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30700.0 | 2023-10-13 00:00:00 UTC | Abbott Laboratories a Top Ranked SAFE Dividend Stock With 2.3% Yield (ABT) | ABT | https://www.nasdaq.com/articles/abbott-laboratories-a-top-ranked-safe-dividend-stock-with-2.3-yield-abt | nan | nan | Abbott Laboratories (Symbol: ABT) has been named to the Dividend Channel ''S.A.F.E. 25'' list, signifying a stock with above-average ''DividendRank'' statistics including a strong 2.3% yield, as well as a superb track record of at least two decades of dividend growth, according to the most recent ''DividendRank'' report.
According to the ETF Finder at ETF Channel, Abbott Laboratories is a member of the iShares S&P 1500 Index ETF (ITOT), and is also an underlying holding representing 0.86% of the SPDR S&P Dividend ETF (SDY), which holds $172,340,337 worth of ABT shares.
Abbott Laboratories (Symbol: ABT) made the "Dividend Channel S.A.F.E. 25" list because of these qualities: S. Solid return — hefty yield and strong DividendRank characteristics; A. Accelerating amount — consistent dividend increases over time; F. Flawless history — never a missed or lowered dividend; E. Enduring — at least two decades of dividend payments.
The annualized dividend paid by Abbott Laboratories is $2.04/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 10/12/2023. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance.
ABT operates in the Medical Instruments & Supplies sector, among companies like Intuitive Surgical Inc (ISRG), and Stryker Corp (SYK).
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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. | Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. ABT operates in the Medical Instruments & Supplies sector, among companies like Intuitive Surgical Inc (ISRG), and Stryker Corp (SYK). Abbott Laboratories (Symbol: ABT) has been named to the Dividend Channel ''S.A.F.E. | Abbott Laboratories (Symbol: ABT) has been named to the Dividend Channel ''S.A.F.E. Abbott Laboratories (Symbol: ABT) made the "Dividend Channel S.A.F.E. According to the ETF Finder at ETF Channel, Abbott Laboratories is a member of the iShares S&P 1500 Index ETF (ITOT), and is also an underlying holding representing 0.86% of the SPDR S&P Dividend ETF (SDY), which holds $172,340,337 worth of ABT shares. | According to the ETF Finder at ETF Channel, Abbott Laboratories is a member of the iShares S&P 1500 Index ETF (ITOT), and is also an underlying holding representing 0.86% of the SPDR S&P Dividend ETF (SDY), which holds $172,340,337 worth of ABT shares. Abbott Laboratories (Symbol: ABT) has been named to the Dividend Channel ''S.A.F.E. Abbott Laboratories (Symbol: ABT) made the "Dividend Channel S.A.F.E. | Abbott Laboratories (Symbol: ABT) has been named to the Dividend Channel ''S.A.F.E. According to the ETF Finder at ETF Channel, Abbott Laboratories is a member of the iShares S&P 1500 Index ETF (ITOT), and is also an underlying holding representing 0.86% of the SPDR S&P Dividend ETF (SDY), which holds $172,340,337 worth of ABT shares. Abbott Laboratories (Symbol: ABT) made the "Dividend Channel S.A.F.E. |
30701.0 | 2023-10-12 00:00:00 UTC | CGDV: An Outperforming Dividend ETF with Lots to Like | ABT | https://www.nasdaq.com/articles/cgdv%3A-an-outperforming-dividend-etf-with-lots-to-like | nan | nan | With a dividend yield of 1.74%, the Capital Group Dividend Value ETF (NYSEARCA:CGDV) may not seem like the type of ETF that would be of interest to dividend investors at first glance. But while the yield may not stand out, there is a lot to like about this relatively new, actively-managed ETF from Capital Group that has outperformed the market recently. Here’s why CGDV is an interesting option for dividend investors and generalist investors alike.
What is CGDV’s Strategy?
According to fund sponsor Capital Group, CGDV’s strategy is to “produce income exceeding the average yield on U.S. stocks generally and to provide an opportunity for growth of principal consistent with sound common stock investing.” CGDV invests in “dividend-paying stocks of larger established U.S. companies.” The fund can also invest up to 10% of its assets in larger international companies.
While this is a fine strategy, it admittedly sounds pretty vanilla. What makes CGDV more interesting is the fact that the fund is actively managed by a seasoned team of veteran portfolio managers and the fact that it has started its life in the public markets auspiciously both in terms of performance and the larger level of assets under management it has gathered in a short time period.
This Isn’t Capital Group’s First Rodeo
While CGCV is new to the public markets, launching in early 2022, this isn’t Capital Group’s first rodeo. Capital Group was founded all the way back in 1931 and is perhaps best known for running the American Funds family of mutual funds since the 1930s.
Within the investment community, Capital Group is known for its multi-manager structure, which it believes not only mitigates risks but also benefits each fund by bringing in a variety of diverse perspectives. These managers then invest in their highest-conviction ideas.
CGDV follows this approach. The fund is run by five experienced portfolio managers, each of whom has covered different industries during their careers and developed different areas of expertise. These managers each have at least 22 years of experience at Capital Group, and the longest-tenured manager, Jim Lovelace, has been at the firm for 41 years.
CGDV’s Holdings
What does an actively-managed portfolio from a team of seasoned industry veterans with different areas of expertise look like?
In total, CGDV owns 52 stocks, and its top 10 holdings make up 42.3% of the fund. Below, you’ll find an overview of CGDV’s top 10 holdings.
Top holding Broadcom (NASDAQ:AVGO) is indicative of the types of stocks that CGDV invests in. While Broadcom’s dividend yield of 2.2% isn’t going to knock anyone’s socks off, Broadcom has increased its dividend payout for 12 straight years, and the stock has doubled since 2021, leading to great returns for its investors. By investing in these types of stocks, CGDV has the potential to increase its own dividend payout over time.
Other well-known, high-quality dividend-paying stocks within CGDV’s top holdings include the likes of Microsoft (NASDAQ:MSFT), Carrier Global (NYSE:CARR), Raytheon Technologies (NYSE:RTX), and Abbott Laboratories (NYSE:ABT). Overall, this is a carefully selected and diverse group of blue-chip stocks.
Strong Performance Out of the Gate
As mentioned above, CGDV hasn’t been around for a long time, but it has performed well thus far. The fund has returned 32.0% over the past year. This emphatic gain over the past year far outpaces the S&P 500’s (SPX) gain of 21.6% over the same time frame, which is even more impressive given the fact that the past year has been a good one for the market and for growth stocks in particular.
Obviously, CGDV hasn’t been around long enough yet to say that it beats the market on a consistent basis, but the early results have certainly been eye-catching.
Also of note, CGDV has quickly garnered a significant total of assets under management (AUM) in a relatively short amount of time. CGDV has reached an AUM of $3.9 billion, gaining relevance much faster than the hundreds of ETFs that launch each year and fail to ever reach critical mass. This fact isn’t directly tied to performance and doesn’t mean this is a great ETF in and of itself, but it seems that investors recognize CGDV’s potential and are moving capital into the ETF.
Expense Ratio
Another positive about CGCV is that its expense ratio is reasonable. Granted, an expense ratio of 0.33% is more expensive than what you’ll find from many broad market index funds. However, for an actively-managed ETF, this isn’t a terrible price, and plenty of ETFs, whether actively or passively managed, charge higher fees than this.
This expense ratio means that an investor in the fund will pay $33 in fees on a $10,000 investment over the course of a year. Assuming that the expense ratio remains consistent and that the fund returns 5% per year going forward, this same investor would pay $418 in fees over the course of a 10-year investment.
Is CGDV Stock a Buy, According to Analysts?
Turning to Wall Street, CGDV earns a Moderate Buy consensus rating based on 44 Buys, eight Holds, and zero Sell ratings assigned in the past three months. The average CGDV stock price target of $31.30 implies 17.6% upside potential.
A Smart Choice
While the analyst community is a fan of CGDV, so is TipRanks’ Smart Score system, which gives CGDV an Outperform-equivalent ETF Smart Score of 8 out of 10. The Smart Score is a proprietary quantitative stock scoring system created by TipRanks. It gives stocks and ETFs a score from 1 to 10 based on eight market key factors. A score of 8 or above is equivalent to an Outperform rating.
Conclusion
In conclusion, CGDV’s dividend yield of 1.74% isn’t likely to knock anyone’s socks off. However, the fund’s nascent performance so far, albeit over a short time frame, makes it worthy of investor consideration. I’m also intrigued by CGDV’s reasonable price for an actively managed ETF and the fact that it is run by a seasoned and diverse team of portfolio managers. While CGDV still needs to prove itself by performing well over time, I am impressed by what I have seen so far and am adding it to the top of my watchlist.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other well-known, high-quality dividend-paying stocks within CGDV’s top holdings include the likes of Microsoft (NASDAQ:MSFT), Carrier Global (NYSE:CARR), Raytheon Technologies (NYSE:RTX), and Abbott Laboratories (NYSE:ABT). Within the investment community, Capital Group is known for its multi-manager structure, which it believes not only mitigates risks but also benefits each fund by bringing in a variety of diverse perspectives. Also of note, CGDV has quickly garnered a significant total of assets under management (AUM) in a relatively short amount of time. | Other well-known, high-quality dividend-paying stocks within CGDV’s top holdings include the likes of Microsoft (NASDAQ:MSFT), Carrier Global (NYSE:CARR), Raytheon Technologies (NYSE:RTX), and Abbott Laboratories (NYSE:ABT). According to fund sponsor Capital Group, CGDV’s strategy is to “produce income exceeding the average yield on U.S. stocks generally and to provide an opportunity for growth of principal consistent with sound common stock investing.” CGDV invests in “dividend-paying stocks of larger established U.S. companies.” The fund can also invest up to 10% of its assets in larger international companies. What makes CGDV more interesting is the fact that the fund is actively managed by a seasoned team of veteran portfolio managers and the fact that it has started its life in the public markets auspiciously both in terms of performance and the larger level of assets under management it has gathered in a short time period. | Other well-known, high-quality dividend-paying stocks within CGDV’s top holdings include the likes of Microsoft (NASDAQ:MSFT), Carrier Global (NYSE:CARR), Raytheon Technologies (NYSE:RTX), and Abbott Laboratories (NYSE:ABT). With a dividend yield of 1.74%, the Capital Group Dividend Value ETF (NYSEARCA:CGDV) may not seem like the type of ETF that would be of interest to dividend investors at first glance. According to fund sponsor Capital Group, CGDV’s strategy is to “produce income exceeding the average yield on U.S. stocks generally and to provide an opportunity for growth of principal consistent with sound common stock investing.” CGDV invests in “dividend-paying stocks of larger established U.S. companies.” The fund can also invest up to 10% of its assets in larger international companies. | Other well-known, high-quality dividend-paying stocks within CGDV’s top holdings include the likes of Microsoft (NASDAQ:MSFT), Carrier Global (NYSE:CARR), Raytheon Technologies (NYSE:RTX), and Abbott Laboratories (NYSE:ABT). According to fund sponsor Capital Group, CGDV’s strategy is to “produce income exceeding the average yield on U.S. stocks generally and to provide an opportunity for growth of principal consistent with sound common stock investing.” CGDV invests in “dividend-paying stocks of larger established U.S. companies.” The fund can also invest up to 10% of its assets in larger international companies. What makes CGDV more interesting is the fact that the fund is actively managed by a seasoned team of veteran portfolio managers and the fact that it has started its life in the public markets auspiciously both in terms of performance and the larger level of assets under management it has gathered in a short time period. |
30702.0 | 2023-10-11 00:00:00 UTC | 3 Reasons to Buy Abbott Laboratories Stock | ABT | https://www.nasdaq.com/articles/3-reasons-to-buy-abbott-laboratories-stock | nan | nan | Medical device giant Abbott Laboratories (NYSE: ABT) hasn't performed well in the past year. The company has had to deal with several issues that affected its results and its public image, notably the recall of its baby formula products.
However, every corporation faces challenges at some point -- that's not a good reason to avoid buying shares. And in the case of Abbott, there are plenty of good arguments as to why investors should strongly consider investing in the stock. Let's consider just three.
ABT data by YCharts
1. A booming diabetes care segment
Abbott boasts a vast portfolio of medical devices. However, its diabetes care unit has arguably been its most significant growth driver in recent years. In the second quarter, this business saw (organic) sales growth of 21.4% year over year to $1.4 billion. By contrast, the company's total revenue declined 9.2% to under $10 billion. If we take out the effect of Abbott's coronavirus diagnostics segment, the healthcare giant's sales grew at 11.5% organically, a much slower rate than diabetes care.
The star of the show is none other than Abbott's continuous glucose monitoring (CGM) system, the FreeStyle Libre. CGM devices are a game changer for diabetes patients. They allow for constant blood glucose sugar monitoring by automatically taking measurements throughout the day as opposed to the hassle of using a blood glucose meter that can only tell measurements at a specific time with painful fingersticks. Abbott is a leader in CGM technology.
Recent developments make the company's prospects in the diabetes care market even more appealing. In June, the FreeStyle Libre became the first and only CGM device to receive national reimbursement for all diabetes patients who use insulin in France. Making the FreeStyle Libre more accessible through third-party coverage has been a priority for Abbott. The company has added more than 3 million patients to its covered market across Japan, Europe, and the U.S. since last year.
In addition, Abbott recently acquired Bigfoot Biomedical -- which is also in the diabetes care industry -- for an undisclosed amount. Bigfoot Biomedical's claim to fame is its innovative insulin pen cap that can be paired with Abbott's FreeStyle Libre and uses data from the CGM device to guide insulin dosing recommendations for diabetes patients.
The two companies had been partners for years, but Abbott has now acquired Bigfoot to develop new ways to connect their respective technologies and better serve diabetes patients. Diabetes has been on the rise for decades, and that will likely continue. There will be a growing need for innovative solutions to help patients deal with this chronic illness. That's why Abbott Laboratories' work in this area is a big deal.
2. Diversification matters
Abbott isn't relying solely on its diabetes business to grow. The company's business is highly diversified across product lines and geographically. Within its medical device business, Abbott operates in several other therapeutic areas, from rhythm management to heart failure and much more. The company's other major units include diagnostics, established pharmaceuticals, and nutrition.
Meanwhile, Abbott has a presence in over 160 countries. The company generates more than half of its revenue outside the U.S. Diversification has pros and cons. One of the risks is that companies will spread their resources too thin. On the other hand, not being too dependent on a single business or region allows companies with diversified operations to deal with headwinds affecting one of their businesses.
Abbott Labs showed precisely that during the early days of the pandemic, when its versatility allowed it to develop and market several COVID-19 diagnostic tests to make up for the fact that its medical devices unit was struggling at the time. The company may or may not decide to spin off some of its units that aren't growing nearly as fast in the future, but its overall operations should remain diversified, which is a good thing for investors.
3. Abbott is a reliable dividend payer
Abbott is one of the best dividend-paying stocks investors can find. The company is in the exclusive clique of Dividend Kings and is currently on its 51st consecutive year of payout increases. That speaks volumes about the strength of the underlying business since it has been able to hike its dividends for that long despite recessions, market downturns, company-specific issues, pandemics, and many other setbacks.
Abbott Laboratories' current dividend yield of 2.11% is higher than the S&P 500's average of 1.54%, and its cash payout ratio of 63% isn't too high.Its solid dividend program makes a case for a compelling buy, especially for income-seekers. However, growth-oriented investors can find what they are looking for in this stock, too.
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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. | Medical device giant Abbott Laboratories (NYSE: ABT) hasn't performed well in the past year. ABT data by YCharts 1. If we take out the effect of Abbott's coronavirus diagnostics segment, the healthcare giant's sales grew at 11.5% organically, a much slower rate than diabetes care. | Medical device giant Abbott Laboratories (NYSE: ABT) hasn't performed well in the past year. ABT data by YCharts 1. The star of the show is none other than Abbott's continuous glucose monitoring (CGM) system, the FreeStyle Libre. | Medical device giant Abbott Laboratories (NYSE: ABT) hasn't performed well in the past year. ABT data by YCharts 1. Bigfoot Biomedical's claim to fame is its innovative insulin pen cap that can be paired with Abbott's FreeStyle Libre and uses data from the CGM device to guide insulin dosing recommendations for diabetes patients. | Medical device giant Abbott Laboratories (NYSE: ABT) hasn't performed well in the past year. ABT data by YCharts 1. In the second quarter, this business saw (organic) sales growth of 21.4% year over year to $1.4 billion. |
30703.0 | 2023-10-11 00:00:00 UTC | Abbott Laboratories Enters Oversold Territory | ABT | https://www.nasdaq.com/articles/abbott-laboratories-enters-oversold-territory-0 | nan | nan | The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Abbott Laboratories (Symbol: ABT) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of ABT entered into oversold territory, changing hands as low as $92.05 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Abbott Laboratories, the RSI reading has hit 28.4 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 48.5. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.09% based upon the recent $97.56 share price.
A bullish investor could look at ABT's 28.4 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on ABT is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
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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. | A bullish investor could look at ABT's 28.4 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Abbott Laboratories (Symbol: ABT) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of ABT entered into oversold territory, changing hands as low as $92.05 per share. | Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.09% based upon the recent $97.56 share price. Abbott Laboratories (Symbol: ABT) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of ABT entered into oversold territory, changing hands as low as $92.05 per share. | Abbott Laboratories (Symbol: ABT) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of ABT entered into oversold territory, changing hands as low as $92.05 per share. Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.09% based upon the recent $97.56 share price. | Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on ABT is its dividend history. Abbott Laboratories (Symbol: ABT) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of ABT entered into oversold territory, changing hands as low as $92.05 per share. |
30704.0 | 2023-10-10 00:00:00 UTC | Lumentum Lights Up on the AI and ML Surge | ABT | https://www.nasdaq.com/articles/lumentum-lights-up-on-the-ai-and-ml-surge | nan | nan | Optical and photonics manufacturer Lumentum Holdings Inc. (NASDAQ: LITE) provides optical components and lasers to data centers, cloud providers, telecoms and the manufacturing industry. Its optical products enable telecom networks to transmit data and connect servers in data centers. Its lasers are used for welding, cutting and 3D printing. The advent of artificial intelligence (AI) applications has surged the demand for its optical components and subsystems. AI applications require an ocean of data transmitted as quickly and efficiently as possible, which falls right into Lumentum's wheelhouse as its products enable high-speed data transmission.
Declining Figures
On Aug. 17, 2023, Lumentum reported its fiscal Q4 2023 results for the quarter ending June 2023. The company reported earnings-per-share (EPS) of 59 cents, beating consensus analyst estimates of 55 cents by 4 cents. GAAP operating loss was 15.1%, while non-GAAP operating margin was 9.1%. GAP loss per share was 88 cents compared to non-GAAP diluted net income of 59 cents. Revenues fell 21.3% year-over-year (YoY) to $370.8 million, beating analyst estimates of $365.38 million. Telecom and datacom revenues rose 2% YoY.
Lumentum CEO Alan Lowe commented, "With generational upgrades in the network's backbone and increased customer activity for AI in the data center, we expect year-over-year Telecom and Datacom growth in calendar 2024… We believe that the current customer inventory correction cycle will continue through the balance of the calendar year, and therefore, our shipments will be below end-market demand. During this transition period, we deliver as planned on our product roadmaps and are tracking ahead of our previously announced synergy plans."
Lowered Guidance
Lumentum lowered its fiscal Q1 2024 EPS of 20 to 30 cents versus 55 cents consensus analyst estimates. Revenues are expected between $300 to $325 million versus $366.59 million analyst estimates.
Customer Inventory Headwinds
Lumentum reiterated the significant headwinds with its direct and end customers actively trying to reduce inventory levels. The inventory correction cycle is expected to continue through the end of the calendar year. This will result in shipments being "well below" end-market demand, which drove the lowered guidance. However, the silver lining is that the company is still growing its market share outside the consumer market.
New Technologies Accelerating Demand
Lumentum is noticing dramatic strength in its data center (datacom) business as hyperscale clients are prepared to ramp up AI capacity. The company sees a significant YoY improvement in its telecom and datacom business in fiscal 2024. The increased AI activity for datacom translates into more shipments for its chip-level products for 800-gig transceivers and continuous wave (CW) lasers to connect server racks and AI clusters, which require higher data rates but low power. Ultrafast laser revenues rose 35% sequentially, and fiber laser sales rose 25% sequentially, offset by the lower solid-state lasers for chip applications.
Lumentum analyst ratings and price targets are at MarketBeat.
Lumentum peers and competitor stocks can be found with the MarketBeat stock screener.
Double Descending Triangle
The daily candlestick chart on LITE illustrates two descending triangles. The major descending triangle commenced after peaking at the $65.16 high in June 2023, hitting a low of $42 by October 2023. After peaking at $54.66 on the major triangle failed breakout, the minor descending triangle formed, falling to a low of $40.80 in October.
The daily market structure low (MSL) buy signal triggered at $45.30 only to head-fake and collapse to the minor triangle horizontal trendline. The daily RSI has fallen through the oversold 30-band. Pullback support levels are at $39.14, $37.31, $35.63 and $34.15.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Lumentum CEO Alan Lowe commented, "With generational upgrades in the network's backbone and increased customer activity for AI in the data center, we expect year-over-year Telecom and Datacom growth in calendar 2024… We believe that the current customer inventory correction cycle will continue through the balance of the calendar year, and therefore, our shipments will be below end-market demand. New Technologies Accelerating Demand Lumentum is noticing dramatic strength in its data center (datacom) business as hyperscale clients are prepared to ramp up AI capacity. The daily market structure low (MSL) buy signal triggered at $45.30 only to head-fake and collapse to the minor triangle horizontal trendline. | Its optical products enable telecom networks to transmit data and connect servers in data centers. The company reported earnings-per-share (EPS) of 59 cents, beating consensus analyst estimates of 55 cents by 4 cents. Lowered Guidance Lumentum lowered its fiscal Q1 2024 EPS of 20 to 30 cents versus 55 cents consensus analyst estimates. | Lumentum CEO Alan Lowe commented, "With generational upgrades in the network's backbone and increased customer activity for AI in the data center, we expect year-over-year Telecom and Datacom growth in calendar 2024… We believe that the current customer inventory correction cycle will continue through the balance of the calendar year, and therefore, our shipments will be below end-market demand. Lowered Guidance Lumentum lowered its fiscal Q1 2024 EPS of 20 to 30 cents versus 55 cents consensus analyst estimates. The increased AI activity for datacom translates into more shipments for its chip-level products for 800-gig transceivers and continuous wave (CW) lasers to connect server racks and AI clusters, which require higher data rates but low power. | Its optical products enable telecom networks to transmit data and connect servers in data centers. Lumentum CEO Alan Lowe commented, "With generational upgrades in the network's backbone and increased customer activity for AI in the data center, we expect year-over-year Telecom and Datacom growth in calendar 2024… We believe that the current customer inventory correction cycle will continue through the balance of the calendar year, and therefore, our shipments will be below end-market demand. The daily market structure low (MSL) buy signal triggered at $45.30 only to head-fake and collapse to the minor triangle horizontal trendline. |
30705.0 | 2023-10-10 00:00:00 UTC | Worried About a Recession? Protect Your Portfolio With These 3 Resilient Stocks | ABT | https://www.nasdaq.com/articles/worried-about-a-recession-protect-your-portfolio-with-these-3-resilient-stocks | nan | nan | The escalation of tensions in the Middle East is the latest in a series of global headlines to send investors reeling. With high volatility in oil prices, more troubling news out of China's property sector, and the Federal Reserve standing firm on its “higher for longer” stance, many high-profile market-watchers are now warning that the elements are in place for a potential recession.
So, what can investors do to protect their portfolios in this environment? Typically, “safe havens” during periods of macroeconomic turmoil can be found in sectors that experience steady demand - such as utilities, consumer staples, and healthcare - and offer reliable dividend yields to shareholders.
Here, we'll take a look at three top-quality stocks from traditionally defensive sectors that offer attractive dividend yields - and have plenty of upside to offer, according to analysts.
Sempra
Utilities are a classic pick to withstand any economic cycle, and we start off our list with energy services holding company Sempra (SRE). Founded in 1998 and based out of California, Sempra delivers essential energy services to over 40 million customers in California, Texas, Mexico, and the LNG export market.
The company currently commands a market cap of $43.1 billion and offers a dividend yield of 3.44%. Moreover, Sempra has been raising its dividend consecutively for 12 years.
Sempra stock is down 9% on a YTD basis, but has returned 112% over the last decade.
www.barchart.com
Sempra reported Q2 revenues of $3.33 billion, down 6% year over year, while EPS of $1.88 surpassed the consensus estimate. SRE has consistently beaten Wall Street's EPS estimates in each of its last four quarterly reports.
Meanwhile, an interesting development that can aid Sempra is the rising population in the key market of Texas. According to the U.S. Census Bureau, the population of Texas is currently growing at a 1.57% annual rate and the state is expected to continue to grow for at least the remainder of this decade. Since Sempra is the largest utility provider in the state through its Oncor subsidiary, some of the population growth will be in its service territory, which bodes well for the company in the long run.
Overall, analysts remain optimistic about the stock, assigning it a “Moderate Buy” rating and a mean target price of $90.09. This indicates an upside potential of about 31% from current levels. Out of 13 analysts covering the stock, 6 have a “Strong Buy” rating, 1 has a “Moderate Buy” rating, and 6 have a “Hold” rating.
www.barchart.com
McDonald's
Next up on our list is the world's largest restaurant chain, McDonald's. McDonald's (MCD) has been around since 1940 and serves over 69 million customers daily in more than 100 countries. One of the most recognizable brands in the world, the company's restaurants serve a variety of value-priced food and beverages.
Commanding a market cap of $182.13 billion, McDonald's has a dividend yield of 2.43%. Notably, McDonald's has raised its dividend consistently over the past 47 years, making it a Dividend Aristocrat.
Shares of McDonald's are down 3% in 2023 so far, but MCD is up about 20% in the last three years.
www.barchart.com
McDonald's posted strong numbers for its second quarter. Revenues came in at $6.5 billion, up 14% from the prior year. Meanwhile, EPS almost doubled to $3.15 when compared to the year-ago period, and comfortably topped the consensus estimate of $2.78. In fact, the company's EPS has surpassed Street expectations in each of the past five quarters.
Notably, the company's recent decision to hike royalty fees by 25% for new locations in the U.S. and Canada is expected to be a key revenue driver for the company in the long run. With 1,900 new locations likely to come up this year, the additional revenues from the hike in royalty fees are going to be substantial. Moreover, McDonald's is bulking up its digital capabilities, with a 2025 revenue target of $43 billion from this channel.
Analysts remain upbeat about McDonald's stock, which has an average rating of “Moderate Buy” and a mean target price of $328.07. This denotes an upside potential of roughly 30% from current levels. Out of 28 analysts covering the stock, 18 have a “Strong Buy” rating, 3 have a “Moderate Buy” rating, and 7 have a “Hold” rating.
www.barchart.com
Abbott Laboratories
We conclude our list with pharmaceutical giant Abbott Laboratories (ABT). Established in 1888, Abbott is a global healthcare company that develops, manufactures, and sells a broad range of pharmaceutical and medical device products.
The company currently commands a mammoth market cap of $167.91 billion and offers a dividend yield of 2.07%. Abbott has been raising dividends consecutively for 51 years, making it a Dividend King.
Abbott's share price is down roughly 10% on a YTD basis.
www.barchart.com
Abbott's EPS for Q2 2023 came in at $1.08, down 24.5% from the year-ago period - but better than the average analyst estimate of $1.05. Notably, the company's EPS has beaten expectations in each of the past five quarters. Meanwhile, revenues fell 11.4% to about $10 billion.
The tough comparison in quarterly revenues can be attributed to the waning of COVID-19 and related demand for its BinaxNOW COVID-19 test. However, its three other segments of nutrition, pharmaceuticals, and medical devices all posted net sales growth from the year-ago period, which is an encouraging sign.
Analysts have a “Strong Buy” rating for Abbott stock, with a mean target price of $122.88. This indicates an upside potential of about 26% from current levels. Out of 18 analysts covering the stock, 12 have a “Strong Buy” rating, 2 have a “Moderate Buy” rating, and 4 have a “Hold” rating.
www.barchart.com
On the date of publication, Pathikrit Bose did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | www.barchart.com Abbott Laboratories We conclude our list with pharmaceutical giant Abbott Laboratories (ABT). With high volatility in oil prices, more troubling news out of China's property sector, and the Federal Reserve standing firm on its “higher for longer” stance, many high-profile market-watchers are now warning that the elements are in place for a potential recession. Typically, “safe havens” during periods of macroeconomic turmoil can be found in sectors that experience steady demand - such as utilities, consumer staples, and healthcare - and offer reliable dividend yields to shareholders. | www.barchart.com Abbott Laboratories We conclude our list with pharmaceutical giant Abbott Laboratories (ABT). Out of 13 analysts covering the stock, 6 have a “Strong Buy” rating, 1 has a “Moderate Buy” rating, and 6 have a “Hold” rating. Out of 28 analysts covering the stock, 18 have a “Strong Buy” rating, 3 have a “Moderate Buy” rating, and 7 have a “Hold” rating. | www.barchart.com Abbott Laboratories We conclude our list with pharmaceutical giant Abbott Laboratories (ABT). Out of 13 analysts covering the stock, 6 have a “Strong Buy” rating, 1 has a “Moderate Buy” rating, and 6 have a “Hold” rating. Out of 28 analysts covering the stock, 18 have a “Strong Buy” rating, 3 have a “Moderate Buy” rating, and 7 have a “Hold” rating. | www.barchart.com Abbott Laboratories We conclude our list with pharmaceutical giant Abbott Laboratories (ABT). www.barchart.com Sempra reported Q2 revenues of $3.33 billion, down 6% year over year, while EPS of $1.88 surpassed the consensus estimate. Commanding a market cap of $182.13 billion, McDonald's has a dividend yield of 2.43%. |
30706.0 | 2023-10-10 00:00:00 UTC | What's in Store for Abbott Laboratories (ABT) in Q3 Earnings? | ABT | https://www.nasdaq.com/articles/whats-in-store-for-abbott-laboratories-abt-in-q3-earnings-0 | nan | nan | Abbott Laboratories ABT is slated to report its third-quarter 2023 results on Oct 18, before market open.
The company posted adjusted earnings per share (EPS) of $1.08 in the last reported quarter, which topped the Zacks Consensus Estimate by 3.85%. In the trailing four quarters, its earnings exceeded the Zacks Consensus Estimate on all occasions, the average beat being 12.44%.
Let's see how things have shaped up prior to this announcement.
Factors at Play
Established Pharmaceuticals
Similar to the last reported quarter, the division is likely to have favorably contributed to the total underlying base business organic sales growth (excluding COVID testing sales). The business is expected to have been fueled by solid execution of strategies. It is likely to have continued to capitalize on the favorable demographic and socioeconomic trends in emerging markets during the to-be-reported quarter.
Outside the United States, several markets, including India and China and therapeutic areas, including gastroenterology, women’s health and central nervous system pain management, are expected to have given a strong performance.
Our model projects the Established Pharmaceuticals business to generate $1.21 billion in revenues for the third quarter of 2023. This compares to $1.33 billion reported in the year-ago quarter.
Abbott Laboratories Price and EPS Surprise
Abbott Laboratories price-eps-surprise | Abbott Laboratories Quote
Diagnostics
Abbott’s Diagnostics business is likely to have witnessed organic sales growth in the to-be-reported quarter, led by the Core Lab Diagnostics division. Of late, the segment has been performing well in the United States, Europe and China, which reflected the increased demand for routine diagnostic testing globally. The company’s blood transfusion testing business is likely to have continued making great strides domestically, signaling recovery from the impact of lower plasma donations that occurred during the COVID-19 pandemic.
However, we expect it to report a further decline in demand for rapid diagnostic tests to detect COVID-19, affecting the company’s third-quarter top line. Our model projects the Diagnostics business to report $2.89 billion in revenues for the third quarter, suggesting a 21.3% decline year over year.
Medical Devices
In the third quarter of 2023, the segment is expected to have delivered double-digit growth in the United States and internationally. Continued development of FreeStyle Libre — Abbott’s continuous glucose monitoring system — is likely to have driven higher sales in the Diabetes Care business. Notably, during the second quarter of 2023, Libre became the first and only continuous glucose monitoring system to be nationally reimbursed in France for all people with diabetes who use insulin.
In September 2023, the company announced a definitive agreement to acquire Bigfoot Biomedical, having worked together on connected diabetes solutions since 2017. The acquisition combines two leaders in different aspects of diabetes care — continuous glucose monitoring and insulin dosing support — and will continue to advance technology-driven solutions for making diabetes management even more personal and precise. This is expected to have favored the company’s revenues in the third quarter of 2023.
The Cardiovascular devices sales are expected to have reflected robust growth in electrophysiology and structural heart, similar to the last reported second quarter of 2023. Internationally, Europe and China are likely to have generated a solid performance in the Electrophysiology division. During the second quarter, the company received the U.S. FDA approval of its TactiFlex Ablation Catheter. This is expected to have contributed to the Q3 top line.
For the third quarter of 2023, we expect the performance of the Structural Heart business to have been driven by sales of MitraClip, Abbott's market-leading device for the minimally invasive treatment of mitral regurgitation, a leaky heart valve. In addition, the recently launched products, Amulet, Navitor, and TriClip, are likely to have also contributed favorably to the segment’s growth.
Worldwide sales of Rhythm Management products are likely to have been led by Abbott’s recently launched leadless pacemaker, Aveir. In July 2023, the company announced the FDA approval of its AVEIR dual chamber leadless pacemaker system, the world's first dual chamber leadless pacing system that treats people with abnormal or slow heart rhythms. The unique technology is specifically designed to be upgradable and retrievable in order to evolve with patient changes in therapy needs over time.
In Neuromodulation, sales growth in the to-be-reported third quarter of 2023 is likely to have been driven by the newly launched Eterna rechargeable spinal cord stimulation system, for the treatment of chronic pain. Throughout the first half of 2023, Abbott introduced several new innovations for treating painful diabetic neuropathy and chronic back pain for those who have not had or are not eligible for back surgery. We believe that all these developments have positively contributed to the company’s business performance in the to-be-reported third quarter of 2023.
Going by our model, the Medical Devices segment is projected to report $3.77 billion in revenues in the third quarter, indicating 4.2% growth year over year.
Nutrition
Across this segment, sales of pediatric nutritional products are likely to have driven growth in the United States in the third quarter of 2023. The company has been making good progress in terms of increasing manufacturing production. During the second quarter of 2023, the business recovered nearly 75% of the market share in the infant formula business that was lost in 2022, as a result of the voluntary recall.
In International markets, both pediatric and adult nutrition businesses are expected to have contributed to the company’s total sales in this segment in the third quarter. Our model expects the Nutrition business to generate $1.85 billion in revenues in the quarter to be reported, suggesting 3.2% growth year over year.
Meanwhile, the unpredictability surrounding the demand for COVID-19 tests is likely to have affected the company’s top line in the to-be-reported third quarter of 2023. Macroeconomic factors, including the movement of the U.S. dollar against other currencies, inflationary pressures and labor shortages, are likely to have made an unfavorable impact on the company’s results of operations.
Q3 Estimates
The Zacks Consensus Estimate for ABT’s third quarter 2023 revenues is pegged at $9.78 billion. This suggests a 6.1% fall from the year-ago reported figure.
The Zacks Consensus Estimate for its third-quarter 2023 EPS of $1.10 indicates a year-over-year decrease of 4.4%.
What Our Model Suggests
Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates. However, that is not the case here, as you can see below:
Earnings ESP: Abbott has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this quarter.
Insulet PODD has an Earnings ESP of +5.00% and a Zacks Rank #2. The company will release third-quarter 2023 results on Nov 2, 2023. You can see the complete list of today’s Zacks #1 Rank stocks here.
Insulet has a long-term expected earnings growth rate of 35.7%. PODD has an earnings yield of 1.13% against the industry’s -2.58%.
HealthEquity HQY has an Earnings ESP of +0.34% and a Zacks Rank #2. The company is expected to release third-quarter 2023 results on Dec 5.
HQY has an expected long-term earnings growth rate of 23.5%. The company has an earnings yield of 2.68% against the industry’s -0.92%.
Cencora Inc. COR currently has an Earnings ESP of +0.30% and a Zacks Rank #2. The company is expected to release its fourth-quarter fiscal 2023 results on Nov 2.
COR has an expected earnings growth rate of 7.46% for the next year. COR has an earnings yield of 6.97% compared with the industry’s -0.92%.
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. | Abbott Laboratories ABT is slated to report its third-quarter 2023 results on Oct 18, before market open. Q3 Estimates The Zacks Consensus Estimate for ABT’s third quarter 2023 revenues is pegged at $9.78 billion. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT is slated to report its third-quarter 2023 results on Oct 18, before market open. Q3 Estimates The Zacks Consensus Estimate for ABT’s third quarter 2023 revenues is pegged at $9.78 billion. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT is slated to report its third-quarter 2023 results on Oct 18, before market open. Q3 Estimates The Zacks Consensus Estimate for ABT’s third quarter 2023 revenues is pegged at $9.78 billion. | Abbott Laboratories ABT is slated to report its third-quarter 2023 results on Oct 18, before market open. Q3 Estimates The Zacks Consensus Estimate for ABT’s third quarter 2023 revenues is pegged at $9.78 billion. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30707.0 | 2023-10-10 00:00:00 UTC | 3 Dividend Kings Every Investor Should Own to Survive a Market Crash | ABT | https://www.nasdaq.com/articles/3-dividend-kings-every-investor-should-own-to-survive-a-market-crash | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Dividend stocks have proved time and again to be a superior investing strategy. We all want capital appreciation, or to see our stocks grow in value over time, but dividends are what really drive excess returns.
Analysts at JPMorgan Chase (NYSE:JPM) studied the long-term impact dividends have on stocks. They found dividends accounted for an astounding 89% of the stock market’s total return over the 40-year period between 1972 and 2012. We all heard that the S&P 500 generates on average a 10% annual return over time. Well, almost nine percentage points of that comes from dividends!
Also, no matter what market conditions are like, dividend stocks outperform those that don’t make a payout. There is no decade where dividend stocks did not generate positive returns. The market, as a whole, can’t say that.
The reason is simple. Companies that pay dividends are typically healthier than those that don’t. They have been fire-tested by the market and still thrive. Dividends also help buffer the impact of market downturns, contributing to lower volatility. That’s why dividend stocks need to be an essential part of your portfolio.
JPMorgan’s study also discovered that companies that initiated and then hiked their dividends returned an average of 9.5% annually while non-income producing stocks generated only 1.6% annually. Arguably, that makes Dividend Kings the best ones to buy. These are stocks that raise their payout each and every year for 50 years or more.
The following three Dividend Kings are ones you should buy now if you want to survive and thrive following a stock market crash.
Walmart (WMT)
Source: fotomak / Shutterstock.com
In the event of an economic downturn, you’re going to want Walmart (NYSE:WMT) in your portfolio. It is the world’s largest supermarket and general merchandise retailer with over 11,500 stores across 27 countries.
There is a Walmart store within 10 miles of 90% of the U.S. population. Not only does that make it incredibly convenient to most consumers, but in times of distress its everyday low price policies make it the place most will turn to as they stretch their wallets to make ends meet.
Its dividend is every bit a staple as is its food. Walmart first declared a dividend in March 1974 and has increased every year thereafter. It was 5 cents per share back then. Today it stands at $2.33 per share and yields 1.5% annually. That’s a growth rate of 8% a year for 50 straight years.
What makes Walmart so formidable is the scale of its operations. It is able to squeeze suppliers to ensure it gets the best price for customers. And where other retailers stumbled in competing against Amazon (NASDAQ:AMZN), Walmart rose to the challenge and represents a viable alternative to the e-commerce leader.
It remains consistently profitable, even during recessions. In fact, recessions may be its forte. The stock generated total returns of 5,000% over the past five decades – or double those of the S&P 500.
Colgate-Palmolive (CL)
Source: monticello / Shutterstock.com
What Walmart does for groceries, Colgate-Palmolive (NYSE:CL) does for consumer products. Best known for its namesake toothpaste and dish detergent, Colgate has a global portfolio of name brand products including Irish Spring soap, Ajax cleaners, and Hill’s Pet Nutrition.
The power of owning such well-known brands is the loyalty they build in consumers. Because people know the quality and performance of the product the brand represents, they make repeat purchases. Especially during periods of economic hardship because shoppers need to ensure they are getting their money’s worth.
That’s not to say Colgate is invincible. Inflation takes its toll as do cross currency exchange rates. While second quarter organic sales growth hit 8% in all its product categories, inflation pressured margins forcing the company to raise prices. That hurt volume some, but was a necessary response. Still, some big bucks investors began running for the exits. The stock is down 12% year-to-date (YTD) as a result, but should bounce back as margins improve.
Colgate paid its very first dividend beginning in 1895, but began increasing the payout annually in 1963. The 60-year string of hikes earned its inclusion in the Dividend King list. With a yield of 2.8%, the consumer products giant is an attractive addition to your portfolio.
AbbVie (ABBV)
Source: Valeriya Zankovych / Shutterstock.com
Pharmaceutical stock AbbVie (NYSE:ABBV) isn’t your typical Dividend King. It earned the title by riding the coattails of Abbott Labs (NYSE:ABT) which spun it off. Because spinoff stocks get to keep their parent’s dividend history, it’s a backdoor way to get included.
Still, AbbVie began paying a dividend upon its separation in 2013 and immediately began raising it every year thereafter. It will undoubtedly earn its own title over time and the dividend yields 3.9% annually.
AbbVie generates most of its revenue from arthritis therapy Humira. Sales took a hit earlier this year when patent protection expired, but revenue still registered $4 billion in the second quarter and $7.55 billion YTD. It also has a passel of other treatments earning billions of dollars a year. Plaque psoriasis treatment Skyrizi saw $3.2 billion in sales so far in 2023, blockbuster cancer drug Imbruvica made $1.8 billion, and Rinvoq is approved for half a dozen indications and made $1.7 billion in sales. In all, AbbVie has a baker’s dozen of billion-dollar drugs on the market.
The pharmaceutical stock trades at just 13 times next year’s earnings estimates and a bargain basement 10 times the free cash flow it produces. Humira may be slowly fading, but AbbVie has plenty of backup coming into their own. Trading at discount valuations, this stock will inject your portfolio with much needed growth over time.
On the date of publication, Rich Duprey held a LONG position in CL and ABBV stock. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets.
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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 earned the title by riding the coattails of Abbott Labs (NYSE:ABT) which spun it off. And where other retailers stumbled in competing against Amazon (NASDAQ:AMZN), Walmart rose to the challenge and represents a viable alternative to the e-commerce leader. Best known for its namesake toothpaste and dish detergent, Colgate has a global portfolio of name brand products including Irish Spring soap, Ajax cleaners, and Hill’s Pet Nutrition. | It earned the title by riding the coattails of Abbott Labs (NYSE:ABT) which spun it off. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Dividend stocks have proved time and again to be a superior investing strategy. JPMorgan’s study also discovered that companies that initiated and then hiked their dividends returned an average of 9.5% annually while non-income producing stocks generated only 1.6% annually. | It earned the title by riding the coattails of Abbott Labs (NYSE:ABT) which spun it off. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Dividend stocks have proved time and again to be a superior investing strategy. AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com Pharmaceutical stock AbbVie (NYSE:ABBV) isn’t your typical Dividend King. | It earned the title by riding the coattails of Abbott Labs (NYSE:ABT) which spun it off. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Dividend stocks have proved time and again to be a superior investing strategy. That’s a growth rate of 8% a year for 50 straight years. |
30708.0 | 2023-10-10 00:00:00 UTC | Ex-Dividend Reminder: Abbott Laboratories, American Financial Group and Bank OZK | ABT | https://www.nasdaq.com/articles/ex-dividend-reminder%3A-abbott-laboratories-american-financial-group-and-bank-ozk | nan | nan | Looking at the universe of stocks we cover at Dividend Channel, on 10/12/23, Abbott Laboratories (Symbol: ABT), American Financial Group Inc (Symbol: AFG), and Bank OZK (Symbol: OZK) will all trade ex-dividend for their respective upcoming dividends. Abbott Laboratories will pay its quarterly dividend of $0.51 on 11/15/23, American Financial Group Inc will pay its quarterly dividend of $0.71 on 10/25/23, and Bank OZK will pay its quarterly dividend of $0.37 on 10/20/23. As a percentage of ABT's recent stock price of $96.92, this dividend works out to approximately 0.53%, so look for shares of Abbott Laboratories to trade 0.53% lower — all else being equal — when ABT shares open for trading on 10/12/23. Similarly, investors should look for AFG to open 0.63% lower in price and for OZK to open 0.99% lower, all else being equal.
Below are dividend history charts for ABT, AFG, and OZK, showing historical dividends prior to the most recent ones declared.
Abbott Laboratories (Symbol: ABT):
American Financial Group Inc (Symbol: AFG):
Bank OZK (Symbol: OZK):
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 2.10% for Abbott Laboratories, 2.51% for American Financial Group Inc, and 3.95% for Bank OZK.
In Tuesday trading, Abbott Laboratories shares are currently up about 0.2%, American Financial Group Inc shares are up about 0.3%, and Bank OZK shares are up about 1.2% 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. | Looking at the universe of stocks we cover at Dividend Channel, on 10/12/23, Abbott Laboratories (Symbol: ABT), American Financial Group Inc (Symbol: AFG), and Bank OZK (Symbol: OZK) will all trade ex-dividend for their respective upcoming dividends. As a percentage of ABT's recent stock price of $96.92, this dividend works out to approximately 0.53%, so look for shares of Abbott Laboratories to trade 0.53% lower — all else being equal — when ABT shares open for trading on 10/12/23. Below are dividend history charts for ABT, AFG, and OZK, showing historical dividends prior to the most recent ones declared. | Looking at the universe of stocks we cover at Dividend Channel, on 10/12/23, Abbott Laboratories (Symbol: ABT), American Financial Group Inc (Symbol: AFG), and Bank OZK (Symbol: OZK) will all trade ex-dividend for their respective upcoming dividends. Abbott Laboratories (Symbol: ABT): American Financial Group Inc (Symbol: AFG): Bank OZK (Symbol: OZK): In general, dividends are not always predictable, following the ups and downs of company profits over time. As a percentage of ABT's recent stock price of $96.92, this dividend works out to approximately 0.53%, so look for shares of Abbott Laboratories to trade 0.53% lower — all else being equal — when ABT shares open for trading on 10/12/23. | Looking at the universe of stocks we cover at Dividend Channel, on 10/12/23, Abbott Laboratories (Symbol: ABT), American Financial Group Inc (Symbol: AFG), and Bank OZK (Symbol: OZK) will all trade ex-dividend for their respective upcoming dividends. Abbott Laboratories (Symbol: ABT): American Financial Group Inc (Symbol: AFG): Bank OZK (Symbol: OZK): In general, dividends are not always predictable, following the ups and downs of company profits over time. As a percentage of ABT's recent stock price of $96.92, this dividend works out to approximately 0.53%, so look for shares of Abbott Laboratories to trade 0.53% lower — all else being equal — when ABT shares open for trading on 10/12/23. | Looking at the universe of stocks we cover at Dividend Channel, on 10/12/23, Abbott Laboratories (Symbol: ABT), American Financial Group Inc (Symbol: AFG), and Bank OZK (Symbol: OZK) will all trade ex-dividend for their respective upcoming dividends. As a percentage of ABT's recent stock price of $96.92, this dividend works out to approximately 0.53%, so look for shares of Abbott Laboratories to trade 0.53% lower — all else being equal — when ABT shares open for trading on 10/12/23. Below are dividend history charts for ABT, AFG, and OZK, showing historical dividends prior to the most recent ones declared. |
30709.0 | 2023-10-09 00:00:00 UTC | 2 Magnificent Dividend Stocks to Buy Hand Over Fist in October | ABT | https://www.nasdaq.com/articles/2-magnificent-dividend-stocks-to-buy-hand-over-fist-in-october | nan | nan | Investing in stocks may not look particularly appealing at the moment, given that the 10-year U.S. Treasury bond is offering a near 5% annualized yield. After all, most stocks outside the areas of artificial intelligence and weight-loss care have lost ground over the last two years because of various economic and geopolitical factors, along with a wide swath of investors opting for safer alternatives to stocks like high-yield savings accounts and fixed rate CDs.
