylitis work and whether that matters in its long-running competitive showdown with the generic biologics for the condition that are made by Merck and others. You can just ask the AI to explain it to you like you're five years old, and in a few short moments, you'll have a basic understanding of what ankylosing spondylitis is, what AbbVie's drug does, and which factors matter to determine the competitive outlook. Then, you can work on clarifying your remaining points of confusion by asking follow-up questions or by conducting further research yourself.
Note that the AI systems of today aren't universal answer machines, even if they might feel like it sometimes. The biggest value-add is helping you to understand the gist of complex situations that are relevant to your investing thesis. The computer might get the details of an analysis wrong, so don't rely on them for the heavy lifting of your research process -- use them for getting your foot in the door with complicated concepts that you'd otherwise be too intimidated to approach. Even the creators of specialized models like BioGPT estimate that it only answers scientific questions accurately in around 81% of cases, which isn't good enough to make definitive investing decisions on, at least not without doing some work to confirm the findings.
3. Compare and contrast programs, markets, and regulatory designations
Another powerful way to use AI with biopharma investing is to understand the intersection of a company's programs with its target markets and the regulatory environment, not to mention the multidimensional impact of more complicated factors like regulatory designations.
Let's say a biotech business you're interested in, got a fast-track designation from the Food and Drug Administration (FDA), and its competitor in Europe got a similar-sounding designation from the European Medicines Agency (EMA). Normally, it'd take a tremendous amount of research to figure out which company would have the best chance of making it to the market with their candidate first, as you'd need to compare when they submitted their clinical data to regulators, the average timelines for approval for their target indications within each regulatory regime, and about two dozen other important factors.
You'll still need to do a lot of that diligence, but at a minimum, with a query to the AI, you'll be able to immediately understand which elements could be problematic, like if regulators in one jurisdiction had recently been more skeptical toward certain types of therapies than regulators in the other jurisdiction. Or, perhaps more importantly, if the two similar-sounding designations actually imply different levels of regulatory commitment to faster development times.
Remember, you don't need to take the AI's word as truth, but if you aren't trying to learn how to get such a system to work for you right now, there's a good chance that you'll be missing out on a lot of value that's currently being given away for free.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In other words, you don't need to squint at AbbVie's explanations of how its biologic therapies for ankylosing spondylitis work and whether that matters in its long-running competitive showdown with the generic biologics for the condition that are made by Merck and others. You can just ask the AI to explain it to you like you're five years old, and in a few short moments, you'll have a basic understanding of what ankylosing spondylitis is, what AbbVie's drug does, and which factors matter to determine the competitive outlook. Simply ask the AI system like OpenAI's ChatGPT or Microsoft's Bing for a few ideas given what you're looking for and why, and you'll have a list of companies that'll probably contain ones like CRISPR Therapeutics (NASDAQ: CRSP) as it's on the cusp of seeking regulatory approval for a pair of its programs. | In other words, you don't need to squint at AbbVie's explanations of how its biologic therapies for ankylosing spondylitis work and whether that matters in its long-running competitive showdown with the generic biologics for the condition that are made by Merck and others. You can just ask the AI to explain it to you like you're five years old, and in a few short moments, you'll have a basic understanding of what ankylosing spondylitis is, what AbbVie's drug does, and which factors matter to determine the competitive outlook. Even the creators of specialized models like BioGPT estimate that it only answers scientific questions accurately in around 81% of cases, which isn't good enough to make definitive investing decisions on, at least not without doing some work to confirm the findings. | In other words, you don't need to squint at AbbVie's explanations of how its biologic therapies for ankylosing spondylitis work and whether that matters in its long-running competitive showdown with the generic biologics for the condition that are made by Merck and others. You can just ask the AI to explain it to you like you're five years old, and in a few short moments, you'll have a basic understanding of what ankylosing spondylitis is, what AbbVie's drug does, and which factors matter to determine the competitive outlook. In the case of a recommendation like CRISPR Therapeutics, the next step would be to confirm that the AI's interpretation of your risk profile and the company's focus is accurate, as AIs aren't yet infallible on matters of fact nor on matters of interpretation. | In other words, you don't need to squint at AbbVie's explanations of how its biologic therapies for ankylosing spondylitis work and whether that matters in its long-running competitive showdown with the generic biologics for the condition that are made by Merck and others. You can just ask the AI to explain it to you like you're five years old, and in a few short moments, you'll have a basic understanding of what ankylosing spondylitis is, what AbbVie's drug does, and which factors matter to determine the competitive outlook. The idea is to use its output as a starting point for your own research process, which you can then also augment with its help. |