However, history has unequivocally shown that high-quality dividend stocks tend to outperform most other asset classes in the long run. As such, value and income investors probably shouldn't be overly concerned about these short-term obstacles.
Image Source: Getty Images.
Which high-quality dividend stocks stand out from the crowd? Biotech heavyweights AbbVie (NYSE: ABBV) and Amgen (NASDAQ: AMGN) are both working through a multiyear portfolio churn, but their proven ability to maintain a strong competitive edge through industry-leading levels of innovation should comfort anxious investors. Here's a brief overview of the pros and cons associated with buying each of these defensively oriented dividend stocks right now.
AbbVie: A 3.99% yield
AbbVie is a dividend powerhouse. The company has increased its dividend every year since it separated from Abbott Laboratories in 2013, resulting in a remarkable 270% growth in its payout over the past decade. As a result, AbbVie now offers one of the highest yields within its biopharma peer group at 3.99%. The drugmaker also sports a moderate cash payout ratio of 42%, implying that it can comfortably support additional increases to the dividend in the years ahead.
Now, there are a couple of important risk factors associated with this blue-chip dividend stock. AbbVie recently lost U.S. patent protection for Humira, an anti-inflammatory biologic therapy that has historically accounted for roughly 40% of the biopharma's annual sales and 50% of its profits. The company's next-generation immunology therapies, Skyrizi and Rinvoq, have both been experiencing exponential sales growth since coming on the market, but analysts doubt that they will fully compensate for Humira's decline until 2030.
AbbVie, on the other hand, has expressed more optimism, claiming that Skyrizi and Rinvoq, along with its other pipeline products, should enable it to generate robust top-line growth as soon as 2025. In any case, both management and analysts agree that the company's healthy free cash flows should comfortably support its generous dividend program for at least the next decade, if not longer. That may not be the most convincing outlook for a dividend stock (analysts usually prefer a competitive advantage that lasts for at least 20 years), but it should be enough to make AbbVie's shares a valuable part of a diversified income portfolio.
Amgen: A wide economic moat
Amgen is a leading biotechnology company that develops and markets innovative medicines for various therapeutic areas, such as oncology, cardiovascular, inflammation, and bone health. The company has a strong and diversified portfolio composed of 27 approved products, with nine of these products generating more than $1 billion in sales last year. Moreover, Amgen has a deep and diverse pipeline of novel candidates that could drive future revenue growth and value creation.
Amgen also rewards its shareholders with a generous dividend policy and a consistent share buyback program. The company pays an annual dividend of $8.52 per share, which corresponds to a yield of about 3.18% at the current price. The company has increased its dividend every year since 2011 at an above-average compound annual growth rate of about 10%.
With a moderate payout ratio of 54.8%, the company also has ample room to continue raising its dividend in the coming years. Additionally, Amgen has reduced its outstanding share count by an impressive 42.9% since its becoming a publicly traded company, demonstrating its commitment to returning capital to shareholders.
AMGN Average Diluted Shares Outstanding (Quarterly) data by YCharts
In all, Amgen screens as a compelling defensive play for investors looking for sustainable income and growth. The company has a solid competitive advantage due to its diversified and innovative product portfolio and pipeline, along with a top-shelf shareholder rewards program. While the biotech does have a high debt level, its core business is inherently economically insensitive and it generates enormous free cash flows ($9.3 billion per year on average over the past five years) capable of servicing its debt obligations and maintaining its dividend payments.
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George Budwell has no position in any of the stocks mentioned. The Motley Fool recommends Amgen. 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. | Biotech heavyweights AbbVie (NYSE: ABBV) and Amgen (NASDAQ: AMGN) are both working through a multiyear portfolio churn, but their proven ability to maintain a strong competitive edge through industry-leading levels of innovation should comfort anxious investors. The company's next-generation immunology therapies, Skyrizi and Rinvoq, have both been experiencing exponential sales growth since coming on the market, but analysts doubt that they will fully compensate for Humira's decline until 2030. That may not be the most convincing outlook for a dividend stock (analysts usually prefer a competitive advantage that lasts for at least 20 years), but it should be enough to make AbbVie's shares a valuable part of a diversified income portfolio. | The drugmaker also sports a moderate cash payout ratio of 42%, implying that it can comfortably support additional increases to the dividend in the years ahead. In any case, both management and analysts agree that the company's healthy free cash flows should comfortably support its generous dividend program for at least the next decade, if not longer. While the biotech does have a high debt level, its core business is inherently economically insensitive and it generates enormous free cash flows ($9.3 billion per year on average over the past five years) capable of servicing its debt obligations and maintaining its dividend payments. | After all, most stocks outside the areas of artificial intelligence and weight-loss care have lost ground over the last two years because of various economic and geopolitical factors, along with a wide swath of investors opting for safer alternatives to stocks like high-yield savings accounts and fixed rate CDs. That may not be the most convincing outlook for a dividend stock (analysts usually prefer a competitive advantage that lasts for at least 20 years), but it should be enough to make AbbVie's shares a valuable part of a diversified income portfolio. See the 10 stocks *Stock Advisor returns as of October 2, 2023 George Budwell has no position in any of the stocks mentioned. | The company has a solid competitive advantage due to its diversified and innovative product portfolio and pipeline, along with a top-shelf shareholder rewards program. 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! |
30710.0 | 2023-10-09 00:00:00 UTC | Implied VOOG Analyst Target Price: $292 | ABT | https://www.nasdaq.com/articles/implied-voog-analyst-target-price%3A-%24292 | nan | nan | Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the Vanguard S&P 500 Growth ETF (Symbol: VOOG), we found that the implied analyst target price for the ETF based upon its underlying holdings is $292.14 per unit.
With VOOG trading at a recent price near $249.94 per unit, that means that analysts see 16.89% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of VOOG's underlying holdings with notable upside to their analyst target prices are Keurig Dr Pepper Inc (Symbol: KDP), Abbott Laboratories (Symbol: ABT), and Thermo Fisher Scientific Inc (Symbol: TMO). Although KDP has traded at a recent price of $30.07/share, the average analyst target is 26.88% higher at $38.15/share. Similarly, ABT has 26.83% upside from the recent share price of $96.88 if the average analyst target price of $122.88/share is reached, and analysts on average are expecting TMO to reach a target price of $629.53/share, which is 26.27% above the recent price of $498.55. Below is a twelve month price history chart comparing the stock performance of KDP, ABT, and TMO:
Below is a summary table of the current analyst target prices discussed above:
NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
Vanguard S&P 500 Growth ETF VOOG $249.94 $292.14 16.89%
Keurig Dr Pepper Inc KDP $30.07 $38.15 26.88%
Abbott Laboratories ABT $96.88 $122.88 26.83%
Thermo Fisher Scientific Inc TMO $498.55 $629.53 26.27%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
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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. | Vanguard S&P 500 Growth ETF VOOG $249.94 $292.14 16.89% Keurig Dr Pepper Inc KDP $30.07 $38.15 26.88% Abbott Laboratories ABT $96.88 $122.88 26.83% Thermo Fisher Scientific Inc TMO $498.55 $629.53 26.27% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of VOOG's underlying holdings with notable upside to their analyst target prices are Keurig Dr Pepper Inc (Symbol: KDP), Abbott Laboratories (Symbol: ABT), and Thermo Fisher Scientific Inc (Symbol: TMO). Similarly, ABT has 26.83% upside from the recent share price of $96.88 if the average analyst target price of $122.88/share is reached, and analysts on average are expecting TMO to reach a target price of $629.53/share, which is 26.27% above the recent price of $498.55. | Three of VOOG's underlying holdings with notable upside to their analyst target prices are Keurig Dr Pepper Inc (Symbol: KDP), Abbott Laboratories (Symbol: ABT), and Thermo Fisher Scientific Inc (Symbol: TMO). Similarly, ABT has 26.83% upside from the recent share price of $96.88 if the average analyst target price of $122.88/share is reached, and analysts on average are expecting TMO to reach a target price of $629.53/share, which is 26.27% above the recent price of $498.55. Vanguard S&P 500 Growth ETF VOOG $249.94 $292.14 16.89% Keurig Dr Pepper Inc KDP $30.07 $38.15 26.88% Abbott Laboratories ABT $96.88 $122.88 26.83% Thermo Fisher Scientific Inc TMO $498.55 $629.53 26.27% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? | Similarly, ABT has 26.83% upside from the recent share price of $96.88 if the average analyst target price of $122.88/share is reached, and analysts on average are expecting TMO to reach a target price of $629.53/share, which is 26.27% above the recent price of $498.55. Three of VOOG's underlying holdings with notable upside to their analyst target prices are Keurig Dr Pepper Inc (Symbol: KDP), Abbott Laboratories (Symbol: ABT), and Thermo Fisher Scientific Inc (Symbol: TMO). Below is a twelve month price history chart comparing the stock performance of KDP, ABT, and TMO: Below is a summary table of the current analyst target prices discussed above: | Vanguard S&P 500 Growth ETF VOOG $249.94 $292.14 16.89% Keurig Dr Pepper Inc KDP $30.07 $38.15 26.88% Abbott Laboratories ABT $96.88 $122.88 26.83% Thermo Fisher Scientific Inc TMO $498.55 $629.53 26.27% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of VOOG's underlying holdings with notable upside to their analyst target prices are Keurig Dr Pepper Inc (Symbol: KDP), Abbott Laboratories (Symbol: ABT), and Thermo Fisher Scientific Inc (Symbol: TMO). Similarly, ABT has 26.83% upside from the recent share price of $96.88 if the average analyst target price of $122.88/share is reached, and analysts on average are expecting TMO to reach a target price of $629.53/share, which is 26.27% above the recent price of $498.55. |
30711.0 | 2023-10-06 00:00:00 UTC | HLN vs. ABT: Which Stock Is the Better Value Option? | ABT | https://www.nasdaq.com/articles/hln-vs.-abt%3A-which-stock-is-the-better-value-option | nan | nan | Investors interested in stocks from the Medical - Products sector have probably already heard of Haleon PLC Sponsored ADR (HLN) and Abbott (ABT). But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Haleon PLC Sponsored ADR has a Zacks Rank of #2 (Buy), while Abbott has a Zacks Rank of #3 (Hold) right now. This means that HLN's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
HLN currently has a forward P/E ratio of 18.46, while ABT has a forward P/E of 21.87. We also note that HLN has a PEG ratio of 2.84. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. ABT currently has a PEG ratio of 4.30.
Another notable valuation metric for HLN is its P/B ratio of 1.86. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, ABT has a P/B of 4.46.
These metrics, and several others, help HLN earn a Value grade of B, while ABT has been given a Value grade of C.
HLN is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that HLN is likely the superior value option right now.
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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. | Investors interested in stocks from the Medical - Products sector have probably already heard of Haleon PLC Sponsored ADR (HLN) and Abbott (ABT). HLN currently has a forward P/E ratio of 18.46, while ABT has a forward P/E of 21.87. ABT currently has a PEG ratio of 4.30. | Investors interested in stocks from the Medical - Products sector have probably already heard of Haleon PLC Sponsored ADR (HLN) and Abbott (ABT). Click to get this free report Haleon PLC Sponsored ADR (HLN) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. HLN currently has a forward P/E ratio of 18.46, while ABT has a forward P/E of 21.87. | These metrics, and several others, help HLN earn a Value grade of B, while ABT has been given a Value grade of C. HLN is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. Click to get this free report Haleon PLC Sponsored ADR (HLN) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors interested in stocks from the Medical - Products sector have probably already heard of Haleon PLC Sponsored ADR (HLN) and Abbott (ABT). | Investors interested in stocks from the Medical - Products sector have probably already heard of Haleon PLC Sponsored ADR (HLN) and Abbott (ABT). HLN currently has a forward P/E ratio of 18.46, while ABT has a forward P/E of 21.87. ABT currently has a PEG ratio of 4.30. |
30712.0 | 2023-10-05 00:00:00 UTC | (ABT) Ascends While Market Falls: Some Facts to Note | ABT | https://www.nasdaq.com/articles/abt-ascends-while-market-falls%3A-some-facts-to-note | nan | nan | Abbott (ABT) closed the most recent trading day at $96.20, moving +0.58% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.13%. Meanwhile, the Dow experienced a drop of 0.03%, and the technology-dominated Nasdaq saw a decrease of 0.12%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 5.82% in the past month. In that same time, the Medical sector lost 4.65%, while the S&P 500 lost 5.53%.
Market participants will be closely following the financial results of Abbott in its upcoming release. The company plans to announce its earnings on October 18, 2023. The company is predicted to post an EPS of $1.10, indicating a 4.35% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $9.78 billion, down 6.06% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.40 per share and a revenue of $39.77 billion, signifying shifts of -17.6% and -8.89%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for Abbott. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
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.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Abbott is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, Abbott is currently exchanging hands at a Forward P/E ratio of 21.74. This indicates a premium in contrast to its industry's Forward P/E of 18.5.
We can additionally observe that ABT currently boasts a PEG ratio of 4.27. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Products industry currently had an average PEG ratio of 2.59 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 90, placing it within the top 36% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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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. | Abbott (ABT) closed the most recent trading day at $96.20, moving +0.58% from the previous trading session. We can additionally observe that ABT currently boasts a PEG ratio of 4.27. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed the most recent trading day at $96.20, moving +0.58% from the previous trading session. We can additionally observe that ABT currently boasts a PEG ratio of 4.27. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed the most recent trading day at $96.20, moving +0.58% from the previous trading session. We can additionally observe that ABT currently boasts a PEG ratio of 4.27. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed the most recent trading day at $96.20, moving +0.58% from the previous trading session. We can additionally observe that ABT currently boasts a PEG ratio of 4.27. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30713.0 | 2023-10-05 00:00:00 UTC | Notable ETF Inflow Detected - VTV, BAC, ABT, BMY | ABT | https://www.nasdaq.com/articles/notable-etf-inflow-detected-vtv-bac-abt-bmy | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $610.7 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 707,610,267 to 712,114,313). Among the largest underlying components of VTV, in trading today Bank of America Corp (Symbol: BAC) is off about 0.5%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Bristol Myers Squibb Co. (Symbol: BMY) is relatively unchanged. For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average:
Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $135.25. 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 VTV, in trading today Bank of America Corp (Symbol: BAC) is off about 0.5%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Bristol Myers Squibb Co. (Symbol: BMY) is relatively unchanged. 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 VTV, in trading today Bank of America Corp (Symbol: BAC) is off about 0.5%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Bristol Myers Squibb Co. (Symbol: BMY) is relatively unchanged. For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $135.25. 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 VTV, in trading today Bank of America Corp (Symbol: BAC) is off about 0.5%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Bristol Myers Squibb Co. (Symbol: BMY) is relatively unchanged. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $610.7 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 707,610,267 to 712,114,313). For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $135.25. | Among the largest underlying components of VTV, in trading today Bank of America Corp (Symbol: BAC) is off about 0.5%, Abbott Laboratories (Symbol: ABT) is up about 0.4%, and Bristol Myers Squibb Co. (Symbol: BMY) is relatively unchanged. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $610.7 million dollar inflow -- that's a 0.6% increase week over week in outstanding units (from 707,610,267 to 712,114,313). For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $135.25. |
30714.0 | 2023-10-03 00:00:00 UTC | The Zacks Analyst Blog Highlights Abbott Laboratories, Koninklijke Philips and Smith & Nephew | ABT | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-abbott-laboratories-koninklijke-philips-and-smith-nephew | nan | nan | For Immediate Release
Chicago, IL – October 3, 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: Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN.
Here are highlights from Monday’s Analyst Blog:
3 Medical Product Stocks with Solid Dividend Yields
The Zacks Medical - Products industry is suffering from headwinds like raging inflation, higher interest rates, supply-chain disruptions and high operating costs. These factors are likely to hurt the margin for the industry players.
Amid these ongoing headwinds, the industry has declined 8.8% until Sep 28, underperforming the S&P 500 Index’s 12.5% gain and the broader Zacks Medical sector’s 7.6% decline.
Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories, Koninklijke Philips and Smith & Nephew SNATS from the Medical - Products industry to create a steady income source. These companies have consistently announced dividend hikes, thus highlighting their pro-shareholder stance.
Stocks that have a strong history of dividend growth belong to mature companies, which are less susceptible to large swings in the market, and act as a hedge against economic or political uncertainty as well as stock market volatility. At the same time, they offer downside protection with a consistent rise in payouts.
Additionally, these companies have superior fundamentals like a sustainable business model, a long track of profitability, good liquidity, a strong balance sheet and some value characteristics.
3 Medical Products Stocks to Embrace Now
In order to choose some of the best dividend stocks from the industry, we have run the Zacks Stock Screener to identify those with a dividend yield in excess of 2% and a sustainable dividend payout ratio of less than 60%.
Abbott Laboratories: Headquartered in Chicago, IL, Abbott Laboratories discovers, develops, manufactures and sells a diversified line of healthcare products. The company pays out a quarterly dividend of 51 cents ($2.04 annualized) per share, which gives it a 2.12% yield at the current stock price. This company’s payout ratio is 48%, with a five-year dividend growth rate of 14.01%. (Check Abbott’s dividend history here.)
We are impressed with Abbott’s consistent efforts to reward its shareholders through dividends and share repurchases. In February 2023, it announced an 8.5% hike in its quarterly dividend, taking the total to 51 cents per share (annualized $2.04). The company is also active on the buyback front. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. It currently has $1.71 billion available for repurchase under the share repurchase program, authorized by the board of directors in December 2021.
Koninklijke Philips: Headquartered in the Netherlands, Koninklijke Philips engages in diagnosis, treatment, monitoring & analytics, population health management, oral healthcare, mother & child care and personal care.
The company pays annualized dividends of 93 cents per share, giving it a 4.51% yield at the current stock price. Its payout ratio is 76%, with a five-year dividend growth rate of 0.39%. (Check Koninklijke Philips’ dividend history here.)
We are impressed with Koninklijke Philips’ efforts to reward its shareholders through dividends and buybacks. Its board of directors increased the annual cash dividend from 78 cents per share to 93 cents in 2023, indicating a dividend hike of 19.2%. The company is also active on the buyback front. During the fourth quarter of 2022, PHG repurchased 2.2 million shares under its share buyback program for an amount of up to 1.5 billion euros, announced in 2021. The company had contracts in place to buyback 17.4 million shares by 2022-end at a contracted value of 648 million euros.
Smith & Nephew: Headquartered in Engalnd, Smith & Nephew is a global medical device company that markets clinically superior products, principally in orthopaedics, endoscopy and wound management. SNN pays out a quarterly dividend of 28 cents ($0.90 annualized) per share, which gives it a 3.61% yield at the current stock price. This company’s five-year dividend growth rate is 3.5%. (Check Smith & Nephew’s dividend history here.)
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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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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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Abbott Laboratories (ABT) : 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. | Stocks recently featured in the blog include: Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. | Stocks recently featured in the blog include: Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include: Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. | Stocks recently featured in the blog include: Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30715.0 | 2023-10-02 00:00:00 UTC | 3 Medical Product Stocks With Solid Dividend Yield: ABT & Others | ABT | https://www.nasdaq.com/articles/3-medical-product-stocks-with-solid-dividend-yield%3A-abt-others | nan | nan | The Zacks Medical - Products industry is suffering from headwinds like raging inflation, higher interest rates, supply-chain disruptions and high operating costs. These factors are likely to hurt the margin for the industry players.
Amid these ongoing headwinds, the industry has declined 8.8% until Sep 28, underperforming the S&P 500 Index’s 12.5% gain and the broader Zacks Medical sector’s 7.6% decline.
Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN from the Medical - Products industry to create a steady income source. These companies have consistently announced dividend hikes, thus highlighting their pro-shareholder stance.
Stocks that have a strong history of dividend growth belong to mature companies, which are less susceptible to large swings in the market, and act as a hedge against economic or political uncertainty as well as stock market volatility. At the same time, they offer downside protection with a consistent rise in payouts.
Additionally, these companies have superior fundamentals like a sustainable business model, a long track of profitability, good liquidity, a strong balance sheet and some value characteristics.
3 Medical Products Stocks to Embrace Now
In order to choose some of the best dividend stocks from the industry, we have run the Zacks Stock Screener to identify those with a dividend yield in excess of 2% and a sustainable dividend payout ratio of less than 60%.
Abbott Laboratories: Headquartered in Chicago, IL, Abbott Laboratories discovers, develops, manufactures and sells a diversified line of healthcare products. The company pays out a quarterly dividend of 51 cents ($2.04 annualized) per share, which gives it a 2.12% yield at the current stock price. This company’s payout ratio is 48%, with a five-year dividend growth rate of 14.01%. (Check Abbott’s dividend history here.)
We are impressed with Abbott’s consistent efforts to reward its shareholders through dividends and share repurchases. In February 2023, it announced an 8.5% hike in its quarterly dividend, taking the total to 51 cents per share (annualized $2.04). The company is also active on the buyback front. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. It currently has $1.71 billion available for repurchase under the share repurchase program, authorized by the board of directors in December 2021.
Koninklijke Philips: Headquartered in the Netherlands, Koninklijke Philips engages in diagnosis, treatment, monitoring & analytics, population health management, oral healthcare, mother & child care and personal care.
The company pays annualized dividends of 93 cents per share, giving it a 4.51% yield at the current stock price. Its payout ratio is 76%, with a five-year dividend growth rate of 0.39%. (Check Koninklijke Philips’ dividend history here.)
We are impressed with Koninklijke Philips’ efforts to reward its shareholders through dividends and buybacks. Its board of directors increased the annual cash dividend from 78 cents per share to 93 cents in 2023, indicating a dividend hike of 19.2%. The company is also active on the buyback front. During the fourth quarter of 2022, PHG repurchased 2.2 million shares under its share buyback program for an amount of up to 1.5 billion euros, announced in 2021. The company had contracts in place to buyback 17.4 million shares by 2022-end at a contracted value of 648 million euros.
Smith & Nephew: Headquartered in Engalnd, Smith & Nephew is a global medical device company that markets clinically superior products, principally in orthopaedics, endoscopy and wound management. SNN pays out a quarterly dividend of 28 cents ($0.90 annualized) per share, which gives it a 3.61% yield at the current stock price. This company’s five-year dividend growth rate is 3.5%. (Check Smith & Nephew’s dividend history here.)
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report
Smith & Nephew SNATS, Inc. (SNN) : 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. | Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN from the Medical - Products industry to create a steady income source. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. | Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN from the Medical - Products industry to create a steady income source. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN from the Medical - Products industry to create a steady income source. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. | Owing to the rising market volatility, it would be a wise decision to focus on some dividend-paying companies like Abbott Laboratories ABT, Koninklijke Philips PHG and Smith & Nephew SNATS SNN from the Medical - Products industry to create a steady income source. During the first half of 2023, ABT repurchased approximately 7 million shares for a total cost of $725 million. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Smith & Nephew SNATS, Inc. (SNN) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30716.0 | 2023-10-01 00:00:00 UTC | 3 Revolutionary Stocks I'd Buy Right Now Without Hesitation | ABT | https://www.nasdaq.com/articles/3-revolutionary-stocks-id-buy-right-now-without-hesitation-8 | nan | nan | The healthcare industry evolves rapidly. Those companies that stay relevant often do so by breaking new ground. So it's a good idea for investors looking for exciting healthcare stocks to look at companies that have demonstrated innovative capabilities. Of course, that alone isn't enough to make them attractive picks, but it's a great start.
With that in mind, let's look at three revolutionary stocks investors can buy right now: Abbott Laboratories (NYSE: ABT), CRISPR Therapeutics (NASDAQ: CRSP), and Moderna (NASDAQ: MRNA).
1. Abbott Laboratories
As a leading medical device company, Abbott Laboratories has stood the test of time. The healthcare giant's recipe for success includes its ability to develop innovative devices that improve patients' lives. Abbott's portfolio now features dozens of products. Last year, the company won innovation awards for four of its products, including its continuous glucose monitoring (CGM) system, the FreeStyle Libre.
CGM systems have gained significant traction in recent years; they offer diabetes patients an arguably superior method (compared to blood glucose meters) for keeping track of blood sugar levels, leading to better health outcomes. Abbott is one of the two companies, along with DexCom, leading this market. The CGM space represents just one of many growth opportunities available to Abbott Laboratories.
Meanwhile, the company is also an excellent pick for income-seeking investors. Abbott is a Dividend King currently on its 51st consecutive year of payout increases, an impressive feat showing that the company's underlying business is rock-solid beyond its innovative abilities.
But Abbott Laboratories hasn't performed well on the market lately, partly because its top line is fluctuating along with the number of COVID-19 cases; it's made money selling coronavirus diagnostic tests over the past three years. However, this issue shouldn't concern long-term investors since the market would've already priced in the loss of revenue from the COVID-19 diagnostic kits. Those willing to hold the company's shares for five years or more can safely buy the stock today.
2. CRISPR Therapeutics
Gene editing refers to techniques that allow scientists to modify an organism's DNA. It holds the potential to help uncover groundbreaking cures for various illnesses, many of which have eluded researchers for years. There haven't been many gene-editing therapies approved by the U.S. Food and Drug Administration (FDA), and none so far that use the Nobel prize-winning CRISPR technique.
That could change very soon, thanks to CRISPR Therapeutics. The company's internally discovered leading candidate, developed in collaboration with Vertex Pharmaceuticals (NASDAQ: VRTX), is called exa-cel. It's currently being considered by the FDA and parallel agencies in other regions as a treatment for a pair of genetic blood-related disorders, sickle cell disease and beta-thalassemia. The first approvals could come down in December.
Exa-cel looks promising: As a one-time curative treatment for diseases for which there are few treatment options, it will almost certainly command a price tag well above $1 million, as gene-editing treatments tend to do. So even with a relatively modest initial market of 32,000 patients, the potential opportunity is vast.
Furthermore, the approval of exa-cel will serve as a stepping stone for CRISPR Therapeutics. Investors like results, and no matter how promising the company's gene-editing platform looks, it has yet to produce an FDA-approved therapy. Once CRISPR Therapeutics gets that first victory under its belt, it's open season. The company has several other candidates that should make it to the market in the next half-decade.
CRISPR Therapeutics is an excellent stock for long-term biotech investors.
3. Moderna
The technology behind mRNA vaccines has been around for decades, but none of this kind had ever been approved by the U.S. Food and Drug Administration (FDA) until 2021. Early in the pandemic, this innovative technique showed some of its full potential to the general public. The speed with which mRNA vaccines were manufactured and commercialized was impressive, and Moderna was one of the leaders.
The biotech doesn't plan on stopping there, however. With a pipeline full of investigational candidates and plenty of cash left from its success in the earlier days of its COVID vaccine, Moderna is inching closer to launching new products onto the market. The company recently announced the submission of its potential respiratory syncytial virus (RSV) vaccine to various regulatory bodies.
Meanwhile, it boasts several candidates in late-stage studies. They include an investigational cytomegalovirus vaccine (there are currently none), and a potential influenza vaccine. A third candidate is a therapy that seeks to decrease the risk of recurrence and death in melanoma patients when paired with Merck's blockbuster cancer treatment, Keytruda. Moderna has plenty more candidates in phase 2 or phase 1 studies, so its lineup should look very different in the next five years.
The stock has suffered of late, as Moderna's COVID portfolio is no longer generating the same volume of sales as it did in 2021 and 2022. But Moderna is proving that it isn't just a pandemic stock; investors who stick around for the ride will be rewarded.
10 stocks we like better than Abbott Laboratories
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Prosper Junior Bakiny has positions in Vertex Pharmaceuticals. The Motley Fool has positions in and recommends Abbott Laboratories, CRISPR Therapeutics, Merck, and Vertex Pharmaceuticals. The Motley Fool recommends DexCom and Moderna. 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. | With that in mind, let's look at three revolutionary stocks investors can buy right now: Abbott Laboratories (NYSE: ABT), CRISPR Therapeutics (NASDAQ: CRSP), and Moderna (NASDAQ: MRNA). Abbott is a Dividend King currently on its 51st consecutive year of payout increases, an impressive feat showing that the company's underlying business is rock-solid beyond its innovative abilities. But Abbott Laboratories hasn't performed well on the market lately, partly because its top line is fluctuating along with the number of COVID-19 cases; it's made money selling coronavirus diagnostic tests over the past three years. | With that in mind, let's look at three revolutionary stocks investors can buy right now: Abbott Laboratories (NYSE: ABT), CRISPR Therapeutics (NASDAQ: CRSP), and Moderna (NASDAQ: MRNA). There haven't been many gene-editing therapies approved by the U.S. Food and Drug Administration (FDA), and none so far that use the Nobel prize-winning CRISPR technique. The Motley Fool has positions in and recommends Abbott Laboratories, CRISPR Therapeutics, Merck, and Vertex Pharmaceuticals. | With that in mind, let's look at three revolutionary stocks investors can buy right now: Abbott Laboratories (NYSE: ABT), CRISPR Therapeutics (NASDAQ: CRSP), and Moderna (NASDAQ: MRNA). Abbott Laboratories As a leading medical device company, Abbott Laboratories has stood the test of time. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Abbott Laboratories wasn't one of them! | With that in mind, let's look at three revolutionary stocks investors can buy right now: Abbott Laboratories (NYSE: ABT), CRISPR Therapeutics (NASDAQ: CRSP), and Moderna (NASDAQ: MRNA). CRISPR Therapeutics is an excellent stock for long-term biotech investors. The Motley Fool has positions in and recommends Abbott Laboratories, CRISPR Therapeutics, Merck, and Vertex Pharmaceuticals. |
30717.0 | 2023-09-29 00:00:00 UTC | Want $500 in Passive Income? Invest $3,500 Into These 3 Dividend Stocks and Wait 4 Years | ABT | https://www.nasdaq.com/articles/want-%24500-in-passive-income-invest-%243500-into-these-3-dividend-stocks-and-wait-4-years | nan | nan | No return is guaranteed in the stock market. However, investors can have a high degree of certainty when it comes to dividend payments from quality companies.
Diamondback Energy (NASDAQ: FANG) offers a combination of a stable dividend and upside exposure to high energy prices. NextEra Energy Partners (NYSE: NEP) passes along returns from its massive renewable energy generation portfolio to investors in the form of dividends. AbbVie (NYSE: ABBV) is a gigantic biopharma company that reduces the risks associated with the performance of a single drug by maintaining a diversified portfolio.
Investors can expect to earn at least $500 in passive income after investing $3,500 equally in these three stocks and waiting four years. Here's why all three dividend stocks are worth buying now.
Image source: Getty Images.
A dividend stock for energy bulls
Lee Samaha (Diamondback Energy): I don't know what Diamondback's dividend will be next year, nor does the investment community at large -- and, for that matter, neither does its management. The reason is that the company returns capital to investors through a combination of a base dividend (which it intends to maintain), a variable dividend whose amount fluctuates with the price of energy and Diamondback's production, and opportunistic share buybacks.
The company's current quarterly base dividend is $0.84, equating to $3.36 a year, generating a yield of around 2.2% at the time of writing. However, the current variable dividend takes that full-year dividend up to $6.88, meaning a 4.4% dividend yield at current prices.
While it's impossible to know where the price of oil is heading, and a collapse in the price will pressure Diamondback's ability to pay its base and variable dividend, the company stands relatively well placed in the industry due to its use of hedging. Management has hedge protection at $55 a barrel of oil to protect its base dividend down to a price of oil of $40 a barrel. As I write, the price of oil is about $91.
Moreover, Diamondback is not a company generating cash by running off assets. On the contrary, management plans to increase oil production by 17% in 2023, and it has expanded its total proven reserves at a compound annual growth rate of 19.6% over the last four years.
It all adds up to the company that can pay a good dividend across a range of oil price scenarios, and if the current strength in energy prices continues, the company is likely to hike the dividend in 2024.
Give your passive income a jolt with NextEra Energy Partners
Scott Levine (NextEra Energy Partners): There's no denying the pride in getting paid for putting in a hard day's work. But there's something equally rewarding about making savvy investment decisions and getting paid for doing nothing -- an opportunity that picking up shares of NextEra Energy Partners affords. With its 5.7% forward-yielding dividend, the clean energy utility stock is a powerhouse opportunity for income investors, and the best part is that it's currently on sale.
Including nuclear, solar, and battery assets, NextEra Energy Partners operates a clean energy portfolio totaling about 67 gigawatts (GW). But wait, there's more. The company recently announced in its second-quarter 2023 financial results that it has a backlog that includes 20 GW of wind, solar, and energy storage projects.
Because the company often signs long-term power purchase agreements with customers, NextEra Energy Partners has substantial insight into future cash flows. This helps management plan for capital expenditures, including raising the dividend. Over the 15-year period from 2007 to 2022, for example, the company has increased its dividend at a compound annual growth rate of 9.9%. The company forecasts growing the dividend 10% annually through 2024, and with management guiding for adjusted earnings per share to grow 6% to 8% from 2024 to 2026, it's not far-fetched to think that the dividend will similarly rise higher.
With shares of NextEra Energy Partners changing hands at 6.3 times operating cash flow, income investors have a great opportunity to scoop up this dividend darling at a discount since the stock's five-year average cash flow multiple is 8.1.
A safer way to invest in big biopharma
Daniel Foelber (AbbVie): AbbVie is one of the most powerful biopharma companies out there. The company's objective is simple: research and develop a portfolio of aesthetic (like Botox), oncology, neuroscience, eye care, and virology drugs and treatments. The portfolio will have its winners and losers. But as long as the pipeline is strong enough, AbbVie can handle the losses of patent exclusivity, which is what happened recently with its top drug Humira.
AbbVie's strong portfolio of products has led to growth in the stock price (up 77.8% in the last three years) and dividend growth. Including the years prior to the split from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie is a Dividend King. In fact, it is one of just seven large-cap Dividend Kings with a yield of over 3%.
AbbVie has the growth and the income of an excellent investment. And to top it all off, it also has an inexpensive valuation, with a forward price to earnings ratio of just 13.8.
The greatest risk with AbbVie is that future earnings and its ability to pay a growing dividend depend on coming up with new blockbuster drugs. That is no easy feat. But AbbVie has a track record of maintaining a capable pipeline. And for that reason, it's the best overall big biopharma stock out there.
10 stocks we like better than Diamondback Energy
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Daniel Foelber has no position in any of the stocks mentioned. Lee Samaha has no position in any of the stocks mentioned. Scott Levine 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. | Including the years prior to the split from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie is a Dividend King. On the contrary, management plans to increase oil production by 17% in 2023, and it has expanded its total proven reserves at a compound annual growth rate of 19.6% over the last four years. Because the company often signs long-term power purchase agreements with customers, NextEra Energy Partners has substantial insight into future cash flows. | Including the years prior to the split from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie is a Dividend King. Give your passive income a jolt with NextEra Energy Partners Scott Levine (NextEra Energy Partners): There's no denying the pride in getting paid for putting in a hard day's work. Including nuclear, solar, and battery assets, NextEra Energy Partners operates a clean energy portfolio totaling about 67 gigawatts (GW). | Including the years prior to the split from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie is a Dividend King. A dividend stock for energy bulls Lee Samaha (Diamondback Energy): I don't know what Diamondback's dividend will be next year, nor does the investment community at large -- and, for that matter, neither does its management. The reason is that the company returns capital to investors through a combination of a base dividend (which it intends to maintain), a variable dividend whose amount fluctuates with the price of energy and Diamondback's production, and opportunistic share buybacks. | Including the years prior to the split from Abbott Laboratories (NYSE: ABT) in 2013, AbbVie is a Dividend King. The reason is that the company returns capital to investors through a combination of a base dividend (which it intends to maintain), a variable dividend whose amount fluctuates with the price of energy and Diamondback's production, and opportunistic share buybacks. AbbVie's strong portfolio of products has led to growth in the stock price (up 77.8% in the last three years) and dividend growth. |
30718.0 | 2023-09-28 00:00:00 UTC | The Zacks Analyst Blog Highlights Alphabet, Exxon Mobil, Merck, Abbott Laboratories and NextEra Energy | ABT | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-alphabet-exxon-mobil-merck-abbott-laboratories-and | nan | nan | For Immediate Release
Chicago, IL – September 28, 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: Alphabet Inc. GOOGL, Exxon Mobil Corp. XOM, Merck & Co., Inc. MRK, Abbott Laboratories ABT and NextEra Energy, Inc. NEE.
Here are highlights from Wednesday’s Analyst Blog:
Top Stock Reports for Alphabet, Exxon Mobil and Merck
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 Alphabet Inc., Exxon Mobil Corp. and Merck & Co., 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 Alphabet have outperformed the Zacks Internet - Services industry over the year-to-date period (+45.7% vs. +43.9%). The company's strong cloud division is aiding substantial revenue growth. Moreover, expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results.
Also, strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on wearables category remains a tailwind. Alphabet's expanding presence in the autonomous driving space is contributing well. Its growing efforts to gain foothold in the healthcare industry are other positives.
However, sluggishness in the company's Network advertisement business remains a headwind. Additionally, its growing litigation issues and increasing expenses are concerns.
(You can read the full research report on Alphabet here >>>)
Shares of Exxon Mobil have outperformed the Zacks Oil and Gas - Integrated - International industry over the year-to-date period (+8.2% vs. +6.2%). The company's bellwether status and an optimal integrated capital structure that has historically produced industry-leading returns make it a relatively lower-risk energy sector play.
In Stabroek Block, located off the coast of Guyana, ExxonMobil has made many major discoveries that significantly improve its production outlook. The advantaged growth projects of Guyana have lower greenhouse gas intensity than most of the oil and gas-producing resources across the globe.
However, the firm's dividend yield is lower than the composite stocks belonging to the industry. Thus, ExxonMobil is lagging its peers when it comes to shareholders' returns. Also, it demonstrates a higher level of operational volatility than the broader market.
(You can read the full research report on Exxon Mobil here >>>)
Merck's shares have gained +24.7% over the past year against the Zacks Large Cap Pharmaceuticals industry's gain of +26.7%. The company's products like Keytruda and Gardasil have been driving sales. With continued label expansion into new indications, particularly earlier-line launches, Keytruda is expected to remain a key top-line driver.
Animal health and vaccine products are core growth drivers. Merck boasts a strong cancer pipeline, including Keytruda, which should drive long-term growth. Merck is investing in M&A activity to strengthen its pipeline.
However, generic competition for several drugs and rising competitive pressure, mainly on the diabetes franchise, will continue to be overhangs on the top line. There are concerns about Merck's ability to grow its non-oncology business ahead of Keytruda's loss of exclusivity later in the decade.
(You can read the full research report on Merck here >>>)
Other noteworthy reports we are featuring today include Abbott Laboratories and NextEra Energy, Inc.
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Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.”
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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. | Stocks recently featured in the blog include: Alphabet Inc. GOOGL, Exxon Mobil Corp. XOM, Merck & Co., Inc. MRK, Abbott Laboratories ABT and NextEra Energy, Inc. NEE. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. The company's bellwether status and an optimal integrated capital structure that has historically produced industry-leading returns make it a relatively lower-risk energy sector play. | Stocks recently featured in the blog include: Alphabet Inc. GOOGL, Exxon Mobil Corp. XOM, Merck & Co., Inc. MRK, Abbott Laboratories ABT and NextEra Energy, Inc. NEE. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : 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 Alphabet Inc., Exxon Mobil Corp. and Merck & Co., Inc. | Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include: Alphabet Inc. GOOGL, Exxon Mobil Corp. XOM, Merck & Co., Inc. MRK, Abbott Laboratories ABT and NextEra Energy, Inc. NEE. Here are highlights from Wednesday’s Analyst Blog: Top Stock Reports for Alphabet, Exxon Mobil and Merck The Zacks Research Daily presents the best research output of our analyst team. | Stocks recently featured in the blog include: Alphabet Inc. GOOGL, Exxon Mobil Corp. XOM, Merck & Co., Inc. MRK, Abbott Laboratories ABT and NextEra Energy, Inc. NEE. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : 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 Alphabet Inc., Exxon Mobil Corp. and Merck & Co., Inc. |
30719.0 | 2023-09-28 00:00:00 UTC | Abbott (ABT) Rides on Nutrition Recovery Amid Low Testing Sales | ABT | https://www.nasdaq.com/articles/abbott-abt-rides-on-nutrition-recovery-amid-low-testing-sales | nan | nan | Abbott’s ABT branded generics and international diabetes businesses continue to drive growth for the company. Yet, the business environment continues to be challenging. The stock carries a Zacks Rank #3 (Hold).
Abbott is expanding its Diagnostics business foothold (consisting of nearly 30% of the company’s total revenues in the second quarter of 2023). Although, over the past few quarters, there has been a decline in demand for Abbott’s rapid diagnostic tests to detect COVID-19, it is largely being offset by higher growth across other businesses. Particularly, in the United States and Europe, Abbott is experiencing increased demand for routine diagnostic testing.
Following the massive setback related to the voluntary recall and production stoppage of certain infant powder formula products manufactured at its facility in Sturgis, MI last year, Abbott’s Nutrition business has started showing signs of recovery since the beginning of 2023. Per the last update on the second-quarterearnings call the company has made good progress in increasing manufacturing production. It has now recovered approximately 75% of the market share in the infant formula business. Adult nutrition is also gaining momentum, backed by the strong global sales performance of Abbott's complete and balanced nutrition brand, Ensure.
Further, Abbott’s Established Pharmaceuticals Division (EPD) operates solely in emerging geographies, with leading positions in many of the largest and fastest-growing pharmaceutical markets for branded generics in the world. These markets include India, Russia, China and Latin America. The company recently noted that banking on the successful execution of its Branded Generic operating model, EPD is well positioned for sustained growth in many of these growing pharmaceutical markets.
Image Source: Zacks Investment Research
On the flip side, during the COVID-19 public health emergency, Abbott’s diagnostic tests witnessed stupendous revenue growth backed by increasing demand for testing as well as government-enacted favorable policies to expedite or promote access to healthcare in order to slow down or stop the spread of the virus. However, through the last few months of 2022 and following the official ending of the public health emergency in May, Abbott experienced a continuous decline in COVID testing-related demand.
Meanwhile, Abbott, in trying to expand its nutrition business in emerging markets, is facing weakness in Greater China due to challenging market dynamics. In pediatric nutrition, the company is apprehensive about the new food safety regulations and a consequent oversupply of products in the market. In December 2022, Abbott initiated steps to exit its pediatric nutrition business in China. The withdrawal of business from the Chinese market, which holds a significant share of Abbott’s pediatric nutrition sales, is going to significantly impact Abbott’s overall Nutrition business in the coming period.
Shares of Abbott have underperformed the industry over the past year. The stock has lost 2.8% compared with the industry’s 2.6% decline.
Key Picks
Some better-ranked stocks in the broader medical space are Haemonetics HAE, Intuitive Surgical ISRG and Quanterix QTRX.
Haemonetics has an estimated earnings growth rate of 26.1% for fiscal 2024 compared with the industry’s 18.7%. HAE’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 19.39%. Its shares have rallied 18.3% against the industry’s 0.5% fall in the past year.
HAE carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Intuitive Surgical, carrying a Zacks Rank #2 at present, has a long-term estimated earnings growth rate of 15.7% compared with the industry’s 15.5%. Shares of the company have rallied 51.1% compared with the industry’s 1.8% growth over the past year.
ISRG’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 4.19%.
Quanterix, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 62.8% for the current year compared with the industry’s 15.2%. Shares of QTRX have surged 145.6% against the industry’s 0.8% decline over the past year.
Quanterix’s earnings surpassed estimates in each of the trailing four quarters, delivering an average earnings surprise of 30.39%. In the last reported quarter, it posted an earnings surprise of 55.56%.
Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.”
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report
Haemonetics Corporation (HAE) : Free Stock Analysis Report
Quanterix Corporation (QTRX) : 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. | Abbott’s ABT branded generics and international diabetes businesses continue to drive growth for the company. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Although, over the past few quarters, there has been a decline in demand for Abbott’s rapid diagnostic tests to detect COVID-19, it is largely being offset by higher growth across other businesses. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott’s ABT branded generics and international diabetes businesses continue to drive growth for the company. Image Source: Zacks Investment Research On the flip side, during the COVID-19 public health emergency, Abbott’s diagnostic tests witnessed stupendous revenue growth backed by increasing demand for testing as well as government-enacted favorable policies to expedite or promote access to healthcare in order to slow down or stop the spread of the virus. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott’s ABT branded generics and international diabetes businesses continue to drive growth for the company. The withdrawal of business from the Chinese market, which holds a significant share of Abbott’s pediatric nutrition sales, is going to significantly impact Abbott’s overall Nutrition business in the coming period. | Abbott’s ABT branded generics and international diabetes businesses continue to drive growth for the company. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Meanwhile, Abbott, in trying to expand its nutrition business in emerging markets, is facing weakness in Greater China due to challenging market dynamics. |
30720.0 | 2023-09-28 00:00:00 UTC | After Plunging -8.5% in 4 Weeks, Here's Why the Trend Might Reverse for Abbott (ABT) | ABT | https://www.nasdaq.com/articles/after-plunging-8.5-in-4-weeks-heres-why-the-trend-might-reverse-for-abbott-abt | nan | nan | A downtrend has been apparent in Abbott (ABT) lately with too much selling pressure. The stock has declined 8.5% over the past four weeks. However, given the fact that it is now in oversold territory and Wall Street analysts are majorly in agreement about the company's ability to report better earnings than they predicted earlier, the stock could be due for a turnaround.
Here is How to Spot Oversold Stocks
We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator that measures the speed and change of price movements.
RSI oscillates between zero and 100. Usually, a stock is considered oversold when its RSI reading falls below 30.
Technically, every stock oscillates between being overbought and oversold irrespective of the quality of their fundamentals. And the beauty of RSI is that it helps you quickly and easily check if a stock's price is reaching a point of reversal.
So, by this measure, if a stock has gotten too far below its fair value just because of unwarranted selling pressure, investors may start looking for entry opportunities in the stock for benefitting from the inevitable rebound.
However, like every investing tool, RSI has its limitations, and should not be used alone for making an investment decision.
Why a Trend Reversal is Due for ABT
The RSI reading of 22.54 for ABT is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand.
This technical indicator is not the only factor that calls for a potential rebound for the stock. There is a fundamental indicator as well. A strong agreement among sell-side analysts covering ABT in raising earnings estimates for the current year has led to an increase in the consensus EPS estimate by 0% over the last 30 days. And an upward trend in earnings estimate revisions usually translates into price appreciation in the near term.
Moreover, ABT currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than the 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises. This is a more conclusive indication of the stock's potential turnaround in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.”
Download Free ChatGPT Stock Report Right Now >>
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
Abbott Laboratories (ABT) : 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. | A downtrend has been apparent in Abbott (ABT) lately with too much selling pressure. Why a Trend Reversal is Due for ABT The RSI reading of 22.54 for ABT is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand. A strong agreement among sell-side analysts covering ABT in raising earnings estimates for the current year has led to an increase in the consensus EPS estimate by 0% over the last 30 days. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. A downtrend has been apparent in Abbott (ABT) lately with too much selling pressure. Why a Trend Reversal is Due for ABT The RSI reading of 22.54 for ABT is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand. | Why a Trend Reversal is Due for ABT The RSI reading of 22.54 for ABT is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand. A downtrend has been apparent in Abbott (ABT) lately with too much selling pressure. A strong agreement among sell-side analysts covering ABT in raising earnings estimates for the current year has led to an increase in the consensus EPS estimate by 0% over the last 30 days. | A strong agreement among sell-side analysts covering ABT in raising earnings estimates for the current year has led to an increase in the consensus EPS estimate by 0% over the last 30 days. A downtrend has been apparent in Abbott (ABT) lately with too much selling pressure. Why a Trend Reversal is Due for ABT The RSI reading of 22.54 for ABT is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand. |
30721.0 | 2023-09-27 00:00:00 UTC | IWB, BAC, LIN, ABT: ETF Outflow Alert | ABT | https://www.nasdaq.com/articles/iwb-bac-lin-abt%3A-etf-outflow-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 iShares Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $257.5 million dollar outflow -- that's a 0.9% decrease week over week (from 125,150,000 to 124,050,000). Among the largest underlying components of IWB, in trading today Bank of America Corp (Symbol: BAC) is up about 0.7%, Linde PLC (Symbol: LIN) is up about 0.5%, and Abbott Laboratories (Symbol: ABT) is lower by about 0.1%. 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 $252.935 as the 52 week high point — that compares with a last trade of $234.60. 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 experienced notable outflows »
Also see:
EWGS shares outstanding history
Institutional Holders of United Airlines Holdings
ACND YTD Return
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 Bank of America Corp (Symbol: BAC) is up about 0.7%, Linde PLC (Symbol: LIN) is up about 0.5%, and Abbott Laboratories (Symbol: ABT) 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 IWB, in trading today Bank of America Corp (Symbol: BAC) is up about 0.7%, Linde PLC (Symbol: LIN) is up about 0.5%, and Abbott Laboratories (Symbol: ABT) is lower by about 0.1%. 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 $252.935 as the 52 week high point — that compares with a last trade of $234.60. 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). | Among the largest underlying components of IWB, in trading today Bank of America Corp (Symbol: BAC) is up about 0.7%, Linde PLC (Symbol: LIN) is up about 0.5%, and Abbott Laboratories (Symbol: ABT) 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 Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $257.5 million dollar outflow -- that's a 0.9% decrease week over week (from 125,150,000 to 124,050,000). 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 $252.935 as the 52 week high point — that compares with a last trade of $234.60. | Among the largest underlying components of IWB, in trading today Bank of America Corp (Symbol: BAC) is up about 0.7%, Linde PLC (Symbol: LIN) is up about 0.5%, and Abbott Laboratories (Symbol: ABT) 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 Russell 1000 ETF (Symbol: IWB) where we have detected an approximate $257.5 million dollar outflow -- that's a 0.9% decrease week over week (from 125,150,000 to 124,050,000). 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 $252.935 as the 52 week high point — that compares with a last trade of $234.60. |
30722.0 | 2023-09-27 00:00:00 UTC | Abbott (ABT) Stock Sinks As Market Gains: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-stock-sinks-as-market-gains%3A-what-you-should-know-7 | nan | nan | In the latest trading session, Abbott (ABT) closed at $95.53, marking a -0.73% move from the previous day. This change lagged the S&P 500's 0.02% gain on the day. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq gained 0.22%.
Heading into today, shares of the maker of infant formula, medical devices and drugs had lost 7.36% over the past month, lagging the Medical sector's loss of 2.7% and the S&P 500's loss of 2.86% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. On that day, Abbott is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 4.35%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.78 billion, down 6.09% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.40 per share and revenue of $39.77 billion. These totals would mark changes of -17.6% and -8.89%, respectively, from last year.
Any recent changes to analyst estimates for Abbott 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. 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 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 remained stagnant within the past month. Abbott is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that Abbott has a Forward P/E ratio of 21.88 right now. Its industry sports an average Forward P/E of 18.25, so we one might conclude that Abbott is trading at a premium comparatively.
It is also worth noting that ABT currently has a PEG ratio of 4.3. 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. ABT's industry had an average PEG ratio of 2.62 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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In addition to the investment ideas discussed above, would you like to know about our 10 top picks for 2023?
From inception in 2012 through November, the Zacks Top 10 Stocks portfolio has tripled the market, gaining an impressive +884.5% versus the S&P 500’s +287.4%. Our Director of Research has now combed through 4,000 companies covered by the Zacks Rank and handpicked the best 10 tickers to buy and hold in 2023. Don’t miss your chance to still be among the first to get in on these just-released stocks.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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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. | In the latest trading session, Abbott (ABT) closed at $95.53, marking a -0.73% move from the previous day. It is also worth noting that ABT currently has a PEG ratio of 4.3. ABT's industry had an average PEG ratio of 2.62 as of yesterday's close. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Abbott (ABT) closed at $95.53, marking a -0.73% move from the previous day. It is also worth noting that ABT currently has a PEG ratio of 4.3. | In the latest trading session, Abbott (ABT) closed at $95.53, marking a -0.73% move from the previous day. It is also worth noting that ABT currently has a PEG ratio of 4.3. ABT's industry had an average PEG ratio of 2.62 as of yesterday's close. | In the latest trading session, Abbott (ABT) closed at $95.53, marking a -0.73% move from the previous day. It is also worth noting that ABT currently has a PEG ratio of 4.3. ABT's industry had an average PEG ratio of 2.62 as of yesterday's close. |
30723.0 | 2023-09-27 00:00:00 UTC | Top Stock Reports for Alphabet, Exxon Mobil & Merck | ABT | https://www.nasdaq.com/articles/top-stock-reports-for-alphabet-exxon-mobil-merck | nan | nan | Wednesday, September 27, 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 Alphabet Inc. (GOOGL), Exxon Mobil Corp. (XOM) and Merck & Co., Inc. (MRK). 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 Alphabet have outperformed the Zacks Internet - Services industry over the year-to-date period (+45.7% vs. +43.9%). The company’s strong cloud division is aiding substantial revenue growth. Moreover, expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results.
Also, strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on wearables category remains a tailwind. Alphabet’s expanding presence in the autonomous driving space is contributing well. Its growing efforts to gain foothold in the healthcare industry are other positives.
However, sluggishness in the company’s Network advertisement business remains a headwind. Additionally, its growing litigation issues and increasing expenses are concerns.
(You can read the full research report on Alphabet here >>>)
Shares of Exxon Mobil have outperformed the Zacks Oil and Gas - Integrated - International industry over the year-to-date period (+8.2% vs. +6.2%). The company’s bellwether status and an optimal integrated capital structure that has historically produced industry-leading returns make it a relatively lower-risk energy sector play.
In Stabroek Block, located off the coast of Guyana, ExxonMobil has made many major discoveries that significantly improve its production outlook. The advantaged growth projects of Guyana have lower greenhouse gas intensity than most of the oil and gas-producing resources across the globe.
However, the firm’s dividend yield is lower than the composite stocks belonging to the industry. Thus, ExxonMobil is lagging its peers when it comes to shareholders’ returns. Also, it demonstrates a higher level of operational volatility than the broader market.
(You can read the full research report on Exxon Mobil here >>>)
Merck’s shares have gained +24.7% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +26.7%. The company’s products like Keytruda and Gardasil have been driving sales. With continued label expansion into new indications, particularly earlier-line launches, Keytruda is expected to remain a key top-line driver.
Animal health and vaccine products are core growth drivers. Merck boasts a strong cancer pipeline, including Keytruda, which should drive long-term growth. Merck is investing in M&A activity to strengthen its pipeline.
However, generic competition for several drugs and rising competitive pressure, mainly on the diabetes franchise, will continue to be overhangs on the top line. There are concerns about Merck’s ability to grow its non-oncology business ahead of Keytruda’s loss of exclusivity later in the decade.
(You can read the full research report on Merck here >>>)
Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Intuit Inc. (INTU) and NextEra Energy, Inc. (NEE).
Mark Vickery
Senior Editor
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
Solid Momentum in Cloud Business Benefits Alphabet (GOOGL)
ExxonMobil (XOM) Banks on Oil-Rich Offshore Guyana Assets
Keytruda to Remain Merck's (MRK) Key Top-Line Driver
Featured Reports
Organic Sales Gain, EPD Business Growth Aid Abbott (ABT)
The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Within Established Pharmaceuticals, robust performance in key emerging markets is encouraging.
Intuit (INTU) Rides on Product Refresh, Higher Subscriptions
Per the Zacks analyst, Intuit is benefiting from frequent product refreshes, which help it to gain customers. Moreover, increase in subscriptions is driving stable revenue growth for the company.
NextEra (NEE) Gains from Steady Investment, Renewable Focus
Per the Zacks analyst, NextEra's planned investment $53 billion through 2027 to enhance clean electricity generation and strengthen its infrastructure will boost its profitability.
Investments, Cost Control to Aid Vale (VALE) Amid Low Prices
Per the Zacks analyst, investment in growth projects, focus on improving quality and productivity and efforts to lower costs will fuel Vale's growth in the current backdrop of low iron ore prices.
Paychex (PAYX) Gains From Segmental Growth, Rising Costs Ail
Per the Zacks analyst, growing service revenue driven by impressive performance from Management Solutions and PEO and Insurance Solutions bodes well for Paychex. Rising expenses remain a concern.
Expanding Market Share Aids MarketAxess (MKTX), High Costs Hurt
Per the Zacks analyst, growing revenues driven by solid market share gains in Eurobonds and Emerging Markets poise MarketAxess well for growth. However, escalating expenses remain a concern.
Strategic Partnerships to Support Affiliated Managers (AMG)
Per the Zacks analyst, Affiliated Managers is poised to produce material growth through new investments given a solid balance sheet. Its portfolio offers a competitive edge in fulfilling client needs.
New Upgrades
Matador (MTDR) Banks on Prolific Delaware Basin Acreages
Per the Zacks analyst, Matador Resources will benefit from its Delaware acreages, Eagle Ford presence and improved well performance, aided by reduction in key service costs.
Investments, Appalachian Assets Aid National Fuel Gas (NFG)
Per the Zacks analyst, National Fuel Gas' systematic investment to further strengthen its midstream operations and strong presence in the Appalachian region will boost its performance.
Strength in Aerie to Augment American Eagle's (AEO) Top-Line
Per the Zacks analyst, American Eagle's Aerie brand has been gaining from solid demand in its activewear category - OFFLINE. The brand is on track to reach its next milestone of $2 billion in sales.
New Downgrades
Soft Product Shipment & Higher Costs to Hurt Dolby (DLB)
Per the Zacks analyst, Dolby's performance is affected by lower shipments in PC and consumer electronics. Also, rising research and development cost is an added concern.
Weakness in Communication Market Ails Analog Devices (ADI)
Per the Zacks analyst, Analog Devices is suffering sluggishness in communication end market due to ongoing inventory corrections.
MasTec (MTZ) is Hurting from High Costs & Project Delays
Per the Zacks analyst, high-cost environment, project delays, supply chain disruptions and extended lead times for interconnection agreements adversely impact MasTec's growth prospects.
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In addition to the investment ideas discussed above, would you like to know about our 10 top picks for 2023?
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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. | Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Intuit Inc. (INTU) 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 Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) ExxonMobil (XOM) Banks on Oil-Rich Offshore Guyana Assets Keytruda to Remain Merck's (MRK) Key Top-Line Driver Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) ExxonMobil (XOM) Banks on Oil-Rich Offshore Guyana Assets Keytruda to Remain Merck's (MRK) Key Top-Line Driver Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Intuit Inc. (INTU) 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 Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) ExxonMobil (XOM) Banks on Oil-Rich Offshore Guyana Assets Keytruda to Remain Merck's (MRK) Key Top-Line Driver Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Intuit Inc. (INTU) 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 Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) ExxonMobil (XOM) Banks on Oil-Rich Offshore Guyana Assets Keytruda to Remain Merck's (MRK) Key Top-Line Driver Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Intuit Inc. (INTU) and NextEra Energy, Inc. (NEE). Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30724.0 | 2023-09-26 00:00:00 UTC | Will Insulet (PODD) Stock Recover To Its Pre-Inflation Shock Highs of $300? | ABT | https://www.nasdaq.com/articles/will-insulet-podd-stock-recover-to-its-pre-inflation-shock-highs-of-%24300 | nan | nan | Insulet stock (NASDAQ: PODD) currently trades at $156 per share, about 29% lower than the level seen in early June 2022, just before the Fed started increasing rates, compared to 14% gains for the S&P 500 during this period. This underperformance can partly be attributed to investors’ concerns about the potential negative impact of new diabetes drugs on the sales of Insulet’s insulin pumps. The reduced risk of cardiovascular events for obesity drugs of Novo Nordisk and likely Eli Lilly may result in broader applications of obesity drugs weighing on insulin pumps demand used to manage diabetes.
Interestingly, Insulet stock has had a Sharpe Ratio of 0.7 since early 2017, higher than 0.6 for the S&P 500 Index over the same period. This compares with the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
Returning to the pre-inflation shock level of $318 means that PODD stock will have to gain more than 100% from here. We believe that will likely materialize over time. PODD currently trades at 10x revenues compared to its last five-year average of 19x, implying that the stock is undervalued. Insulet has enjoyed lofty valuation multiples in the past due to its strong top and bottom-line growth. Our Insulet Valuation Ratios Comparison dashboard has more details.
2022 Inflation Shock
Timeline of Inflation Shock So Far:
2020 – early 2021: Increase in money supply to cushion the impact of lockdowns led to high demand for goods; producers unable to match up.
Early 2021: Shipping snarls and worker shortages from the coronavirus pandemic continue to hurt supply
April 2021: Inflation rates cross 4% and increase rapidly
Early 2022: Energy and food prices spike due to the Russian invasion of Ukraine. Fed begins its rate hike process
June 2022: Inflation levels peak at 9% – the highest level in 40 years. The S&P 500 index declines more than 20% from peak levels.
July – September 2022: Fed hikes interest rates aggressively – resulting in an initial recovery in the S&P 500 followed by another sharp decline
October 2022 – July 2023: Fed continues rate hike process; improving market sentiments help S&P500 recoup some of its losses
Since August 2023: Fed keeps interest rates unchanged to quell fears of a recession, although another rate hike remains on the cards.
In contrast, here’s how PODD stock and the broader market performed during the 2007/2008 crisis.
Timeline of 2007-08 Crisis
10/1/2007: Approximate pre-crisis peak in S&P 500 index.
9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08).
3/1/2009: Approximate bottoming out of S&P 500 index.
12/31/2009: Initial recovery to levels before accelerated decline (around 9/1/2008).
Insulet And S&P500 Performance During 2007-08 Financial Crisis
PODD stock saw a 70% decline from $21 in September 2007 (pre-crisis peak) to $6 in March 2009 (as the markets bottomed out). It recovered sharply post the 2008 crisis to levels of around $14 in early 2010, rising about 133% between March 2009 and January 2010. The S&P 500 Index saw a decline of 51%, falling from levels of 1,540 in September 2007 to 757 in March 2009. It then rallied 48% between March 2009 and January 2010 to reach levels of 1,124.
Insulet’s Fundamentals Over Recent Years
Insulet’s revenue rose 2x to $1.5 billion over the last twelve months, compared to $0.7 billion in 2019. Market share gains for its Omnipod system have buoyed Insulet’s revenue growth. The aging population in the U.S. and its rising awareness about diabetes products have aided the demand for insulin products. While the company saw stellar revenue growth, it saw its operating margin contract from 6.7% in 2019 to 5.8% now. Our Insulet Operating Income Comparison dashboard has more details.
Does Insulet Have A Sufficient Cash Cushion To Meet Its Obligations Through The Ongoing Inflation Shock?
Insulet’s total debt increased from $0.9 billion in 2019 to $1.4 billion now, while its cash increased from around $376 million to $675 million over this period. The company also garnered $152 million in cash flows from operations in the last twelve months. Given its solid cash cushion, the company is in a good position to service its near-term obligations.
Conclusion
With the Fed’s efforts to tame runaway inflation rates helping market sentiment, we believe PODD stock has the potential for gains once fears of a potential recession are allayed. That said, the concerns over the broader application of obesity drugs and its impact on Insulet remain a key risk factor for realizing these gains.
While PODD stock looks like it can see higher levels over time, it is helpful to see how Insulet’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Sep 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
PODD Return -19% -47% 313%
S&P 500 Return -4% 13% 93%
Trefis Reinforced Value Portfolio -6% 23% 532%
[1] Month-to-date and year-to-date as of 9/25/2023
[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. | Insulet stock (NASDAQ: PODD) currently trades at $156 per share, about 29% lower than the level seen in early June 2022, just before the Fed started increasing rates, compared to 14% gains for the S&P 500 during this period. This underperformance can partly be attributed to investors’ concerns about the potential negative impact of new diabetes drugs on the sales of Insulet’s insulin pumps. Insulet And S&P500 Performance During 2007-08 Financial Crisis PODD stock saw a 70% decline from $21 in September 2007 (pre-crisis peak) to $6 in March 2009 (as the markets bottomed out). | Fed begins its rate hike process June 2022: Inflation levels peak at 9% – the highest level in 40 years. July – September 2022: Fed hikes interest rates aggressively – resulting in an initial recovery in the S&P 500 followed by another sharp decline October 2022 – July 2023: Fed continues rate hike process; improving market sentiments help S&P500 recoup some of its losses Since August 2023: Fed keeps interest rates unchanged to quell fears of a recession, although another rate hike remains on the cards. Conclusion With the Fed’s efforts to tame runaway inflation rates helping market sentiment, we believe PODD stock has the potential for gains once fears of a potential recession are allayed. | Insulet stock (NASDAQ: PODD) currently trades at $156 per share, about 29% lower than the level seen in early June 2022, just before the Fed started increasing rates, compared to 14% gains for the S&P 500 during this period. July – September 2022: Fed hikes interest rates aggressively – resulting in an initial recovery in the S&P 500 followed by another sharp decline October 2022 – July 2023: Fed continues rate hike process; improving market sentiments help S&P500 recoup some of its losses Since August 2023: Fed keeps interest rates unchanged to quell fears of a recession, although another rate hike remains on the cards. Insulet And S&P500 Performance During 2007-08 Financial Crisis PODD stock saw a 70% decline from $21 in September 2007 (pre-crisis peak) to $6 in March 2009 (as the markets bottomed out). | Insulet stock (NASDAQ: PODD) currently trades at $156 per share, about 29% lower than the level seen in early June 2022, just before the Fed started increasing rates, compared to 14% gains for the S&P 500 during this period. Interestingly, Insulet stock has had a Sharpe Ratio of 0.7 since early 2017, higher than 0.6 for the S&P 500 Index over the same period. Returning to the pre-inflation shock level of $318 means that PODD stock will have to gain more than 100% from here. |
30725.0 | 2023-09-26 00:00:00 UTC | Prestige Consumer (PBH) Stock Rallies 20% in a Year: Here's Why | ABT | https://www.nasdaq.com/articles/prestige-consumer-pbh-stock-rallies-20-in-a-year%3A-heres-why | nan | nan | Prestige Consumer Healthcare Inc. PBH looks strong, with its shares up 19.8% in the past year compared with the industry’s growth of 2.9%. This Zacks Rank #2 (Buy) company has been well-positioned due to the strength of its brand portfolio and growing e-commerce presence. Impressive demand is another key driver.
Over the past 60 days, the Zacks Consensus Estimate for this fiscal year's earnings per share (EPS) has increased by a cent to $4.31. Additionally, the consensus mark for fiscal 2024 sales and earnings suggests a nearly 2.4% rise each from the respective figure reported in the year-ago period.
Key Advantages
Prestige Consumer prides itself on its robust healthcare brand portfolio and has strategically undertaken lucrative acquisitions to strengthen it further. The acquisition of TheraTears and four other over-the-counter consumer brands in the VMS and Cough & Cold categories from Akorn Operating Company LLC, completed in July 2021, holds promising long-term prospects. These acquisitions, along with products like Clear Eyes, have solidified PBH's position in the eye care market.
Image Source: Zacks Investment Research
The company has been investing in e-commerce initiatives over multiple years, a strategy that paid off well in the first quarter of fiscal 2024 due to the surge in online shopping. Prestige Consumer's e-commerce operations have thrived due to the company’s targeted marketing and content, effective product assortment and substantial investments across various e-commerce partners.
Q1 Revenues and Fiscal 2024 Guidance
In the first quarter of fiscal 2024, Prestige Consumer reported total revenues of $279.3 million, marking a 0.8% increase, which surpassed the Zacks Consensus Estimate of $278 million. Excluding currency impacts, revenues jumped 7.8%. Revenues were backed by broad-based strength in North America.
Prestige Consumer's success can be attributed to its diverse portfolio, brand-building efforts and commitment to exceptional customer service. The company experienced growth across various categories, such as gastrointestinal and dermatological products, positioning itself favorably for fiscal 2024.
Management anticipates organic revenue growth of 1-2% for fiscal 2024, with revenues projected to fall in the range of $1,135-1,140 million compared to $1,127.7 million in fiscal 2023. Additionally, Prestige Consumer envisions an EPS range of $4.27-$4.32 for fiscal 2024. In fiscal 2023, the company posted a loss of $1.65 per share and an adjusted EPS of 4.21.
3 Other Bets
Here, we have highlighted three other top-ranked stocks.
Koninklijke Philips N.V. PHG, a health technology company, currently sports a Zacks Rank #1 (Strong Buy). PHG delivered a positive earnings surprise in the last reported quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Koninklijke Philips’ current fiscal year EPS suggests growth of 9.9% from the year-ago reported figure.
LeMaitre Vascular, Inc. LMAT has a trailing four-quarter earnings surprise of 2.3%, on average. LMAT, which designs, markets, sells, services and supports medical devices and implants for the treatment of peripheral vascular disease, sports a Zacks Rank #1 at present.
The Zacks Consensus Estimate for LeMaitre Vascular’s current financial-year EPS suggests growth of 21.5% from the year-ago reported figure.
Abbott Laboratories ABT, a healthcare product company, currently carries a Zacks Rank #2.
The Zacks Consensus Estimate for Abbott Laboratories’ current financial-year EPS suggests a decline of 17.6% from the year-ago reported figure. ABT has a trailing four-quarter earnings surprise of 12.4%, on average.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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LeMaitre Vascular, Inc. (LMAT) : 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. | Abbott Laboratories ABT, a healthcare product company, currently carries a Zacks Rank #2. ABT has a trailing four-quarter earnings surprise of 12.4%, on average. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Prestige Consumer Healthcare Inc. (PBH) : Free Stock Analysis Report LeMaitre Vascular, Inc. (LMAT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Prestige Consumer Healthcare Inc. (PBH) : Free Stock Analysis Report LeMaitre Vascular, Inc. (LMAT) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT, a healthcare product company, currently carries a Zacks Rank #2. ABT has a trailing four-quarter earnings surprise of 12.4%, on average. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Prestige Consumer Healthcare Inc. (PBH) : Free Stock Analysis Report LeMaitre Vascular, Inc. (LMAT) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT, a healthcare product company, currently carries a Zacks Rank #2. ABT has a trailing four-quarter earnings surprise of 12.4%, on average. | Abbott Laboratories ABT, a healthcare product company, currently carries a Zacks Rank #2. ABT has a trailing four-quarter earnings surprise of 12.4%, on average. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Koninklijke Philips N.V. (PHG) : Free Stock Analysis Report Prestige Consumer Healthcare Inc. (PBH) : Free Stock Analysis Report LeMaitre Vascular, Inc. (LMAT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30726.0 | 2023-09-26 00:00:00 UTC | Here's Why Investors Should Invest in Abbott (ABT) Stock Now | ABT | https://www.nasdaq.com/articles/heres-why-investors-should-invest-in-abbott-abt-stock-now | nan | nan | Abbott Laboratories ABT is gaining from its strategic global expansion to address the unmet demand for advanced medical technologies. Within Core Diagnostics, the company is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. However, forex woes and lower COVID sales impede growth.
In the past year, this Zacks Rank #2 (Buy) stock has declined 0.9% compared with a 1.4% rise of the industry and a 19.2% rise of the S&P 500 composite.
This renowned provider of a diversified line of healthcare products has a market capitalization of $169.15 billion. The company projects a 5.1% growth for the next five years and expects to maintain its strong performance. Abbott’s earnings surpassed estimates in all of the trailing four quarters, the average surprise being 12.44%.
Let’s delve deeper.
Factors at Play
Strong Prospects Within Core Diagnostics: Abbott is expanding the Diagnostics business foothold (consisting of nearly 30% of the company’s total revenues in the second quarter of 2023). In the past few quarters, there has been a decline in demand for Abbott’s rapid diagnostic tests to detect COVID-19, primarily offset by higher growth across other businesses. Abbott is experiencing increased demand for routine diagnostic testing in the United States and Europe. In the United States, Abbott is registering strong growth within the blood transfusion testing business, consistently recovering from lower plasma donations during the COVID-19 pandemic.
Sales Recovery Within Nutrition: Following the massive setback related to the voluntary recall and production stoppage of certain infant powder formula products manufactured at its facility in Sturgis, MI, last year. Abbott’s Nutrition business has started showing signs of recovery since the beginning of 2023. Per the last update on the second-quarterearnings call the company has made good progress in increasing manufacturing production. It has now recovered approximately 75% of the market share in the infant formula business.
Stable Liquidity Position: With total debt (including the current portion) of $16.85 billion as of Jun 30, 2023, Abbott looks quite comfortable from the liquidity point of view. The company’s cash and cash equivalents were $8.16 billion at the end of second-quarter 2023. Although the second quarter’s total debt was much higher than the corresponding cash and cash equivalent level, the company has $2.28 billion of short-term payable debt on its balance sheet, much lower than the short-term cash level.
Further, in each of the first two quarters of 2023, Abbott declared a quarterly dividend of 51 cents per share on its common shares, indicating an increase of 8.5% from 47 cents declared in each of the first two quarters of 2022.
Downsides
Declining COVID Testing Dents Growth: Through the last few months of 2022 and following the official ending of the public health emergency in May, Abbott is experiencing a persistent decline in COVID testing-related demand. Through the first six months of 2023, Abbott’s Rapid Diagnostics sales plunged 67.9% from the year-ago period’s levels due to lower demand for COVID-19 tests.
Image Source: Zacks Investment Research
Foreign Exchange Translation Impacts Sales: Foreign exchange is a significant headwind for Abbott due to a considerable percentage of its revenues coming from outside the United States. The strengthening of the euro and some other developed market currencies has constantly been hampering the company’s performance in the international markets.
In the second quarter, foreign exchange had an unfavorable year-over-year impact of 2.5% on sales.
Estimate Trends
In the past 90 days, the Zacks Consensus Estimate for earnings has been constant at $4.40.
The Zacks Consensus Estimate for the company’s 2023 revenues is pegged at $39.77 billion, suggesting an 8.9% decline from the year-ago quarter’s reported number.
Other Key Picks
Some other top-ranked stocks in the broader medical space are DaVita Inc. DVA, HealthEquity, Inc. HQY and Integer Holdings Corporation ITGR.
DaVita, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated long-term growth rate of 12.7%. DVA’s earnings surpassed estimates in three of the trailing four quarters and missed once, with an average surprise of 21.4%. You can see the complete list of today’s Zacks #1 Rank stocks here.
DaVita has gained 19.1% against the industry’s 0.4% decline in the past year.
HealthEquity, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 23.5%. HQY’s earnings surpassed estimates in all the trailing four quarters, with an average of 13%.
HealthEquity has gained 3.4% against the industry’s 4% decline in the past year.
Integer Holdings, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 12.1%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 8.4%.
Integer Holdings has gained 28.5% compared with the industry’s 4.2% rise in the past year.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
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Abbott Laboratories (ABT) : Free Stock Analysis Report
DaVita Inc. (DVA) : Free Stock Analysis Report
HealthEquity, Inc. (HQY) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : 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. | Abbott Laboratories ABT is gaining from its strategic global expansion to address the unmet demand for advanced medical technologies. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Within Core Diagnostics, the company is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT is gaining from its strategic global expansion to address the unmet demand for advanced medical technologies. Within Core Diagnostics, the company is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT is gaining from its strategic global expansion to address the unmet demand for advanced medical technologies. In the past few quarters, there has been a decline in demand for Abbott’s rapid diagnostic tests to detect COVID-19, primarily offset by higher growth across other businesses. | Abbott Laboratories ABT is gaining from its strategic global expansion to address the unmet demand for advanced medical technologies. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Within Core Diagnostics, the company is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. |
30727.0 | 2023-09-26 00:00:00 UTC | EXCLUSIVE-Edwards Lifesciences cooperating with EU antitrust regulators | ABT | https://www.nasdaq.com/articles/exclusive-edwards-lifesciences-cooperating-with-eu-antitrust-regulators | nan | nan | By Foo Yun Chee
BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N is working with EU antitrust regulators after they raided one of its facilities in an EU country a week ago, the U.S. medical device maker said on Tuesday.
Edwards Lifesciences' shares had dipped2.5% in pre-market trade after Reuters published a story citing two people with direct knowledge of the EU raid. The stock recovered and is now up 0.8%.
The move underscores increasing regulatory scrutiny on both sides of the Atlantic of the pharmaceutical industry to ensure that companies continue to innovate and offer products and services at affordable prices without being squeezed out by bigger rivals.
The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. It did not name the company.
Edwards Lifesciences, which says it is a global leader in making medical products for structural heart disease and known for its transcatheter aortic valve replacement (TAVR) device in heart surgery, said it was committed to healthy, fair competition.
"Edwards Lifesciences is cooperating with the European Commission regarding its inspection in relation to EU competition law," the company said in a statement to Reuters.
"We remain confident in our business practices and will not be commenting further at this time."
The EU competition enforcer declined to comment.
Companies found guilty of violating EU antitrust rules face fines as much as 10% of their global turnover.
According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others.
(Reporting by Foo Yun Chee; Editing by Kirsten Donovan, Louise Heavens and Lisa Shumaker)
((foo.yunchee@thomsonreuters.com; +32 2 585 2866; Reuters Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. Edwards Lifesciences' shares had dipped2.5% in pre-market trade after Reuters published a story citing two people with direct knowledge of the EU raid. The move underscores increasing regulatory scrutiny on both sides of the Atlantic of the pharmaceutical industry to ensure that companies continue to innovate and offer products and services at affordable prices without being squeezed out by bigger rivals. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N is working with EU antitrust regulators after they raided one of its facilities in an EU country a week ago, the U.S. medical device maker said on Tuesday. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N is working with EU antitrust regulators after they raided one of its facilities in an EU country a week ago, the U.S. medical device maker said on Tuesday. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N is working with EU antitrust regulators after they raided one of its facilities in an EU country a week ago, the U.S. medical device maker said on Tuesday. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. |
30728.0 | 2023-09-26 00:00:00 UTC | 5 Dividend Aristocrats to Buy as Things Look Dicey for Wall Street | ABT | https://www.nasdaq.com/articles/5-dividend-aristocrats-to-buy-as-things-look-dicey-for-wall-street | nan | nan | Stocks may have registered gains for the first time in the last five trading sessions on Sep 25 but are still on track to post negative returns in September.
So far this month, all the major indexes like the broader S&P 500, the 30-stock Dow and the tech-laden Nasdaq have already declined more than 1% and posted record losses last week.
The S&P 500 fell 2.9% last week, its biggest weekly decline since Mar 10, and ended at its lowest since Jun 9. Similarly, the Dow and the Nasdaq finished at their lowest levels since Jul 10 and Jun 7, respectively.
The possibility of a partial government shutdown has been stoking fears among investors. If Congress is not able to strike a deal on a dozen spending bills by the end of this week, the U.S. government is likely to get shut down.
Scores of government workers won't get their paychecks, thereby injecting a fresh doze of uncertainty into the economy. By the way, traditionally, the stock market saw a lot of volatility in the days leading up to the government shutdown.
Meanwhile, the Federal Reserve’s intention to hold interest rates high is also weighing on stocks. This is because an increase in interest rates decreases the present value of a company’s future earnings.
Also, the cost of borrowing rises and consumer outlays decrease as interest rates increase, which doesn’t bode well for economic growth.
In its recently concluded policy meeting, the Fed said it intends to hike rates by another 25 basis points by the end of this year to curb elevated inflation, which is still hovering way above the central bank’s target of 2%. The Fed has also hinted at keeping interest rates higher for longer in 2024 (read more: Fed Anticipates Higher Rates for Longer: 5 Big Winners).
Thus, with the government shutdown and rate hike concerns looming and the stock market subjected to bouts of volatility, it’s prudent for investors to place bets on dividend aristocrats like Caterpillar CAT, Abbott Laboratories ABT, McDonald's MCD, Aflac AFL and Automatic Data Processing ADP for steady income. After all, such stocks have healthy underlying fundamentals and sound business models, and are unperturbed by market gyrations.
Caterpillar is the largest global construction and mining equipment manufacturer. This Zacks Rank #1 (Strong Buy) company is known for having raised its dividend for at least 25 years in a row. You can see the complete list of today’s Zacks Rank #1 stocks here.
Caterpillar has a dividend yield of 1.9%. Its payout ratio presently sits at 26% of earnings. In the past five years, CAT’s payout has advanced by 7.4%. Check Caterpillar’s dividend history here.
The Zacks Consensus Estimate for its current-year earnings has moved up 10.5% over the past 60 days. The company’s expected earnings growth rate for the current year is 43.2%.
Abbott Laboratories manufactures and sells healthcare products worldwide. This Zacks Rank #2 (Buy) company is known for having raised its dividend for over 25 consecutive years.
Abbott Laboratories has a dividend yield of 2.1%. Its payout ratio presently sits at 48% of earnings. In the past five years, ABT’s payout has advanced by 14%. Check Abbott Laboratories’ dividend history here.
The Zacks Consensus Estimate for its current-year earnings has moved up 0.2% over the past 90 days. The company’s expected earnings growth rate for the next year is 4.6%.
McDonald's is a leading fast-food chain. This Zacks Rank #2 company has raised its dividend for more than four decades.
McDonald's has a dividend yield of 2.2%. Its payout ratio presently sits at 55% of earnings. In the past five years, MCD’s payout has advanced by nearly 7%. Check McDonald’s dividend history here.
The Zacks Consensus Estimate for its current-year earnings has moved up 3.7% over the past 60 days. The company’s expected earnings growth rate for the current year is 14.1%.
Aflac is a general business holding company that provides management services. This Zacks Rank #2 company is known for having increased its dividend for 40 consecutive years.
Aflac has a dividend yield of 2.2%. Its payout ratio presently sits at 30% of earnings. In the past five years, AFL’s payout has advanced by 12.4%. Check Aflac’s dividend history here.
The Zacks Consensus Estimate for its current-year earnings has moved up 3.3% over the past 60 days. The company’s expected earnings growth rate for the current year is 12.2%.
Automatic Data Processing is one of the leading providers of cloud-based Human Capital Management technology solutions. This Zacks Rank #2 company has raised its dividend for almost 50 successive years.
Automatic Data Processing has a dividend yield of 2.1%. Its payout ratio presently sits at 61% of earnings. In the past five years, ADP’s payout has advanced by 11.1%. Check Automatic Data Processing’s dividend history here.
The Zacks Consensus Estimate for its current-year earnings has moved up 1.8% over the past 60 days. The company’s expected earnings growth rate for the current year is 11.1%.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Caterpillar Inc. (CAT) : Free Stock Analysis Report
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McDonald's Corporation (MCD) : Free Stock Analysis Report
Aflac Incorporated (AFL) : 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. | Thus, with the government shutdown and rate hike concerns looming and the stock market subjected to bouts of volatility, it’s prudent for investors to place bets on dividend aristocrats like Caterpillar CAT, Abbott Laboratories ABT, McDonald's MCD, Aflac AFL and Automatic Data Processing ADP for steady income. In the past five years, ABT’s payout has advanced by 14%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Caterpillar Inc. (CAT) : Free Stock Analysis Report Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report McDonald's Corporation (MCD) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report To read this article on Zacks.com click here. | Thus, with the government shutdown and rate hike concerns looming and the stock market subjected to bouts of volatility, it’s prudent for investors to place bets on dividend aristocrats like Caterpillar CAT, Abbott Laboratories ABT, McDonald's MCD, Aflac AFL and Automatic Data Processing ADP for steady income. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Caterpillar Inc. (CAT) : Free Stock Analysis Report Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report McDonald's Corporation (MCD) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report To read this article on Zacks.com click here. In the past five years, ABT’s payout has advanced by 14%. | Thus, with the government shutdown and rate hike concerns looming and the stock market subjected to bouts of volatility, it’s prudent for investors to place bets on dividend aristocrats like Caterpillar CAT, Abbott Laboratories ABT, McDonald's MCD, Aflac AFL and Automatic Data Processing ADP for steady income. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Caterpillar Inc. (CAT) : Free Stock Analysis Report Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report McDonald's Corporation (MCD) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report To read this article on Zacks.com click here. In the past five years, ABT’s payout has advanced by 14%. | Thus, with the government shutdown and rate hike concerns looming and the stock market subjected to bouts of volatility, it’s prudent for investors to place bets on dividend aristocrats like Caterpillar CAT, Abbott Laboratories ABT, McDonald's MCD, Aflac AFL and Automatic Data Processing ADP for steady income. In the past five years, ABT’s payout has advanced by 14%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Caterpillar Inc. (CAT) : Free Stock Analysis Report Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report McDonald's Corporation (MCD) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30729.0 | 2023-09-26 00:00:00 UTC | EXCLUSIVE-Edwards Lifesciences targeted in EU antitrust raid last week - sources | ABT | https://www.nasdaq.com/articles/exclusive-edwards-lifesciences-targeted-in-eu-antitrust-raid-last-week-sources | nan | nan | By Foo Yun Chee
BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N was raided by EU antitrust regulators at one of its facilities in an EU country a week ago, two people with direct knowledge of the matter told Reuters on Tuesday.
The move underscores increasing regulatory scrutiny on both sides of the Atlantic of the pharmaceutical industry to ensure that companies continue to innovate and offer products and services at affordable prices without being squeezed out by bigger rivals.
The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. It did not name the company.
Edwards Lifesciences, which says it is a global leader in making medical products for structural heart disease, did not respond to repeated emailed requests for comment. Its Transcatheter aortic valve replacement (TAVR) device helps in a type of heart surgery.
The EU competition enforcer declined to comment.
Companies found guilty of violating EU antitrust rules face fines as much as 10% of their global turnover.
According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others.
(Reporting by Foo Yun Chee; Editing by Kirsten Donovan and Louise Heavens)
((foo.yunchee@thomsonreuters.com; +32 2 585 2866; Reuters Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. The move underscores increasing regulatory scrutiny on both sides of the Atlantic of the pharmaceutical industry to ensure that companies continue to innovate and offer products and services at affordable prices without being squeezed out by bigger rivals. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N was raided by EU antitrust regulators at one of its facilities in an EU country a week ago, two people with direct knowledge of the matter told Reuters on Tuesday. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N was raided by EU antitrust regulators at one of its facilities in an EU country a week ago, two people with direct knowledge of the matter told Reuters on Tuesday. The European Commission on Sept. 19 said it raided a cardiovascular medical device company in an EU country on concerns that it may have abused its market power in breach of the bloc's antitrust rules. | According to analysts, Edwards Lifesciences competes with Abbot Laboratories ABT.N, Medtronic MDT.N, Zimmer Biomet ZBH.N and Boston Scientific Corp BSX.N, among others. By Foo Yun Chee BRUSSELS, Sept 26 (Reuters) - Edwards Lifesciences EW.N was raided by EU antitrust regulators at one of its facilities in an EU country a week ago, two people with direct knowledge of the matter told Reuters on Tuesday. The move underscores increasing regulatory scrutiny on both sides of the Atlantic of the pharmaceutical industry to ensure that companies continue to innovate and offer products and services at affordable prices without being squeezed out by bigger rivals. |
30730.0 | 2023-09-26 00:00:00 UTC | 2 Stocks to Benefit from the Aging Population | ABT | https://www.nasdaq.com/articles/2-stocks-to-benefit-from-the-aging-population | nan | nan | While the direction of the stock markets is unpredictable, the growth of the aging population is entirely predictable. Along with an aging population come additional healthcare, beauty and wellness needs. Baby boomers are arguably the largest and wealthiest generation in the country, followed by Gen-X-ers who are approaching mid-life to retirement ages. Baby boomers are estimated to be retiring at a rate of 10,000 per day. Companies with products and services that accommodate the needs of aging demographics can expect to see steady growth. Here are two companies that are benefactors of the aging population that should be on your watch list.
Abbott Laboratories Inc. (NYSE: ABT)
Abbott Labs is a diversified global healthcare company that treats chronic illnesses with products catering to the entire life cycle. From prenatal care with prenatal vitamins, genetic testing and Similac baby formula through infancy and childhood with Pedialyte, Pediasure and vaccines for rubella, measles and mumps. For adulthood, Abbott makes glucose monitor systems like the FreeStyle Libre, which doesn't require a fingerstick, which is the strip to collect blood after pricking your finger.
Addressing the Aging Population's Chronic Diseases
With the aging process comes chronic diseases. Abbott has treatments and tools for some of the most common chronic diseases. It has stents, heart valves and pacemakers for cardiovascular diseases through its complementary acquisition of St. Jude Medical for $25 billion in 2017. Its FreeStyle Libre was the country's first non-fingerstick continuous glucose monitoring system (CGM) for diabetes management. Abbott also carries insulin pumps to help manage blood sugar levels. For infectious diseases, Abbott provides many diagnostic tests, vaccines and treatments for COVID-19, HIV/AIDS and hepatitis C. For pain and movement disorders, Abbott provides neuromodulation devices and treatments for tremors, chronic pain and Parkinson's.
Dividend Aristocrat
Abbott is widely accepted as a dividend aristocrat for raising its annual dividend for over 25 years. The company started paying a dividend in 1924 and has increased its dividend annually since 1973. Its long history of consistent profits helps to ensure continued dividend payout for the long term. Its 2.08% annual dividend yield may be small, but long-term investors can attest to its compounding prowess, especially when instituting its dividend reinvestment program (DRIP).
Staying the Course
Abbott is experiencing normalization from the pandemic as COVID-19 testing revenues dwindle. The company reported its Q2 2023 earnings of $1.08 per share, beating estimates by three cents. Revenues fell 11.4% YoY to $9.98 billion but still beat analyst estimates of $9.71 billion. Abbott reaffirmed guidance for full-year 2023 EPS of $4.30 to $4.50 versus $4.40 analyst estimates. ABT shares are trading down 10.4% YTD, paying a 2.08% annual dividend yield.
Abbott Laboratories analyst ratings and price targets are at MarketBeat. Abbott Laboratories' peers and competitor stocks can be found with the MarketBeat stock screener.
Weekly Rectangle Pattern
The weekly candlestick charts illustrate the near-yearlong rectangle pattern, which started in January 2023 at the $114.05 upper trendline. ABT fell to a low of $95.45 in March 2023 to establish the lower trendline of the rectangle. ABT triggered the weekly market structure low (MSL) bounce on the $98.47 trigger as it attempted to break out but rejected back down under the $114.05 upper trendline. ABT is falling again as it tests the weekly MSL trigger. The weekly relative strength index (RSI) is falling through the 40-band. Pullback support levels are at $95.45 rectangle lower trendline, $92.58, $89.94 and $87.53.
The Beauty Health Co. (NASDAQ: SKIN)
Skincare is a major factor concerning the aging population. Everyone eventually visits a dermatologist or aesthetician at some point. If you've ever been to one recently, you've likely heard of a HydraFacial developed by The Beauty Health Company. There are over 28,000 HydraFacial machines in service, providing facials daily around the world. The HydraFacial applies its patented Vortex-Fusion™ technology that uses water to create a vortex to clean, exfoliate and hydrate the skin. Dermatologists widely recommend it as part of a comprehensive skincare routine. Unlike regular facials, specialized training is needed to operate a HydraFacial machine. Licensed aestheticians and board-certified dermatologists trained in HydraFacial treatments are recommended. There is no recovery downtime (like a facial or chemical peels), and the results are immediate.
Growth and Margin Expansion
In its Q2 2023 earnings report, the company reported non-GAAP profits of 3 cents per share on revenues of $117.5 million, up 13.5% YoY. Margins made an amazing recovery, rebounding after restoring its Syndeo machine exchange issues. Gross margins are expected to grow by 500 bps by the end of 2025. China revenues are expected to hit hypergrowth with its reopening, as it saw 167% YoY sales growth in the quarter. Additionally, insiders have been buying shares as they bought nearly $600,000 of SKIN stocks in August 2023.
The Beauty Health Company analyst ratings and price targets are at MarketBeat.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories Inc. (NYSE: ABT) Abbott Labs is a diversified global healthcare company that treats chronic illnesses with products catering to the entire life cycle. ABT shares are trading down 10.4% YTD, paying a 2.08% annual dividend yield. ABT fell to a low of $95.45 in March 2023 to establish the lower trendline of the rectangle. | Abbott Laboratories Inc. (NYSE: ABT) Abbott Labs is a diversified global healthcare company that treats chronic illnesses with products catering to the entire life cycle. ABT shares are trading down 10.4% YTD, paying a 2.08% annual dividend yield. ABT fell to a low of $95.45 in March 2023 to establish the lower trendline of the rectangle. | Abbott Laboratories Inc. (NYSE: ABT) Abbott Labs is a diversified global healthcare company that treats chronic illnesses with products catering to the entire life cycle. ABT shares are trading down 10.4% YTD, paying a 2.08% annual dividend yield. ABT fell to a low of $95.45 in March 2023 to establish the lower trendline of the rectangle. | Abbott Laboratories Inc. (NYSE: ABT) Abbott Labs is a diversified global healthcare company that treats chronic illnesses with products catering to the entire life cycle. ABT shares are trading down 10.4% YTD, paying a 2.08% annual dividend yield. ABT fell to a low of $95.45 in March 2023 to establish the lower trendline of the rectangle. |
30731.0 | 2023-09-25 00:00:00 UTC | Market Heat Check: Top 10 Stocks Riding High on Implied Volatility | ABT | https://www.nasdaq.com/articles/market-heat-check%3A-top-10-stocks-riding-high-on-implied-volatility | nan | nan | One of the most common metrics used when trading options is the Implied Volatility Percentile.
IV Percentile is a measure of implied volatility where current implied volatility is compared to the range of implied volatilities in this past.
This comparison is made on the same stock.
For example, Apple’s IV percentile takes the current implied volatility and compares it to the past implied volatilities Apple has had.