22698.0 | 2023-03-24 00:00:00 UTC | Notable Friday Option Activity: CBL, ABBV, ISRG | ABBV | https://www.nasdaq.com/articles/notable-friday-option-activity%3A-cbl-abbv-isrg | nan | nan | Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in CBL & Associates Properties Inc (Symbol: CBL), where a total volume of 1,070 contracts has been traded thus far today, a contract volume which is representative of approximately 107,000 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 59.6% of CBL's average daily trading volume over the past month, of 179,450 shares. Particularly high volume was seen for the $25 strike put option expiring April 21, 2023, with 500 contracts trading so far today, representing approximately 50,000 underlying shares of CBL. Below is a chart showing CBL's trailing twelve month trading history, with the $25 strike highlighted in orange:
AbbVie Inc (Symbol: ABBV) options are showing a volume of 42,121 contracts thus far today. That number of contracts represents approximately 4.2 million underlying shares, working out to a sizeable 56.4% of ABBV's average daily trading volume over the past month, of 7.5 million shares. Especially high volume was seen for the $162.50 strike call option expiring March 31, 2023, with 13,571 contracts trading so far today, representing approximately 1.4 million underlying shares of ABBV. Below is a chart showing ABBV's trailing twelve month trading history, with the $162.50 strike highlighted in orange:
And Intuitive Surgical Inc (Symbol: ISRG) options are showing a volume of 8,050 contracts thus far today. That number of contracts represents approximately 805,000 underlying shares, working out to a sizeable 54.3% of ISRG's average daily trading volume over the past month, of 1.5 million shares. Especially high volume was seen for the $260 strike call option expiring March 31, 2023, with 688 contracts trading so far today, representing approximately 68,800 underlying shares of ISRG. Below is a chart showing ISRG's trailing twelve month trading history, with the $260 strike highlighted in orange:
For the various different available expirations for CBL options, ABBV options, or ISRG options, visit StockOptionsChannel.com.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Especially high volume was seen for the $162.50 strike call option expiring March 31, 2023, with 13,571 contracts trading so far today, representing approximately 1.4 million underlying shares of ABBV. Below is a chart showing CBL's trailing twelve month trading history, with the $25 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 42,121 contracts thus far today. That number of contracts represents approximately 4.2 million underlying shares, working out to a sizeable 56.4% of ABBV's average daily trading volume over the past month, of 7.5 million shares. | Below is a chart showing CBL's trailing twelve month trading history, with the $25 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 42,121 contracts thus far today. That number of contracts represents approximately 4.2 million underlying shares, working out to a sizeable 56.4% of ABBV's average daily trading volume over the past month, of 7.5 million shares. Especially high volume was seen for the $162.50 strike call option expiring March 31, 2023, with 13,571 contracts trading so far today, representing approximately 1.4 million underlying shares of ABBV. | That number of contracts represents approximately 4.2 million underlying shares, working out to a sizeable 56.4% of ABBV's average daily trading volume over the past month, of 7.5 million shares. Especially high volume was seen for the $162.50 strike call option expiring March 31, 2023, with 13,571 contracts trading so far today, representing approximately 1.4 million underlying shares of ABBV. Below is a chart showing CBL's trailing twelve month trading history, with the $25 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 42,121 contracts thus far today. | Especially high volume was seen for the $162.50 strike call option expiring March 31, 2023, with 13,571 contracts trading so far today, representing approximately 1.4 million underlying shares of ABBV. Below is a chart showing ISRG's trailing twelve month trading history, with the $260 strike highlighted in orange: For the various different available expirations for CBL options, ABBV options, or ISRG options, visit StockOptionsChannel.com. Below is a chart showing CBL's trailing twelve month trading history, with the $25 strike highlighted in orange: AbbVie Inc (Symbol: ABBV) options are showing a volume of 42,121 contracts thus far today. |
22699.0 | 2023-03-24 00:00:00 UTC | AbbVie (ABBV) Provides Clinical Updates on Inflammatory Drugs | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-provides-clinical-updates-on-inflammatory-drugs | nan | nan | AbbVie ABBV announced multiple clinical updates pertaining to clinical studies evaluating its blockbuster drugs Skyrizi and Rinvoq for expanded use.
Management announced topline data from the phase III INSPIRE study, which evaluated Skyrizi (risankizumab) as an induction therapy in adult patients with moderately to severely active ulcerative colitis (UC). The study met all its primary and secondary endpoints.
Data from the INSPIRE study showed that treatment with an intravenous 1200mg dose of Skyrizi achieved the primary endpoint of clinical remission at week 12. The data showed that a significantly higher proportion of patients, 20.3% treated with risankizumab achieved the primary endpoint of clinical remission compared to 6.2% of patients on placebo at week 12.
Study participants who were administered Skyrizi also achieved endoscopic and histologic-endoscopic mucosal improvement at week 12, which were also the study’s secondary endpoints. The drug’s safety profile was also consistent with that observed in previous studies in other indications.
In a separate press release, AbbVie also reported positive topline data from a phase II study (SLEek) which evaluated Rinvoq (upadacitinib), alone as well as combined with BTK inhibitor elsubrutinib, in patients with moderately to severely active systemic lupus erythematosus (SLE).