This is then made into a percentage ranging from 0-100%.
A percentage of zero would depict a stock is currently at the lowest level of implied volatility it has been during the lookback period.
In contrast, an IV percentile of 100% illustrates that the stock is trading at its highest level of implied volatility.
As discussed previously, an upcoming earnings announcement can mean a stock has an elevated level of implied volatility. To get a true picture of stocks with a high implied volatility percentile, we can use the Stock Screener.
Using The Stock Screener To Find High Volatility Stocks
With the VIX index jumping back above 17, there are quite a few stocks showing high implied volatility.
Using the Stock Screener, we can set the following filters to find stocks with a high implied volatility percentile.
Total Call Volume 2,000
Market Cap greater than 60 billion
IV Percentile greater than 50%
This screener gives us the following stocks ranked from highest IV Percentile to lowest:
Vmware (VMW)
AT&T (T)
Intuitive Surgical (ISRG)
Phillip Morris International (PM)
Proctor & Gamble (PG)
Aboot Laboratories (ABT)
Novo Nordisk (NVO)
RTX Corp (RTX)
Charles Schwab (SCHW)
Pepsico (PEP)
Here is the full list of stocks showing IV Percentile and earnings dates.
How To Use IV Percentile
As a general rule, when implied volatility percentile is high, it’s better to focus on short volatility trades such as iron condors, short straddles and strangles.
It also makes sense to compare a stock’s current IV Percentile to the market in general. If all stocks are showing high IV Percentile, then there might not be much of an edge in selling volatility on a specific stock. But, if general market IV percentile is low, that could be a good time to sell overpriced volatility in some of the names above.
It’s also a good idea to keep an eye on the upcoming earnings dates as stock can make big moves following earnings announcements.
Short Strangle Screener
Let’s run an short strangle screener for the above stocks and analyze the results.
Let’s look at the second line item on SCHW.
Using the September 29 expiry, the trade would involve selling the $47.50 put and selling the $62.50 call.
The price for the strangle is $1.46 which means the trader would receive $146 into their account. The maximum risk is unlimited as it involves naked options.
The probability is 76.6%.
The profit zone ranges between $46.04 and $63.96. This can be calculated by taking the short strikes and adding or subtracting the premium received.
Please remember that options are risky, and investors can lose 100% of their investment. This article is for education purposes only and not a trade recommendation. Remember to always do your own due diligence and consult your financial advisor before making any investment decisions.
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On the date of publication, Gavin McMaster did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Intuitive Surgical (ISRG) Phillip Morris International (PM) Proctor & Gamble (PG) Aboot Laboratories (ABT) Novo Nordisk (NVO) RTX Corp (RTX) Charles Schwab (SCHW) Pepsico (PEP) Here is the full list of stocks showing IV Percentile and earnings dates. As discussed previously, an upcoming earnings announcement can mean a stock has an elevated level of implied volatility. Lower Bond Yields Spark Mild Recovery in Stocks On the date of publication, Gavin McMaster did not have (either directly or indirectly) positions in any of the securities mentioned in this article. | Intuitive Surgical (ISRG) Phillip Morris International (PM) Proctor & Gamble (PG) Aboot Laboratories (ABT) Novo Nordisk (NVO) RTX Corp (RTX) Charles Schwab (SCHW) Pepsico (PEP) Here is the full list of stocks showing IV Percentile and earnings dates. IV Percentile is a measure of implied volatility where current implied volatility is compared to the range of implied volatilities in this past. For example, Apple’s IV percentile takes the current implied volatility and compares it to the past implied volatilities Apple has had. | Intuitive Surgical (ISRG) Phillip Morris International (PM) Proctor & Gamble (PG) Aboot Laboratories (ABT) Novo Nordisk (NVO) RTX Corp (RTX) Charles Schwab (SCHW) Pepsico (PEP) Here is the full list of stocks showing IV Percentile and earnings dates. IV Percentile is a measure of implied volatility where current implied volatility is compared to the range of implied volatilities in this past. Using The Stock Screener To Find High Volatility Stocks With the VIX index jumping back above 17, there are quite a few stocks showing high implied volatility. | Intuitive Surgical (ISRG) Phillip Morris International (PM) Proctor & Gamble (PG) Aboot Laboratories (ABT) Novo Nordisk (NVO) RTX Corp (RTX) Charles Schwab (SCHW) Pepsico (PEP) Here is the full list of stocks showing IV Percentile and earnings dates. IV Percentile is a measure of implied volatility where current implied volatility is compared to the range of implied volatilities in this past. To get a true picture of stocks with a high implied volatility percentile, we can use the Stock Screener. |
30732.0 | 2023-09-25 00:00:00 UTC | Should You Invest in the iShares U.S. Medical Devices ETF (IHI)? | ABT | https://www.nasdaq.com/articles/should-you-invest-in-the-ishares-u.s.-medical-devices-etf-ihi-8 | nan | nan | Launched on 05/01/2006, the iShares U.S. Medical Devices ETF (IHI) is a passively managed exchange traded fund designed to provide a broad exposure to the Healthcare - Medical Devices segment of the equity market.
Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors.
Sector ETFs are also funds of convenience, offering many ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Healthcare - Medical Devices is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 6, placing it in top 38%.
Index Details
The fund is sponsored by Blackrock. It has amassed assets over $5.17 billion, making it one of the largest ETFs attempting to match the performance of the Healthcare - Medical Devices segment of the equity market. IHI seeks to match the performance of the Dow Jones U.S. Select Medical Equipment Index before fees and expenses.
The Dow Jones U.S. Select Medical Equipment Index measures the performance of the medical equipment sector of the U.S. equity market.
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 0.40%, making it one of the cheaper products in the space.
It has a 12-month trailing dividend yield of 0.53%.
Sector Exposure and Top Holdings
ETFs offer a 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, Thermo Fisher Scientific Inc (TMO) accounts for about 16.55% of total assets, followed by Abbott Laboratories (ABT) and Medtronic Plc (MDT).
The top 10 holdings account for about 72.24% of total assets under management.
Performance and Risk
So far this year, IHI has lost about -7.05%, and it's up approximately 1.57% in the last one year (as of 09/25/2023). During this past 52-week period, the fund has traded between $47.07 and $57.76.
The ETF has a beta of 0.85 and standard deviation of 19.82% for the trailing three-year period, making it a medium risk choice in the space. With about 66 holdings, it effectively diversifies company-specific risk.
Alternatives
IShares U.S. Medical Devices ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, IHI is a great option for investors seeking exposure to the Health Care ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
First Trust Indxx Medical Devices ETF (MDEV) tracks INDXX GLOBAL MEDICAL EQUIPMENT INDEX and the SPDR S&P Health Care Equipment ETF (XHE) tracks S&P Health Care Equipment Select Industry Index. First Trust Indxx Medical Devices ETF has $1.82 million in assets, SPDR S&P Health Care Equipment ETF has $400.31 million. MDEV has an expense ratio of 0.70% and XHE charges 0.35%.
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. Medical Devices ETF (IHI): ETF Research Reports
Abbott Laboratories (ABT) : Free Stock Analysis Report
Medtronic PLC (MDT) : Free Stock Analysis Report
Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report
SPDR S&P Health Care Equipment ETF (XHE): ETF Research Reports
First Trust Indxx Medical Devices ETF (MDEV): 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, Thermo Fisher Scientific Inc (TMO) accounts for about 16.55% of total assets, followed by Abbott Laboratories (ABT) and Medtronic Plc (MDT). Click to get this free report iShares U.S. Medical Devices ETF (IHI): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report SPDR S&P Health Care Equipment ETF (XHE): ETF Research Reports First Trust Indxx Medical Devices ETF (MDEV): ETF Research Reports To read this article on Zacks.com click here. It has amassed assets over $5.17 billion, making it one of the largest ETFs attempting to match the performance of the Healthcare - Medical Devices segment of the equity market. | Click to get this free report iShares U.S. Medical Devices ETF (IHI): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report SPDR S&P Health Care Equipment ETF (XHE): ETF Research Reports First Trust Indxx Medical Devices ETF (MDEV): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Thermo Fisher Scientific Inc (TMO) accounts for about 16.55% of total assets, followed by Abbott Laboratories (ABT) and Medtronic Plc (MDT). First Trust Indxx Medical Devices ETF (MDEV) tracks INDXX GLOBAL MEDICAL EQUIPMENT INDEX and the SPDR S&P Health Care Equipment ETF (XHE) tracks S&P Health Care Equipment Select Industry Index. | Click to get this free report iShares U.S. Medical Devices ETF (IHI): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report SPDR S&P Health Care Equipment ETF (XHE): ETF Research Reports First Trust Indxx Medical Devices ETF (MDEV): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Thermo Fisher Scientific Inc (TMO) accounts for about 16.55% of total assets, followed by Abbott Laboratories (ABT) and Medtronic Plc (MDT). First Trust Indxx Medical Devices ETF (MDEV) tracks INDXX GLOBAL MEDICAL EQUIPMENT INDEX and the SPDR S&P Health Care Equipment ETF (XHE) tracks S&P Health Care Equipment Select Industry Index. | Looking at individual holdings, Thermo Fisher Scientific Inc (TMO) accounts for about 16.55% of total assets, followed by Abbott Laboratories (ABT) and Medtronic Plc (MDT). Click to get this free report iShares U.S. Medical Devices ETF (IHI): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report SPDR S&P Health Care Equipment ETF (XHE): ETF Research Reports First Trust Indxx Medical Devices ETF (MDEV): ETF Research Reports To read this article on Zacks.com click here. Launched on 05/01/2006, the iShares U.S. Medical Devices ETF (IHI) is a passively managed exchange traded fund designed to provide a broad exposure to the Healthcare - Medical Devices segment of the equity market. |
30733.0 | 2023-09-24 00:00:00 UTC | 3 Best Stocks to Buy in September and Hold Forever | ABT | https://www.nasdaq.com/articles/3-best-stocks-to-buy-in-september-and-hold-forever | nan | nan | Healthcare is one of those evergreen investment themes. There will always be a healthcare industry, and it will always be a place to find great long-term stocks.
Today, healthcare spending in the United States alone is worth more than $4.3 trillion annually. So, consider these three stocks to buy and hold indefinitely, especially if you want reliable long-term growth and stability.
An old stock with a new face
You probably know healthcare conglomerate Johnson & Johnson for some of its former brands, like Tylenol and Band-Aids. But those products make up their own company today after being spun off as Kenvue (NYSE: KVUE), which is now the world's largest consumer health products company, with approximately $15 billion in revenue last year.
Kenvue's products fall into three segments: self care like Tylenol pain reliever, skin health and beauty such as Neutrogena lotions, and essential health like Band-Aids. These are products consumers keep in their homes with brand power that's been built over decades in some cases.
People tend to buy these routinely, and it's no coincidence that Johnson & Johnson raised its dividend for 60 consecutive years with these products as part of its business.
What might investors expect from Kenvue? The company has already begun its dividend story, announcing a quarterly payout yielding a solid 3.8% at its current share price, and analysts believe earnings per share (EPS) will average 7% annual growth over the next three to five years.
Will that make you a millionaire overnight? No, but Kenvue could be a similar defensive, reliable, long-term blue chip that Johnson & Johnson has been for decades before it.
A company treating the world's most prominent health conditions
Healthcare has evolved over the centuries, and Abbott Laboratories (NYSE: ABT) has been around since the 1800s because it has evolved with the industry. That includes as recently as the past decade.
The company reshaped itself, spinning off its pharmaceutical business as AbbVie and investing in acquisitions that gave it a foothold in diagnostics and medical devices. Today, Abbott Labs is positioned to benefit from the demand for treatments for several prominent care categories, including diabetes, cardiovascular disease, chronic pain, nutrition, diagnostics, and branded generic medications.
The company produces more than $40 billion in annual revenue and has paid a dividend for many decades. It's financially healthy: The nearly $17 billion in debt on its balance sheet is just 1.7 times the business' earnings before interest, taxes, depreciation, and amortization (EBITDA). It also has over $8 billion in cash, so there's plenty of breathing room for management.
The dividend payout ratio is also manageable at just over 60%. All of this points to a reliable company that allows shareholders to sleep well at night.
Diabetes and heart disease are significant problems in a world struggling with obesity, so there should be continued demand for Abbott Labs' products over the coming years. Analysts believe the company's EPS will grow by an average of 7% annually over the long term so that investors could see mid-single-digit dividend increases and steady price appreciation over time.
Not just a retail company anymore
There are pharmacies throughout your neighborhood; one is probably your local CVS Health (NYSE: CVS) store. CVS pharmacies have been around for many years. Pharmacies don't make much money by filling your prescriptions; instead, those get you into the store, where you might buy higher-margin groceries or other products.
In recent years, e-commerce and technology have emerged as potential threats to this business model. CVS has responded by integrating more pieces of the healthcare system into its business, shifting to serving patients throughout their care process, from insurance to primary care, along with prescription and retail. It acquired Aetna to add health insurance to its model in 2018 and bought Oak Street Health earlier this year to provide primary care.
Significant changes to a business can spook investors, and understandably so. The risk in owning CVS is that these changes don't work, and the company fails to grow and create shareholder value. But there are some positive signs. Analysts believe EPS will increase by an average of 6% annually, and free cash flow is already near all-time highs.
These signals point to CVS being a solid long-term investment as long as the company remains a vital cog in the healthcare system.
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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. | A company treating the world's most prominent health conditions Healthcare has evolved over the centuries, and Abbott Laboratories (NYSE: ABT) has been around since the 1800s because it has evolved with the industry. Today, Abbott Labs is positioned to benefit from the demand for treatments for several prominent care categories, including diabetes, cardiovascular disease, chronic pain, nutrition, diagnostics, and branded generic medications. Diabetes and heart disease are significant problems in a world struggling with obesity, so there should be continued demand for Abbott Labs' products over the coming years. | A company treating the world's most prominent health conditions Healthcare has evolved over the centuries, and Abbott Laboratories (NYSE: ABT) has been around since the 1800s because it has evolved with the industry. The company has already begun its dividend story, announcing a quarterly payout yielding a solid 3.8% at its current share price, and analysts believe earnings per share (EPS) will average 7% annual growth over the next three to five years. Today, Abbott Labs is positioned to benefit from the demand for treatments for several prominent care categories, including diabetes, cardiovascular disease, chronic pain, nutrition, diagnostics, and branded generic medications. | A company treating the world's most prominent health conditions Healthcare has evolved over the centuries, and Abbott Laboratories (NYSE: ABT) has been around since the 1800s because it has evolved with the industry. But those products make up their own company today after being spun off as Kenvue (NYSE: KVUE), which is now the world's largest consumer health products company, with approximately $15 billion in revenue last year. People tend to buy these routinely, and it's no coincidence that Johnson & Johnson raised its dividend for 60 consecutive years with these products as part of its business. | A company treating the world's most prominent health conditions Healthcare has evolved over the centuries, and Abbott Laboratories (NYSE: ABT) has been around since the 1800s because it has evolved with the industry. But those products make up their own company today after being spun off as Kenvue (NYSE: KVUE), which is now the world's largest consumer health products company, with approximately $15 billion in revenue last year. That's right -- they think these 10 stocks are even better buys. |
30734.0 | 2023-09-23 00:00:00 UTC | Abbott Stock: Bear vs. Bull | ABT | https://www.nasdaq.com/articles/abbott-stock%3A-bear-vs.-bull | nan | nan | Abbott Laboratories (NYSE: ABT) is seen as a solid safe-harbor stock because of the company's 135-year history, its diversified healthcare business, and its reliable dividend.
The company is known for innovation, with two of its biggest breakthroughs being the first licensed test for the HIV virus and Humira, the first fully human monoclonal antibody drug. In July, it came out with the Aveir, which it says is the first dual-chamber pacemaker without leads and is smaller than a AAA battery. Last year, it debuted the world's smallest mechanical heart valve.
There's considerable disagreement over whether the stock is a good investment at the moment. Here's a look at Abbott from the bull and bear perspectives:
The bull case: Revenue diversity and a steady dividend
Abbott is a global company with a huge reach in products and geography. It has around 113,000 employees with 31 manufacturing sites and 12 development centers across the world, and it sells its products in more than 160 countries.
The scope of the business gives it a balance that allows it to take advantage of market trends even while other sectors are faltering. Its segments are diagnostic products, medical devices, nutritional products, and established pharmaceutical products (branded generic medicines).
Abbott's products include COVID tests, the nutritional products Similac and Pedialyte, the FreeStyle line of continuous glucose monitors (CGMs) for diabetics, a heart valve repair system, the cholesterol-lowering drug Tricor, and the thyroid hormone therapy Synthroid.
Through the first six months of this year, revenue from diagnostics products experienced a 47.3% drop year over year demand for COVID tests ebbs. However, the other divisions all grew, led by an 11% revenue increase for medical devices. If you take COVID tests out of the mix, the company's overall first-half revenue was up 10.7%, instead of being down 14.8%.
A dependable dividend allows you to buy the stock and hold on to it, all the while earning income. Instead of worrying about the usual ups and downs of the market, the dividend allows investors to make money while waiting for the stock's price to rise. Over the past decade, the share price has risen 182%, and if you factor in its dividend, the total return was an enviable 242%.
The company raised its quarterly dividend, effective in the first quarter this year, by 8.5% to $0.51 per share, the 51st consecutive annual raise. The yield is around 2.03%, compared to the S&P 500 average of 1.54%, and the payout ratio has increased in recent years, but at 62%, there's still room for continued increases.
That 51-year history of annual dividend hikes attracts long-term investors with its dependability, especially during economic downturns. At the beginning of the Great Recession in 2007, shares traded for around $27. By the end of the recession in June 2009, they had fallen 18.1% to $23.52. By contrast, the S&P 500 fell 37.93% in that same period.
The bear case: Slow growth for now and a pricey valuation
During the pandemic, sales of the company's medical devices fell as elective procedures were delayed, but sales of COVID tests more than made up for that. Abbott has increased revenue each year for a decade, but that streak is likely about to end. Through the first six months of this year, revenue of $19.7 billion was down 14.8% compared to the same period last year.
While the medical devices division has shown 48.5% growth over the past five years, if you compare this year's second quarter to the same period in 2018, the other divisions are showing much slower growth. Diagnostic revenue is up 23.7% over the same period five years ago, but it has been falling lately. Nutrition is up only 11.7%, and established pharmaceuticals are up only 13.9% over the same period five years ago. Outside of the company's diabetes products, which have done well, it's hard to see where Abbott will find additional growth in the near future.
BDX PE ratio data by YCharts,
The company's stock is down 8% so far this year, but even with that drop, it could fall further. It's trading at a price-to-earnings (P/E) ratio of around 34, compared to the S&P 500 average of 25. The chart above shows that among the other three healthcare companies with at least 50 consecutive years of dividend hikes, only Becton, Dickinson has a higher P/E.
By most any measure, Abbott Labs remains a solid company, but investors may want to wait for a further pullback before starting a position.
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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 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. | Abbott Laboratories (NYSE: ABT) is seen as a solid safe-harbor stock because of the company's 135-year history, its diversified healthcare business, and its reliable dividend. The company is known for innovation, with two of its biggest breakthroughs being the first licensed test for the HIV virus and Humira, the first fully human monoclonal antibody drug. Instead of worrying about the usual ups and downs of the market, the dividend allows investors to make money while waiting for the stock's price to rise. | Abbott Laboratories (NYSE: ABT) is seen as a solid safe-harbor stock because of the company's 135-year history, its diversified healthcare business, and its reliable dividend. Its segments are diagnostic products, medical devices, nutritional products, and established pharmaceutical products (branded generic medicines). Through the first six months of this year, revenue from diagnostics products experienced a 47.3% drop year over year demand for COVID tests ebbs. | Abbott Laboratories (NYSE: ABT) is seen as a solid safe-harbor stock because of the company's 135-year history, its diversified healthcare business, and its reliable dividend. Here's a look at Abbott from the bull and bear perspectives: The bull case: Revenue diversity and a steady dividend Abbott is a global company with a huge reach in products and geography. Through the first six months of this year, revenue from diagnostics products experienced a 47.3% drop year over year demand for COVID tests ebbs. | Abbott Laboratories (NYSE: ABT) is seen as a solid safe-harbor stock because of the company's 135-year history, its diversified healthcare business, and its reliable dividend. Abbott has increased revenue each year for a decade, but that streak is likely about to end. While the medical devices division has shown 48.5% growth over the past five years, if you compare this year's second quarter to the same period in 2018, the other divisions are showing much slower growth. |
30735.0 | 2023-09-22 00:00:00 UTC | Abbott India warns of laxatives shortage in tussle with Goa regulator | ABT | https://www.nasdaq.com/articles/abbott-india-warns-of-laxatives-shortage-in-tussle-with-goa-regulator | nan | nan | By Rishika Sadam
HYDERABAD, Sept 22 (Reuters) - Abbott Laboratories' ABT.N Indian unit has warned of potential supply shortages of two popular laxative syrups after production was prohibited in India's Goa state, where drug inspectors have found lapses at a company factory, a letter shows.
Goa, where Abbott has one of its two India plants, asked the company to halt production of Cremaffin and Duphalac syrups last month. The request followed the recall of another Abbott drug which triggered factory inspections by health officials who found contamination risks and sanitisation issues.
The two laxative brands together have estimated annual sales of $70 million in India, healthcare data firm Pharmarack says.
In a letter to Goa's Directorate of Food and Drugs Administration dated Sept. 18, which is not public and has not previously been reported on, Abbott ABOT.NS pushed state regulators to allow it to restart manufacturing the two medicines.
"The two products have a high consumption rate and are highly prescribed," Abbott said in the letter seen by Reuters. "We are likely to face a supply shortage of these two products," it warned.
Cremaffin, Abbott argued, is a "necessity to support hospitalised patients" while Duphalac is prescribed in serious disorders caused by liver failure.
Abbott in India and the Goa FDA spokesperson did not immediately respond to requests for comment.
India is a major market for Abbott. Its currently regulatory challenges in the country began in August with the recall of thousands of bottles of its popular Digene Gel antacid syrup following complaints about its taste and odour.
Abbott has since halted production of Digene but says there is no impact on patient health.
Drug inspectors who visited the Goa facility following the recall flagged issues such as water stagnation in tanks and pipes, saying it could lead to contamination and microbial growth.
They asked the company to fix the problems and the FDA warned it could revoke the manufacturing licence for Digene syrup, Reuters reported earlier this month.
In its latest letter, Abbott told Goa authorities it had taken corrective steps, segregating the manufacturing lines of different drugs and changing its cleaning protocols.
"We are committed to invest and upgrade the manufacturing site," it said, asking that no action on the licence be taken.
(Reporting by Rishika Sadam in Hyderabad; Editing by Aditya Kalra, Kirsten Donovan)
((Rishika.S@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. | By Rishika Sadam HYDERABAD, Sept 22 (Reuters) - Abbott Laboratories' ABT.N Indian unit has warned of potential supply shortages of two popular laxative syrups after production was prohibited in India's Goa state, where drug inspectors have found lapses at a company factory, a letter shows. In a letter to Goa's Directorate of Food and Drugs Administration dated Sept. 18, which is not public and has not previously been reported on, Abbott ABOT.NS pushed state regulators to allow it to restart manufacturing the two medicines. Drug inspectors who visited the Goa facility following the recall flagged issues such as water stagnation in tanks and pipes, saying it could lead to contamination and microbial growth. | By Rishika Sadam HYDERABAD, Sept 22 (Reuters) - Abbott Laboratories' ABT.N Indian unit has warned of potential supply shortages of two popular laxative syrups after production was prohibited in India's Goa state, where drug inspectors have found lapses at a company factory, a letter shows. Goa, where Abbott has one of its two India plants, asked the company to halt production of Cremaffin and Duphalac syrups last month. They asked the company to fix the problems and the FDA warned it could revoke the manufacturing licence for Digene syrup, Reuters reported earlier this month. | By Rishika Sadam HYDERABAD, Sept 22 (Reuters) - Abbott Laboratories' ABT.N Indian unit has warned of potential supply shortages of two popular laxative syrups after production was prohibited in India's Goa state, where drug inspectors have found lapses at a company factory, a letter shows. Goa, where Abbott has one of its two India plants, asked the company to halt production of Cremaffin and Duphalac syrups last month. In a letter to Goa's Directorate of Food and Drugs Administration dated Sept. 18, which is not public and has not previously been reported on, Abbott ABOT.NS pushed state regulators to allow it to restart manufacturing the two medicines. | By Rishika Sadam HYDERABAD, Sept 22 (Reuters) - Abbott Laboratories' ABT.N Indian unit has warned of potential supply shortages of two popular laxative syrups after production was prohibited in India's Goa state, where drug inspectors have found lapses at a company factory, a letter shows. Goa, where Abbott has one of its two India plants, asked the company to halt production of Cremaffin and Duphalac syrups last month. The request followed the recall of another Abbott drug which triggered factory inspections by health officials who found contamination risks and sanitisation issues. |
30736.0 | 2023-09-22 00:00:00 UTC | Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS | ABT | https://www.nasdaq.com/articles/daily-dividend-report%3A-scvlabttxnwkcbfs | nan | nan | Shoe Carnival, a leading retailer of footwear and accessories for the family, announced today that its Board of Directors has approved the payment of a quarterly cash dividend of $0.12 per share, representing an increase of 20 percent from $0.10 per share. The increased quarterly cash dividend of $0.12 per share will be paid on October 17, 2023, to shareholders of record as of the close of business on October 3, 2023. "This marks our 46th consecutive quarterly dividend. With continued strong cash flow generation and no long-term debt, the Board's decision to significantly increase the quarterly dividend demonstrates our confidence in driving continued shareholder returns, while also investing to grow the business," commented Mark Worden, Shoe Carnival's President and Chief Executive Officer.
The board of directors of Abbott today declared a quarterly common dividend of 51 cents per share. This marks the 399th consecutive quarterly dividend to be paid by Abbott since 1924. The cash dividend is payable Nov. 15, 2023, to shareholders of record at the close of business on Oct. 13, 2023. Abbott has increased its dividend payout for 51 consecutive years and is a member of the S&P 500 Dividend Aristocrats Index, which tracks companies that have increased dividends annually for at least 25 consecutive years.
Texas Instruments today said it will raise its quarterly cash dividend 5%, from $1.24 per share to $1.30, or $5.20 annualized. The higher dividend will be payable November 14, 2023, to stockholders of record on October 31, 2023, contingent upon formal declaration by the board of directors at its regular meeting in October. The increase is consistent with TI's long-term objective for dividends by providing a sustainable and growing dividend and reflects the company's continued commitment to return all free cash flow to its owners over time. Today's announcement marks 20 consecutive years of dividend increases.
World Kinect announced today that its board of directors has declared a quarterly cash dividend of $0.14 per share, which is payable on October 16, 2023 to shareholders of record on October 2, 2023.
Saul Centers has declared a quarterly dividend of $0.59 per share on its common stock, to be paid on October 31, 2023, to holders of record on October 16, 2023. The common dividend is unchanged from the amount paid in the previous quarter and the amount paid in the prior year's comparable quarter.
VIDEO: Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | VIDEO: Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. With continued strong cash flow generation and no long-term debt, the Board's decision to significantly increase the quarterly dividend demonstrates our confidence in driving continued shareholder returns, while also investing to grow the business," commented Mark Worden, Shoe Carnival's President and Chief Executive Officer. The board of directors of Abbott today declared a quarterly common dividend of 51 cents per share. | VIDEO: Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The increased quarterly cash dividend of $0.12 per share will be paid on October 17, 2023, to shareholders of record as of the close of business on October 3, 2023. Today's announcement marks 20 consecutive years of dividend increases. | VIDEO: Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The increased quarterly cash dividend of $0.12 per share will be paid on October 17, 2023, to shareholders of record as of the close of business on October 3, 2023. Abbott has increased its dividend payout for 51 consecutive years and is a member of the S&P 500 Dividend Aristocrats Index, which tracks companies that have increased dividends annually for at least 25 consecutive years. | VIDEO: Daily Dividend Report: SCVL,ABT,TXN,WKC,BFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. This marks the 399th consecutive quarterly dividend to be paid by Abbott since 1924. Today's announcement marks 20 consecutive years of dividend increases. |
30737.0 | 2023-09-21 00:00:00 UTC | Abbott (ABT) Stock Moves -1.35%: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-stock-moves-1.35%3A-what-you-should-know | nan | nan | Abbott (ABT) closed at $98.93 in the latest trading session, marking a -1.35% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.64%. Elsewhere, the Dow lost 1.08%, while the tech-heavy Nasdaq lost 1.82%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had lost 4.61% over the past month. This has lagged the Medical sector's loss of 3.72% and the S&P 500's gain of 0.89% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. The company is expected to report EPS of $1.10, down 4.35% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.78 billion, down 6.09% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.40 per share and revenue of $39.77 billion. These totals would mark changes of -17.6% and -8.89%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Abbott. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 remained stagnant. Abbott is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that Abbott has a Forward P/E ratio of 22.8 right now. This represents a premium compared to its industry's average Forward P/E of 18.84.
Also, we should mention that ABT has a PEG ratio of 4.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Products industry currently had an average PEG ratio of 2.65 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 78, which puts it in the top 31% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Abbott Laboratories (ABT) : 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. | Abbott (ABT) closed at $98.93 in the latest trading session, marking a -1.35% move from the prior day. Also, we should mention that ABT has a PEG ratio of 4.48. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $98.93 in the latest trading session, marking a -1.35% move from the prior day. Also, we should mention that ABT has a PEG ratio of 4.48. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $98.93 in the latest trading session, marking a -1.35% move from the prior day. Also, we should mention that ABT has a PEG ratio of 4.48. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $98.93 in the latest trading session, marking a -1.35% move from the prior day. Also, we should mention that ABT has a PEG ratio of 4.48. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30738.0 | 2023-09-21 00:00:00 UTC | Abbott (ABT) to Commercialize Biosimilars in Emerging Markets | ABT | https://www.nasdaq.com/articles/abbott-abt-to-commercialize-biosimilars-in-emerging-markets | nan | nan | Abbott ABT recently announced an agreement with the leading international biopharmaceutical company, mAbxience Holdings S.L. The collaboration will commercialize several biosimilar molecules in select key emerging markets.
The Abbott-mAbxience partnership dates back to 2018 through which Abbott provided access to treatment options for two cutting-edge oncology biosimilars in various countries, including Colombia, Chile and Peru and Central America. The latest expanded collaboration further complements Abbott’s current branded generic medicine portfolio with state-of-the-art biosimilars and broadens the scope of its Established Pharmaceuticals business.
About mAbxience
Spain-based mAbxience Holdings S.L. specializes in the development, production and commercialization of biopharmaceuticals. In August 2022, Fresenius Kabi and Insud Pharma entered into an agreement under which Fresenius Kabi acquired a majority stake in mAbxience — making it a global, vertically integrated, fully fledged biotechnology company.
Furthermore, as a global biopharmaceutical expert, mAbxience specializes in Contract Development and Manufacturing Organizations, utilizing advanced technology and innovative platforms to deliver integrated manufacturing solutions.
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News in Detail
Under the agreement, Abbott is set to commercialize biosimilars in emerging markets across Latin America, Southeast Asia, the Middle East and Africa. It will help introduce life-saving treatments in key oncology, women's health and respiratory diseases for the first time in some countries at a fraction of the cost of originator biologics, making it more accessible and affordable for healthcare systems in these countries by leveraging ABT's broad in-country footprint.
mAbxience will manufacture biosimilars in one of its two state-of-the-art, Good Manufacturing Practices-approved facilities in Spain and Argentina. Additionally, mAbxience will be responsible for achieving clinical milestones for some of the molecules still undergoing development. The first molecules are expected to launch in 2025, while others are subject to the completion of clinical development and registration.
As a backdrop, Abbott quoted data from some published estimates, which report that non-communicable diseases such as cancer are accelerating rapidly with an aging population and changing lifestyles worldwide. For people in emerging countries, physical challenges in accessing a doctor, especially in rural areas, often limit access to optimal care. The non-availability of the latest innovations further hinders access to standards of care.
More than three-quarters of all deaths worldwide from chronic diseases happen in emerging countries. In Brazil and Mexico, up to 40 percent of cancer patients who may benefit from biologics do not receive the therapy they need.
Industry Prospects
Per a Research report, the global biosimilar market is valued at 21.8 billion in 2022 and is expected to witness a CAGR of 15.9% by 2030.
Established Pharmaceuticals Business’ Growth Prospects
Abbott’s Established Pharmaceuticals business primarily focuses on building country-specific portfolios made up of high-quality medicines that meet the needs of people in emerging markets. A broad line of branded generic pharmaceutical products is sold across the largest and fastest-growing pharmaceutical markets such as India, Russia, China and Latin America.
Recently, management noted that banking on the successful execution of its Branded Generic operating model, the business is well-positioned for sustained growth in many of these growing pharmaceutical markets.
Over the next several years, the company plans to expand its product portfolio in key therapeutic areas to address the health needs of more people in emerging markets and be among the first to launch new off-patent and differentiated medicines. Abbott’s collaboration with mAbxience broadens Abbott's medicine offering in key emerging countries.
Price Performance
In the past six months, Abbott shares have increased 3.5% against the industry’s fall of 2.6%.
Zacks Rank and Other Key Picks
Abbott currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space are Haemonetics HAE, Quanterix QTRX and Intuitive Surgical ISRG, each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Haemonetics’ stock has risen 23.6% in the past year. Earnings estimates for Haemonetics have increased from $3.74 to $3.82 in 2023 and remained constant at $4.07 in 2024 in the past 30 days.
HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.39%. In the last reported quarter, it posted an earnings surprise of 38.16%.
Estimates for Quanterix’s 2023 loss per share have remained constant at 97 cents in the past 30 days. Shares of the company have increased 196.4% in the past year compared to the industry’s rise of 0.8%.
QTRX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 30.39%. In the last reported quarter, it posted an earnings surprise of 55.56%.
Estimates for Intuitive Surgical’s 2023 earnings have remained constant at $5.57 per share in the past 30 days. Shares of the company have increased 52.6% in the past year compared to the industry’s growth of 4.7%.
ISRG’s earnings beat estimates in three of the trailing four quarters and missed in one, the average surprise being 4.19%. In the last reported quarter, Intuitive Surgical delivered an earnings surprise of 7.58%.
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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. | Abbott ABT recently announced an agreement with the leading international biopharmaceutical company, mAbxience Holdings S.L. It will help introduce life-saving treatments in key oncology, women's health and respiratory diseases for the first time in some countries at a fraction of the cost of originator biologics, making it more accessible and affordable for healthcare systems in these countries by leveraging ABT's broad in-country footprint. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT recently announced an agreement with the leading international biopharmaceutical company, mAbxience Holdings S.L. It will help introduce life-saving treatments in key oncology, women's health and respiratory diseases for the first time in some countries at a fraction of the cost of originator biologics, making it more accessible and affordable for healthcare systems in these countries by leveraging ABT's broad in-country footprint. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT recently announced an agreement with the leading international biopharmaceutical company, mAbxience Holdings S.L. It will help introduce life-saving treatments in key oncology, women's health and respiratory diseases for the first time in some countries at a fraction of the cost of originator biologics, making it more accessible and affordable for healthcare systems in these countries by leveraging ABT's broad in-country footprint. | Abbott ABT recently announced an agreement with the leading international biopharmaceutical company, mAbxience Holdings S.L. It will help introduce life-saving treatments in key oncology, women's health and respiratory diseases for the first time in some countries at a fraction of the cost of originator biologics, making it more accessible and affordable for healthcare systems in these countries by leveraging ABT's broad in-country footprint. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30739.0 | 2023-09-20 00:00:00 UTC | All You Need to Know About Abbott (ABT) Rating Upgrade to Buy | ABT | https://www.nasdaq.com/articles/all-you-need-to-know-about-abbott-abt-rating-upgrade-to-buy | nan | nan | Abbott (ABT) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.
Individual investors often find it hard to make decisions based on rating upgrades by Wall Street analysts, since these are mostly driven by subjective factors that are hard to see and measure in real time. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements.
As such, the Zacks rating upgrade for Abbott is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock Prices
The change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.
For Abbott, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate Revisions
Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>>.
Earnings Estimate Revisions for Abbott
For the fiscal year ending December 2023, this maker of infant formula, medical devices and drugs is expected to earn $4.40 per share, which is a change of -17.6% from the year-ago reported number.
Analysts have been steadily raising their estimates for Abbott. Over the past three months, the Zacks Consensus Estimate for the company has increased 0.3%.
Bottom Line
Unlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of 'buy' and 'sell' ratings for its entire universe of more than 4000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a 'Strong Buy' rating and the next 15% get a 'Buy' rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Abbott to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
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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. | Abbott (ABT) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements. | Abbott (ABT) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Most Powerful Force Impacting Stock Prices The change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. | Abbott (ABT) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Most Powerful Force Impacting Stock Prices The change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. | Abbott (ABT) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements. |
30740.0 | 2023-09-20 00:00:00 UTC | Abbott (ABT) Broadens Electrophysiology Footprint With TactiFlex | ABT | https://www.nasdaq.com/articles/abbott-abt-broadens-electrophysiology-footprint-with-tactiflex | nan | nan | Abbott ABT has taken a significant step in the field of electrophysiology with the introduction of its TactiFlex Ablation Catheter, Sensor Enabled. This device is designed to treat atrial fibrillation (AFib), a common and potentially life-threatening irregular heart rhythm that affects millions worldwide.
The recent successful deployment of TactiFlex Ablation Catheter, Sensor Enabled in Canada broadens Abbott's global footprint in the electrophysiology space.
Abbott's commitment to improving the lives of AFib patients extends beyond Canada. With approvals in multiple regions, including the United States, Europe, Japan, Africa, and Australia, the TactiFlex SE catheter is poised to make a global impact, offering hope to millions living with AFib.
AFib at a Glance
The global prevalence of AFib is soaring, with over 37 million individuals currently affected. This number is projected to double by 2050. Further, AFib affects a substantial portion of the Canadian population, with potentially severe complications, including stroke and heart failure.
In the face of rising demand to treat AFib, Abbott's TactiFlex SE catheter launch offers numerous advantages over conventional treatments.
Abbott Laboratories Price
Abbott Laboratories price | Abbott Laboratories Quote
A Few Words on TactiFlex SE
One of the key advantages of the TactiFlex SE catheter is its flexible tip and contact force technology, enabling physicians to achieve greater accuracy and precision during ablation procedures. By flexing when in contact with the heart wall, the catheter directs fluid to the treated tissue, enhancing stability and ensuring consistent therapy delivery. This not only reduces procedure times by 25% but also minimizes the risks associated with AFib treatments.
Abbott has strategically paired the TactiFlex SE catheter with its EnSite X EP System, an industry-leading heart mapping system. This combination allows physicians to accurately detect areas in the heart that need ablation. The TactiFlex catheter's laser-cut pattern tip design, combined with the EnSite X EP System, offers a comprehensive solution for AFib patients, promising safe and effective results.
Favorable Clinical Outcome
The TactiFlex SE catheter has generated strong clinical outcomes in the TactiFlex AF IDE study, achieving over 99% acute procedural success. The study showed the catheter created fast and safe lesions to treat AFib with more than 99% acute procedural success.
Market Prospects
Going by a Grand View Research report, the global electrophysiology devices market is poised for robust growth, with a projected CAGR of 11.16% from 2023 to 2030. Key drivers include the increasing use of electrophysiology tests for heart disease diagnosis and treatment, rising demand for cardiac rhythm management devices for continuous monitoring and expanding applications in out-of-hospital settings.
Furthermore, the growing prevalence of heart-related issues, such as atrial fibrillation, cardiac arrest and heart failure, particularly among millennials due to unhealthy lifestyles, underscores the market's rising potential. According to the Centers for Disease Control and Prevention, an estimated 12.1 million Americans will have atrial fibrillation by 2030, further boosting the prospects of the electrophysiology devices market globally.
Zacks Rank and Other Key Picks
Abbott currently carries a Zacks Rank #2 (Buy).
Some top-ranked stocks in the broader medical space are Haemonetics HAE, Quanterix QTRX and SiBone SIBN, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Haemonetics’ stock has risen 19.7% in the past year. Earnings estimates for Haemonetics have increased from $3.56 to $3.74 for 2023 and from $3.96 to $4.07 for 2024 in the past 30 days.
HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.39%. In the last reported quarter, it posted an earnings surprise of 38.16%.
Estimates for Quanterix’s 2023 loss per share have narrowed from $1.19 to 97 cents in the past 30 days. Shares of the company have increased 186% in the past year against the industry’s decline of 22.5%.
QTRX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 30.39%. In the last reported quarter, it posted an earnings surprise of 55.56%.
Estimates for SiBone’s 2023 loss have narrowed from $1.42 to $1.27 per share in the past 30 days. Shares of the company have increased 23.3% in the past year compared with the industry’s rise of 2.3%.
SIBN’s earnings beat estimates in all the trailing four quarters, the average surprise being 20.37%. In the last reported quarter, SiBone delivered an earnings surprise of 26.83%.
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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. | Abbott ABT has taken a significant step in the field of electrophysiology with the introduction of its TactiFlex Ablation Catheter, Sensor Enabled. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. With approvals in multiple regions, including the United States, Europe, Japan, Africa, and Australia, the TactiFlex SE catheter is poised to make a global impact, offering hope to millions living with AFib. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT has taken a significant step in the field of electrophysiology with the introduction of its TactiFlex Ablation Catheter, Sensor Enabled. Favorable Clinical Outcome The TactiFlex SE catheter has generated strong clinical outcomes in the TactiFlex AF IDE study, achieving over 99% acute procedural success. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT has taken a significant step in the field of electrophysiology with the introduction of its TactiFlex Ablation Catheter, Sensor Enabled. In the face of rising demand to treat AFib, Abbott's TactiFlex SE catheter launch offers numerous advantages over conventional treatments. | Abbott ABT has taken a significant step in the field of electrophysiology with the introduction of its TactiFlex Ablation Catheter, Sensor Enabled. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. In the face of rising demand to treat AFib, Abbott's TactiFlex SE catheter launch offers numerous advantages over conventional treatments. |
30741.0 | 2023-09-20 00:00:00 UTC | Abbott (ABT) Unveils Connected Diabetes App With New Pact | ABT | https://www.nasdaq.com/articles/abbott-abt-unveils-connected-diabetes-app-with-new-pact | nan | nan | Abbott Laboratories, Inc. ABT and WW International WW announced the release of a linked app to help patients with diabetes understand how food and activity affect their glucose levels. Members of the WeightWatchers Diabetes-Tailored Plan can now get critical glucose data from Abbott's FreeStyle Libre 2 system via the WW app.
The recent development will bolster Abbott’s Diabetes business.
More on the News
WeightWatchers is the most popular weight-loss program doctors recommend. The WW Diabetes-Tailored Plan has been shown to lower members' haemoglobin A1c by 0.76 points and their diabetes discomfort by 9.8%.
The WW Diabetes-Tailored Plan, created by a team of nutrition and behavioral science specialists at WW, aids people with Type 2 diabetes in developing helpful habits and achieving their health objectives for long-term transformation.
New WW members can link the WW app with the FreeStyle Libre 2 system and take advantage of a free month of the WeightWatchers Diabetes-Tailored Plan until Dec 31, 2023.
Strategic Efforts
Clinical evidence demonstrates that healthy weight loss lowers average glucose, which is crucial for people with diabetes. Both WeightWatchers and Abbott have a long history of promoting healthier lifestyles. Through this collaboration, users of the WW Diabetes-Tailored Plan may use one app to view information backed by the FreeStyle Libre 2 system about how food and activity affect their glucose levels, enabling them to make good lifestyle decisions.
According to the Centers for Disease Control and Prevention, more than 37 million Americans have diabetes, with Type 2 diabetes accounting for almost 90% of those cases. Together, the two reliable brands empower people with Type 2 diabetes to better understand and take charge of their chronic disease, take charge of their health, and still eat the foods they love.
Industry Prospects
Per a Research report, the global continuous glucose monitoring (CGM) devices market was valued at $7.82 billion in 2022 and is expected to witness a CAGR of 4.4% by 2030. Growing cases of diabetes, coupled with the increasing adoption of CGM devices, have been driving the market.
Progress Within CGM System
Of late, Abbott has been reaching the headlines for several achievements. The FreeStyle Libre portfolio is the top sensor-based glucose monitoring system in the world, changing the lives of over 5 million people across more than 60 countries by providing breakthrough technology that is accessible and affordable.
In September 2023, Abbott entered into a definitive agreement to acquire Bigfoot -- a developer of intelligent insulin management systems for people with diabetes. The acquisition will unite two industry leaders in several facets of diabetes care, Support for CGM and insulin injection.
Abbott Laboratories Price
Abbott Laboratories price | Abbott Laboratories Quote
In June 2023, Abbott partnered with the American Diabetes Association (“ADA”) to launch a therapeutic nutrition program for people with diabetes. The first-of-its-kind project will evaluate how diabetes technology, like continuous glucose monitoring (CGM) systems, can help people with diabetes make informed decisions about their food and activity.
Zacks Rank and Other Key Picks
Abbott currently carries a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the broader medical space are Haemonetics HAE and SiBone SIBN. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Haemonetics’ stock has risen 19.9% in the past year. Earnings estimates for Haemonetics have increased from $3.56 to $3.74 in 2023 and $3.96 to $4.07 in 2024 in the past 30 days. It currently carries Zacks Rank #1.
HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.39%. In the last reported quarter, it posted an earnings surprise of 38.16%
Estimates for SiBone’s2023 loss have narrowed from $1.42 to $1.27 per share in the past 30 days. Shares of the company have increased 31% in the past year compared with the industry’s rise of 1.9%. It currently carries Zacks Rank #2.
SIBN’s earnings beat estimates in all the trailing four quarters, the average surprise being 20.37%. In the last reported quarter, SiBone delivered an earnings surprise of 26.83%.
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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. | Abbott Laboratories, Inc. ABT and WW International WW announced the release of a linked app to help patients with diabetes understand how food and activity affect their glucose levels. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report WW International, Inc. (WW) : Free Stock Analysis Report To read this article on Zacks.com click here. Through this collaboration, users of the WW Diabetes-Tailored Plan may use one app to view information backed by the FreeStyle Libre 2 system about how food and activity affect their glucose levels, enabling them to make good lifestyle decisions. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report WW International, Inc. (WW) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories, Inc. ABT and WW International WW announced the release of a linked app to help patients with diabetes understand how food and activity affect their glucose levels. Through this collaboration, users of the WW Diabetes-Tailored Plan may use one app to view information backed by the FreeStyle Libre 2 system about how food and activity affect their glucose levels, enabling them to make good lifestyle decisions. | Abbott Laboratories, Inc. ABT and WW International WW announced the release of a linked app to help patients with diabetes understand how food and activity affect their glucose levels. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report WW International, Inc. (WW) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories Price Abbott Laboratories price | Abbott Laboratories Quote In June 2023, Abbott partnered with the American Diabetes Association (“ADA”) to launch a therapeutic nutrition program for people with diabetes. | Abbott Laboratories, Inc. ABT and WW International WW announced the release of a linked app to help patients with diabetes understand how food and activity affect their glucose levels. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report WW International, Inc. (WW) : Free Stock Analysis Report To read this article on Zacks.com click here. Members of the WeightWatchers Diabetes-Tailored Plan can now get critical glucose data from Abbott's FreeStyle Libre 2 system via the WW app. |
30742.0 | 2023-09-20 00:00:00 UTC | Abbott Inks Deal With MAbxience To Commercialize Biosimilar Molecules In Emerging Markets | ABT | https://www.nasdaq.com/articles/abbott-inks-deal-with-mabxience-to-commercialize-biosimilar-molecules-in-emerging-markets | nan | nan | (RTTNews) - Abbott Laboratories (ABT) announced Wednesday an agreement with Spain-based global biotech firm mAbxience Holdings S.L. to commercialize several biosimilars focusing on oncology, women's health and respiratory diseases in emerging markets.