Data from the SLEek study showed that treatment with a 30mg dose of Rinvoq achieved the primary endpoint of the SLE Responder Index (SRI-4) and steroid dose less than or equal to 10 mg prednisone equivalent once per day at week 24. The drug’s safety profile was also consistent with that observed in previously-conducted studies in other indications. Based on these results, AbbVie is advancing Rinvoq in SLE to phase III development.
Currently, Skyrizi is approved for three indications – plaque psoriasis, psoriatic arthritis (PsA) and Crohn’s disease. Skyrizi, on the other hand, is approved for rheumatoid arthritis (RA), PsA, UC, ankylosing spondylitis (AS) and eczema indications.
In the year so far, shares of AbbVie have declined 3.9% compared to the industry’s 7.6% fall.
Image Source: Zacks Investment Research
Skyrizi and Rinvoq demonstrated differentiated clinical profiles compared to Humira and are already contributing meaningful revenues, including $7.7 billion in combined sales in 2022. AbbVie is focused on strengthening its focus on new immunology medicines, Skyrizi and Rinvoq, to lessen its dependence on Humira, a major topline driver for AbbVie, which recently lost exclusivity in the United States.
Over the years, AbbVie’s Humira sales have been steadily declining due to biosimilars eroding the ex-U.S. sales of the drug. Humira’s international sales are already eroding due to the launch of several direct biosimilar drugs in Europe by other pharma companies, including Amgen AMGN, Novartis’ NVS Sandoz division and Biogen BIIB. Companies like Amgen, Novartis and Biogen were the first to start commercializing a Humira-biosimilar in Europe in 2018.
Earlier this January, Amgen announced the launch of the first Humira biosimilar in the United States. The biosimilar is being marketed by Amgen under the trade name Amjevita. Like Amgen, several other companies like Biogen, Boehringer Ingelheim and Pfizer have also received FDA approvals for their own Humira biosimilars, many of which are expected to be launched at various times this year per agreements with AbbVie. Earlier this week, Novartis (through its Sandoz division) announced that the FDA had approved its Humira biosimilar, which will be marketed under the trade name Hyrimoz. The Novartis division intends to market the drug in the United States from July 1, 2023.
With many new indications coming in the next couple of years, AbbVie expects sales of Skyrizi and Rinvoq to be higher and potentially replace Humira. Skyrizi and Rinvoq are expected to collectively exceed the peak revenues achieved by Humira by 2027. Management expects the combined sales (risk-adjusted) of Skyrizi and Rinvoq to be more than $17.5 billion b0079 2025 and more than $21 billion by 2027.
AbbVie Inc. Price
AbbVie Inc. price | AbbVie Inc. Quote
Zacks Rank
AbbVie currently carries a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In a separate press release, AbbVie also reported positive topline data from a phase II study (SLEek) which evaluated Rinvoq (upadacitinib), alone as well as combined with BTK inhibitor elsubrutinib, in patients with moderately to severely active systemic lupus erythematosus (SLE). AbbVie ABBV announced multiple clinical updates pertaining to clinical studies evaluating its blockbuster drugs Skyrizi and Rinvoq for expanded use. Based on these results, AbbVie is advancing Rinvoq in SLE to phase III development. | Click to get this free report Novartis AG (NVS) : Free Stock Analysis Report Biogen Inc. (BIIB) : Free Stock Analysis Report Amgen Inc. (AMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV announced multiple clinical updates pertaining to clinical studies evaluating its blockbuster drugs Skyrizi and Rinvoq for expanded use. In a separate press release, AbbVie also reported positive topline data from a phase II study (SLEek) which evaluated Rinvoq (upadacitinib), alone as well as combined with BTK inhibitor elsubrutinib, in patients with moderately to severely active systemic lupus erythematosus (SLE). | AbbVie Inc. Price AbbVie Inc. price | AbbVie Inc. Quote Zacks Rank AbbVie currently carries a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Click to get this free report Novartis AG (NVS) : Free Stock Analysis Report Biogen Inc. (BIIB) : Free Stock Analysis Report Amgen Inc. (AMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV announced multiple clinical updates pertaining to clinical studies evaluating its blockbuster drugs Skyrizi and Rinvoq for expanded use. | Like Amgen, several other companies like Biogen, Boehringer Ingelheim and Pfizer have also received FDA approvals for their own Humira biosimilars, many of which are expected to be launched at various times this year per agreements with AbbVie. AbbVie ABBV announced multiple clinical updates pertaining to clinical studies evaluating its blockbuster drugs Skyrizi and Rinvoq for expanded use. In a separate press release, AbbVie also reported positive topline data from a phase II study (SLEek) which evaluated Rinvoq (upadacitinib), alone as well as combined with BTK inhibitor elsubrutinib, in patients with moderately to severely active systemic lupus erythematosus (SLE). |
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