The first molecules are expected to launch in 2025, while others are subject to the completion of clinical development and registration.
Abbott will register and commercialize the biosimilars in key emerging countries in Latin America, Southeast Asia, the Middle East and Africa, leveraging the company's broad in-country footprint to make these cutting-edge medicines available to more people in emerging countries.
mAbxience, with majority ownership from Fresenius Kabi and partial ownership from Insud Pharma, will manufacture the biosimilars in one of its two state-of-the art and Good Manufacturing Practices (GMP)-approved facilities in Spain and Argentina.
Additionally, mAbxience will be responsible for achieving the clinical milestones for some of the molecules still undergoing development.
This collaboration broadens Abbott's medicines offering in emerging countries and expands an existing agreement with mAbxience, initiated in Latin America in 2018.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) announced Wednesday an agreement with Spain-based global biotech firm mAbxience Holdings S.L. Abbott will register and commercialize the biosimilars in key emerging countries in Latin America, Southeast Asia, the Middle East and Africa, leveraging the company's broad in-country footprint to make these cutting-edge medicines available to more people in emerging countries. This collaboration broadens Abbott's medicines offering in emerging countries and expands an existing agreement with mAbxience, initiated in Latin America in 2018. | (RTTNews) - Abbott Laboratories (ABT) announced Wednesday an agreement with Spain-based global biotech firm mAbxience Holdings S.L. The first molecules are expected to launch in 2025, while others are subject to the completion of clinical development and registration. Abbott will register and commercialize the biosimilars in key emerging countries in Latin America, Southeast Asia, the Middle East and Africa, leveraging the company's broad in-country footprint to make these cutting-edge medicines available to more people in emerging countries. | (RTTNews) - Abbott Laboratories (ABT) announced Wednesday an agreement with Spain-based global biotech firm mAbxience Holdings S.L. Abbott will register and commercialize the biosimilars in key emerging countries in Latin America, Southeast Asia, the Middle East and Africa, leveraging the company's broad in-country footprint to make these cutting-edge medicines available to more people in emerging countries. mAbxience, with majority ownership from Fresenius Kabi and partial ownership from Insud Pharma, will manufacture the biosimilars in one of its two state-of-the art and Good Manufacturing Practices (GMP)-approved facilities in Spain and Argentina. | (RTTNews) - Abbott Laboratories (ABT) announced Wednesday an agreement with Spain-based global biotech firm mAbxience Holdings S.L. to commercialize several biosimilars focusing on oncology, women's health and respiratory diseases in emerging markets. The first molecules are expected to launch in 2025, while others are subject to the completion of clinical development and registration. |
30743.0 | 2023-09-19 00:00:00 UTC | Noteworthy ETF Inflows: IWB, MCD, BAC, ABT | ABT | https://www.nasdaq.com/articles/noteworthy-etf-inflows%3A-iwb-mcd-bac-abt | 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 $159.1 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 124,500,000 to 125,150,000). Among the largest underlying components of IWB, in trading today McDonald's Corp (Symbol: MCD) is up about 0.1%, Bank of America Corp (Symbol: BAC) is trading flat, and Abbott Laboratories (Symbol: ABT) is up by about 824.3%. 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 $252.935 as the 52 week high point — that compares with a last trade of $243.68. 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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ETFs Holding NSTG
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 McDonald's Corp (Symbol: MCD) is up about 0.1%, Bank of America Corp (Symbol: BAC) is trading flat, and Abbott Laboratories (Symbol: ABT) is up by about 824.3%. 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 McDonald's Corp (Symbol: MCD) is up about 0.1%, Bank of America Corp (Symbol: BAC) is trading flat, and Abbott Laboratories (Symbol: ABT) is up by about 824.3%. 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 $252.935 as the 52 week high point — that compares with a last trade of $243.68. Click here to find out which 9 other ETFs had notable inflows » Also see: Funds Holding MAYS ADEP Videos ETFs Holding NSTG 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 McDonald's Corp (Symbol: MCD) is up about 0.1%, Bank of America Corp (Symbol: BAC) is trading flat, and Abbott Laboratories (Symbol: ABT) is up by about 824.3%. 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 $159.1 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 124,500,000 to 125,150,000). 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 $252.935 as the 52 week high point — that compares with a last trade of $243.68. | Among the largest underlying components of IWB, in trading today McDonald's Corp (Symbol: MCD) is up about 0.1%, Bank of America Corp (Symbol: BAC) is trading flat, and Abbott Laboratories (Symbol: ABT) is up by about 824.3%. 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 $159.1 million dollar inflow -- that's a 0.5% increase week over week in outstanding units (from 124,500,000 to 125,150,000). 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 $252.935 as the 52 week high point — that compares with a last trade of $243.68. |
30744.0 | 2023-09-19 00:00:00 UTC | EXCLUSIVE-India's Torrent in talks with Apollo to borrow up to $1 bln for Cipla bid, sources say | ABT | https://www.nasdaq.com/articles/exclusive-indias-torrent-in-talks-with-apollo-to-borrow-up-to-%241-bln-for-cipla-bid-sources | nan | nan | By M. Sriram and Aditya Kalra
MUMBAI/NEW DELHI, Sept 19 (Reuters) - India's Torrent Pharmaceutical TORP.NS is in preliminary talks with Apollo Global Management APO.N to secure a loan of up to $1 billion to help fund a planned bid for Cipla CIPL.NS, two people briefed on the discussions said.
Torrent is hoping to secure roughly $3 billion to $4 billion in financing for the bid for its much bigger rival, they said. Bernstein analysts have estimated that a deal for about 60% of India's No. 3 drugmaker could be worth as much as $7 billion - potentially India's largest pharma deal to date.
Torrent has also been in talks with CVC Capital Partners and Bain Capital who might become equity partners in a consortium and contribute as much as a combined $1.5 billion to the deal, sources have said.
Cipla's founding family is keen to sell their 33.4% holding, sources say, and a bid for that amount would also trigger an open offer for another 26% as per Indian regulations.
Blackstone BX.N is also interested in bidding for Cipla, sources have also said.
Apollo is considering purchasing a small part of the Cipla founding family's stake but a final decision will depend on how talks progress with Torrent, said one of the two people who declined to be identified as the talks were private.
Apollo is "quite bullish on their Asia strategy, and India in particular...both Cipla and Torrent have strong balance sheets," the person said.
Apollo and Torrent, which has yet to confirm its interest in Cipla, did not immediately respond to a request for comment. Their discussions are being reported for the first time.
Cipla and Blackstone have not commented on reports about a potential deal.
Apollo, one of the world's biggest asset managers, managed $438 billion in credit and $101 billion in private equity as of March 2023. It opened up an office in Mumbai last year and has in the recent past issued loans of around $2.5 billion to several entities including Mumbai International Airport and JSW Cement.
Foreign banks, including Morgan Stanley MS.N and Barclays BARC.L, are also in talks with Torrent to extend loans and arrange financing for the deal, sources have said.
Cipla, which has a market cap of some $12 billion, is known for making the anti-allergy drug Cetirizine and generic versions of respiratory drugs Advair and Albuterol.
It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation where the pharmaceutical market is expected to be worth $130 billion by 2030 from $50 billion currently.
Torrent, whose market cap is 56% lower than Cipla's, sells medicines related to diabetes, pain management and oncology and is present in more than 40 countries.
(Reporting by M. Sriram and Aditya Kalra; Editing by Edwina Gibbs)
((aditya.kalra@thomsonreuters.com; @adityakalra;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation where the pharmaceutical market is expected to be worth $130 billion by 2030 from $50 billion currently. By M. Sriram and Aditya Kalra MUMBAI/NEW DELHI, Sept 19 (Reuters) - India's Torrent Pharmaceutical TORP.NS is in preliminary talks with Apollo Global Management APO.N to secure a loan of up to $1 billion to help fund a planned bid for Cipla CIPL.NS, two people briefed on the discussions said. Cipla's founding family is keen to sell their 33.4% holding, sources say, and a bid for that amount would also trigger an open offer for another 26% as per Indian regulations. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation where the pharmaceutical market is expected to be worth $130 billion by 2030 from $50 billion currently. By M. Sriram and Aditya Kalra MUMBAI/NEW DELHI, Sept 19 (Reuters) - India's Torrent Pharmaceutical TORP.NS is in preliminary talks with Apollo Global Management APO.N to secure a loan of up to $1 billion to help fund a planned bid for Cipla CIPL.NS, two people briefed on the discussions said. Apollo is considering purchasing a small part of the Cipla founding family's stake but a final decision will depend on how talks progress with Torrent, said one of the two people who declined to be identified as the talks were private. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation where the pharmaceutical market is expected to be worth $130 billion by 2030 from $50 billion currently. By M. Sriram and Aditya Kalra MUMBAI/NEW DELHI, Sept 19 (Reuters) - India's Torrent Pharmaceutical TORP.NS is in preliminary talks with Apollo Global Management APO.N to secure a loan of up to $1 billion to help fund a planned bid for Cipla CIPL.NS, two people briefed on the discussions said. Torrent has also been in talks with CVC Capital Partners and Bain Capital who might become equity partners in a consortium and contribute as much as a combined $1.5 billion to the deal, sources have said. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation where the pharmaceutical market is expected to be worth $130 billion by 2030 from $50 billion currently. By M. Sriram and Aditya Kalra MUMBAI/NEW DELHI, Sept 19 (Reuters) - India's Torrent Pharmaceutical TORP.NS is in preliminary talks with Apollo Global Management APO.N to secure a loan of up to $1 billion to help fund a planned bid for Cipla CIPL.NS, two people briefed on the discussions said. 3 drugmaker could be worth as much as $7 billion - potentially India's largest pharma deal to date. |
30745.0 | 2023-09-18 00:00:00 UTC | India's Torrent Pharma in talks with CVC, Bain Capital for Cipla bid- sources | ABT | https://www.nasdaq.com/articles/indias-torrent-pharma-in-talks-with-cvc-bain-capital-for-cipla-bid-sources | nan | nan | By Aditya Kalra and M. Sriram
DELHI/MUMBAI, Sept 18 (Reuters) - India's Torrent Pharmaceuticals TORP.NS is in talks with private equity funds CVC Capital Partners and Bain Capital to raise up to $1.5 billion to bid for India's Cipla CIPL.NS, according to three sources with direct knowledge of the matter.
Torrent and Blackstone BX.N are among those interested to acquire a stake in Cipla, India's third-biggest drugmaker by sales, in what could be the largest pharma deal in India ever.
Cipla's founding family is keen to sell their 33.4% holding entirely, sources say, and any bid will also trigger an open offer for another 26% stake, as per Indian regulations. That translates to a $6.75 - $7 billion deal, Bernstein estimated in an Aug. 30 report.
Torrent is likely to reach a decision to finalize its consortium financing partner in the next few days, said the first source.
Bain and Blackstone declined to comment while Cipla, Torrent and CVC did not respond to comments. The Economic Times first reported CVC's talks with Torrent on Monday.
Cipla also exports medicines to North America and South Africa, and sells generic drugs to treat illnesses like cold, fever and headaches. It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation whose pharmaceutical market is expected to reach $130 billion by 2030, from $50 billion currently.
Torrent, whose market cap is 54% lower than Cipla's $11.9 billion, is present in more than 40 countries and sells medicines related to diabetes, pain management, gynaecology, oncology and anti-infective segments as per its website.
Torrent and Blackstone both have submitted non-binding bids for Cipla, sources say.
Foreign banks, including Morgan Stanley and Barclays are also in talks with Torrent to arrange potential debt financing for the deal, the second and third source said.
Barclays declined to comment while Morgan Stanley did not immediately respond.
The second source said Cipla is likely to be more keen on getting a strategic partner on board, like Torrent, instead of a pure financial investor, though a final decision was not likely soon.
A Bernstein report in August flagged possible antitrust scrutiny and requirement to divest brands when combined market shares are high. It added that product overlap between Cipla and Torrent is "manageable" as there were only four overlaps at the molecule level where the "combined sales share would cross the 90% mark."
(Reporting by M. Sriram and Aditya Kalra, additional reporting by Kane Wu; Editing by Bernadette Baum)
((Sriram.Mani@thomsonreuters.com;; Reuters Messaging: Twitter: @followthemani))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation whose pharmaceutical market is expected to reach $130 billion by 2030, from $50 billion currently. Cipla also exports medicines to North America and South Africa, and sells generic drugs to treat illnesses like cold, fever and headaches. Torrent, whose market cap is 54% lower than Cipla's $11.9 billion, is present in more than 40 countries and sells medicines related to diabetes, pain management, gynaecology, oncology and anti-infective segments as per its website. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation whose pharmaceutical market is expected to reach $130 billion by 2030, from $50 billion currently. By Aditya Kalra and M. Sriram DELHI/MUMBAI, Sept 18 (Reuters) - India's Torrent Pharmaceuticals TORP.NS is in talks with private equity funds CVC Capital Partners and Bain Capital to raise up to $1.5 billion to bid for India's Cipla CIPL.NS, according to three sources with direct knowledge of the matter. Bain and Blackstone declined to comment while Cipla, Torrent and CVC did not respond to comments. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation whose pharmaceutical market is expected to reach $130 billion by 2030, from $50 billion currently. By Aditya Kalra and M. Sriram DELHI/MUMBAI, Sept 18 (Reuters) - India's Torrent Pharmaceuticals TORP.NS is in talks with private equity funds CVC Capital Partners and Bain Capital to raise up to $1.5 billion to bid for India's Cipla CIPL.NS, according to three sources with direct knowledge of the matter. Bain and Blackstone declined to comment while Cipla, Torrent and CVC did not respond to comments. | It competes with global majors Pfizer PFE.N and Abbott ABT.N, among others, in the world's most populous nation whose pharmaceutical market is expected to reach $130 billion by 2030, from $50 billion currently. By Aditya Kalra and M. Sriram DELHI/MUMBAI, Sept 18 (Reuters) - India's Torrent Pharmaceuticals TORP.NS is in talks with private equity funds CVC Capital Partners and Bain Capital to raise up to $1.5 billion to bid for India's Cipla CIPL.NS, according to three sources with direct knowledge of the matter. Bain and Blackstone declined to comment while Cipla, Torrent and CVC did not respond to comments. |
30746.0 | 2023-09-15 00:00:00 UTC | S&P 500 Analyst Moves: ABT | ABT | https://www.nasdaq.com/articles/sp-500-analyst-moves%3A-abt-0 | nan | nan | The latest tally of analyst opinions from the major brokerage houses shows that among the components of the S&P 500 index, Abbott Laboratories is now the #106 analyst pick, moving up by 3 spots.
This rank is formed by averaging the analyst opinions for each component from each broker, and then ranking the 500 components by those average opinion values.
Looking at the stock price movement year to date, Abbott Laboratories is lower by about 7.3%.
VIDEO: S&P 500 Analyst Moves: ABT
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | VIDEO: S&P 500 Analyst Moves: ABT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The latest tally of analyst opinions from the major brokerage houses shows that among the components of the S&P 500 index, Abbott Laboratories is now the #106 analyst pick, moving up by 3 spots. This rank is formed by averaging the analyst opinions for each component from each broker, and then ranking the 500 components by those average opinion values. | VIDEO: S&P 500 Analyst Moves: ABT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The latest tally of analyst opinions from the major brokerage houses shows that among the components of the S&P 500 index, Abbott Laboratories is now the #106 analyst pick, moving up by 3 spots. This rank is formed by averaging the analyst opinions for each component from each broker, and then ranking the 500 components by those average opinion values. | VIDEO: S&P 500 Analyst Moves: ABT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The latest tally of analyst opinions from the major brokerage houses shows that among the components of the S&P 500 index, Abbott Laboratories is now the #106 analyst pick, moving up by 3 spots. This rank is formed by averaging the analyst opinions for each component from each broker, and then ranking the 500 components by those average opinion values. | VIDEO: S&P 500 Analyst Moves: ABT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The latest tally of analyst opinions from the major brokerage houses shows that among the components of the S&P 500 index, Abbott Laboratories is now the #106 analyst pick, moving up by 3 spots. This rank is formed by averaging the analyst opinions for each component from each broker, and then ranking the 500 components by those average opinion values. |
30747.0 | 2023-09-15 00:00:00 UTC | December 15th Options Now Available For Abbott Laboratories (ABT) | ABT | https://www.nasdaq.com/articles/december-15th-options-now-available-for-abbott-laboratories-abt | nan | nan | Investors in Abbott Laboratories (Symbol: ABT) saw new options become available today, for the December 15th 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 91 days until expiration the newly available 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 ABT options chain for the new December 15th contracts and identified one put and one call contract of particular interest.
The put contract at the $95.00 strike price has a current bid of $1.39. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $95.00, but will also collect the premium, putting the cost basis of the shares at $93.61 (before broker commissions). To an investor already interested in purchasing shares of ABT, that could represent an attractive alternative to paying $102.08/share today.
Because the $95.00 strike represents an approximate 7% 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 1.46% return on the cash commitment, or 5.87% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Abbott Laboratories, and highlighting in green where the $95.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $105.00 strike price has a current bid of $2.69. If an investor was to purchase shares of ABT stock at the current price level of $102.08/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $105.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.50% if the stock gets called away at the December 15th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if ABT shares really soar, which is why looking at the trailing twelve month trading history for Abbott Laboratories, as well as studying the business fundamentals becomes important. Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red:
Considering the fact that the $105.00 strike represents an approximate 3% 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 2.64% boost of extra return to the investor, or 10.56% 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 $102.08) to be 22%. 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 ABT shares really soar, which is why looking at the trailing twelve month trading history for Abbott Laboratories, as well as studying the business fundamentals becomes important. Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 3% 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 Abbott Laboratories (Symbol: ABT) saw new options become available today, for the December 15th expiration. | Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 3% 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 Abbott Laboratories (Symbol: ABT) saw new options become available today, for the December 15th expiration. | Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 3% 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 Abbott Laboratories (Symbol: ABT) saw new options become available today, for the December 15th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the ABT options chain for the new December 15th contracts and identified one put and one call contract of particular interest. | At Stock Options Channel, our YieldBoost formula has looked up and down the ABT options chain for the new December 15th contracts and identified one put and one call contract of particular interest. Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 3% 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 Abbott Laboratories (Symbol: ABT) saw new options become available today, for the December 15th expiration. |
30748.0 | 2023-09-15 00:00:00 UTC | 2 Dividend Kings to Buy on the Dip and Hold Forever | ABT | https://www.nasdaq.com/articles/2-dividend-kings-to-buy-on-the-dip-and-hold-forever | nan | nan | The elite club of Dividend Kings arguably stands out as the market's most prestigious group of dividend payers. Companies must have raised their payouts for at least 50 consecutive years to join, a feat requiring an incredibly solid business. The strength of their underlying operations makes many Dividend Kings attractive beyond the consistent passive income they offer, even when they aren't performing particularly well.
Let's look at two Dividend Kings that are lagging the market this year but are still worth investing in for the long term: Abbott Laboratories (NYSE: ABT) and AbbVie (NYSE: ABBV).
1. Abbott Laboratories
Medical devices expert Abbott Laboratories has delivered somewhat inconsistent financial results over the past three years. The pandemic initially harmed the company's business, and although it was able to keep its earnings afloat by marketing coronavirus diagnostic tests, sales of these products have been up and down. In the second quarter, Abbott's revenue declined by 11.4% to almost $10 billion.
The past few years aside, though, Abbott Laboratories has been delivering excellent results for a long time.
ABT Revenue (Quarterly) data by YCharts
The company owes it to an internal culture dedicated to innovation, its expertise in navigating the highly regulated healthcare industry, and a brand name that inspires confidence in the physicians and patients who use its products. These assets should continue to serve Abbott Labs well, as the company still has plenty of growth opportunities.
Perhaps the most important lies in diabetes care, where Abbott markets a leading continuous glucose monitoring (CGM) system franchise, the FreeStyle Libre. CGM devices help improve health outcomes for diabetes patients by allowing them to track their blood glucose levels throughout the day.
Abbott's diabetes care business has arguably been the single most consistent segment (and the most significant growth driver) in recent years, thanks to its FreeStyle Libre and the growing adoption of CGM. But the company's portfolio features many more products, from the MitraClip, which helps treat mitral regurgitation (a heart condition), to the newly approved leadless pacemaker (to help treat a slow heartbeat), the Aveir.
That's just the tip of the iceberg when looking at Abbott's vast portfolio of devices. Further, although Abbott's medical devices unit is the most promising, it has a diversified business that includes three other segments: nutrition, diagnostics, and established pharmaceuticals. The company's top line should bounce back once the effects of its coronavirus diagnostics business fade.
And in the long run, Abbott will most likely remain an innovator capable of growing its revenue and earnings at a good clip. Abbott Laboratories is currently on its 51st consecutive year of payout increases -- that's what makes it a Dividend King. The stock's yield of 2.03% isn't that high, but still beats the average of 1.54% for the S&P 500. And the dividend looks as secure as the rest of its business.
2. AbbVie
AbbVie used to be under the umbrella of Abbott Laboratories; it split into a stand-alone company in 2013. But because of its years spent as a division of the medical devices giant, AbbVie is also considered a Dividend King. So, officially, it has also raised its payouts for 51 consecutive years. In the 10 years since it separated from Abbott, some of AbbVie's most important metrics, including its dividends, have generally grown at a good clip.
ABBV Revenue (Quarterly) data by YCharts
But this year, the drugmaker lost U.S. patent exclusivity for what has been its biggest cash cow in this period: immunology drug Humira. Considering it hit peak annual sales of $21.2 billion last year, generic drug manufacturers naturally rushed to get a piece of this enormous pie. That's why AbbVie's top line and stock price are declining this year. The company's revenue in the second quarter dropped by almost 5% year over year to $13.9 billion.
Even so, AbbVie remains a solid pick for long-term investors. The company has several medicines that should eventually fill the gap Humira left, including its two other immunology blockbusters, Skyrizi and Rinvoq, migraine treatment Qulipta, and its Botox franchise. Those are among AbbVie's already approved products. The company's pipeline -- which features several dozen programs -- should lead to brand-new drugs.
That's what should matter most to investors, at least those looking for "forever" stocks: AbbVie's ability to develop new drugs is an essential skill for any pharmaceutical company that intends to last. So, while AbbVie's sales may be dropping right now as it works through this patent cliff, the company's prospects remain intact thanks to a deep pipeline and growing portfolio of approved medicines.
Meanwhile, the company's dividend yield currently tops 3.97% -- which is highly competitive. AbbVie won't stop rewarding investors with dividend increases anytime soon. And thanks to products that are essential to patients, AbbVie is an excellent pick for long-term-oriented investors looking for reliable income stocks.
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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. | ABT Revenue (Quarterly) data by YCharts The company owes it to an internal culture dedicated to innovation, its expertise in navigating the highly regulated healthcare industry, and a brand name that inspires confidence in the physicians and patients who use its products. Let's look at two Dividend Kings that are lagging the market this year but are still worth investing in for the long term: Abbott Laboratories (NYSE: ABT) and AbbVie (NYSE: ABBV). Abbott's diabetes care business has arguably been the single most consistent segment (and the most significant growth driver) in recent years, thanks to its FreeStyle Libre and the growing adoption of CGM. | Let's look at two Dividend Kings that are lagging the market this year but are still worth investing in for the long term: Abbott Laboratories (NYSE: ABT) and AbbVie (NYSE: ABBV). ABT Revenue (Quarterly) data by YCharts The company owes it to an internal culture dedicated to innovation, its expertise in navigating the highly regulated healthcare industry, and a brand name that inspires confidence in the physicians and patients who use its products. Abbott Laboratories Medical devices expert Abbott Laboratories has delivered somewhat inconsistent financial results over the past three years. | Let's look at two Dividend Kings that are lagging the market this year but are still worth investing in for the long term: Abbott Laboratories (NYSE: ABT) and AbbVie (NYSE: ABBV). ABT Revenue (Quarterly) data by YCharts The company owes it to an internal culture dedicated to innovation, its expertise in navigating the highly regulated healthcare industry, and a brand name that inspires confidence in the physicians and patients who use its products. Abbott Laboratories Medical devices expert Abbott Laboratories has delivered somewhat inconsistent financial results over the past three years. | Let's look at two Dividend Kings that are lagging the market this year but are still worth investing in for the long term: Abbott Laboratories (NYSE: ABT) and AbbVie (NYSE: ABBV). ABT Revenue (Quarterly) data by YCharts The company owes it to an internal culture dedicated to innovation, its expertise in navigating the highly regulated healthcare industry, and a brand name that inspires confidence in the physicians and patients who use its products. And in the long run, Abbott will most likely remain an innovator capable of growing its revenue and earnings at a good clip. |
30749.0 | 2023-09-15 00:00:00 UTC | Could Abbott Laboratories Stock Help You Become a Millionaire? | ABT | https://www.nasdaq.com/articles/could-abbott-laboratories-stock-help-you-become-a-millionaire | nan | nan | Abbott Laboratories (NYSE: ABT) is a leading healthcare company with a global presence. It has a diverse business with four key segments: established pharmaceuticals, diagnostics, nutrition, and medical devices. The stock also provides investors with a steady and growing dividend.
The company's stock has what it takes to be a stable long-term investment, but is it also the type of investment that can make you a millionaire in the future?
What kind of long-term returns are necessary to get to $1 million?
If you're hoping that an investment gets you to $1 million, you need to consider how much you're able to invest, and how long you plan to hold your investment for. Those factors can drastically impact what kind of return you will need. Investing for 30 years, for example, will require less of an annual return than if you're investing for 25 years.
The table below shows the annual return the stock would need to average for it to grow to a value of $1 million, based on investment years and the initial investment amount:
INVESTMENT AMOUNT 20 YEARS 25 YEARS 30 YEARS 35 YEARS
$5,000 30.3% 23.6% 19.3% 16.3%
$10,000 25.9% 20.2% 16.6% 14.1%
$15,000 23.4% 18.3% 15% 12.7%
$20,000 21.6% 16.9% 13.9% 11.8%
$25,000 20.3% 15.9% 13.1% 11.1%
$30,000 19.2% 15.1% 12.4% 10.5%
Calculations by author.
If you only have 20 investing years left, you will need an exceptionally high return of at least 19%, even if you invested $30,000. But if you're willing to keep the initial investment in that stock for 35 years, then the annual return you will need may be as low as 10.5%. This is where it's important to consider your individual situation as there's not always a simple answer to whether a stock can grow to $1 million; it will depend on these two variables -- investment amount and years invested.
Is it probable for Abbott Laboratories to generate these types of returns?
The S&P 500 averages a long-run return of 10% annually. Right off the bat you can see that in the table above, in every instance, you would need to expect the stock to generate returns of at least 10.5% to get to $1 million -- unless you invest more than $30,000 or invest for longer than 35 years.
That means for Abbott Laboratories to be a millionaire-making stock in most scenarios, it has to outperform the market by a fairly healthy margin. The problem I see with that is this isn't a fast-growing business. While Abbott Laboratories is profitable and is growing, there may not be a big catalyst in its future that will light a fire under its share price.
Here's how the company's quarterly growth rate has fluctuated over the past decade:
ABT Revenue (Quarterly YoY Growth) data by YCharts
Through the first half of 2023, only one of its segments generated more than the 9% growth the company has averaged over the past decade, and that's medical devices. At $8.2 billion in revenue this year, it accounts for roughly half of Abbott's operations and it rose by 11% year over year. Specifically, it was diabetes care (continuous glucose monitoring devices) that was performing exceptionally well with a growth rate of nearly 33% in the U.S. As the number of people with diabetes rises over the years, this can be a big growth opportunity for the business. But it may not be enough to make up for other slow-growing segments.
Should you expect an investment in Abbott Laboratories to grow to $1 million?
Abbott Laboratories is a mammoth healthcare business whose market cap is around $180 billion. Even at a $30,000 investment, you would need the stock to be worth more than 33 times its valuation today for your investment to end up being worth more than $1 million. That means you would need to expect Abbott Laboratories to be worth nearly $6 trillion in the future.
A lot can change over a period of 30-plus years, but this is not the type of business I would expect will experience such significant growth without drastically changing its operations (by focusing primarily on diabetes care and investing heavily into it, for example).
This stock can make for an excellent investment for retirees and people who value stability and dividends, but Abbott Laboratories isn't an investment you should expect to grow to $1 million.
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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. | Abbott Laboratories (NYSE: ABT) is a leading healthcare company with a global presence. Here's how the company's quarterly growth rate has fluctuated over the past decade: ABT Revenue (Quarterly YoY Growth) data by YCharts Through the first half of 2023, only one of its segments generated more than the 9% growth the company has averaged over the past decade, and that's medical devices. It has a diverse business with four key segments: established pharmaceuticals, diagnostics, nutrition, and medical devices. | Here's how the company's quarterly growth rate has fluctuated over the past decade: ABT Revenue (Quarterly YoY Growth) data by YCharts Through the first half of 2023, only one of its segments generated more than the 9% growth the company has averaged over the past decade, and that's medical devices. Abbott Laboratories (NYSE: ABT) is a leading healthcare company with a global presence. This stock can make for an excellent investment for retirees and people who value stability and dividends, but Abbott Laboratories isn't an investment you should expect to grow to $1 million. | Abbott Laboratories (NYSE: ABT) is a leading healthcare company with a global presence. Here's how the company's quarterly growth rate has fluctuated over the past decade: ABT Revenue (Quarterly YoY Growth) data by YCharts Through the first half of 2023, only one of its segments generated more than the 9% growth the company has averaged over the past decade, and that's medical devices. The table below shows the annual return the stock would need to average for it to grow to a value of $1 million, based on investment years and the initial investment amount: | Abbott Laboratories (NYSE: ABT) is a leading healthcare company with a global presence. Here's how the company's quarterly growth rate has fluctuated over the past decade: ABT Revenue (Quarterly YoY Growth) data by YCharts Through the first half of 2023, only one of its segments generated more than the 9% growth the company has averaged over the past decade, and that's medical devices. Should you expect an investment in Abbott Laboratories to grow to $1 million? |
30750.0 | 2023-09-14 00:00:00 UTC | ABT May 2024 Options Begin Trading | ABT | https://www.nasdaq.com/articles/abt-may-2024-options-begin-trading | nan | nan | Investors in Abbott Laboratories (Symbol: ABT) saw new options begin trading today, for the May 2024 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 246 days until expiration the newly trading contracts represent a potential 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 ABT options chain for the new May 2024 contracts and identified one put and one call contract of particular interest.
The put contract at the $100.00 strike price has a current bid of $5.00. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $100.00, but will also collect the premium, putting the cost basis of the shares at $95.00 (before broker commissions). To an investor already interested in purchasing shares of ABT, that could represent an attractive alternative to paying $102.82/share today.
Because the $100.00 strike represents an approximate 3% 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 5.00% return on the cash commitment, or 7.42% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Abbott Laboratories, and highlighting in green where the $100.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $105.00 strike price has a current bid of $7.05. If an investor was to purchase shares of ABT stock at the current price level of $102.82/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $105.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 8.98% if the stock gets called away at the May 2024 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if ABT shares really soar, which is why looking at the trailing twelve month trading history for Abbott Laboratories, as well as studying the business fundamentals becomes important. Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red:
Considering the fact that the $105.00 strike represents an approximate 2% 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 6.86% boost of extra return to the investor, or 10.17% 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 $102.82) to be 22%. 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 ABT shares really soar, which is why looking at the trailing twelve month trading history for Abbott Laboratories, as well as studying the business fundamentals becomes important. Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 2% 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 Abbott Laboratories (Symbol: ABT) saw new options begin trading today, for the May 2024 expiration. | Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 2% 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 Abbott Laboratories (Symbol: ABT) saw new options begin trading today, for the May 2024 expiration. | Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 2% 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 Abbott Laboratories (Symbol: ABT) saw new options begin trading today, for the May 2024 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the ABT options chain for the new May 2024 contracts and identified one put and one call contract of particular interest. | Below is a chart showing ABT's trailing twelve month trading history, with the $105.00 strike highlighted in red: Considering the fact that the $105.00 strike represents an approximate 2% 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 Abbott Laboratories (Symbol: ABT) saw new options begin trading today, for the May 2024 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the ABT options chain for the new May 2024 contracts and identified one put and one call contract of particular interest. |
30751.0 | 2023-09-14 00:00:00 UTC | Goa state warns Abbott India on antacid Digene license suspension | ABT | https://www.nasdaq.com/articles/goa-state-warns-abbott-india-on-antacid-digene-license-suspension | nan | nan | By Rishika Sadam
HYDERABAD, India, Sept 14 (Reuters) - India's Goa state has warned the local unit of Abbott Laboratories ABT.N it plans to suspend the manufacturing license of its popular antacid medicine after inspectors flagged contamination risks and sanitization issues at its factory, government documents show.
The U.S. based drugmaker is locked in a tussle with drug regulators in the tourist state of Goa in western India after the company, starting August, voluntarily recalled many batches of its Digene Gel syrup produced there after it received customer complaints on taste and odor.
Abbott says there is no impact on patient health.
The Goa plant is one of Abbott's two factories in India, where Digene has a 7% share of the market for so-called antiflatulent medicines, according to Pharmarack, which estimated annual Digene syrup sales at $11 million, with 8 million units sold.
Following the recall, inspectors conducted four inspections at Abbott's Goa factory between Aug. 24 and Sept. 2 and flagged issues such as water stagnation in tanks and pipes, saying: "This may lead to the contamination and microbial growth," confidential inspection reports reviewed by Reuters showed.
Following that, the state director of the Goa Food and Drugs department, Jyoti J. Sardesai, wrote a warning notice to Abbott on Sept. 11, saying: "I intend to cancel the product permission for all variants of Digene Gel/suspend the licenses held by you for a period deemed fit."
The state authorities have given Abbott seven days to respond to the notice to defend its position. Abbott India ABOT.NS did not immediately respond to a request for comment.
INSPECTION REPORTS
"Whatever protocol has been laid down for the state government to follow when it comes to handling such issues, that has been followed," Goa Health Minister Vishwajit Rane told Reuters.
Inspection reports said they found sanitization was not done at the Goa factory as per standard operating procedures, and records showed batches in question were kept for 21 days after manufacturing in a holding tank without mixing, "which may be the possible reason for contamination or growth of bacteria."
The warning notice was issued even as Abbott, in a letter to Goa regulators on Aug. 28 seen by Reuters, stated it will take "corrective and preventive measures" to address concerns, including those related to cleaning processes.
Digene syrups in mint, orange and mixed fruit flavours are popular across India. The medicine continues to be manufactured by Abbott at its other Indian factory in Himachal Pradesh state, though the drug's manufacturing in Goa has been halted by the company.
Inspection documents said the Digene recall affected 179 batches of 7.6 million bottles, many of which would have been consumed. By the end of August, 486,439 bottles were yet to be recalled.
Goa authorities have also ordered Abbott to stop the manufacturing or filling of liquid products which used "common facilitites" as those for Digene, leading to a halt in making laxative syrups Cremaffin and Duphalac at the plant.
(Reporting by Rishika Sadam; Editing by Aditya Kalra and David Holmes)
((Rishika.S@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. | By Rishika Sadam HYDERABAD, India, Sept 14 (Reuters) - India's Goa state has warned the local unit of Abbott Laboratories ABT.N it plans to suspend the manufacturing license of its popular antacid medicine after inspectors flagged contamination risks and sanitization issues at its factory, government documents show. The U.S. based drugmaker is locked in a tussle with drug regulators in the tourist state of Goa in western India after the company, starting August, voluntarily recalled many batches of its Digene Gel syrup produced there after it received customer complaints on taste and odor. Following that, the state director of the Goa Food and Drugs department, Jyoti J. Sardesai, wrote a warning notice to Abbott on Sept. 11, saying: "I intend to cancel the product permission for all variants of Digene Gel/suspend the licenses held by you for a period deemed fit." | By Rishika Sadam HYDERABAD, India, Sept 14 (Reuters) - India's Goa state has warned the local unit of Abbott Laboratories ABT.N it plans to suspend the manufacturing license of its popular antacid medicine after inspectors flagged contamination risks and sanitization issues at its factory, government documents show. The U.S. based drugmaker is locked in a tussle with drug regulators in the tourist state of Goa in western India after the company, starting August, voluntarily recalled many batches of its Digene Gel syrup produced there after it received customer complaints on taste and odor. Following the recall, inspectors conducted four inspections at Abbott's Goa factory between Aug. 24 and Sept. 2 and flagged issues such as water stagnation in tanks and pipes, saying: "This may lead to the contamination and microbial growth," confidential inspection reports reviewed by Reuters showed. | By Rishika Sadam HYDERABAD, India, Sept 14 (Reuters) - India's Goa state has warned the local unit of Abbott Laboratories ABT.N it plans to suspend the manufacturing license of its popular antacid medicine after inspectors flagged contamination risks and sanitization issues at its factory, government documents show. The Goa plant is one of Abbott's two factories in India, where Digene has a 7% share of the market for so-called antiflatulent medicines, according to Pharmarack, which estimated annual Digene syrup sales at $11 million, with 8 million units sold. Following the recall, inspectors conducted four inspections at Abbott's Goa factory between Aug. 24 and Sept. 2 and flagged issues such as water stagnation in tanks and pipes, saying: "This may lead to the contamination and microbial growth," confidential inspection reports reviewed by Reuters showed. | By Rishika Sadam HYDERABAD, India, Sept 14 (Reuters) - India's Goa state has warned the local unit of Abbott Laboratories ABT.N it plans to suspend the manufacturing license of its popular antacid medicine after inspectors flagged contamination risks and sanitization issues at its factory, government documents show. The medicine continues to be manufactured by Abbott at its other Indian factory in Himachal Pradesh state, though the drug's manufacturing in Goa has been halted by the company. Inspection documents said the Digene recall affected 179 batches of 7.6 million bottles, many of which would have been consumed. |
30752.0 | 2023-09-12 00:00:00 UTC | Is Abbott Laboratories a Buy? | ABT | https://www.nasdaq.com/articles/is-abbott-laboratories-a-buy-0 | nan | nan | Despite its formidable market capitalization of $174 billion and more than 100 years in operation, Abbott Laboratories (NYSE: ABT) is a stock that can sometimes be overlooked. It doesn't make headlines despite being one of the world's most important developers and suppliers of medical products, and its appeal to investors may be somewhat limited as its shares won't ever be as dynamic as those of a popular growth company like Tesla.
Nonetheless, this stock has a lot to offer, especially if you're in the market for something on the safer side. Let's dig in and see why that's the case.
Knowing how to keep shareholders happy
There aren't many businesses like Abbott Labs. It makes all manner of healthcare goods, ranging from the critical (like clinical instruments for analyzing people's blood) to the more trivial (like its Ensure protein shakes for adults). It's also one of the largest conglomerates in the world, with a top line of nearly $44 billion in 2022, up by 122% from 2012.
With such a massive and diversified set of segments, it has a plethora of different avenues for chasing growth, not to mention more than enough diversification of revenue sources to protect it from all but the most severe economic downturns. This year alone it scored Food and Drug Administration (FDA) approval for a pacemaker, a hematology instrument, a cardiac monitor, and an ablation catheter for treating abnormal heart rhythms, to name just a few of its growth drivers for the rest of 2023 and beyond.
And with a research and development (R&D) budget of nearly $3 billion last year, it's sure to continue churning out new products, too, especially in its diabetes care segment, which has been especially active since the recent launch of its latest glucose monitor.
With trailing 12-month free cash flow (FCF) of approximately $8 billion, Abbott also has plenty of leeway to return capital to investors, while planting seedlings for future growth. While its dividend only yields 2%, investors can rest assured that the company is good for the money. For the last 398 quarters -- that's nearly 100 years -- its payout has arrived in shareholders' accounts without incident, and for the last 51 years and counting management opted to hike the dividend for the next year.
At the moment its payout ratio is only 67%, so there is plenty more overhead to keep increasing the dividend for the foreseeable future. And for those seeking a stable dividend-paying stock, it's hard to get a better endorsement than this stellar track record.
Good things come to those who wait
The catch with Abbott Laboratories is that it isn't a growth stock per se. As favorable as the constant increases to its dividend are, the company simply doesn't grow its earnings or sales that much in any given year. What's more, right now it's actually facing a headwind to its revenue as sales of its coronavirus diagnostic tests, formerly a big earner, are now eroding rapidly.
Its large base of revenue also means that it's difficult for any single one of its new products to make a significant dent in proportion to the size of the whole. In other words, you should not expect this stock to ever double overnight, or even in the next five years. So if you're looking for a medium-term or shorter-term pick to take advantage of specific trends, this isn't the right option.
But if you can handle holding it for the long haul, the slow accumulation of larger dividend payments and the inexorable onward march of its earnings over time can make it a great investment, and it beat the market over the 10-year period looking back. Abbott Laboratories will definitely be around for a very long time, and it has a great history of rewarding its shareholders at every step along the way.
If you think you have the patience to wait for its expansion to add up, it's worth buying. But if you want a lot of passive income for your buck this year, or sharp equity appreciation, it's best to look elsewhere.
10 stocks we like better than Abbott Laboratories
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Alex Carchidi has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories and Tesla. 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. | Despite its formidable market capitalization of $174 billion and more than 100 years in operation, Abbott Laboratories (NYSE: ABT) is a stock that can sometimes be overlooked. This year alone it scored Food and Drug Administration (FDA) approval for a pacemaker, a hematology instrument, a cardiac monitor, and an ablation catheter for treating abnormal heart rhythms, to name just a few of its growth drivers for the rest of 2023 and beyond. With trailing 12-month free cash flow (FCF) of approximately $8 billion, Abbott also has plenty of leeway to return capital to investors, while planting seedlings for future growth. | Despite its formidable market capitalization of $174 billion and more than 100 years in operation, Abbott Laboratories (NYSE: ABT) is a stock that can sometimes be overlooked. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. See the 10 stocks *Stock Advisor returns as of September 5, 2023 Alex Carchidi has no position in any of the stocks mentioned. | Despite its formidable market capitalization of $174 billion and more than 100 years in operation, Abbott Laboratories (NYSE: ABT) is a stock that can sometimes be overlooked. Good things come to those who wait The catch with Abbott Laboratories is that it isn't a growth stock per se. See the 10 stocks *Stock Advisor returns as of September 5, 2023 Alex Carchidi has no position in any of the stocks mentioned. | Despite its formidable market capitalization of $174 billion and more than 100 years in operation, Abbott Laboratories (NYSE: ABT) is a stock that can sometimes be overlooked. Abbott Laboratories will definitely be around for a very long time, and it has a great history of rewarding its shareholders at every step along the way. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Abbott Laboratories wasn't one of them! |
30753.0 | 2023-09-12 00:00:00 UTC | This Proven 200% Dividend Growth Strategy Is a Peter Lynch Favorite | ABT | https://www.nasdaq.com/articles/this-proven-200-dividend-growth-strategy-is-a-peter-lynch-favorite | nan | nan | Let's dive into this Johnson & Johnson (JNJ) spinoff--because it shows exactly how we can tap "splits" like these to grab not one but TWO income streams growing 200%+.
Because if there's one thing we need to know about spinoffs, it's this: they're about the closest thing to a free lunch you'll find in investing. Just ask Peter Lynch, who guided his Magellan Fund to an astounding 29.2% annualized return from 1977 to 1990. His take on spinoffs, in his 1989 investing masterclass One Up on Wall Street, was simple:
"Spinoffs of divisions or parts of companies into separate, freestanding entities ... often result in astoundingly lucrative investments."
Okay, I'll admit--I threw the italics on those last three words, but only because Lynch is right on the money here. Truth is, spinoffs pay off for folks who own both the parent and the "new" firm. And they can pay off double for dividend investors, as we'll see next.
JNJ Split Will Drive Payout Growth
Let's round back on JNJ's spinoff of Kenvue (KVUE), which till recently was its consumer-products division. On July 20, Kenvue announced its first quarterly dividend post-spin: $0.20 a share, for a current annualized yield of 3.5%.
Not bad! That's more than double what the typical S&P 500 stock pays.
As this is a spinoff, you might expect JNJ to drop its payout by $0.20 to compensate, but nope: JNJ will keep its payout at $1.19 quarterly and said it expects faster sales growth post-spinoff, and faster growth in earnings per share, too.
That's another happy knock-on effect of spinoffs: with fewer products to focus on, management can better focus its energy. Moreover, as JNJ offered to exchange its shares for shares of the new firm under the spinoff, the resulting drop in the share count cuts JNJ's shares outstanding.
Kenvue Spinoff Slashed JNJ's Share Count
This works like a share buyback, and we've spoken before about how buybacks increase earnings per share, due to the lower share count, which can boost share prices (this effect is already helping minimize the loss of Kenvue on JNJ's EPS).
Throw in the fact that JNJ's share price has lagged its dividend in recent months and you've got another upside indicator, as its "Dividend Magnet" goes to work:
JNJ's Dividend Lags Its Price Growth (for Now)
The bottom line? We'd likely do just fine picking up this duo. But we'd do even better grabbing spinoffs with payouts growing even faster than JNJ's, as we'll see next.
JNJ/Kenvue "Prequel" Shows How to Tap Spinoffs for Max Gains, Divs
To see what I'm getting at, consider the split of medical-equipment maker Abbott Labs (ABT) from pharmaceutical firm AbbVie (ABBV), which occurred back in 2013. That's a long enough timeframe for us to see the full effect of the breakup.
Let's start before that split: below we can see that the dividend of the parent company, Abbott, more than doubled in the 10 years prior to the split. That's much faster than JNJ's payout has grown in the last 10:
Abbott's Pre-Spin Dividend-Growth Outraces JNJ's
On the day of the split, Abbott investors were handed one share of AbbVie for every Abbott share they owned, and the new firm set its payout at $0.40 a share quarterly.
Abbott, for its part, had reduced its payout to $0.14 a share to account for AbbVie's dividend, so investors now had two dividend streams that paid them $0.54 a share in all--more than the $0.51 they were getting from the "old" Abbott.
It got better because the spinoff ignited the payout, with both firms' dividends surging 244% on average, more than double the rate Abbott's grew in the preceding decade.
Spinoff Was a "Dividend Igniter" for AbbVie and Abbott
And if Abbott investors held on to their AbbVie shares, their holdings skyrocketed as other income-seekers noticed these hikes and bought in, driving up the prices of both companies in lockstep with their rising payouts:
... And Lit Up Their Share Prices, Too!
Spinoffs and Surging Payouts Tilt the Odds in Our Favor
You can likely see where I'm headed here: buying stocks that are about to split and have payouts that are not only growing but accelerating is the key to unlocking big profits.
The best news is that, to tap the biggest gains, you don't have to be clairvoyant: even if you'd bought Abbott and/or AbbVie during the first few months after their separation, you'd have still bagged most of the gains both stocks went on to deliver.
That's because new spinoffs tend to stagnate for the first while as investors who were handed them decide whether they want to hold on. That lag is also dragged out by the lack of coverage of "boring" spinoffs on Wall Street, which gets more worked up about IPOs and the trend du jour, like crypto, electric cars, AI or whatever.
How to Spot a Spinoff Before It's Announced
Pretty well all spinoffs have one thing in common: they come from companies that have one or more divisions whose products don't overlap with one another. You can see this with JNJ and Kenvue, as well as with Abbott and AbbVie.
Companies that conduct spinoffs also tend to grow by acquisition, as was the case with information-technology manager Synnex (SNX), whose payout had tripled in the five years before we bought it in my Hidden Yields dividend-growth service in October 2019.
We did so because this stock was trading "too cheaply" after acquiring customer-service consultant Convergys. The resulting higher debt had spooked Mr. Market, but we anticipated that SNX, which has made 24 acquisitions in its 43-year history, would have no problem paying down the credit.
The result? We went on to enjoy 83% total returns from the stock in two years before selling in October 2022:
Our "Parent Company" Buy Soared 83% (and It Was Just the Start)
It gets better: smack in the middle of our holding period, Synnex spun out Concentrix Corp. (CNXC), which provides customer-service solutions and works with many of America's top tech firms. We were "handed" the shares in December 2020, and a little over a year later, on December 17, 2021, we sold CNXC for a 111% total return.
So we once again proved Lynch's point here, with payout growth assisting on our spinoff gains.
Spinoff Strategy Step 1: Find the Dividend Magnet
Spinoffs are a proven way to profit, especially--as we just saw--if their payouts are surging and their share counts are dropping. But it's not easy to find these "Peter Lynch-style" winners on your own.
That's why I'm inviting you to road test Hidden Yields for 60 days risk-free. In Hidden Yields, we zero in on the fastest-growing payouts (which, in turn, drive the fastest-growing share prices) to book big gains, as we did with Synnex and Concentrix.
These shareholder-friendly stocks are the ones most likely to spin off businesses as they look to unlock more value for investors. So simply by zeroing in on dividend growth and buybacks, we're naturally giving ourselves a shot at "bonus" upside through spinoffs.
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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. | JNJ/Kenvue "Prequel" Shows How to Tap Spinoffs for Max Gains, Divs To see what I'm getting at, consider the split of medical-equipment maker Abbott Labs (ABT) from pharmaceutical firm AbbVie (ABBV), which occurred back in 2013. That lag is also dragged out by the lack of coverage of "boring" spinoffs on Wall Street, which gets more worked up about IPOs and the trend du jour, like crypto, electric cars, AI or whatever. Companies that conduct spinoffs also tend to grow by acquisition, as was the case with information-technology manager Synnex (SNX), whose payout had tripled in the five years before we bought it in my Hidden Yields dividend-growth service in October 2019. | JNJ/Kenvue "Prequel" Shows How to Tap Spinoffs for Max Gains, Divs To see what I'm getting at, consider the split of medical-equipment maker Abbott Labs (ABT) from pharmaceutical firm AbbVie (ABBV), which occurred back in 2013. JNJ Split Will Drive Payout Growth Let's round back on JNJ's spinoff of Kenvue (KVUE), which till recently was its consumer-products division. Throw in the fact that JNJ's share price has lagged its dividend in recent months and you've got another upside indicator, as its "Dividend Magnet" goes to work: JNJ's Dividend Lags Its Price Growth (for Now) | JNJ/Kenvue "Prequel" Shows How to Tap Spinoffs for Max Gains, Divs To see what I'm getting at, consider the split of medical-equipment maker Abbott Labs (ABT) from pharmaceutical firm AbbVie (ABBV), which occurred back in 2013. Moreover, as JNJ offered to exchange its shares for shares of the new firm under the spinoff, the resulting drop in the share count cuts JNJ's shares outstanding. On the day of the split, Abbott investors were handed one share of AbbVie for every Abbott share they owned, and the new firm set its payout at $0.40 a share quarterly. | JNJ/Kenvue "Prequel" Shows How to Tap Spinoffs for Max Gains, Divs To see what I'm getting at, consider the split of medical-equipment maker Abbott Labs (ABT) from pharmaceutical firm AbbVie (ABBV), which occurred back in 2013. Throw in the fact that JNJ's share price has lagged its dividend in recent months and you've got another upside indicator, as its "Dividend Magnet" goes to work: JNJ's Dividend Lags Its Price Growth (for Now) On the day of the split, Abbott investors were handed one share of AbbVie for every Abbott share they owned, and the new firm set its payout at $0.40 a share quarterly. |
30754.0 | 2023-09-11 00:00:00 UTC | Abbott (ABT) Outpaces Stock Market Gains: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-outpaces-stock-market-gains%3A-what-you-should-know-7 | nan | nan | Abbott (ABT) closed at $102.45 in the latest trading session, marking a +1.71% move from the prior day. This change outpaced the S&P 500's 0.67% gain on the day. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 1.14%.
Heading into today, shares of the maker of infant formula, medical devices and drugs had lost 4.35% over the past month, lagging the Medical sector's gain of 0.27% and the S&P 500's loss of 0.73% in that time.
Wall Street will be looking for positivity from Abbott as it approaches its next earnings report date. The company is expected to report EPS of $1.10, down 4.35% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.78 billion, down 6.09% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.40 per share and revenue of $39.77 billion. These totals would mark changes of -17.6% and -8.89%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Abbott. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 remained stagnant. Abbott currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Abbott is currently trading at a Forward P/E ratio of 22.9. This represents a premium compared to its industry's average Forward P/E of 19.7.
It is also worth noting that ABT currently has a PEG ratio of 4.5. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Products industry currently had an average PEG ratio of 2.52 as of yesterday's close.
The Medical - Products 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 industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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. | Abbott (ABT) closed at $102.45 in the latest trading session, marking a +1.71% move from the prior day. It is also worth noting that ABT currently has a PEG ratio of 4.5. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott (ABT) closed at $102.45 in the latest trading session, marking a +1.71% move from the prior day. It is also worth noting that ABT currently has a PEG ratio of 4.5. | Abbott (ABT) closed at $102.45 in the latest trading session, marking a +1.71% move from the prior day. It is also worth noting that ABT currently has a PEG ratio of 4.5. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $102.45 in the latest trading session, marking a +1.71% move from the prior day. It is also worth noting that ABT currently has a PEG ratio of 4.5. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30755.0 | 2023-09-11 00:00:00 UTC | Noteworthy Monday Option Activity: SAM, TWNK, ABT | ABT | https://www.nasdaq.com/articles/noteworthy-monday-option-activity%3A-sam-twnk-abt | nan | nan | Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Boston Beer Co Inc (Symbol: SAM), where a total volume of 350 contracts has been traded thus far today, a contract volume which is representative of approximately 35,000 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 42.6% of SAM's average daily trading volume over the past month, of 82,085 shares. Especially high volume was seen for the $390 strike call option expiring September 15, 2023, with 39 contracts trading so far today, representing approximately 3,900 underlying shares of SAM. Below is a chart showing SAM's trailing twelve month trading history, with the $390 strike highlighted in orange:
Hostess Brands Inc (Symbol: TWNK) options are showing a volume of 11,204 contracts thus far today. That number of contracts represents approximately 1.1 million underlying shares, working out to a sizeable 42.4% of TWNK's average daily trading volume over the past month, of 2.6 million shares. Particularly high volume was seen for the $30 strike call option expiring September 15, 2023, with 2,609 contracts trading so far today, representing approximately 260,900 underlying shares of TWNK. Below is a chart showing TWNK's trailing twelve month trading history, with the $30 strike highlighted in orange:
And Abbott Laboratories (Symbol: ABT) saw options trading volume of 16,363 contracts, representing approximately 1.6 million underlying shares or approximately 41.9% of ABT's average daily trading volume over the past month, of 3.9 million shares. Especially high volume was seen for the $104 strike call option expiring September 15, 2023, with 1,359 contracts trading so far today, representing approximately 135,900 underlying shares of ABT. Below is a chart showing ABT's trailing twelve month trading history, with the $104 strike highlighted in orange:
For the various different available expirations for SAM options, TWNK options, or ABT options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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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 $104 strike call option expiring September 15, 2023, with 1,359 contracts trading so far today, representing approximately 135,900 underlying shares of ABT. Below is a chart showing TWNK's trailing twelve month trading history, with the $30 strike highlighted in orange: And Abbott Laboratories (Symbol: ABT) saw options trading volume of 16,363 contracts, representing approximately 1.6 million underlying shares or approximately 41.9% of ABT's average daily trading volume over the past month, of 3.9 million shares. Below is a chart showing ABT's trailing twelve month trading history, with the $104 strike highlighted in orange: For the various different available expirations for SAM options, TWNK options, or ABT options, visit StockOptionsChannel.com. | Below is a chart showing TWNK's trailing twelve month trading history, with the $30 strike highlighted in orange: And Abbott Laboratories (Symbol: ABT) saw options trading volume of 16,363 contracts, representing approximately 1.6 million underlying shares or approximately 41.9% of ABT's average daily trading volume over the past month, of 3.9 million shares. Especially high volume was seen for the $104 strike call option expiring September 15, 2023, with 1,359 contracts trading so far today, representing approximately 135,900 underlying shares of ABT. Below is a chart showing ABT's trailing twelve month trading history, with the $104 strike highlighted in orange: For the various different available expirations for SAM options, TWNK options, or ABT options, visit StockOptionsChannel.com. | Below is a chart showing TWNK's trailing twelve month trading history, with the $30 strike highlighted in orange: And Abbott Laboratories (Symbol: ABT) saw options trading volume of 16,363 contracts, representing approximately 1.6 million underlying shares or approximately 41.9% of ABT's average daily trading volume over the past month, of 3.9 million shares. Especially high volume was seen for the $104 strike call option expiring September 15, 2023, with 1,359 contracts trading so far today, representing approximately 135,900 underlying shares of ABT. Below is a chart showing ABT's trailing twelve month trading history, with the $104 strike highlighted in orange: For the various different available expirations for SAM options, TWNK options, or ABT options, visit StockOptionsChannel.com. | Below is a chart showing TWNK's trailing twelve month trading history, with the $30 strike highlighted in orange: And Abbott Laboratories (Symbol: ABT) saw options trading volume of 16,363 contracts, representing approximately 1.6 million underlying shares or approximately 41.9% of ABT's average daily trading volume over the past month, of 3.9 million shares. Below is a chart showing ABT's trailing twelve month trading history, with the $104 strike highlighted in orange: For the various different available expirations for SAM options, TWNK options, or ABT options, visit StockOptionsChannel.com. Especially high volume was seen for the $104 strike call option expiring September 15, 2023, with 1,359 contracts trading so far today, representing approximately 135,900 underlying shares of ABT. |
30756.0 | 2023-09-11 00:00:00 UTC | Investors Heavily Search Abbott Laboratories (ABT): Here is What You Need to Know | ABT | https://www.nasdaq.com/articles/investors-heavily-search-abbott-laboratories-abt%3A-here-is-what-you-need-to-know-1 | nan | nan | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -4.4%, compared to the Zacks S&P 500 composite's -0.7% change. During this period, the Zacks Medical - Products industry, which Abbott falls in, has lost 3.5%. The key question now is: What could be the stock's future direction?
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
Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Abbott is expected to post earnings of $1.10 per share, indicating a change of -4.4% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $4.40 for the current fiscal year indicates a year-over-year change of -17.6%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $4.60 indicates a change of +4.6% from what Abbott is expected to report a year ago. Over the past month, the estimate has remained unchanged.
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, Abbott 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
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Abbott, the consensus sales estimate of $9.78 billion for the current quarter points to a year-over-year change of -6.1%. The $39.77 billion and $41.7 billion estimates for the current and next fiscal years indicate changes of -8.9% and +4.9%, respectively.
Last Reported Results and Surprise History
Abbott reported revenues of $9.98 billion in the last reported quarter, representing a year-over-year change of -11.4%. EPS of $1.08 for the same period compares with $1.43 a year ago.
Compared to the Zacks Consensus Estimate of $9.7 billion, the reported revenues represent a surprise of +2.84%. The EPS surprise was +3.85%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
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.
Abbott is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom Line
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 Abbott. 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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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
Abbott Laboratories (ABT) : 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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. For the next fiscal year, the consensus earnings estimate of $4.60 indicates a change of +4.6% from what Abbott is expected to report a year ago. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. 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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. When earnings estimates for a company go up, the fair value for its stock goes up as well. |
30757.0 | 2023-09-11 00:00:00 UTC | With 2x Potential Returns Is DexCom A Better Pick Over Intuitive Surgical? | ABT | https://www.nasdaq.com/articles/with-2x-potential-returns-is-dexcom-a-better-pick-over-intuitive-surgical | nan | nan | We believe DexCom stock (NASDAQ: DXCM) is a better healthcare pick than Intuitive Surgical stock (NASDAQ: ISRG). Although ISRG stock trades at a higher valuation of 16x revenues, compared to 13x for DexCom, this gap in valuation makes sense, in our view, given Intuitive Surgical’s superior profitability and financial position, as discussed below.
Interestingly, ISRG and DXCM have had a Sharpe Ratio of 0.7 since early 2017, higher than 0.6 for the S&P 500 Index over the same period. Still, they fall short of the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
Looking at stock returns, ISRG, with 16% returns this year, has fared better than DXCM stock, down 6%. This compares with 16% gains for the broader S&P500 index. There is more to the comparison, and in the sections below, we discuss why we believe DXCM stock will offer better returns than ISRG stock in the next three years. We compare a slew of factors, such as historical revenue growth, returns, and valuation, in an interactive dashboard analysis of Intuitive Surgical vs. DexCom: Which Stock Is A Better Bet? Parts of the analysis are summarized below.
1. DexCom’s Revenue Growth Is Better
DexCom’s revenue growth has been better, with a 25.5% average annual growth rate in the last three years, compared to 12.4% for Intuitive Surgical.
For Intuitive Surgical, revenue growth over the recent past has been driven by a rebound in procedure volume, which was adversely impacted in the initial phases of the pandemic due to the shelter-in-place restrictions. The company continues to expand its installed base, which results in the growth of recurring revenues, such as consumables.
Intuitive Surgical’s installed base has increased 35% to over 7,500 in 2022, compared to less than 5,600 in 2019.
New customer additions are leading the revenue growth for DexCom amid rising awareness of CGM devices. DexCom is among the few players with regulatory approvals for its wearable continuous glucose monitoring (CGM) device.
Looking at the last twelve-month period, DexCom’s 19.6% sales growth fares better than 11.7% for Intuitive Surgical.
Our Intuitive Surgical Revenue Comparison and DexCom’s Revenue Comparison dashboards provide more insight into the companies’ sales.
Looking forward, DexCom’s revenue is expected to grow faster than Intuitive Surgical’s over the next three years. The table below summarizes our revenue expectations for the two companies over the next three years. It points to a CAGR of 13.7% for Intuitive Surgical, compared to a 20.5% CAGR for DexCom, based on Trefis Machine Learning analysis.
While Intuitive Surgical will likely continue to benefit from a rise in total procedure volume, DexCom’s sales growth will likely be bolstered by its G7 CGM system in the U.S., which secured regulatory approval in December 2022.
Note that we have different methodologies for companies negatively impacted by Covid and those not impacted or positively impacted by Covid while forecasting future revenues. For companies negatively affected by Covid, we consider the quarterly revenue recovery trajectory to forecast recovery to the pre-Covid revenue run rate. Beyond the recovery point, we apply the average annual growth observed three years before Covid to simulate a return to normal conditions. For companies registering positive revenue growth during Covid, we consider yearly average growth before Covid with a certain weight to growth during Covid and the last twelve months.
2. Intuitive Surgical Is More Profitable, And It Comes With Lower Risk
Intuitive Surgical’s reported operating margin slid from 30.7% in 2019 to 25.3% in 2022, while DexCom’s operating margin expanded from 9.4% to 13.5% over the same period.
Looking at the last twelve-month period, Intuitive Surgical’s operating margin of 24.3% fares better than 14.0% for DexCom.
Our Intuitive Surgical Operating Income Comparison and DexCom Operating Income Comparison dashboards have more details.
Looking at financial risk, Intuitive Surgical is much better placed than DexCom. Its <1% debt as a percentage of equity is lower than 8% for the latter, while its 51% cash as a percentage of assets is much higher than 18% for the latter, implying that Intuitive Surgical has a better debt position and has more cash cushion.
3. The Net of It All
Intuitive Surgical is more profitable and offers lower financial risk. On the other hand, DexCom has demonstrated better revenue growth and is available at a comparatively lower valuation.
Now, looking at prospects, using P/S as a base, due to high fluctuations in P/E and P/EBIT, we believe DexCom will likely offer better returns despite its higher valuation.
If we compare the current valuation multiples to the historical averages, DexCom fares better. Intuitive Surgical stock trades at 16x revenues compared to its last five-year average of 21x, and DexCom stock trades at 13x revenues vs. the last five-year average of 21x.
Our Intuitive Surgical (ISRG) Valuation Ratios Comparison and DexCom (DXCM) Valuation Ratios Comparison have more details.
Both ISRG and DXCM have recently seen a decline after Novo Nordisk’s success with its obesity drugs in reducing the risk of cardiovascular events. Investors are concerned that this may result in lower demand for CGM devices in the long run, while Intuitive Surgical is already seeing a decline in demand for robot-assisted bariatric surgeries as patients opt for weight-loss drugs.
That said, the impact of declining bariatric surgeries is expected to be limited for Intuitive Surgical. Less than 300,000 bariatric surgeries are performed annually in the U.S., making its total instruments market size around $600 million.
Looking at DexCom, a CGM device will likely be a helpful tool to monitor the effectiveness of the drugs on a patient.
The table below summarizes our revenue and return expectations for Intuitive Surgical and DexCom over the next three years and points to an expected return of 45% for ISRG over this period vs. a 98% expected return for DXCM stock, implying that both stocks offer excellent buying opportunity at current levels. Still, if one has to pick among the two, DXCM appears to be a better bet, based on Trefis Machine Learning analysis – Intuitive Surgical vs. DexCom – which also provides more details on how we arrive at these numbers.
The 98% returns figure for DXCM appears significant, but it makes sense in our view. DexCom’s last twelve months’ sales stood at $3.2 billion, and it expects 2025 sales to be around $5 billion. We forecast sales to be $5.6 billion three years from now, rising at 20% annually. DexCom’s P/S multiple has declined to 13x now (the last five-year average is 21x), and it should expand slightly to 15x in the next three years, resulting in a market capitalization of $82 billion vs. $41 billion now, implying 2x returns.
While DXCM may outperform ISRG in the next three years, it is helpful to see how Intuitive Surgical’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Despite higher inflation and the Fed raising interest rates, ISRG stock has risen 16% this year. But can it drop from here? See how low Intuitive Surgical stock can go by comparing its decline in previous market crashes. Here is a performance summary of all stocks in previous market crashes.
Returns Sep 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
ISRG Return -2% 16% 337%
DXCM Return 6% -6% 616%
S&P 500 Return -1% 16% 99%
Trefis Reinforced Value Portfolio -1% 30% 568%
[1] Month-to-date and year-to-date as of 9/7/2023
[2] Cumulative total returns since the end of 2016
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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. | For Intuitive Surgical, revenue growth over the recent past has been driven by a rebound in procedure volume, which was adversely impacted in the initial phases of the pandemic due to the shelter-in-place restrictions. While Intuitive Surgical will likely continue to benefit from a rise in total procedure volume, DexCom’s sales growth will likely be bolstered by its G7 CGM system in the U.S., which secured regulatory approval in December 2022. Still, if one has to pick among the two, DXCM appears to be a better bet, based on Trefis Machine Learning analysis – Intuitive Surgical vs. DexCom – which also provides more details on how we arrive at these numbers. | Although ISRG stock trades at a higher valuation of 16x revenues, compared to 13x for DexCom, this gap in valuation makes sense, in our view, given Intuitive Surgical’s superior profitability and financial position, as discussed below. Our Intuitive Surgical Operating Income Comparison and DexCom Operating Income Comparison dashboards have more details. Our Intuitive Surgical (ISRG) Valuation Ratios Comparison and DexCom (DXCM) Valuation Ratios Comparison have more details. | DexCom’s Revenue Growth Is Better DexCom’s revenue growth has been better, with a 25.5% average annual growth rate in the last three years, compared to 12.4% for Intuitive Surgical. Intuitive Surgical stock trades at 16x revenues compared to its last five-year average of 21x, and DexCom stock trades at 13x revenues vs. the last five-year average of 21x. The table below summarizes our revenue and return expectations for Intuitive Surgical and DexCom over the next three years and points to an expected return of 45% for ISRG over this period vs. a 98% expected return for DXCM stock, implying that both stocks offer excellent buying opportunity at current levels. | Looking at stock returns, ISRG, with 16% returns this year, has fared better than DXCM stock, down 6%. There is more to the comparison, and in the sections below, we discuss why we believe DXCM stock will offer better returns than ISRG stock in the next three years. DexCom’s Revenue Growth Is Better DexCom’s revenue growth has been better, with a 25.5% average annual growth rate in the last three years, compared to 12.4% for Intuitive Surgical. |
30758.0 | 2023-09-09 00:00:00 UTC | 3 No-Brainer Dividend Stocks to Buy No Matter What the Market Is Doing | ABT | https://www.nasdaq.com/articles/3-no-brainer-dividend-stocks-to-buy-no-matter-what-the-market-is-doing | nan | nan | Certain stocks tend to perform better in a bull market, while others show their strengths in bear times. If you add both of these types of stocks to your portfolio, you're likely to benefit over the long haul. But there's another type of stock you'll want to own too. And this is the sort of company that might excel no matter what the market is doing.
These stocks have strong brands and a solid portfolio of products that have performed in the past -- and are likely to continue performing. They also may pay a dividend, offering you income just for owning them. These are no-brainer stocks to buy during any market conditions.
Three great examples are healthcare companies Abbott Laboratories (NYSE: ABT) and Johnson & Johnson (NYSE: JNJ) and beverage powerhouse Coca-Cola (NYSE: KO). Let's take a closer look at each.
1. Abbott Laboratories
Abbott Labs' performance shone during the worst of the pandemic thanks to its coronavirus tests. They brought in billions of dollars for the healthcare company.
That revenue source is slipping as we head toward a post-pandemic world, but there's no need to worry. That's because Abbott doesn't rely on just one business. Instead, it owns four: diagnostics, medical devices, nutrition, and established pharmaceuticals. In the most recent quarter, COVID tests weighed on diagnostics, but the other three all posted growth.
Key financial metrics like return on invested capital and free cash flow have generally climbed in recent years at Abbott. And, even if we see a dip today as COVID test sales fall, the company should continue to grow thanks to other major products like its leading continuous glucose monitoring system, FreeStyle Libre, and newly approved products.
ABT Return on Invested Capital data by YCharts
Let's not forget the dividend. As a Dividend King, Abbott has increased its payments for more than 50 years. This track record, along with the company's strong free cash flow, suggest dividend growth will continue.
2. Johnson & Johnson
Speaking of Dividend Kings, J&J also falls into this category. The big pharma company pays a dividend of $4.76 per share, representing a dividend yield of 3%, well above the S&P 500 index's yield of 1.5%. Like Abbott, J&J has the free cash flow to support ongoing dividend growth (even if free cash flow has declined from its peak).
JNJ Free Cash Flow data by YCharts
You'll also like J&J for its portfolio of pharmaceutical and medtech products -- ones patients need regardless of the economic situation. That means J&J could post rising earnings during any market environment.
And right now, the company may be heading for a new chapter in its growth story. J&J recently spun off its consumer health business to devote all its resources to the stronger growth areas of pharmaceuticals and medtech.
The company also is on the lookout for acquisitions and business deals that could add to growth down the road. Most recently, it bought heart pump maker Abiomed, adding a 12th billion-dollar medtech platform to its portfolio. And J&J is on target to report $57 billion in pharmaceuticals revenue by 2025, nearly a 10% increase from last year.
3. Coca-Cola
Coca-Cola's brand strength has helped it succeed in any economic environment. Even as consumers saw their buying power decline in recent times, they still stuck with the company's much-loved beverages.
In the most recent quarter, Coca-Cola reported an increase in net revenue and earnings per share. And Coca-Cola continued to gain market share in total nonalcoholic ready-to-drink beverages. The company also has generally increased earnings in recent years.
The world's biggest nonalcoholic drink maker sells its products in more than 200 countries, and beyond its eponymous beverage, is known for other big brands like Minute Maid juices and Dasani water. To maintain its strength, Coca-Cola has taken established brands like Minute Maid and added new and innovative products to appeal to today's customers.
Finally, dividend payments are another reason to love Coca-Cola. Like the other companies mentioned, it's a Dividend King. And like Abbott and J&J, Coca-Cola also has the free cash flow -- at more than $9 billion -- to sustain dividend growth.
All of this means Coca-Cola has what it takes to lift your portfolio over time, no matter what the market is doing.
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends Johnson & Johnson and recommends the following options: long January 2024 $47.50 calls on Coca-Cola. 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. | Three great examples are healthcare companies Abbott Laboratories (NYSE: ABT) and Johnson & Johnson (NYSE: JNJ) and beverage powerhouse Coca-Cola (NYSE: KO). ABT Return on Invested Capital data by YCharts Let's not forget the dividend. Key financial metrics like return on invested capital and free cash flow have generally climbed in recent years at Abbott. | Three great examples are healthcare companies Abbott Laboratories (NYSE: ABT) and Johnson & Johnson (NYSE: JNJ) and beverage powerhouse Coca-Cola (NYSE: KO). ABT Return on Invested Capital data by YCharts Let's not forget the dividend. Key financial metrics like return on invested capital and free cash flow have generally climbed in recent years at Abbott. | Three great examples are healthcare companies Abbott Laboratories (NYSE: ABT) and Johnson & Johnson (NYSE: JNJ) and beverage powerhouse Coca-Cola (NYSE: KO). ABT Return on Invested Capital data by YCharts Let's not forget the dividend. Like Abbott, J&J has the free cash flow to support ongoing dividend growth (even if free cash flow has declined from its peak). | Three great examples are healthcare companies Abbott Laboratories (NYSE: ABT) and Johnson & Johnson (NYSE: JNJ) and beverage powerhouse Coca-Cola (NYSE: KO). ABT Return on Invested Capital data by YCharts Let's not forget the dividend. These are no-brainer stocks to buy during any market conditions. |
30759.0 | 2023-09-08 00:00:00 UTC | VTV, ABT, WFC, NEE: ETF Inflow Alert | ABT | https://www.nasdaq.com/articles/vtv-abt-wfc-nee%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 Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $235.7 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 705,954,364 to 707,610,267). Among the largest underlying components of VTV, in trading today Abbott Laboratories (Symbol: ABT) is off about 0.1%, Wells Fargo & Co (Symbol: WFC) is up about 0.6%, and NextEra Energy Inc (Symbol: NEE) is up by about 1%. For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average:
Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $142.71. 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 ».
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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 VTV, in trading today Abbott Laboratories (Symbol: ABT) is off about 0.1%, Wells Fargo & Co (Symbol: WFC) is up about 0.6%, and NextEra Energy Inc (Symbol: NEE) is up by about 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 VTV, in trading today Abbott Laboratories (Symbol: ABT) is off about 0.1%, Wells Fargo & Co (Symbol: WFC) is up about 0.6%, and NextEra Energy Inc (Symbol: NEE) is up by about 1%. For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $142.71. 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 VTV, in trading today Abbott Laboratories (Symbol: ABT) is off about 0.1%, Wells Fargo & Co (Symbol: WFC) is up about 0.6%, and NextEra Energy Inc (Symbol: NEE) is up by about 1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $235.7 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 705,954,364 to 707,610,267). For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $142.71. | Among the largest underlying components of VTV, in trading today Abbott Laboratories (Symbol: ABT) is off about 0.1%, Wells Fargo & Co (Symbol: WFC) is up about 0.6%, and NextEra Energy Inc (Symbol: NEE) is up by about 1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Value ETF (Symbol: VTV) where we have detected an approximate $235.7 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 705,954,364 to 707,610,267). For a complete list of holdings, visit the VTV Holdings page » The chart below shows the one year price performance of VTV, versus its 200 day moving average: Looking at the chart above, VTV's low point in its 52 week range is $122.54 per share, with $147.725 as the 52 week high point — that compares with a last trade of $142.71. |
30760.0 | 2023-09-08 00:00:00 UTC | The 3 Best Pharma Stocks to Buy Now: September 2023 | ABT | https://www.nasdaq.com/articles/the-3-best-pharma-stocks-to-buy-now%3A-september-2023 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The pharmaceutical sector will always be a sector in constant evolution and growth. As technology advances, the companies that make life in this sector will always be applying it, as well as implementing new processes, new combinations, and new formulas, always with the aim of being able to make medicines and treatments much more effective and efficient for all of us. This has led to the rise of pharma stocks to buy.
Also, as more health problems pop up around the world, these big companies are working together more, sharing what they know and have. They’re using the latest tools and tech to help. This means that in the future, medicine won’t just be about getting better when you’re sick, but also about stopping illness before it starts and keeping the whole person healthy.
The companies in this sector will always watch over human health and its care. For the month of September I bring you these 3 best pharma stocks to consider for your portfolio, Let’s take a look at them.
Abbott (ABT)
Source: Sisacorn / Shutterstock.com
Abbott Laboratories (NYSE:ABT) has recently demonstrated its prowess in pharmaceuticals and healthcare. In the second quarter of 2023, they reported astounding sales figures, amounting to a whopping $10 billion.
What really deserves recognition is their organic growth, which soared to an impressive 11.5% in their core business. This success can be attributed to the excellent performance of its Medical Devices, Established Pharmaceuticals, and Nutrition divisions. This underlines the resilience and diversification of its portfolio.
The company continually strengthens its product pipeline through new approvals and increased reimbursement coverage, demonstrating its dedication to innovation in an ever-evolving healthcare landscape. This makes it one of those pharma stocks to buy.
In addition, they have embarked on an exciting collaboration with the American Diabetes Association. Their joint goal is to explore how diabetes technology, particularly continuous glucose monitoring (CGM) systems like Abbott’s, can help people with diabetes make informed decisions about their diet and physical activity. Abbott’s CGMs provide real-time data on the impact of diet and activity on glucose levels, promising improved quality of life and reduced diabetes-related complications.
Their commitment to this initiative is very clear, backed by a generous $2.65 million grant to the ADA over the next three years. This financial support will drive research, pilot programs, and discussions with healthcare experts, with a primary emphasis on personalized therapeutic nutrition for adults with type 2 diabetes.
Also, they have unveiled the groundbreaking results of a clinical study on percutaneous coronary interventions (PCI). The study highlights that the use of optical coherence tomography (OCT) during PCI improves stent expansion and reduces the risk of stent thrombosis. This revelation could revolutionize the way physicians treat patients with complex coronary artery disease.
Danaher (DHR)
Source: Iryna Imago / Shutterstock.com
Danaher Corporation (NYSE:DHR), a global powerhouse renowned for its innovations in science and technology, operates in a variety of sectors, including healthcare, life sciences, diagnostics, and environmental solutions. The conglomerate’s multifaceted portfolio and recent strategic moves make it an attractive buyout option for pharmaceutical stocks.
Financially, they posted net income of $1.1 billion for the quarter ended June 30, 2023, which translates to $1.49 per diluted common share. Looking at non-GAAP adjusted diluted net earnings per common share, it soared even higher to $2.05.
The financial health of this company is solid, with an operating cash flow of $1.9 billion and a non-GAAP free cash flow of $1.6 billion in the second quarter.
What is getting attention in the pharmaceutical world is its strategic decisions. The company recently disclosed a definitive agreement to acquire Abcam plc (NASDAQ:ABCM), a leading global supplier of protein consumables, for $24.00 per share in cash, totaling approximately $5.7 billion, including assumed debt and cash.
In addition, Danaher’s strategic partnership with the University of Pennsylvania (Penn) is making waves in the field of cell therapy innovation. In an era when cell therapies are gaining momentum in the pharmaceutical sector, this collaboration aims to develop innovative technologies that improve the consistency of clinical outcomes for patients and address the manufacturing challenges associated with advanced engineered cellular products. It’s therefore one of those pharma stocks to buy.
With six CAR T-cell therapies approved by the U.S. FDA and hundreds in clinical trials, the potential for these therapies to revolutionize patient treatment is considerable. The challenge is to scale up manufacturing efficiently and cost-effectively, precisely what Danaher’s partnership with Penn aims to address.
Bristol Myers Squibb (BMY)
Source: Shutterstock
Bristol Myers Squibb (NYSE:BMY), a prominent pharmaceutical company famous for its extensive contributions to healthcare and medicine, is making waves as an attractive pharmaceutical stock to watch.
They just reported impressive second-quarter results, with revenues of $11.2 billion. The company experienced 4% revenue growth in both existing product lines and its pipeline of new products, making significant progress in its pipeline. Several regulatory and clinical milestones were achieved, reaffirming its commitment to long-term growth.
In a strategic move, the company also announced a $4 billion accelerated share repurchase agreement, scheduled for execution in the third quarter of 2023. This action demonstrates Bristol Myers Squibb’s confidence in its sustained growth prospects.
In addition, the approval of its drugs is attracting positive attention. The U.S. Food and Drug Administration (FDA) granted approval for Reblozyl (luspatercept-aamt) to treat anemia in adult patients with myelodysplastic syndromes (MDS) that may require periodic blood transfusions. This indication extension is based on favorable interim results from the Phase 3 COMMANDS trial, in which Reblozyl showed superior efficacy to existing treatments.
Also, the European Commission has approved Opdivo (nivolumab) as monotherapy for the adjuvant treatment of melanoma in selected patients undergoing complete resection. This approval expands the use of Opdivo, making it the only PD-1 inhibitor recommended for adjuvant treatment in various stages of melanoma.
As of this writing, Gabriel Osorio-Mazzilli did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Gabriel Osorio is a former Goldman Sachs and Citigroup employee. He possesses discipline in bottom-up value investing and volatility-based long/short equities trading.
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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. | Abbott (ABT) Source: Sisacorn / Shutterstock.com Abbott Laboratories (NYSE:ABT) has recently demonstrated its prowess in pharmaceuticals and healthcare. Abbott’s CGMs provide real-time data on the impact of diet and activity on glucose levels, promising improved quality of life and reduced diabetes-related complications. In an era when cell therapies are gaining momentum in the pharmaceutical sector, this collaboration aims to develop innovative technologies that improve the consistency of clinical outcomes for patients and address the manufacturing challenges associated with advanced engineered cellular products. | Abbott (ABT) Source: Sisacorn / Shutterstock.com Abbott Laboratories (NYSE:ABT) has recently demonstrated its prowess in pharmaceuticals and healthcare. In an era when cell therapies are gaining momentum in the pharmaceutical sector, this collaboration aims to develop innovative technologies that improve the consistency of clinical outcomes for patients and address the manufacturing challenges associated with advanced engineered cellular products. Bristol Myers Squibb (BMY) Source: Shutterstock Bristol Myers Squibb (NYSE:BMY), a prominent pharmaceutical company famous for its extensive contributions to healthcare and medicine, is making waves as an attractive pharmaceutical stock to watch. | Abbott (ABT) Source: Sisacorn / Shutterstock.com Abbott Laboratories (NYSE:ABT) has recently demonstrated its prowess in pharmaceuticals and healthcare. As technology advances, the companies that make life in this sector will always be applying it, as well as implementing new processes, new combinations, and new formulas, always with the aim of being able to make medicines and treatments much more effective and efficient for all of us. In an era when cell therapies are gaining momentum in the pharmaceutical sector, this collaboration aims to develop innovative technologies that improve the consistency of clinical outcomes for patients and address the manufacturing challenges associated with advanced engineered cellular products. | Abbott (ABT) Source: Sisacorn / Shutterstock.com Abbott Laboratories (NYSE:ABT) has recently demonstrated its prowess in pharmaceuticals and healthcare. In addition, Danaher’s strategic partnership with the University of Pennsylvania (Penn) is making waves in the field of cell therapy innovation. Bristol Myers Squibb (BMY) Source: Shutterstock Bristol Myers Squibb (NYSE:BMY), a prominent pharmaceutical company famous for its extensive contributions to healthcare and medicine, is making waves as an attractive pharmaceutical stock to watch. |
30761.0 | 2023-09-07 00:00:00 UTC | Relative Strength Alert For Abbott Laboratories | ABT | https://www.nasdaq.com/articles/relative-strength-alert-for-abbott-laboratories-1 | nan | nan | The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Abbott Laboratories (Symbol: ABT) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of ABT entered into oversold territory, changing hands as low as $100.80 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Abbott Laboratories, the RSI reading has hit 29.3 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 43.7. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.01% based upon the recent $101.56 share price.
A bullish investor could look at ABT's 29.3 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on ABT is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
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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. | A bullish investor could look at ABT's 29.3 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Abbott Laboratories (Symbol: ABT) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of ABT entered into oversold territory, changing hands as low as $100.80 per share. | Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.01% based upon the recent $101.56 share price. Abbott Laboratories (Symbol: ABT) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of ABT entered into oversold territory, changing hands as low as $100.80 per share. | Abbott Laboratories (Symbol: ABT) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of ABT entered into oversold territory, changing hands as low as $100.80 per share. Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.01% based upon the recent $101.56 share price. | Indeed, ABT's recent annualized dividend of 2.04/share (currently paid in quarterly installments) works out to an annual yield of 2.01% based upon the recent $101.56 share price. Abbott Laboratories (Symbol: ABT) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Abbott Laboratories an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of ABT entered into oversold territory, changing hands as low as $100.80 per share. |
30762.0 | 2023-09-07 00:00:00 UTC | Abbott Laboratories a Top 25 Dividend Giant With 2.01% Yield (ABT) | ABT | https://www.nasdaq.com/articles/abbott-laboratories-a-top-25-dividend-giant-with-2.01-yield-abt | nan | nan | Abbott Laboratories (Symbol: ABT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a stunning $22.58B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 2.01% yield, according to the most recent Dividend Channel ''DividendRank'' report. The report noted a strong quarterly dividend history at Abbott Laboratories, and favorable long-term multi-year growth rates in key fundamental data points.
The annualized dividend paid by Abbott Laboratories is $2.04/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 07/13/2023. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. Indeed, studying a company's past dividend history can be of good help in judging whether the most recent dividend is likely to continue.
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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. | Abbott Laboratories (Symbol: ABT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a stunning $22.58B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 2.01% yield, according to the most recent Dividend Channel ''DividendRank'' report. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. The report noted a strong quarterly dividend history at Abbott Laboratories, and favorable long-term multi-year growth rates in key fundamental data points. | Abbott Laboratories (Symbol: ABT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a stunning $22.58B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 2.01% yield, according to the most recent Dividend Channel ''DividendRank'' report. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. The report noted a strong quarterly dividend history at Abbott Laboratories, and favorable long-term multi-year growth rates in key fundamental data points. | Abbott Laboratories (Symbol: ABT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a stunning $22.58B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 2.01% yield, according to the most recent Dividend Channel ''DividendRank'' report. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. The annualized dividend paid by Abbott Laboratories is $2.04/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 07/13/2023. | Abbott Laboratories (Symbol: ABT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a stunning $22.58B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 2.01% yield, according to the most recent Dividend Channel ''DividendRank'' report. Below is a long-term dividend history chart for ABT, which the report stressed as being of key importance. The report noted a strong quarterly dividend history at Abbott Laboratories, and favorable long-term multi-year growth rates in key fundamental data points. |
30763.0 | 2023-09-07 00:00:00 UTC | Is Abbott Stock A Better Healthcare Pick Over Thermo Fisher Scientific? | ABT | https://www.nasdaq.com/articles/is-abbott-stock-a-better-healthcare-pick-over-thermo-fisher-scientific | nan | nan | We believe Thermo Fisher Scientific stock (NYSE: TMO) is a better pick than its sector peer, Abbott stock (NYSE: ABT), given its better prospects. TMO trades at a slightly higher valuation multiple of 4.9x revenues vs. 4.4x for ABT due to its superior revenue growth. Looking at stock returns, both have underperformed vis-à-vis broader markets. While ABT is down 6% this year, TMO is up 1%, and the S&P500 index is up 18%. There is more to the comparison, and in the sections below, we discuss why we believe that TMO will offer better returns than ABT in the next three years. We compare a slew of factors, such as historical revenue growth, returns, and valuation, in an interactive dashboard analysis of Abbott vs. Thermo Fisher Scientific: Which Stock Is A Better Bet? Parts of the analysis are summarized below.
Interestingly, ABT has had a Sharpe Ratio of 0.7 since early 2017, while the figure stood at 1.0 for TMO, higher than 0.6 for the S&P 500 Index over the same period. Still, they fall short of the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
1. Thermo Fisher Scientific’s Revenue Growth Is Better
Thermo Fisher Scientific’s revenue growth has been better, with a 21% average annual growth rate in the last three years, compared to 11% for Abbott.
A high demand for Covid-19 testing drove Abbott’s sales growth in recent years.
Thermo Fisher Scientific manufactures analytical laboratory instruments used in various tests, and the pandemic has increased demand for these instruments. Its sales growth is buoyed by continued market share gains for its instruments.
Even if we look at the last twelve-month period, Thermo Fisher Scientific fares better with sales growth of 2% vs. -12% for Abbott.
With the worst of Covid-19 behind us, the demand for testing has been declining, weighing on Abbott’s diagnostics business in recent quarters.
Thermo Fisher Scientific has seen a good 15% growth in 2022, primarily driven by its Laboratory Products & Biopharma Services segment, which saw a substantial 51% y-o-y growth. This can be attributed to its December 2021 acquisition of PPD Inc. – a clinical research services provider to the biopharma and biotech industry – for $17.4 billion. The PPD business contributed $7.1 billion to the company’s top line in 2022.
Our Abbott Revenue Comparison and Thermo Fisher Scientific Revenue Comparison dashboards provide more insight into the companies’ sales.
Looking forward, Thermo Fisher Scientific’s revenue is expected to grow much faster than Abbott’s over the next three years.
Abbott will see a dip in sales in 2023 owing to its diagnostics business. For perspective, Abbott expects total Covid-19-related sales of $1.3 billion in 2023, compared to $8.4 billion last year. However, it should return to growth next year, and its other businesses, including Medical Devices and Established Pharmaceuticals, should continue to grow steadily. Thermo Fisher Scientific expects its organic sales to rise between 2% and 4% in 2023. The sales growth will likely improve in 2024 and beyond.
Note that we have different methodologies for companies negatively impacted by Covid and those not impacted or positively impacted by Covid while forecasting future revenues. For companies negatively affected by Covid, we consider the quarterly revenue recovery trajectory to predict recovery to the pre-Covid revenue run rate. Beyond the recovery point, we apply the average annual growth observed three years before Covid to simulate a return to normal conditions. For companies registering positive revenue growth during Covid, we consider yearly average growth before Covid with a certain weight to growth during Covid and the last twelve months.
2. Abbott And Thermo Fisher Scientific Have Similar Operating Margin
Abbott’s operating margin has risen from 16.1% in 2019 to 20.4% in 2022, while Thermo Fisher Scientific’s operating margin declined marginally from 20.6% to 20.3% over this period.
Looking at the last twelve-month period, Thermo Fisher Scientific’s operating margin of 15.4% aligns with 15.2% for Abbott.
Our Abbott Operating Income Comparison and Thermo Fisher Scientific Operating Income Comparison dashboards have more details.
Looking at financial risk, Abbott fares better with its 9% debt as a percentage of equity lower than 16% for Thermo Fisher Scientific and its 11% cash as a percentage of assets higher than 3% for the latter, implying that Abbott has a better debt position and more cash cushion.
3. The Net of It All
We see that Thermo Fisher Scientific has demonstrated better revenue growth and is equally profitable. On the other hand, Abbott has a better debt position and cash cushion and is trading at a slightly lower valuation multiple.
Now, looking at prospects, using P/S as a base, due to high fluctuations in P/E and P/EBIT, we believe Thermo Fisher Scientific is still the better choice of the two despite its higher valuation.
If we compare the current valuation multiples to the historical averages, Abbott fares marginally better, with its stock currently trading at 4.9x revenues vs. the last five-year average of 5.9x. In contrast, Abbott’s stock trades at 4.4x trailing revenues vs. the last five-year average of 5.4x.
Our Abbott (ABT) Valuation Ratios Comparison and Thermo Fisher Scientific (TMO) Valuation Ratios Comparison have more details.
While TMO may outperform ABT over the next three years, it is helpful to see how Abbott’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
With higher inflation and the Fed raising interest rates, among other factors, ABT stock has declined 6% this year. Can it drop from here? See how low Abbott stock can go by comparing its decline in previous market crashes. Here is a performance summary of all stocks in previous market crashes.
Returns Sep 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
ABT Return 0% -6% 168%
TMO Return 0% 1% 295%
S&P 500 Return 0% 18% 102%
Trefis Reinforced Value Portfolio 1% 32% 580%
[1] Month-to-date and year-to-date as of 9/5/2023
[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. | We believe Thermo Fisher Scientific stock (NYSE: TMO) is a better pick than its sector peer, Abbott stock (NYSE: ABT), given its better prospects. TMO trades at a slightly higher valuation multiple of 4.9x revenues vs. 4.4x for ABT due to its superior revenue growth. While ABT is down 6% this year, TMO is up 1%, and the S&P500 index is up 18%. | Our Abbott (ABT) Valuation Ratios Comparison and Thermo Fisher Scientific (TMO) Valuation Ratios Comparison have more details. We believe Thermo Fisher Scientific stock (NYSE: TMO) is a better pick than its sector peer, Abbott stock (NYSE: ABT), given its better prospects. TMO trades at a slightly higher valuation multiple of 4.9x revenues vs. 4.4x for ABT due to its superior revenue growth. | We believe Thermo Fisher Scientific stock (NYSE: TMO) is a better pick than its sector peer, Abbott stock (NYSE: ABT), given its better prospects. TMO trades at a slightly higher valuation multiple of 4.9x revenues vs. 4.4x for ABT due to its superior revenue growth. While ABT is down 6% this year, TMO is up 1%, and the S&P500 index is up 18%. | TMO trades at a slightly higher valuation multiple of 4.9x revenues vs. 4.4x for ABT due to its superior revenue growth. We believe Thermo Fisher Scientific stock (NYSE: TMO) is a better pick than its sector peer, Abbott stock (NYSE: ABT), given its better prospects. While ABT is down 6% this year, TMO is up 1%, and the S&P500 index is up 18%. |
30764.0 | 2023-09-06 00:00:00 UTC | Abbott (ABT) to Advance Diabetes Care With New Acquisition | ABT | https://www.nasdaq.com/articles/abbott-abt-to-advance-diabetes-care-with-new-acquisition | nan | nan | Abbott Laboratories, Inc. ABT recently entered into a definitive agreement to acquire Bigfoot -- a developer of smart insulin management systems for people with diabetes. The acquisition will unite two industry leaders in several facets of diabetes care, Support for CGM and insulin injection.
The transaction is subject to customary closing conditions and is expected to close in the third quarter of 2023. Financial terms were kept under wraps.
The latest move will fortify Abbott’s Diabetes business.
More on Acquisition
Since 2017, Abbott and Bigfoot have collaborated on linked diabetic treatments. Bigfoot created Bigfoot Unity, an innovative insulin management system featuring the first and only linked insulin pen caps that have received FDA clearance. Bigfoot Unity uses integrated continuous glucose monitoring (iCGM) data and healthcare professionals' guidance to propose insulin administration.
FreeStyle Libre 2 sensors and all popular long-acting (basal) and rapid-acting (bolus) disposable insulin pens available in the United States are compatible with the system. It is recommended for people with diabetes who require numerous daily insulin injections and are at least 12 years old.
Strategic Implications
With the addition of Bigfoot Biomedical, two industry leaders in continuousglucose monitoring and insulin dosing support will be combined. Combining the two companies will enable Abbott to create more interconnected solutions to improve the personalization and accuracy of diabetes control.
Both businesses have the same goal of giving patients with diabetes straightforward, inexpensive, and simple-to-use products. The Bigfoot Unity system features a customer smartphone app connected to a cloud-based internet portal utilized by healthcare providers to support their patients, including through remote care, and uniquely works with Abbott's market-leading FreeStyle Libre technology.
Industry Prospects
Per a Research report, the global CGM devices market was valued at $7.82 billion in 2022 and is expected to witness a CAGR of 4.4% by 2030.
Progress Within CGM System
Of late, Abbott has been reaching the headlines for several achievements. Its FreeStyle Libre 2 system is the first and only CGM system to be nationally reimbursed in France for people who use basal insulin as part of their diabetes management. The FDA has approved ABT’s TactiFlex Ablation Catheter to treat abnormal heart rhythms.
Image Source: Zacks Investment Research
In June 2023, Abbott partnered with the American Diabetes Association (“ADA”) to launch a therapeutic nutrition program for people with diabetes. The first-of-its-kind project will evaluate how diabetes technology, like continuous glucose monitoring (CGM) systems, can help people with diabetes make informed decisions about their food and activity.
Price Performance
In the past year, ABT’s shares have declined 27.4% compared with the industry’s fall of 32.8%.
Zacks Rank and Key Picks
Abbott currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Haemonetics HAE, Quanterix QTRX and SiBone SIBN. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Haemonetics’ stock has risen 19.9% in the past year. Earnings estimates for Haemonetics have increased from $3.56 to $3.74 in 2023 and $3.96 to $4.07 in 2024 in the past 30 days. It currently carries Zacks Rank #1.
HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.39%. In the last reported quarter, it posted an earnings surprise of 38.16%.
Estimates for Quanterix’s 2023 loss per share have narrowed from $1.19 to 97 cents in the past 30 days. Shares of the company have increased 167.5% in the past year against the industry’s decline of 1.7%. It currently carries Zacks Rank #2 (Buy).
QTRX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 30.39%. In the last reported quarter, it posted an earnings surprise of 55.56%.
Estimates for SiBone’s2023 loss have narrowed from $1.42 to $1.27 per share in the past 30 days. Shares of the company have increased 31% in the past year compared with the industry’s rise of 1.9%. It currently carries Zacks Rank #2.
SIBN’s earnings beat estimates in all the trailing four quarters, the average surprise being 20.37%. In the last reported quarter, SiBone delivered an earnings surprise of 26.83%.
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Abbott Laboratories (ABT) : 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. | Abbott Laboratories, Inc. ABT recently entered into a definitive agreement to acquire Bigfoot -- a developer of smart insulin management systems for people with diabetes. The FDA has approved ABT’s TactiFlex Ablation Catheter to treat abnormal heart rhythms. Price Performance In the past year, ABT’s shares have declined 27.4% compared with the industry’s fall of 32.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories, Inc. ABT recently entered into a definitive agreement to acquire Bigfoot -- a developer of smart insulin management systems for people with diabetes. The FDA has approved ABT’s TactiFlex Ablation Catheter to treat abnormal heart rhythms. | Abbott Laboratories, Inc. ABT recently entered into a definitive agreement to acquire Bigfoot -- a developer of smart insulin management systems for people with diabetes. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report Quanterix Corporation (QTRX) : Free Stock Analysis Report SiBone (SIBN) : Free Stock Analysis Report To read this article on Zacks.com click here. The FDA has approved ABT’s TactiFlex Ablation Catheter to treat abnormal heart rhythms. | Abbott Laboratories, Inc. ABT recently entered into a definitive agreement to acquire Bigfoot -- a developer of smart insulin management systems for people with diabetes. The FDA has approved ABT’s TactiFlex Ablation Catheter to treat abnormal heart rhythms. Price Performance In the past year, ABT’s shares have declined 27.4% compared with the industry’s fall of 32.8%. |
30765.0 | 2023-09-05 00:00:00 UTC | Abbott (ABT) Dips More Than Broader Markets: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-dips-more-than-broader-markets%3A-what-you-should-know-4 | nan | nan | Abbott (ABT) closed at $100.88 in the latest trading session, marking a -1.92% move from the prior day. This change lagged the S&P 500's daily loss of 0.42%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.08%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 5.16% in the past month. In that same time, the Medical sector gained 1.89%, while the S&P 500 gained 1.02%.
Wall Street will be looking for positivity from Abbott as it approaches its next earnings report date. On that day, Abbott is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 4.35%. Meanwhile, our latest consensus estimate is calling for revenue of $9.78 billion, down 6.09% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.40 per share and revenue of $39.77 billion. These totals would mark changes of -17.6% and -8.89%, respectively, from last year.
Any recent changes to analyst estimates for Abbott should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Abbott is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Abbott currently has a Forward P/E ratio of 23.38. For comparison, its industry has an average Forward P/E of 20.4, which means Abbott is trading at a premium to the group.
Meanwhile, ABT's PEG ratio is currently 4.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Products was holding an average PEG ratio of 2.6 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 90, putting it in the top 36% 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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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott (ABT) closed at $100.88 in the latest trading session, marking a -1.92% move from the prior day. Meanwhile, ABT's PEG ratio is currently 4.59. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $100.88 in the latest trading session, marking a -1.92% move from the prior day. Meanwhile, ABT's PEG ratio is currently 4.59. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $100.88 in the latest trading session, marking a -1.92% move from the prior day. Meanwhile, ABT's PEG ratio is currently 4.59. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) closed at $100.88 in the latest trading session, marking a -1.92% move from the prior day. Meanwhile, ABT's PEG ratio is currently 4.59. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30766.0 | 2023-09-05 00:00:00 UTC | What's Next For DexCom Stock After A 17% Fall In A Month? | ABT | https://www.nasdaq.com/articles/whats-next-for-dexcom-stock-after-a-17-fall-in-a-month | nan | nan | DexCom stock (NASDAQ: DXCM) has seen a 17% fall in a month, compared to a 2% fall for the broader S&P500 index. This underperformance can be attributed to the reduced risk of cardiovascular events for obesity drugs of Novo Nordisk and likely Eli Lilly. Investors are concerned about the possible wider applications of obesity drugs and their impact on medical devices used to manage diabetes. In the longer term, DXCM stock is up 89% from levels seen in late 2019, far better than the S&P 500 index, up around 35%.
Interestingly, DexCom stock has had a Sharpe Ratio of 0.7 since early 2017, higher than 0.6 for the S&P 500 Index over the same period. This compares with the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
This 89% rise for DexCom stock since late 2019 can primarily be attributed to 1. DexCom’s revenue growth of 117% to $3.2 billion over the last twelve months, compared to $1.5 billion in 2019, partly offset by 2. the company’s P/S ratio falling 9% to 12.5x revenues vs. 13.7x in 2019, and 3. a 5% rise in its total shares outstanding to 388 million. This has meant that the company’s revenue per share metric has risen 107% to $8.24 now, compared to $3.98 in 2019. Our dashboard on Why DexCom Stock Moved has more details.
New customer additions are leading the revenue growth for DexCom amid rising awareness of CGM devices. DexCom is among the few players with regulatory approvals for its wearable continuous glucose monitoring (CGM) device. There is a high demand for CGM devices that do not require a finger prick, and data can be self-monitored easily. Given the limited competition and a vast pool of diabetic patients (over 37 million in the U.S. alone), the company will likely see strong revenue growth over the coming years. DexCom’s future sales growth will likely be bolstered by its G7 CGM system in the U.S., which secured regulatory approval in December 2022. The company expects its revenue to rise 21% to $3.5 billion in 2023 and $4.9 billion in 2025 (at the mid-point of the provided range). Not only has the company seen stellar revenue growth, but it also saw its margin expand from 9.4% in 2019 to 14.0% now. Our DexCom Operating Income Comparison dashboard has more details.
After its recent fall, DXCM stock looks attractive. It currently trades at 12x revenues compared to its last five-year average of 21x, implying that the stock is undervalued. Our DexCom Valuation Ratios Comparison dashboard has more details. The company continues to see strong sales growth and also expand its operating margin. The concerns over the broader application of obesity drugs and its impact on DexCom also appear to be stretched. A CGM device will be a helpful tool to monitor the effectiveness of the drugs on a patient. A massive 40% cut in P/S multiple for DexCom isn’t justified in our view. Overall, investors can use the current dip in DXCM stock for likely solid gains in the long run.
Returns Aug 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
DXCM Return -17% -9% 593%
S&P 500 Return -2% 18% 102%
Trefis Reinforced Value Portfolio -4% 32% 576%
[1] Month-to-date and year-to-date as of 8/31/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
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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. | This underperformance can be attributed to the reduced risk of cardiovascular events for obesity drugs of Novo Nordisk and likely Eli Lilly. Investors are concerned about the possible wider applications of obesity drugs and their impact on medical devices used to manage diabetes. Given the limited competition and a vast pool of diabetic patients (over 37 million in the U.S. alone), the company will likely see strong revenue growth over the coming years. | DexCom stock (NASDAQ: DXCM) has seen a 17% fall in a month, compared to a 2% fall for the broader S&P500 index. The company continues to see strong sales growth and also expand its operating margin. Total [2] DXCM Return -17% -9% 593% S&P 500 Return -2% 18% 102% Trefis Reinforced Value Portfolio -4% 32% 576% [1] Month-to-date and year-to-date as of 8/31/2023 [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. | DexCom stock (NASDAQ: DXCM) has seen a 17% fall in a month, compared to a 2% fall for the broader S&P500 index. DexCom’s revenue growth of 117% to $3.2 billion over the last twelve months, compared to $1.5 billion in 2019, partly offset by 2. the company’s P/S ratio falling 9% to 12.5x revenues vs. 13.7x in 2019, and 3. a 5% rise in its total shares outstanding to 388 million. Total [2] DXCM Return -17% -9% 593% S&P 500 Return -2% 18% 102% Trefis Reinforced Value Portfolio -4% 32% 576% [1] Month-to-date and year-to-date as of 8/31/2023 [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. | DexCom’s revenue growth of 117% to $3.2 billion over the last twelve months, compared to $1.5 billion in 2019, partly offset by 2. the company’s P/S ratio falling 9% to 12.5x revenues vs. 13.7x in 2019, and 3. a 5% rise in its total shares outstanding to 388 million. Not only has the company seen stellar revenue growth, but it also saw its margin expand from 9.4% in 2019 to 14.0% now. The company continues to see strong sales growth and also expand its operating margin. |
30767.0 | 2023-09-05 00:00:00 UTC | Down 10.3%, Is Abbott Laboratories Stock a Buy on the Dip? | ABT | https://www.nasdaq.com/articles/down-10.3-is-abbott-laboratories-stock-a-buy-on-the-dip | nan | nan | If you're trying to build a passive income stream to eventually fuel your dream retirement, Abbott Laboratories (NYSE: ABT) is a stock you probably want to know more about. This legendary dividend payer has raised its payouts by 264% over the last 10 years, and it has a little something for everyone.
In addition to its recent rapid dividend growth, cautious long-term investors love the stock because they know Abbott has raised its dividend payout for 50 consecutive years.
Growth-conscious investors appreciate Abbott's commitment to innovation, which has helped make it one of the world's leading providers of next-generation medical devices and diagnostics. However, sales of its COVID-19 diagnostic tests have fallen sharply, and they don't seem likely to recover.
Shares of Abbott have tumbled more than 10% from a high point they reached in July. Is it a good stock to buy on the dip?
Reasons to buy Abbott Laboratories stock right now
COVID-19 test sales are tanking as expected, but sales of its other diagnostics, nutrition products, and medical devices are soaring. Second-quarter sales excluding COVID-19 diagnostics surged 11.5% year over year.
Investors are particularly excited about rising sales of Abbott's FreeStyle Libre 3 continuous blood glucose monitor (CGM), which earned FDA clearance last May. The sensor for the new device is the size of two stacked pennies. Its biggest competitor, the G7 from Dexcom (NASDAQ: DXCM), didn't launch in the U.S. until this February, and its wearable sensor is significantly larger than that of the FreeStyle Libre 3.
A first-mover advantage combined with the appeal of a physically smaller device pushed FreeStyle Libre sales 24.7% higher year over year to $1.3 billion in the second quarter (on a constant-currency basis). This is a big figure that could get much larger. An estimated 11.3% of the U.S. population has diabetes, and the disease's prevalence is rising around the world.
Abbott's medical device segment could get a big boost from its new leadless pacemaker, which the FDA approved in July. Named Aveir, it's the world's first dual-chamber leadless pacemaker. Roughly four-fifths of people who need pacemakers require pacing in two chambers of the heart.
Image source: Getty Images.
Reasons to remain cautious
After 50 consecutive annual dividend hikes, plenty of investors have realized that Abbott has a good thing going. Its shares have been trading for 35.1 times trailing earnings, which implies some rapid growth ahead.
Soaring FreeStyle Libre sales weren't enough to compensate for COVID-19 diagnostic sales falling off a cliff this year. As a result, operating earnings in the first half of 2023 were down 42.3% year over year.
If Abbott can't turn its ship around and begin reporting earnings growth in the quarters ahead, investors who buy at recent prices could experience heavy losses in the near term.
Worth the risk for most
If you're near retirement, Abbott Laboratories probably isn't the right stock for you to buy now. If you have time to let its dividend grow before you will need to begin drawing on the income it provides, though, it's well worth the risk.
Despite its collapse in earnings over the past 12 months, Abbott is still strongly profitable. The company needed just 62.5% of its free cash flow from operations to cover its dividend. This means it can raise its payout more or less in line with earnings growth in the years ahead.
Second-quarter COVID-19 diagnostic revenue collapsed to $263 million from $2.2 billion a year ago. However, now that COVID-19 diagnostic revenue has nearly reached its floor, sales of Aveir pacemakers and Freestyle Libre CGMs can push Abbott Labs' earnings much higher in 2024 and beyond.
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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 you're trying to build a passive income stream to eventually fuel your dream retirement, Abbott Laboratories (NYSE: ABT) is a stock you probably want to know more about. Investors are particularly excited about rising sales of Abbott's FreeStyle Libre 3 continuous blood glucose monitor (CGM), which earned FDA clearance last May. If Abbott can't turn its ship around and begin reporting earnings growth in the quarters ahead, investors who buy at recent prices could experience heavy losses in the near term. | If you're trying to build a passive income stream to eventually fuel your dream retirement, Abbott Laboratories (NYSE: ABT) is a stock you probably want to know more about. In addition to its recent rapid dividend growth, cautious long-term investors love the stock because they know Abbott has raised its dividend payout for 50 consecutive years. A first-mover advantage combined with the appeal of a physically smaller device pushed FreeStyle Libre sales 24.7% higher year over year to $1.3 billion in the second quarter (on a constant-currency basis). | If you're trying to build a passive income stream to eventually fuel your dream retirement, Abbott Laboratories (NYSE: ABT) is a stock you probably want to know more about. In addition to its recent rapid dividend growth, cautious long-term investors love the stock because they know Abbott has raised its dividend payout for 50 consecutive years. Reasons to buy Abbott Laboratories stock right now COVID-19 test sales are tanking as expected, but sales of its other diagnostics, nutrition products, and medical devices are soaring. | If you're trying to build a passive income stream to eventually fuel your dream retirement, Abbott Laboratories (NYSE: ABT) is a stock you probably want to know more about. Reasons to buy Abbott Laboratories stock right now COVID-19 test sales are tanking as expected, but sales of its other diagnostics, nutrition products, and medical devices are soaring. Worth the risk for most If you're near retirement, Abbott Laboratories probably isn't the right stock for you to buy now. |
30768.0 | 2023-09-04 00:00:00 UTC | Abbott's (ABT) New Positive Data Favors OCT in Stent Implantation | ABT | https://www.nasdaq.com/articles/abbotts-abt-new-positive-data-favors-oct-in-stent-implantation | nan | nan | Abbott Laboratories ABT recently announced late-breaking data from the first-of-its-kind ILUMIEN IV OPTIMAL PCI (ILUMIEN IV) clinical study, a randomized global imaging trial. The results of ILUMIEN IV were presented as a late-breaking clinical trial at the European Society of Cardiology in August and simultaneously published in The New England Journal of Medicine.
Shares of Abbott lost 1.3% till Sep 1 following the company's announcement on Aug 27.
The latest favorable late-breaking data from the ILUMIEN IV clinical study is expected to strengthen Abbott’s foothold in the global vascular space. This, in turn, will likely boost the company’s vascular business under the Medical Devices segment.
Significance of the Data
Currently, coronary angiography (use of X-ray to assess blood vessels) is the standard of care for guidance when physicians implant stents to treat patients with coronary heart disease. The ILUMIEN IV clinical study found that during percutaneous coronary interventions (PCI), guidance with optical coherence tomography (OCT) helps physicians achieve improved stent expansion for a greater minimal stent area, unlike angiography. Per the study, OCT guidance during PCI is associated with a lower risk of stent thrombosis, a potentially fatal complication of PCI procedures.
Per the study’s findings, OCT imaging is expected to provide doctors with additional high-definition images that improve visualization of vessel structure, giving actionable data that translate into patient benefits.
Per an expert associated with the study, the demonstration that stent thrombosis is significantly reduced with OCT is especially important as most patients who develop stent thrombosis die or have a heart attack. OCT guidance was also shown to reduce angiographic complications and lead to better stent implantation.
Abbott’s management feels that the ILUMIEN IV data illustrates the impact that OCT guidance can have when treating patients with complex coronary disease. Management also feels that in those cases, angiography alone will not be able to match the precision provided by OCT to determine a treatment plan.
Industry Prospects
Per a report by Allied Market Research, the global OCT market was valued at $1.2 billion in 2021 and is anticipated to reach $2.9 billion by 2031 at a CAGR of 8.6%. Factors like the rising prevalence of ocular diseases such as cataracts and the growing number of cardiovascular diseases are expected to drive the market.
Given the market potential, the latest favorable late-breaking data is likely to be a significant stepping stone for Abbott’s business.
Notable Developments in Medical Devices Segment
In July, Abbott reported its second-quarter 2023 results, wherein its Medical Device segment registered double-digit organic growth in Diabetes Care, Electrophysiology, Structural Heart and Neuromodulation. Per management, recently launched products and new indications contributed to the strong performance, including Amplatzer Amulet, Navitor, TriClip and Aveir. Abbott’s highly-productive pipeline is likely to position well for its growth in the future.
The same month, Abbott received the FDA’s approval for the AVEIR dual chamber leadless pacemaker system.
In May, Abbott announced that new data presented from an investigator-sponsored European trial — the MONITOR-HF trial — found managing indicated heart failure patients with Abbott's CardioMEMS HF System resulted in a significant improvement in patient-reported quality-of-life scores as early as three months after use with the remote monitoring sensor.
Price Performance
Shares of Abbott have gained 0.3% in the past year compared with the industry’s 0.6% rise and the S&P 500’s 15.1% growth.
Image Source: Zacks Investment Research
Zacks Rank & Key Picks
Currently, Abbott carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are DaVita Inc. DVA, HealthEquity, Inc. HQY and Integer Holdings Corporation ITGR.
DaVita, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 12.7%. DVA’s earnings surpassed estimates in three of the trailing four quarters and missed once, with an average surprise of 21.4%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DaVita has gained 17.3% against the industry’s 2.4% decline over the past year.
HealthEquity, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 22%. HQY’s earnings surpassed estimates in three of the trailing four quarters and missed once, with an average of 9.1%.
HealthEquity has gained 3.8% against the industry’s 11.4% decline over the past year.
Integer Holdings, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 12.1%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 8.4%.
Integer Holdings has gained 40.1% compared with the industry’s 6.5% rise over the past year.
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Integer Holdings Corporation (ITGR) : 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. | Abbott Laboratories ABT recently announced late-breaking data from the first-of-its-kind ILUMIEN IV OPTIMAL PCI (ILUMIEN IV) clinical study, a randomized global imaging trial. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. The results of ILUMIEN IV were presented as a late-breaking clinical trial at the European Society of Cardiology in August and simultaneously published in The New England Journal of Medicine. | Abbott Laboratories ABT recently announced late-breaking data from the first-of-its-kind ILUMIEN IV OPTIMAL PCI (ILUMIEN IV) clinical study, a randomized global imaging trial. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. In May, Abbott announced that new data presented from an investigator-sponsored European trial — the MONITOR-HF trial — found managing indicated heart failure patients with Abbott's CardioMEMS HF System resulted in a significant improvement in patient-reported quality-of-life scores as early as three months after use with the remote monitoring sensor. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT recently announced late-breaking data from the first-of-its-kind ILUMIEN IV OPTIMAL PCI (ILUMIEN IV) clinical study, a randomized global imaging trial. In May, Abbott announced that new data presented from an investigator-sponsored European trial — the MONITOR-HF trial — found managing indicated heart failure patients with Abbott's CardioMEMS HF System resulted in a significant improvement in patient-reported quality-of-life scores as early as three months after use with the remote monitoring sensor. | Abbott Laboratories ABT recently announced late-breaking data from the first-of-its-kind ILUMIEN IV OPTIMAL PCI (ILUMIEN IV) clinical study, a randomized global imaging trial. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott’s management feels that the ILUMIEN IV data illustrates the impact that OCT guidance can have when treating patients with complex coronary disease. |
30769.0 | 2023-09-02 00:00:00 UTC | 2 Incredible Stocks to Buy on the Dip | ABT | https://www.nasdaq.com/articles/2-incredible-stocks-to-buy-on-the-dip | nan | nan | When a particular stock is declining, investors usually don't rush out to buy it. They may be right if the company has significant problems likely to weigh on its long-term performance. But, in many cases, a share price dip doesn't indicate such a situation. The company might face near-term challenges, but the broader picture still remains bright -- and that gives us the opportunity to snap up shares at a great price.
That's the case today with online pet supply shop Chewy (NYSE: CHWY) and healthcare giant Abbott Laboratories (NYSE: ABT). They both have faced headwinds in recent times, but in spite of this, they're still growing revenue and offer solid long-term prospects. Let's take a closer look at these two incredible stocks to buy on the dip.
1. Chewy
Chewy sells just about everything your pet needs -- from food to toys, and even prescription drugs and pet insurance. The company makes it easy for you to shop at the e-commerce site and keep coming back through its Autoship program. This allows you to sign up for regular deliveries of products you use the most, such as pet food.
In fact, Autoship makes up more than 75% of the company's sales, so it's clearly a feature customers and Chewy both like. Importantly, Autoship sales rose 18% in the most recent quarter.
Chewy reached a key milestone last year when it became profitable, and it's also been increasing its free cash flow.
CHWY Net Income (Annual) data by YCharts
So, what's weighing on Chewy these days? Higher inflation is hurting customers' wallets, and that's hurt Chewy's ability to significantly grow its active customer base. The concern is some customers may be turning to stores selling cheaper pet products, such as Walmart. But it's important to keep in mind that today's economic troubles are temporary, and Chewy's variety of products and services and the convenience of Autoship should stand out over time.
In spite of the economic environment, Chewy still increased sales in the double digits during the quarter, and net sales per active customer rose in the double digits too. And that means Chewy shares look very reasonably priced today, trading for 38 times forward earnings estimates. So, they make an excellent buy on the dip.
2. Abbott Laboratories
Abbott Labs' strength is in its diversification. The company's business units of medical devices, diagnostics, nutrition, and established pharmaceuticals have helped it to steadily grow revenue over time -- even if one particular business reaches a stumbling block.
ABT Revenue (Annual) data by YCharts
Right now, for instance, diagnostics sales are on the decline amid a drop in coronavirus testing sales. But sales for Abbott's underlying base business rose more than 11% in the most recent quarter thanks to star products such as the Ensure nutrition brand and the FreeStyle Libre continuous glucose monitoring system.
Sales in the quarter climbed in medical devices, nutrition, and established pharmaceuticals -- and if we exclude coronavirus testing, sales rose in the diagnostics business year over year.
Abbott also continues to gain regulatory clearance for new products, adding to the future revenue opportunity. For example, the U.S. Food and Drug Administration recently approved Abbott's AVEIR pacemaker system -- the world's first dual-chamber leadless system.
You'll also like Abbott for its dividend. As a member of a group known as the Dividend Kings, Abbott has increased its dividend for more than 50 years. This is key because it indicates you can count on passive income growth year after year. Abbott pays a dividend of $2.04, at a yield of 1.95%. That's higher than the dividend yield of the S&P 500.
Abbott trades for about 23 times forward earnings estimates, a bargain for a solid earnings and dividend track record. So now is a great time to buy this top healthcare player and hold on for the long term.
Find out why Chewy is one of the 10 best stocks to buy now
Our analyst team has spent more than a decade beating the market. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories, Chewy, and Walmart. 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. | That's the case today with online pet supply shop Chewy (NYSE: CHWY) and healthcare giant Abbott Laboratories (NYSE: ABT). ABT Revenue (Annual) data by YCharts Right now, for instance, diagnostics sales are on the decline amid a drop in coronavirus testing sales. The company might face near-term challenges, but the broader picture still remains bright -- and that gives us the opportunity to snap up shares at a great price. | That's the case today with online pet supply shop Chewy (NYSE: CHWY) and healthcare giant Abbott Laboratories (NYSE: ABT). ABT Revenue (Annual) data by YCharts Right now, for instance, diagnostics sales are on the decline amid a drop in coronavirus testing sales. In spite of the economic environment, Chewy still increased sales in the double digits during the quarter, and net sales per active customer rose in the double digits too. | That's the case today with online pet supply shop Chewy (NYSE: CHWY) and healthcare giant Abbott Laboratories (NYSE: ABT). ABT Revenue (Annual) data by YCharts Right now, for instance, diagnostics sales are on the decline amid a drop in coronavirus testing sales. In spite of the economic environment, Chewy still increased sales in the double digits during the quarter, and net sales per active customer rose in the double digits too. | That's the case today with online pet supply shop Chewy (NYSE: CHWY) and healthcare giant Abbott Laboratories (NYSE: ABT). ABT Revenue (Annual) data by YCharts Right now, for instance, diagnostics sales are on the decline amid a drop in coronavirus testing sales. But sales for Abbott's underlying base business rose more than 11% in the most recent quarter thanks to star products such as the Ensure nutrition brand and the FreeStyle Libre continuous glucose monitoring system. |
30770.0 | 2023-09-01 00:00:00 UTC | The 3 Most Promising Healthcare Stocks to Own Now | ABT | https://www.nasdaq.com/articles/the-3-most-promising-healthcare-stocks-to-own-now | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The healthcare sector has underperformed this year, with the Health Care Select Sector SPDR (NYSEARCA:XLV) down 1%. After a disappointing year-to-date performance, it’s time to consider some top healthcare stock picks. Notably, the sector has several secular tailwinds, like an aging global demographic that will accelerate healthcare spending.
Healthcare is a sector that invests heavily in research and produces lots of innovation. After all, the world needs drugs and medical equipment for the various medical challenges that ail us. That’s why leading healthcare companies are a must-own for any diversified portfolio.
While large pharmaceuticals enjoyed success in previous decades, they have several headwinds. They face upcoming patent cliffs and pressures from Medicare drug price negotiations in the U.S.
Therefore, for must-own healthcare stocks, it’s better to look elsewhere. Medical equipment is one area with a lot of growth potential. These three companies have innovative solutions and expanding total addressable markets.
Shockwave Medical (SWAV)
Source: metamorworks / Shutterstock
Despite Shockwave Medical’s (NASDAQ:SWAV) decline since May 11, it’s one of my top healthcare stock picks. After the stock rallied in April on speculation about a possible Boston Scientific (NYSE:BSX) acquisition, it has come crashing down back to earth.
In July, the Centers for Medicare & Medicaid Services decided not to increase the Medicare reimbursement rate for Shockwave products. The negative news led to a stock selloff.
Despite the setback, Shockwave is in a prime position for growth. It offers intravascular lithotripsy (IVL) technology to treat calcified cardiovascular disease. Its devices help address hardened calcified plaque in arteries for patients with various heart conditions. Its technology helps to alleviate symptoms and sometimes avoid invasive interventions.
These products improve cardiovascular patient outcomes, and the company is increasing its product range and expanding globally. Furthermore, its IVL solution faces limited competition with Abbott Laboratories (NYSE:ABT) products, not expected until 2026.
That is why SWAV stock is a must-own healthcare stock. The adoption of IVL technology is driving growth, and the 49% year-over-year (YoY) revenue growth in the second quarter highlighted the robust demand. The fiscal year 2023 guidance forecasting 48% to 49% growth was equally impressive.
Besides, the recent Neovasc acquisition enables Shockwave to expand into the refractory angina market. Currently, the Neovasc Reducer System is in trials for patients with coronary obstructive refractory angina.
Lastly, in addition to the solid growth, Shockwave is highly profitable, achieving 86% gross margins in the second quarter. Despite heavy investments in its sales force expansion and growth opportunities, net income was also positive.
TransMedics Group (TMDX)
Source: shutterstock.com/Anastasia Zagoruyko
TransMedics Group (NASDAQ:TMDX) provides organ preservation technology and is a leader in normothermic machine perfusion. Its FDA-approved Organ Care System replicates the body’s physiologic conditions, increasing utilization of donor organs and improving post-transplant outcomes.
Before the FDA approval of the OCS system, static cold storage was the standard method used in organ transportation. However, this approach exposed the organs to ischemia, a time-dependent injury due to the absence of oxygenated blood.
The OCS system reduces ischemia and increases the time an organ can be outside the human body before transplant. Furthermore, it supports various diagnostic tests to assess the organ’s viability. As a result, the system is improving donor overall donor utilization rates and the use of marginal organs.
Already, major transplant centers are adopting the OCS system. Plus, the system is gaining share from the standard cold storage systems. As a result, revenues are surging, with the company reporting revenue of $52.47 million in the second quarter of FY2023, representing 155% YoY growth.
Notably, TransMedics achieved this solid growth pace within three years of the first OCS Heart system approval in April 2021. For the year, management expects 93% to 103% growth based on the revenue guidance range of $180 million to $190 million. These stellar numbers qualify TMDX stock for the top healthcare stock picks list.
TransMedics OCS has a lot of growth runway. After launching the National OCS Program (NOP), it has removed significant barriers to adoption. Hospitals don’t need to worry about capital expenditure and training costs. In Q2 FY2023, U.S. revenues from NOP customers accounted for 95% of total revenue. As the NOP network scales, it will fuel growth over the coming decade.
Insulet (PODD)
Source: Minerva Studio / Shutterstock.com
Based on fundamental performance, Insulet (NASDAQ:PODD) is one of the top healthcare stock picks to own. It features in the Goldman Sachs Rule of 10 stock screen, having grown sales and net income by over 10% in the past two years, and is expected to continue the trend in the next three years.
Insulet has enjoyed tremendous growth due to its participation in one of healthcare’s hottest areas — the diabetes market. The company sells insulin delivery systems to diabetes patients.
Since May, PODD stock has come under immense pressure from speculation about the impact of GLP-1 drugs. The company sees the rise of weight loss drugs such as Wegovy and Mounjaro, produced by Novo Nordisk (NYSE:NVO) and Eli Lilly (NYSE:LLY), respectively, as a threat.
However, Citi recently came to the defense of the stock, upgrading it to a Buy. The analyst stated the selloff due to GLP-1 concerns was overdone. Although they lowered the price target slightly, the new target of $265 represents over 25% upside as of this writing.
The latest quarterly results support the analyst’s call. In the second quarter, Insulet’s Omnipod revenues increased 33% YoY to $380.5 million. What’s more, The U.S. grew faster than international, recording a 40.9% increase.
And the company is implementing strategic initiatives to deliver growth over several years. For instance, it launched the Omnipod 5 in the second quarter in the U.K. In the medium term, more growth lies ahead as Omnipod 5 continues to disrupt the diabetes market.
On the date of publication, Charles Munyi did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Charles Munyi has extensive writing experience in various industries, including personal finance, insurance, technology, wealth management and stock investing. He has written for a wide variety of financial websites including Benzinga, The Balance and Investopedia.
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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. | Furthermore, its IVL solution faces limited competition with Abbott Laboratories (NYSE:ABT) products, not expected until 2026. After the stock rallied in April on speculation about a possible Boston Scientific (NYSE:BSX) acquisition, it has come crashing down back to earth. Charles Munyi has extensive writing experience in various industries, including personal finance, insurance, technology, wealth management and stock investing. | Furthermore, its IVL solution faces limited competition with Abbott Laboratories (NYSE:ABT) products, not expected until 2026. These products improve cardiovascular patient outcomes, and the company is increasing its product range and expanding globally. TransMedics Group (TMDX) Source: shutterstock.com/Anastasia Zagoruyko TransMedics Group (NASDAQ:TMDX) provides organ preservation technology and is a leader in normothermic machine perfusion. | Furthermore, its IVL solution faces limited competition with Abbott Laboratories (NYSE:ABT) products, not expected until 2026. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The healthcare sector has underperformed this year, with the Health Care Select Sector SPDR (NYSEARCA:XLV) down 1%. Shockwave Medical (SWAV) Source: metamorworks / Shutterstock Despite Shockwave Medical’s (NASDAQ:SWAV) decline since May 11, it’s one of my top healthcare stock picks. | Furthermore, its IVL solution faces limited competition with Abbott Laboratories (NYSE:ABT) products, not expected until 2026. That is why SWAV stock is a must-own healthcare stock. The OCS system reduces ischemia and increases the time an organ can be outside the human body before transplant. |
30771.0 | 2023-09-01 00:00:00 UTC | The Zacks Analyst Blog Highlights Oracle, Abbott Laboratories, Sanofi, Realty Income and Hilton Worldwide Holdings | ABT | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-oracle-abbott-laboratories-sanofi-realty-income-and | nan | nan | For Immediate Release
Chicago, IL – September 1, 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: Oracle Corp. ORCL, Abbott Laboratories ABT, Sanofi SNY, Realty Income Corp. O and Hilton Worldwide Holdings Inc. HLT.
Here are highlights from Thursday’s Analyst Blog:
Top Stock Reports for Oracle, Abbott and Sanofi
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corp., Abbott Laboratories and Sanofi. 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 >>>
Oracle shares have outperformed the Zacks Tech (+47.5% vs. +40.2%) as well as the broader market (+47.5% vs. +18.6% for the S&P 500 index) over the year-to-date period. The company is benefiting from the ongoing momentum across its cloud business, driven by the strong uptake of Oracle Cloud Infrastructure services and Autonomous Database offerings.
Solid adoption of cloud-based applications, comprising NetSuite Enterprise Resource Planning (ERP) and Fusion ERP bodes well. Oracle's Gen 2 Cloud is delivering better performance at a lower cost due to high bandwidth and low-latency RDMA networks. Partnerships with NVIDIA and Microsoft benefit Oracle.
Oracle is partnering with NVIDIA to build the world's largest high-performance computer, an AI computer, with 16,000 GPUs. The company also announced that it is launching a generative AI cloud service for enterprise customers. However, stiff competition is hurting growth.
(You can read the full research report on Oracle here >>>)
Shares of Abbott have outperformed the Zacks Medical - Products industry over the past six months (+4.6% vs. +0.5%). The company is strategically expanding its global presence to address the unmet demand for advanced medical technologies. Within the EPD business, which is solely based in emerging markets, the Zacks analyst expects Abbott to register a sales CAGR of nearly 5% through fiscal 2025.
Within Core Diagnostics, Abbott is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. Within Diabetes Care, Abbott is scaling up the production of Libre and gaining reimbursement approval in several countries. Innovations and market expansion efforts are helping it offset the impact of inflation and supply disruptions.
However, a steep year-over-year decline in COVID testing-related sales hurt growth. Further, the decision to exit the pediatric nutrition business in China might impede overall growth in the coming period.
(You can read the full research report on Abbott >>)
Sanofi shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (+14.8% vs. +9.5%). The company's specialty Care unit is on a strong footing, particularly with the outstanding growth trajectory of Dupixent, which has become the key top-line driver for Sanofi.
Dupixent enjoys strong demand trends across all approved indications and geographies. Sanofi possesses a leading vaccine portfolio, which has become the primary top-line driver. Its R&D pipeline is strong. Several data readouts are expected in 2023.
The company has also launched several new drugs in the past couple of years and is expanding its pipeline through M&A deals. However, headwinds include the weak performance of diabetes drugs and recent negative pipeline developments.
(You can read the full research report on Sanofi here >>>)
Other noteworthy reports we are featuring today include Realty Income Corp. and Hilton Worldwide Holdings Inc.
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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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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
Sanofi (SNY) : 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. | Stocks recently featured in the blog include: Oracle Corp. ORCL, Abbott Laboratories ABT, Sanofi SNY, Realty Income Corp. O and Hilton Worldwide Holdings Inc. HLT. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Other noteworthy reports we are featuring today include Realty Income Corp. and Hilton Worldwide Holdings Inc. Why Haven't You Looked at Zacks' Top Stocks? | Stocks recently featured in the blog include: Oracle Corp. ORCL, Abbott Laboratories ABT, Sanofi SNY, Realty Income Corp. O and Hilton Worldwide Holdings Inc. HLT. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corp., Abbott Laboratories and Sanofi. | Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include: Oracle Corp. ORCL, Abbott Laboratories ABT, Sanofi SNY, Realty Income Corp. O and Hilton Worldwide Holdings Inc. HLT. Here are highlights from Thursday’s Analyst Blog: Top Stock Reports for Oracle, Abbott and Sanofi The Zacks Research Daily presents the best research output of our analyst team. | Stocks recently featured in the blog include: Oracle Corp. ORCL, Abbott Laboratories ABT, Sanofi SNY, Realty Income Corp. O and Hilton Worldwide Holdings Inc. HLT. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Here are highlights from Thursday’s Analyst Blog: Top Stock Reports for Oracle, Abbott and Sanofi The Zacks Research Daily presents the best research output of our analyst team. |
30772.0 | 2023-08-31 00:00:00 UTC | Top Stock Reports for Oracle, Abbott & Sanofi | ABT | https://www.nasdaq.com/articles/top-stock-reports-for-oracle-abbott-sanofi | nan | nan | Thursday, August 31, 2023
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corporation (ORCL), Abbott Laboratories (ABT) and Sanofi (SNY). 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 >>>
Oracle shares have outperformed the Zacks Tech (+47.5% vs. +40.2%) as well as the broader market (+47.5% vs. +18.6% for the S&P 500 index) over the year-to-date period. The company is benefiting from the ongoing momentum across its cloud business, driven by the strong uptake of Oracle Cloud Infrastructure services and Autonomous Database offerings.
Solid adoption of cloud-based applications, comprising NetSuite Enterprise Resource Planning (ERP) and Fusion ERP bodes well. Oracle’s Gen 2 Cloud is delivering better performance at a lower cost due to high bandwidth and low-latency RDMA networks. Partnerships with NVIDIA and Microsoft benefits Oracle.
Oracle is partnering with NVIDIA to build the world's largest high-performance computer, an AI computer, with 16,000 GPUs. The company also announced that it is launching a generative AI cloud service for enterprise customers. However, stiff competition is hurting growth.
(You can read the full research report on Oracle here >>>)
Shares of Abbott have outperformed the Zacks Medical - Products industry over the past six months (+4.6% vs. +0.5%). The company is strategically expanding its global presence to address the unmet demand for advanced medical technologies. Within the EPD business, which is solely based in emerging markets, the Zacks analyst expects Abbott to register a sales CAGR of nearly 5% through fiscal 2025.
Within Core Diagnostics, Abbott is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. Within Diabetes Care, Abbott is scaling up the production of Libre and gaining reimbursement approval in several countries. Innovations and market expansion efforts are helping it offset the impact of inflation and supply disruptions.
However, a steep year-over-year decline in COVID testing-related sales hurt growth. Further, the decision to exit the pediatric nutrition business in China might impede overall growth in the coming period.
(You can read the full research report on Abbott >>)
Sanofi shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (+14.8% vs. +9.5%). The company’s specialty Care unit is on a strong footing, particularly with outstanding growth trajectory of Dupixent, which has become the key top-line driver for Sanofi.
Dupixent enjoys strong demand trends across all approved indications and geographies. Sanofi possesses a leading vaccine portfolio, which has become the primary top-line driver. Its R&D pipeline is strong. Several data readouts are expected in 2023.
The company has also launched several new drugs in the past couple of years and is expanding its pipeline through M&A deals. However, headwinds include the weak performance of diabetes drugs and recent negative pipeline developments.
(You can read the full research report on Sanofi here >>>)
Other noteworthy reports we are featuring today include Exelon Corporation (EXC), Realty Income Corporation (O) and Hilton Worldwide Holdings Inc. (HLT).
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>>>
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Oracle (ORCL) Gains from Cloud Suite Adoption & Partnerships
Organic Sales Gain, EPD Business Growth Aid Abbott (ABT)
Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver
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Per the Zacks analyst, Exelon's separation from Constellation Energy will allow former to focus on transmission & distribution operations. Its planned $31.3B investment will strengthen operation.
Realty Income (O) to Ride on Solid Tenant Base, Investments
Per the Zacks Analyst, Realty Income is poised to benefit from its focus on service, non-discretionary and low-price retail tenants and accretive investments. However, high interest rates are a woe.
Healthy Backlog, New Orders Aid Dover (DOV) Amid Cost Woes
Per the Zacks analyst, healthy backlogs and new order levels will aid Dover's performance in the upcoming quarters. However, elevated costs and supply chain issues will remain headwinds.
Strong Portfolio & Acquisitions to Drive PTC's Performance
Per the Zacks analyst, PTC's performance is being driven by robust demand for its CAD and PLM products. Weak global macroeconomic conditions along with stiff competition remain concerns.
HydroChemPSC Buyout Aids Clean Harbors (CLH) Amid Liquidity Woes
Per the Zacks analyst, the acquisition of HydroChemPSC has generated multiple cross-selling opportunities for Clean Harbors, Low liquidity remains a concern.
Strong Group Protection Aid Lincoln National (LNC) Amid Cost Woes
Per the Zacks analyst, a resurging group protection business, courtesy of better underwriting, should aid Lincoln National's results. However, higher costs might hamper margins.
New Upgrades
Strong Leisure Demand & Expansion Efforts Aid Hilton (HLT)
Per the Zacks analyst, Hilton is benefiting from solid RevPAR growth owing to strong leisure demand and recovery in international inbound travel. Also, focus on expansion efforts bodes well.
Paylocity Holding (PCTY) Benefits From Growing Customer Base
Per the Zacks Analyst, Paylocity Holding is benefiting from a rising product attach rate and comprehensive product offerings that are helping in expanding its clientele
Backlog Growth & Strategic Initiatives Aid Gibraltar (ROCK)
Per the Zacks analyst, Gibraltar is benefiting from solid backlog levels along with organic growth, improving solar module supply, increased volume and supply-chain optimization initiatives.
New Downgrades
Imperial Oil (IMO) Hurt by High Breakeven Costs
The Zacks analyst is concerned about Imperial Oil's insufficient takeaway capacity and high breakeven costs associated with Canada's oil sands, potentially impacting its profitability
Stiff Competition, Forex Volatility Impairs Catalent (CTLT)
The Zacks analyst is worried about Catalent's operation in a highly competitive market. Unfavorable currency movement is an added issue.
Paramount Global (PARA) Hurt By Dull Media Advertising Revenues
Per the Zacks analyst, sluggish media advertising revenues and declining domestic affiliate revenues are major headwinds for Paramount Global.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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Sanofi (SNY) : Free Stock Analysis Report
Exelon Corporation (EXC) : Free Stock Analysis Report
Abbott Laboratories (ABT) : Free Stock Analysis Report
Oracle Corporation (ORCL) : Free Stock Analysis Report
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Hilton Worldwide Holdings Inc. (HLT) : 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. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Oracle (ORCL) Gains from Cloud Suite Adoption & Partnerships Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver Featured Reports Business Separation & Regulated Investment Aid Exelon (EXC) Per the Zacks analyst, Exelon's separation from Constellation Energy will allow former to focus on transmission & distribution operations. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corporation (ORCL), Abbott Laboratories (ABT) and Sanofi (SNY). Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Exelon Corporation (EXC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Oracle (ORCL) Gains from Cloud Suite Adoption & Partnerships Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver Featured Reports Business Separation & Regulated Investment Aid Exelon (EXC) Per the Zacks analyst, Exelon's separation from Constellation Energy will allow former to focus on transmission & distribution operations. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Exelon Corporation (EXC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corporation (ORCL), Abbott Laboratories (ABT) and Sanofi (SNY). | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Oracle (ORCL) Gains from Cloud Suite Adoption & Partnerships Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver Featured Reports Business Separation & Regulated Investment Aid Exelon (EXC) Per the Zacks analyst, Exelon's separation from Constellation Energy will allow former to focus on transmission & distribution operations. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Exelon Corporation (EXC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. Today's Research Daily features new research reports on 15 major stocks, including Oracle Corporation (ORCL), Abbott Laboratories (ABT) and Sanofi (SNY). | Today's Research Daily features new research reports on 15 major stocks, including Oracle Corporation (ORCL), Abbott Laboratories (ABT) and Sanofi (SNY). If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Oracle (ORCL) Gains from Cloud Suite Adoption & Partnerships Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver Featured Reports Business Separation & Regulated Investment Aid Exelon (EXC) Per the Zacks analyst, Exelon's separation from Constellation Energy will allow former to focus on transmission & distribution operations. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report Exelon Corporation (EXC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Oracle Corporation (ORCL) : Free Stock Analysis Report Realty Income Corporation (O) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30773.0 | 2023-08-31 00:00:00 UTC | Wall Street Analysts Think Abbott (ABT) Is a Good Investment: Is It? | ABT | https://www.nasdaq.com/articles/wall-street-analysts-think-abbott-abt-is-a-good-investment%3A-is-it | nan | nan | When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Let's take a look at what these Wall Street heavyweights have to say about Abbott (ABT) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Abbott currently has an average brokerage recommendation (ABR) of 1.56, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms. An ABR of 1.56 approximates between Strong Buy and Buy.
Of the 18 recommendations that derive the current ABR, 12 are Strong Buy and two are Buy. Strong Buy and Buy respectively account for 66.7% and 11.1% of all recommendations.
Brokerage Recommendation Trends for ABT
Check price target & stock forecast for Abbott here>>>
The ABR suggests buying Abbott, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
ABR Should Not Be Confused With Zacks Rank
Although both Zacks Rank and ABR are displayed in a range of 1-5, they are different measures altogether.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Is ABT Worth Investing In?
In terms of earnings estimate revisions for Abbott, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $4.40.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Abbott. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Abbott.
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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Abbott Laboratories (ABT) : Free Stock Analysis Report
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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. | Let's take a look at what these Wall Street heavyweights have to say about Abbott (ABT) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Brokerage Recommendation Trends for ABT Is ABT Worth Investing In? | Let's take a look at what these Wall Street heavyweights have to say about Abbott (ABT) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Brokerage Recommendation Trends for ABT Is ABT Worth Investing In? | Let's take a look at what these Wall Street heavyweights have to say about Abbott (ABT) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Brokerage Recommendation Trends for ABT Is ABT Worth Investing In? | Brokerage Recommendation Trends for ABT Let's take a look at what these Wall Street heavyweights have to say about Abbott (ABT) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Is ABT Worth Investing In? |
30774.0 | 2023-08-31 00:00:00 UTC | 2 Unstoppable Growth Stocks to Buy in 2023 and Beyond | ABT | https://www.nasdaq.com/articles/2-unstoppable-growth-stocks-to-buy-in-2023-and-beyond-3 | nan | nan | The stock market has rebounded after a disastrous 2022, with the S&P 500 up 15% so far this year -- such volatility in the stock market is unavoidable. Nevertheless, it's important to invest in growing businesses with solid fundamentals.
The healthcare sector is generally defensive by nature, meaning the majority of products and services from the various industries in the sector will always be in demand -- regardless of the state of the economy -- resulting in more stable revenue and profitability for these industries. That translates into greater resilience and outperformance for healthcare stocks during overall market volatility.
Over the long term, purchasing and holding healthcare stocks that are a part of fast-growing industries should be rewarding to investors.
Medical device makers Abbott Laboratories (NYSE: ABT) and Medtronic (NYSE: MDT) are two such businesses that could provide investors with a reliable source of income while they wait for their investments to grow in value.
Image source: Getty Images.
1. Abbott Laboratories
It is clear from Abbott's history of consistent dividend payouts that the company has a very stable business. For 50 years in a row, the pharmaceutical and medical devices company has consistently raised its dividends. In short, it has weathered all storms while maintaining revenue and profit growth.
ABT Revenue (Annual) data by YCharts. EPS = earnings per share.
It belongs to the exclusive group of Dividend Kings, a title awarded to businesses that have raised their dividends consistently for at least 50 years. Its 1.6% yield is slightly higher than the 1.7% average dividend yield of the S&P 500.
Due to a decrease in COVID-19 testing sales, when compared to the prior year, net sales fell by 11.4% year on year to $10 billion for its most recent second quarter. However, that does not reveal the full picture. Other business segments have been generally experiencing growth, most importantly in its medical devices segment. The market is pricing this secular growth apart from the company's COVID-19-related sales boost and the stock has mostly been flat this year. In my view, it shouldn't take long for Abbott to eventually make up for the drop in coronavirus tests.
Moreover, the medical device sector is promising and could reach $719 billion between 2022 and 2029, growing at a compound annual rate of 5.5%.
Abbott is now anticipating low double-digit organic sales growth for the year, thanks to recovering elective procedures. Importantly, sales of COVID-19 tests aren't included in the forecast.
Another good news is the company is investing more in research and development (R&D) in order to spur growth in upcoming years. In the first half of 2023, it invested $1.4 billion in R&D. It had $7.8 billion in cash and cash equivalents at the end of the quarter.
Knowing Abbott's track record, this could be a good time for investors with a longer term perspective to invest in a few shares before the stock takes off .
2. Medtronic
Medical-device player Medtronic manufactures products under four segments -- cardiovascular, medical-surgical, neuroscience, and diabetes -- that treat close to 70 medical conditions worldwide.
Despite the ups and downs in the healthcare sector, Medtronic has maintained its stride for years, increasing its revenue and earnings. Consequently, the company has raised dividends consistently for 46 years.
A significant number of products the company manufactures are used in procedures that are usually elective. These procedures took a hit amid the pandemic when they were either canceled or postponed, which affected Medtronic's top line.
However, management had faith that these challenges would subside, and they did. In 2023, Medtronic also adopted an "aggressive transformation" strategy to address the immediate issues and continue to promote growth. Recent financial 2024 first-quarter results demonstrate this. Its total revenue increased by 5.6% year over year to $8.5 billion during the quarter, and its earnings per share (EPS) rose by 3% to $1.57. Management attributed this performance to increased supply and the success of new products.
Medtronic expects fiscal 2024 to be a successful year, thanks to a strong start and a return to normalcy in the demand for elective procedures.
The company could also be soon one of the Dividend Kings. It has increased its dividend by 146% in the last decade. Its 3.3% dividend yield is significantly higher than the market average.
With its innovative and varied product line, Medtronic could prosper in the growing medical devices industry.
The company has more opportunities even in the robotic surgery market. Its robotic device, Hugo, has been performing well internationally. Management believes this surgical robotic should will drive growth in a market that hasn't been fully explored yet.
Medtronic also ended the quarter with a sturdy balance sheet that could fund new product development in the year. It had $1.3 billion in cash and cash equivalents and a long-term debt of $24 million.
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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. 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. | Medical device makers Abbott Laboratories (NYSE: ABT) and Medtronic (NYSE: MDT) are two such businesses that could provide investors with a reliable source of income while they wait for their investments to grow in value. ABT Revenue (Annual) data by YCharts. Over the long term, purchasing and holding healthcare stocks that are a part of fast-growing industries should be rewarding to investors. | Medical device makers Abbott Laboratories (NYSE: ABT) and Medtronic (NYSE: MDT) are two such businesses that could provide investors with a reliable source of income while they wait for their investments to grow in value. ABT Revenue (Annual) data by YCharts. Other business segments have been generally experiencing growth, most importantly in its medical devices segment. | Medical device makers Abbott Laboratories (NYSE: ABT) and Medtronic (NYSE: MDT) are two such businesses that could provide investors with a reliable source of income while they wait for their investments to grow in value. ABT Revenue (Annual) data by YCharts. The stock market has rebounded after a disastrous 2022, with the S&P 500 up 15% so far this year -- such volatility in the stock market is unavoidable. | Medical device makers Abbott Laboratories (NYSE: ABT) and Medtronic (NYSE: MDT) are two such businesses that could provide investors with a reliable source of income while they wait for their investments to grow in value. ABT Revenue (Annual) data by YCharts. Due to a decrease in COVID-19 testing sales, when compared to the prior year, net sales fell by 11.4% year on year to $10 billion for its most recent second quarter. |
30775.0 | 2023-08-30 00:00:00 UTC | Abbott (ABT) Outpaces Stock Market Gains: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-outpaces-stock-market-gains%3A-what-you-should-know-6 | nan | nan | Abbott (ABT) closed at $104.41 in the latest trading session, marking a +0.52% move from the prior day. This change outpaced the S&P 500's 0.38% gain on the day. Meanwhile, the Dow gained 0.11%, and the Nasdaq, a tech-heavy index, added 0.54%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had lost 6.03% over the past month. This has lagged the Medical sector's gain of 0.38% and the S&P 500's loss of 1.68% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. In that report, analysts expect Abbott to post earnings of $1.10 per share. This would mark a year-over-year decline of 4.35%. Our most recent consensus estimate is calling for quarterly revenue of $9.78 billion, down 6.09% from the year-ago period.
ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.40 per share and revenue of $39.77 billion. These results would represent year-over-year changes of -17.6% and -8.89%, respectively.
It is also important to note the recent changes to analyst estimates for Abbott. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.05% higher. Abbott is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Abbott has a Forward P/E ratio of 23.61 right now. Its industry sports an average Forward P/E of 22.5, so we one might conclude that Abbott is trading at a premium comparatively.
Investors should also note that ABT has a PEG ratio of 4.64 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Products was holding an average PEG ratio of 2.65 at yesterday's closing price.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% 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.
To follow ABT in the coming trading sessions, be sure to utilize Zacks.com.
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Abbott Laboratories (ABT) : 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. | Abbott (ABT) closed at $104.41 in the latest trading session, marking a +0.52% move from the prior day. ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.40 per share and revenue of $39.77 billion. Investors should also note that ABT has a PEG ratio of 4.64 right now. | Abbott (ABT) closed at $104.41 in the latest trading session, marking a +0.52% move from the prior day. ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.40 per share and revenue of $39.77 billion. Investors should also note that ABT has a PEG ratio of 4.64 right now. | ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.40 per share and revenue of $39.77 billion. Abbott (ABT) closed at $104.41 in the latest trading session, marking a +0.52% move from the prior day. Investors should also note that ABT has a PEG ratio of 4.64 right now. | Abbott (ABT) closed at $104.41 in the latest trading session, marking a +0.52% move from the prior day. ABT's full-year Zacks Consensus Estimates are calling for earnings of $4.40 per share and revenue of $39.77 billion. Investors should also note that ABT has a PEG ratio of 4.64 right now. |
30776.0 | 2023-08-30 00:00:00 UTC | IWD, PG, WMT, ABT: Large Inflows Detected at ETF | ABT | https://www.nasdaq.com/articles/iwd-pg-wmt-abt%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 Russell 1000 Value ETF (Symbol: IWD) where we have detected an approximate $119.4 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 318,400,000 to 319,150,000). Among the largest underlying components of IWD, in trading today Procter & Gamble Company (Symbol: PG) is up about 0.2%, Walmart Inc (Symbol: WMT) is up about 0.1%, and Abbott Laboratories (Symbol: ABT) is higher by about 0.6%. For a complete list of holdings, visit the IWD Holdings page » The chart below shows the one year price performance of IWD, versus its 200 day moving average:
Looking at the chart above, IWD's low point in its 52 week range is $134.09 per share, with $164.18 as the 52 week high point — that compares with a last trade of $159.21. 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 ».
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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:
BDCs Hedge Funds Are Buying
PHIO market cap history
Incyte 13F Filers
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 IWD, in trading today Procter & Gamble Company (Symbol: PG) is up about 0.2%, Walmart Inc (Symbol: WMT) is up about 0.1%, and Abbott Laboratories (Symbol: ABT) is higher by about 0.6%. 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 IWD, in trading today Procter & Gamble Company (Symbol: PG) is up about 0.2%, Walmart Inc (Symbol: WMT) is up about 0.1%, and Abbott Laboratories (Symbol: ABT) is higher by about 0.6%. For a complete list of holdings, visit the IWD Holdings page » The chart below shows the one year price performance of IWD, versus its 200 day moving average: Looking at the chart above, IWD's low point in its 52 week range is $134.09 per share, with $164.18 as the 52 week high point — that compares with a last trade of $159.21. 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 IWD, in trading today Procter & Gamble Company (Symbol: PG) is up about 0.2%, Walmart Inc (Symbol: WMT) is up about 0.1%, and Abbott Laboratories (Symbol: ABT) is higher by about 0.6%. 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 Value ETF (Symbol: IWD) where we have detected an approximate $119.4 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 318,400,000 to 319,150,000). For a complete list of holdings, visit the IWD Holdings page » The chart below shows the one year price performance of IWD, versus its 200 day moving average: Looking at the chart above, IWD's low point in its 52 week range is $134.09 per share, with $164.18 as the 52 week high point — that compares with a last trade of $159.21. | Among the largest underlying components of IWD, in trading today Procter & Gamble Company (Symbol: PG) is up about 0.2%, Walmart Inc (Symbol: WMT) is up about 0.1%, and Abbott Laboratories (Symbol: ABT) is higher by about 0.6%. 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 Value ETF (Symbol: IWD) where we have detected an approximate $119.4 million dollar inflow -- that's a 0.2% increase week over week in outstanding units (from 318,400,000 to 319,150,000). For a complete list of holdings, visit the IWD Holdings page » The chart below shows the one year price performance of IWD, versus its 200 day moving average: Looking at the chart above, IWD's low point in its 52 week range is $134.09 per share, with $164.18 as the 52 week high point — that compares with a last trade of $159.21. |
30777.0 | 2023-08-30 00:00:00 UTC | A Significant Reversal is in Sight for These 5 Med Tech Companies | ABT | https://www.nasdaq.com/articles/a-significant-reversal-is-in-sight-for-these-5-med-tech-companies | nan | nan | Med tech has been on the skids for no fault of its own. It’s not the industry's fault that price action was driven to a frothy bubble by COVID-inspired trading outlooks or that the market has normalized. The salient point is that the med tech and med tech stocks market has normalized and presents a healthy opportunity for investors. These stocks are trading at or near long-term lows, offering value, cash flow, and dividends.
In 1 case, an above-average growth opportunity shouldn’t be ignored. In all cases, the analysts' sentiment is shifting or shifted into a more bullish posture that is helping to support the action in these cash-generating dividend-paying machines. Oh, and they are supported by secular tailwinds, including a growing, aging population spending more on medical services and procedures than ever before.
Medtronic is a High-Yield Contender in Med Tech
Medtronic (NYSE: MDT) is the highest-yielding stock on this list, with a payout of nearly 3.3%. That is a relatively safe payout at only 50% of the earnings, and the company is growing the distribution. The distribution has been increased for nearly 50 years, proving the management structure is foresighted, disciplined, and savvy to shareholder sentiment. As old as it is, the company is still growing and producing mid-single-digit growth in 2022.
That is expected to continue in FQ2 and next year. Fourteen analysts rate this stock a Hold. The Hold has been firm and steady over the past 12 months and has a firm price target. The price target is down compared to last year but rising since the release of Q1 results and about 13% above the current price action.
Intuitive Surgical is The Growth Stock in Med Tech
Med tech is growing, and Intuitive Surgical (NYSE: ISRG) is outpacing the group. It is posting double-digit growth due to the widening use of its Davinci robotic surgical systems and the deepening penetration of services offered by its users. The pace of growth is expected to continue this year and next and may slack off in calendar 2025.
That outlook has the stock trading at a high 54X this year’s earnings, but keep this in mind. The stock is outpacing the industry and has the cash flow to pay dividends when (if) the board decides it’s time. Takeaways from the Q2 release include outperformance and raised guidance. Analysts rate this stock at Moderate Buy with a price target 14% above recent action and trending higher.
Baxter International, Another High-Yield Growth Stock
Baxter International (NYSE: BAX) offers clients various medical devices, services, and technology worldwide. It’s been growing at a low-to-mid-single-digit pace, which is expected to continue, if not accelerate, next year. This stock, like MDT, offers value trading at only 15X its earnings while paying a 2.8% dividend yield.
The company has increased the distribution for 7 consecutive years, so there is an expectation for more; it pays only 40% of its earnings, so there is room in the cash flow. The company carries debt but not an onerous amount; the debt coverage ratio is about 3.8X.
Abbott Laboratories for Diversification in Health Care Products
Abbott Laboratories (NYSE: ABT) is no pure play on medtech but offers diversification for med tech investors. The company’s Medical Devices segment is 43% of the business and the fastest growing at 13%. It is complemented by nutrition, established pharma, and diagnostic division, which has been impacted by slowing COVID business.
The takeaway from the Q2 report is that core business continues to grow and support the dividend outlook.
The company pays about 2.0% and is a Dividend King when adjusted for the AbbVie (NYSE: ABBV) spin-off.
Stryker: While The Iron is Hot
Stryker (NYSE: SYK) operates in 2 segments, with both contributing to growth. The hot segment is MedSurg and Neurotechnology, which is growing at a double-digit pace. The company’s stock has been trending higher since last year due to a series of beat-and-raise quarters that could continue through the end of the year. The analysts have been raising their targets for Q3 results, but the bar is still low, given recent strengths.
The only detracting factors are that the stock pays 1% in yield and trades at a 26X multiple. Assuming the company produces a solid report for Q3, the market should rebound from recent lows and continue the uptrend if it doesn’t rebound before then.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories for Diversification in Health Care Products Abbott Laboratories (NYSE: ABT) is no pure play on medtech but offers diversification for med tech investors. It’s not the industry's fault that price action was driven to a frothy bubble by COVID-inspired trading outlooks or that the market has normalized. It is posting double-digit growth due to the widening use of its Davinci robotic surgical systems and the deepening penetration of services offered by its users. | Abbott Laboratories for Diversification in Health Care Products Abbott Laboratories (NYSE: ABT) is no pure play on medtech but offers diversification for med tech investors. The salient point is that the med tech and med tech stocks market has normalized and presents a healthy opportunity for investors. Intuitive Surgical is The Growth Stock in Med Tech Med tech is growing, and Intuitive Surgical (NYSE: ISRG) is outpacing the group. | Abbott Laboratories for Diversification in Health Care Products Abbott Laboratories (NYSE: ABT) is no pure play on medtech but offers diversification for med tech investors. The salient point is that the med tech and med tech stocks market has normalized and presents a healthy opportunity for investors. Intuitive Surgical is The Growth Stock in Med Tech Med tech is growing, and Intuitive Surgical (NYSE: ISRG) is outpacing the group. | Abbott Laboratories for Diversification in Health Care Products Abbott Laboratories (NYSE: ABT) is no pure play on medtech but offers diversification for med tech investors. Analysts rate this stock at Moderate Buy with a price target 14% above recent action and trending higher. The company has increased the distribution for 7 consecutive years, so there is an expectation for more; it pays only 40% of its earnings, so there is room in the cash flow. |
30778.0 | 2023-08-30 00:00:00 UTC | Will Edwards Lifesciences Stock Recover To Its Pre-Inflation Shock Highs of $130? | ABT | https://www.nasdaq.com/articles/will-edwards-lifesciences-stock-recover-to-its-pre-inflation-shock-highs-of-%24130 | nan | nan | Edwards Lifesciences (NYSE: EW), a medical technology company specializing in artificial heart valves, currently trades at $76 per share, about 10% lower than the level seen in March 2021, and it can see higher levels over time. EW stock was trading at around $95 in early June 2022, just before the Fed started increasing rates, and is now 20% below that level, compared to 16% gains for the S&P 500 during this period. This underperformance of EW stock can be attributed to its slower-than-expected sales growth for its transcatheter aortic valve replacement (TAVR) business. Also, investors still have concerns about a potential recession despite a steady decline in the inflation rate in response to the Fed’s aggressive rate hike plan.
We note that EW stock has had a Sharpe Ratio of 0.5 since early 2017, close to 0.6 for the S&P 500 Index over the same period. This compares with the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
Returning to the pre-inflation shock level of about $130 means that EW stock will have to gain more than 70% from here, and we don’t think this will materialize anytime soon. That said, there is upside potential from its current levels. EW stock is trading at 8x revenues, compared to levels of around 12x in 2019, before the pandemic. Our Edwards Lifesciences (EW) Valuation Ratios Comparison dashboard has more details.
EW stock enjoyed a higher valuation multiple before the pandemic. However, with TAVR sales growth falling short of expectations, partly due to hospital staffing shortages seen in the recent past, a slight decline in the valuation multiple is justified. The company reported revenue per share of $9.25 for the last twelve months, and its last three-year average P/S multiple is around 10x, implying a valuation of $92 and over 20% upside from its current levels.
Our detailed analysis of Edwards Lifesciences upside post-inflation shock captures trends in the company’s stock during the turbulent market conditions seen over 2022. It compares these trends to the stock’s performance during the 2008 recession.
2022 Inflation Shock
Timeline of Inflation Shock So Far:
2020 – early 2021: Increase in money supply to cushion the impact of lockdowns led to high demand for goods; producers unable to match up.
Early 2021: Shipping snarls and worker shortages from the coronavirus pandemic continue to hurt supply.
April 2021: Inflation rates cross 4% and increase rapidly.
Early 2022: Energy and food prices spike due to the Russian invasion of Ukraine. Fed begins its rate hike process.
June 2022: Inflation levels peak at 9% – the highest level in 40 years. The S&P 500 index declined more than 20% from peak levels.
July – September 2022: Fed hikes interest rates aggressively – resulting in an initial recovery in the S&P 500 followed by another sharp decline.
Since October 2022: Fed continues rate hike process; improving market sentiments help S&P500 recoup some of its losses.
In contrast, here’s how EW stock and the broader market performed during the 2007/2008 crisis.
Timeline of 2007-08 Crisis
10/1/2007: Approximate pre-crisis peak in S&P 500 index
9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08)
3/1/2009: Approximate bottoming out of S&P 500 index
12/31/2009: Initial recovery to levels before accelerated decline (around 9/1/2008)
EW and S&P 500 Performance During 2007-08 Crisis
EW stock saw a marginal decline of 5% between August 2008 (pre-crisis peak for EW) and March 2009 (as the markets bottomed out). It surged post the 2008 crisis to levels of around $7 in early 2010, rising about 55% between March 2009 and January 2010. The S&P 500 Index saw a decline of 51%, falling from levels of 1,540 in September 2007 to 757 in March 2009. It then rallied 48% between March 2009 and January 2010 to reach levels of 1,124.
EW Fundamentals Over Recent Years
Edwards Lifesciences revenue rose from $4.3 billion in 2019 to $5.4 billion in 2022, led by its TAVR products, primarily the Edwards SAPIEN platform. The company’s operating margin increased from 26.4% in 2019 to 33.4% in 2022. Our Edwards Lifesciences Operating Income Comparison dashboard has more details. Its earnings per share stood at $2.46 in 2022, compared to the $1.68 figure in 2019.
Does EW Have A Sufficient Cash Cushion To Meet Its Obligations Through The Ongoing Inflation Shock?
Edwards Lifesciences’ total debt has been around $600 million in recent years, while its cash is around $1.2 billion. The company also garnered $1.2 billion in cash flows from operations in 2022. Given that Edwards Lifesciences is net debt negative, it is in an excellent position to service its near-term debt obligations.
Conclusion
With the Fed’s efforts to tame runaway inflation rates helping market sentiments, we believe EW stock has the potential for gains once fears of a potential recession are allayed. That said, a slowdown in TAVR sales growth remains a risk factor to realizing these gains.
Returns Aug 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
EW Return -8% 1% 142%
S&P 500 Return -5% 14% 95%
Trefis Reinforced Value Portfolio -5% 29% 564%
[1] Month-to-date and year-to-date as of 8/28/2023
[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. | However, with TAVR sales growth falling short of expectations, partly due to hospital staffing shortages seen in the recent past, a slight decline in the valuation multiple is justified. The company reported revenue per share of $9.25 for the last twelve months, and its last three-year average P/S multiple is around 10x, implying a valuation of $92 and over 20% upside from its current levels. Our detailed analysis of Edwards Lifesciences upside post-inflation shock captures trends in the company’s stock during the turbulent market conditions seen over 2022. | Our Edwards Lifesciences (EW) Valuation Ratios Comparison dashboard has more details. Since October 2022: Fed continues rate hike process; improving market sentiments help S&P500 recoup some of its losses. Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 12/31/2009: Initial recovery to levels before accelerated decline (around 9/1/2008) EW and S&P 500 Performance During 2007-08 Crisis EW stock saw a marginal decline of 5% between August 2008 (pre-crisis peak for EW) and March 2009 (as the markets bottomed out). | Edwards Lifesciences (NYSE: EW), a medical technology company specializing in artificial heart valves, currently trades at $76 per share, about 10% lower than the level seen in March 2021, and it can see higher levels over time. EW stock was trading at around $95 in early June 2022, just before the Fed started increasing rates, and is now 20% below that level, compared to 16% gains for the S&P 500 during this period. Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 12/31/2009: Initial recovery to levels before accelerated decline (around 9/1/2008) EW and S&P 500 Performance During 2007-08 Crisis EW stock saw a marginal decline of 5% between August 2008 (pre-crisis peak for EW) and March 2009 (as the markets bottomed out). | EW stock was trading at around $95 in early June 2022, just before the Fed started increasing rates, and is now 20% below that level, compared to 16% gains for the S&P 500 during this period. EW stock is trading at 8x revenues, compared to levels of around 12x in 2019, before the pandemic. Edwards Lifesciences’ total debt has been around $600 million in recent years, while its cash is around $1.2 billion. |
30779.0 | 2023-08-29 00:00:00 UTC | Abbott Laboratories (ABT) is Attracting Investor Attention: Here is What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-laboratories-abt-is-attracting-investor-attention%3A-here-is-what-you-should-know-1 | nan | nan | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -7.7%, compared to the Zacks S&P 500 composite's -3.1% change. During this period, the Zacks Medical - Products industry, which Abbott falls in, has lost 7.8%. The key question now is: What could be the stock's future direction?
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.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Abbott is expected to post earnings of $1.10 per share, indicating a change of -4.4% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.1% over the last 30 days.
The consensus earnings estimate of $4.40 for the current fiscal year indicates a year-over-year change of -17.6%. This estimate has changed +0.1% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $4.60 indicates a change of +4.6% from what Abbott is expected to report a year ago. Over the past month, the estimate has remained unchanged.
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, Abbott 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
Revenue Growth Forecast
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.
In the case of Abbott, the consensus sales estimate of $9.78 billion for the current quarter points to a year-over-year change of -6.1%. The $39.77 billion and $41.7 billion estimates for the current and next fiscal years indicate changes of -8.9% and +4.9%, respectively.
Last Reported Results and Surprise History
Abbott reported revenues of $9.98 billion in the last reported quarter, representing a year-over-year change of -11.4%. EPS of $1.08 for the same period compares with $1.43 a year ago.
Compared to the Zacks Consensus Estimate of $9.7 billion, the reported revenues represent a surprise of +2.84%. The EPS surprise was +3.85%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
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.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Abbott is graded C on this front, indicating that it is trading at par with 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 Abbott. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
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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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -7.7%, compared to the Zacks S&P 500 composite's -3.1% change. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: 12 Month EPS Revenue Growth Forecast 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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. 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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. When earnings estimates for a company go up, the fair value for its stock goes up as well. |
30780.0 | 2023-08-28 00:00:00 UTC | ABT Dividend Yield Pushes Past 2% | ABT | https://www.nasdaq.com/articles/abt-dividend-yield-pushes-past-2 | nan | nan | Looking at the universe of stocks we cover at Dividend Channel, in trading on Monday, shares of Abbott Laboratories (Symbol: ABT) were yielding above the 2% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $101.89 on the day. Dividends are particularly important for investors to consider, because historically speaking dividends have provided a considerable share of the stock market's total return. To illustrate, suppose for example you purchased shares of the S&P 500 ETF (SPY) back on 12/31/1999 — you would have paid $146.88 per share. Fast forward to 12/31/2012 and each share was worth $142.41 on that date, a decrease of $4.67/share over all those years. But now consider that you collected a whopping $25.98 per share in dividends over the same period, for a positive total return of 23.36%. Even with dividends reinvested, that only amounts to an average annual total return of about 1.6%; so by comparison collecting a yield above 2% would appear considerably attractive if that yield is sustainable. Abbott Laboratories (Symbol: ABT) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index.
In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. In the case of Abbott Laboratories, looking at the history chart for ABT below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2% annual yield.
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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 the universe of stocks we cover at Dividend Channel, in trading on Monday, shares of Abbott Laboratories (Symbol: ABT) were yielding above the 2% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $101.89 on the day. Abbott Laboratories (Symbol: ABT) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of Abbott Laboratories, looking at the history chart for ABT below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2% annual yield. | Looking at the universe of stocks we cover at Dividend Channel, in trading on Monday, shares of Abbott Laboratories (Symbol: ABT) were yielding above the 2% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $101.89 on the day. Abbott Laboratories (Symbol: ABT) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of Abbott Laboratories, looking at the history chart for ABT below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2% annual yield. | Looking at the universe of stocks we cover at Dividend Channel, in trading on Monday, shares of Abbott Laboratories (Symbol: ABT) were yielding above the 2% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $101.89 on the day. Abbott Laboratories (Symbol: ABT) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of Abbott Laboratories, looking at the history chart for ABT below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2% annual yield. | Looking at the universe of stocks we cover at Dividend Channel, in trading on Monday, shares of Abbott Laboratories (Symbol: ABT) were yielding above the 2% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $101.89 on the day. Abbott Laboratories (Symbol: ABT) is an S&P 500 company, giving it special status as one of the large-cap companies making up the S&P 500 Index. In the case of Abbott Laboratories, looking at the history chart for ABT below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2% annual yield. |
30781.0 | 2023-08-28 00:00:00 UTC | 1 Stock-Split Stock Billionaires Are Buying Hand Over Fist and 1 Unexpected Stock-Split Stock They're Selling | ABT | https://www.nasdaq.com/articles/1-stock-split-stock-billionaires-are-buying-hand-over-fist-and-1-unexpected-stock-split | nan | nan | If you want to make money investing in the stock market, there's an endless array of popular strategies. Scooping up stocks before they split their shares is one strategy that's worked out well in recent years.
From time to time, shares of successful companies rise so high that everyday investors begin to shun them for no other reason than their high share price. Stock splits allow companies to lower their stock prices to levels within reach of everyday investors by turning one share into 10, for example.
Image source: Getty Images.
In theory, multiplying the number of outstanding shares by a specific amount should lower the price by an equal magnitude In practice, though, the extra attention that surrounds stock splits tends to drive their prices higher.
A little over two years ago, investors began flocking to Nvidia (NASDAQ: NVDA) after it enacted a 4-for-1 split. Since then, at least a dozen successful companies saw their prices soar after joining the stock-split party, including:
Intuitive Surgical (NASDAQ: ISRG): a 3-for-1 split announced in August 2021
Alphabet (NASDAQ: GOOG)(NASDAQ: GOOGL): a 20-for-1 split announced in February 2022.
Amazon (NASDAQ: AMZN): a 20-for-1 split announced in March 2022.
Dexcom (NASDAQ: DXCM): a 4-for-1 split announced in March 2022.
Shopify (NYSE: SHOP): a 10-for-1 split announced in April 2022.
Palo Alto Networks (NASDAQ: PANW): a 3-for-1 split in August 2022.
Some of the most successful money managers Wall Street's ever known are paying attention to these stock-split stocks, too. With the latest round of disclosures institutional investors are required to make each quarter, we know which ones billionaires are buying hand over fist. We can also see what they're selling, and you might be surprised.
Nvidia is a stock-split stock billionaires are buying with both hands
During the three months that ended June 30, billionaire money managers were tripping over each other on their way to buy shares of Nvidia.
Jeff Yass and Susquehanna International, the fund he manages, bought more than 5.4 million shares of the graphics processing unit (GPU) designer.
James Simons of Renaissance Technologies acquired 1.9 million shares.
John Overdeck and David Siegel of Two Sigma Advisers bought 1.6 million shares.
Israel Englander of Millennium Management added more than 1 million shares, raising the company's holdings in the GPU designer past $1 billion.
David Tepper and Appaloosa added 870,000 Nvidia shares to its portfolio.
Artificial intelligence (AI) means different things to different people. In the end, though, AI applications generally need GPUs to function.
Nvidia sells the vast majority of GPUs used to power AI applications, and the recent proliferation of services such as ChatGPT has translated into soaring sales and profits for its investors. In the second quarter, Nvidia reported data center sales that soared 171% year over year to $10.3 billion.
As the leading producer of GPUs that power AI applications, Nvidia has a lot of pricing power, and this advantage shows on its bottom line. The company earned $8.2 billion in the first half of 2023, a 262% gain over the previous-year period.
Shares of Nvidia are currently trading at around 42.5 times Wall Street's forward-looking earnings estimate. A multiple this high would be difficult for almost any stock to overcome, but Nvidia's pricing power is probably strong enough that investors buying at recent prices could realize market-beating gains over the long run.
Stock-split stock that billionaires sold heavily in the second quarter: Dexcom
One stock-split stock that saw aggressive selling from billionaire fund managers in the second quarter was Dexcom, the manufacturer of continuous blood-glucose monitors. A slew of prominent billionaires dumped the stock in the second quarter, including:
Ken Griffin at Citadel Advisors (sold 3,780,330 shares).
Steven Cohen at Point72 Asset Management (sold 1,541,082 shares).
Israel Englander at Millennium Management (sold 771,329 shares).
John Overdeck and David Siegel at Two Sigma Investments (sold 196,180 shares).
Dexcom's next-generation CGM, the G7, earned FDA approval last December. Strong uptake of the new device in the U.S. and abroad is driving growth. Second-quarter sales surged 25% year over year, and plenty of revenue is filtering down to the bottom line. According to generally accepted accounting principles (GAAP), operating income during the second quarter came in at $128.1 million, or 14.7% of revenue.
Sales of Dexcom's G7 device are pushing its needle forward, but Abbott Laboratories had a long head start in the U.S. market with FreeStyle Libre 3, a CGM the size of two stacked pennies, significantly smaller than Dexcom's G7 device.
Despite the challenge Abbott's CGM presents, Dexcom is trading for the lofty multiple of 82.7 times forward earnings estimates. While its business is likely to continue growing at a healthy pace, expecting it to maintain a pace that justifies such a lofty valuation seems unreasonable given the competition. If I were holding this stock, I'd continue to do so. However, I wouldn't criticize anyone for following the lead of billionaires who recently trimmed their richly valued positions.
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Cory Renauer has positions in Amazon.com and Shopify. The Motley Fool has positions in and recommends Abbott Laboratories, Alphabet, Amazon.com, Intuitive Surgical, Nvidia, Palo Alto Networks, Shopify, and Tesla. The Motley Fool recommends DexCom. 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. | Jeff Yass and Susquehanna International, the fund he manages, bought more than 5.4 million shares of the graphics processing unit (GPU) designer. Nvidia sells the vast majority of GPUs used to power AI applications, and the recent proliferation of services such as ChatGPT has translated into soaring sales and profits for its investors. The Motley Fool has positions in and recommends Abbott Laboratories, Alphabet, Amazon.com, Intuitive Surgical, Nvidia, Palo Alto Networks, Shopify, and Tesla. | Since then, at least a dozen successful companies saw their prices soar after joining the stock-split party, including: Intuitive Surgical (NASDAQ: ISRG): a 3-for-1 split announced in August 2021 Alphabet (NASDAQ: GOOG)(NASDAQ: GOOGL): a 20-for-1 split announced in February 2022. Israel Englander of Millennium Management added more than 1 million shares, raising the company's holdings in the GPU designer past $1 billion. The Motley Fool has positions in and recommends Abbott Laboratories, Alphabet, Amazon.com, Intuitive Surgical, Nvidia, Palo Alto Networks, Shopify, and Tesla. | Stock splits allow companies to lower their stock prices to levels within reach of everyday investors by turning one share into 10, for example. Nvidia is a stock-split stock billionaires are buying with both hands During the three months that ended June 30, billionaire money managers were tripping over each other on their way to buy shares of Nvidia. Stock-split stock that billionaires sold heavily in the second quarter: Dexcom One stock-split stock that saw aggressive selling from billionaire fund managers in the second quarter was Dexcom, the manufacturer of continuous blood-glucose monitors. | Israel Englander of Millennium Management added more than 1 million shares, raising the company's holdings in the GPU designer past $1 billion. In the end, though, AI applications generally need GPUs to function. Stock-split stock that billionaires sold heavily in the second quarter: Dexcom One stock-split stock that saw aggressive selling from billionaire fund managers in the second quarter was Dexcom, the manufacturer of continuous blood-glucose monitors. |
30782.0 | 2023-08-27 00:00:00 UTC | Should You Buy Medtronic Stock After A Q1 Beat? | ABT | https://www.nasdaq.com/articles/should-you-buy-medtronic-stock-after-a-q1-beat | nan | nan | Medtronic stock (NYSE: MDT) gained 2% in a week, faring slightly better than the broader S&P500 index, up 0.5%. Medtronic recently reported its Q1 fiscal 2024 (fiscal ends in April) results, which were better than the street estimates. Despite its recent uptick, investors will likely be better off buying Medtronic for reasonable gains in the long run, given its attractive valuation, as discussed below.
Interestingly, MDT stock had a Sharpe Ratio of 0.1 since early 2017, lower than 0.6 for the S&P 500 Index over the same period. It compares with the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
Medtronic’s revenues were up 4.5% to $7.7 billion in fiscal Q1’24. The Cardiovascular and Medical Surgical revenue grew 5.5%, Neuroscience was up 4.9%, and Diabetes sales were up 6.8%. The Diabetes segment benefited from the increased adoption of its MiniMed 680G insulin system in the international markets. 780G was also launched in the U.S. along with Micra AV2 and Micra VR2 leadless pacemakers.
The company’s adjusted operating margin improved by 90 bps to 24.8%, partly due to lower R&D expenses. The earnings of $1.20 on a per-share and adjusted basis were up 6% from $1.13 in the prior-year quarter and compares with the consensus estimate of $1.11. The rise in earnings can be attributed to higher sales and improved operating margins.
Not only did Medtronic exceed the street expectations in Q1, but it also raised its full-year outlook. It now expects its fiscal 2024 sales to rise 4.5% (organic) vs. its earlier estimate of 4.0% to 4.5% growth. It also raised its earnings outlook to be in the range of $5.08 to $5.16 on a per-share and adjusted basis, compared to its prior range of $5.00 to $5.10.
We have updated our model to reflect the latest quarterly performance and expect the company to post sales of $32.3 billion in fiscal 2024, reflecting 3% y-o-y growth. We believe that Medtronic will benefit from the launch of its new products, primarily MiniMed 780G in the U.S. The company’s focus on cost-cutting and an improved supply chain situation will bolster its operating margin growth. Looking at the stock price, we estimate Medtronic’s Valuation to be $97 per share, about 15% above the current market price of $84. At its current levels, MDT stock is trading at 16x its expected forward earnings of $5.09 on a per share and adjusted basis for full-fiscal 2024, compared to the last four-year average of 20x, implying ample room for growth.
While MDT stock looks like it can see higher levels, it is helpful to see how Medtronic’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Aug 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
MDT Return -4% 8% 18%
S&P 500 Return -4% 14% 96%
Trefis Reinforced Value Portfolio -5% 29% 564%
[1] Month-to-date and year-to-date as of 8/24/2023
[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. | Despite its recent uptick, investors will likely be better off buying Medtronic for reasonable gains in the long run, given its attractive valuation, as discussed below. The company’s focus on cost-cutting and an improved supply chain situation will bolster its operating margin growth. At its current levels, MDT stock is trading at 16x its expected forward earnings of $5.09 on a per share and adjusted basis for full-fiscal 2024, compared to the last four-year average of 20x, implying ample room for growth. | We have updated our model to reflect the latest quarterly performance and expect the company to post sales of $32.3 billion in fiscal 2024, reflecting 3% y-o-y growth. Looking at the stock price, we estimate Medtronic’s Valuation to be $97 per share, about 15% above the current market price of $84. Total [2] MDT Return -4% 8% 18% S&P 500 Return -4% 14% 96% Trefis Reinforced Value Portfolio -5% 29% 564% [1] Month-to-date and year-to-date as of 8/24/2023 [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. | We have updated our model to reflect the latest quarterly performance and expect the company to post sales of $32.3 billion in fiscal 2024, reflecting 3% y-o-y growth. At its current levels, MDT stock is trading at 16x its expected forward earnings of $5.09 on a per share and adjusted basis for full-fiscal 2024, compared to the last four-year average of 20x, implying ample room for growth. Total [2] MDT Return -4% 8% 18% S&P 500 Return -4% 14% 96% Trefis Reinforced Value Portfolio -5% 29% 564% [1] Month-to-date and year-to-date as of 8/24/2023 [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. | Medtronic’s revenues were up 4.5% to $7.7 billion in fiscal Q1’24. We believe that Medtronic will benefit from the launch of its new products, primarily MiniMed 780G in the U.S. At its current levels, MDT stock is trading at 16x its expected forward earnings of $5.09 on a per share and adjusted basis for full-fiscal 2024, compared to the last four-year average of 20x, implying ample room for growth. |
30783.0 | 2023-08-27 00:00:00 UTC | Wall St Week Ahead-Historically stormy month of September may test US stock rally | ABT | https://www.nasdaq.com/articles/wall-st-week-ahead-historically-stormy-month-of-september-may-test-us-stock-rally-0 | nan | nan | By David Randall
NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance.
In Septembers since 1945, the S&P 500 has declined an average of 0.7%, the worst performance of any month, according to CFRA.
Recent weeks have been volatile. The S&P 500, which is up nearly 15% this year, has retreated more than 4% from its July 31 high as investors reacted to weakness in China's economy and a surge in Treasury yields that threatens to make equities less attractive.
The market is "coming up on a number of key inflection points at a time when the market is still on edge given the rise in rates," said Jack Janasiewicz, portfolio manager and lead portfolio strategist at Natixis Investment Manager Solutions.
The U.S. non-farm payrolls report kicks off the month next Friday. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said.
Consumer price data due on Sep. 13 needs to walk a similar tightrope to satisfy investors. The Fed’s monetary policy meeting on Sep. 20 stands as another potential source of volatility: Friday’s speech from Fed Chairman Jerome Powell in Jackson Hole fueled expectations of another rate increase this year, though a move in September was seen as less likely.
"It's looking like a time to sell the offense and buy the defense if you think that September is going to be a little more volatile than normal," said Sandy Villere, a portfolio manager at Villere & Co, who has been moving into healthcare stocks such as Pfizer and Abbott Laboratories.
Investors will also watch what happens with roughly $82 billion worth of student loans held by the government whose payments will begin in October. This could sap consumer spending ahead of the holiday shopping season.
Meanwhile, a feud over spending cuts between hardline and centrist Republicans in the U.S. House of Representatives raises the risk that of a fourth federal government shutdown in a decade if lawmakers cannot reach a deal by Sep. 30, when funding runs out with the end of the current fiscal year.
A government shutdown stands to directly reduce U.S. economic growth by around 0.15 percentage points for each week it lasts, analysts at Goldman Sachs wrote this week.
Of course, bullish stock investors have largely been rewarded for looking past potential pitfalls this year. The S&P 500 rallied despite the regional bank crisis in Feb., concerns over a debt default in June, and fear that the Federal Reserve's most aggressive pace of interest rates hikes since the early 1980s will push the economy into a recession and derail corporate earnings growth.
Some investors believe further gains could come from a resilient economy and continued excitement over the business potential of artificial intelligence, fanned this week by chip maker Nvidia’s strong earnings report and $25 billion stock buyback announcement.
Tim Hayes, chief global investment strategist at Ned Davis Research, expects a relief rally in September. The August decline looks similar to the 6% fall between Feb and March of this year which relieved "excessive optimism" and set the market on course for more gains, he said.
"The correction started on the first day of the month, and now it has corrected the conditions that made it vulnerable," Hayes said.
(Reporting by David Randall; Additional reporting by Lewis Krauskopf; Editing by Ira Iosebashvili and David Gregorio)
((David.Randall@thomsonreuters.com; 646-223-6607; Reuters Messaging: david.randall.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. Meanwhile, a feud over spending cuts between hardline and centrist Republicans in the U.S. House of Representatives raises the risk that of a fourth federal government shutdown in a decade if lawmakers cannot reach a deal by Sep. 30, when funding runs out with the end of the current fiscal year. The S&P 500 rallied despite the regional bank crisis in Feb., concerns over a debt default in June, and fear that the Federal Reserve's most aggressive pace of interest rates hikes since the early 1980s will push the economy into a recession and derail corporate earnings growth. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. The market is "coming up on a number of key inflection points at a time when the market is still on edge given the rise in rates," said Jack Janasiewicz, portfolio manager and lead portfolio strategist at Natixis Investment Manager Solutions. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. The Fed’s monetary policy meeting on Sep. 20 stands as another potential source of volatility: Friday’s speech from Fed Chairman Jerome Powell in Jackson Hole fueled expectations of another rate increase this year, though a move in September was seen as less likely. Some investors believe further gains could come from a resilient economy and continued excitement over the business potential of artificial intelligence, fanned this week by chip maker Nvidia’s strong earnings report and $25 billion stock buyback announcement. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said. A government shutdown stands to directly reduce U.S. economic growth by around 0.15 percentage points for each week it lasts, analysts at Goldman Sachs wrote this week. |
30784.0 | 2023-08-25 00:00:00 UTC | Wall St Week Ahead-Historically stormy month of September may test US stock rally | ABT | https://www.nasdaq.com/articles/wall-st-week-ahead-historically-stormy-month-of-september-may-test-us-stock-rally | nan | nan | By David Randall
NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance.
In Septembers since 1945, the S&P 500 has declined an average of 0.7%, the worst performance of any month, according to CFRA.
Recent weeks have been volatile. The S&P 500, which is up nearly 15% this year, has retreated more than 4% from its July 31 high as investors reacted to weakness in China's economy and a surge in Treasury yields that threatens to make equities less attractive.
The market is "coming up on a number of key inflection points at a time when the market is still on edge given the rise in rates," said Jack Janasiewicz, portfolio manager and lead portfolio strategist at Natixis Investment Manager Solutions.
The U.S. non-farm payrolls report kicks off the month next Friday. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said.
Consumer price data due on Sep. 13 needs to walk a similar tightrope to satisfy investors. The Fed’s monetary policy meeting on Sep. 20 stands as another potential source of volatility: Friday’s speech from Fed Chairman Jerome Powell in Jackson Hole fueled expectations of another rate increase this year, though a move in September was seen as less likely.
"It's looking like a time to sell the offense and buy the defense if you think that September is going to be a little more volatile than normal," said Sandy Villere, a portfolio manager at Villere & Co, who has been moving into healthcare stocks such as Pfizer and Abbott Laboratories.
Investors will also watch what happens with roughly $82 billion worth of student loans held by the government whose payments will begin in October. This could sap consumer spending ahead of the holiday shopping season.
Meanwhile, a feud over spending cuts between hardline and centrist Republicans in the U.S. House of Representatives raises the risk that of a fourth federal government shutdown in a decade if lawmakers cannot reach a deal by Sep. 30, when funding runs out with the end of the current fiscal year.
A government shutdown stands to directly reduce U.S. economic growth by around 0.15 percentage points for each week it lasts, analysts at Goldman Sachs wrote this week.
Of course, bullish stock investors have largely been rewarded for looking past potential pitfalls this year. The S&P 500 rallied despite the regional bank crisis in Feb., concerns over a debt default in June, and fear that the Federal Reserve's most aggressive pace of interest rates hikes since the early 1980s will push the economy into a recession and derail corporate earnings growth.
Some investors believe further gains could come from a resilient economy and continued excitement over the business potential of artificial intelligence, fanned this week by chip maker Nvidia’s strong earnings report and $25 billion stock buyback announcement.
Tim Hayes, chief global investment strategist at Ned Davis Research, expects a relief rally in September. The August decline looks similar to the 6% fall between Feb and March of this year which relieved "excessive optimism" and set the market on course for more gains, he said.
"The correction started on the first day of the month, and now it has corrected the conditions that made it vulnerable," Hayes said.
(Reporting by David Randall; Additional reporting by Lewis Krauskopf; Editing by Ira Iosebashvili and David Gregorio)
((David.Randall@thomsonreuters.com; 646-223-6607; Reuters Messaging: david.randall.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. Meanwhile, a feud over spending cuts between hardline and centrist Republicans in the U.S. House of Representatives raises the risk that of a fourth federal government shutdown in a decade if lawmakers cannot reach a deal by Sep. 30, when funding runs out with the end of the current fiscal year. The S&P 500 rallied despite the regional bank crisis in Feb., concerns over a debt default in June, and fear that the Federal Reserve's most aggressive pace of interest rates hikes since the early 1980s will push the economy into a recession and derail corporate earnings growth. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. The market is "coming up on a number of key inflection points at a time when the market is still on edge given the rise in rates," said Jack Janasiewicz, portfolio manager and lead portfolio strategist at Natixis Investment Manager Solutions. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. The Fed’s monetary policy meeting on Sep. 20 stands as another potential source of volatility: Friday’s speech from Fed Chairman Jerome Powell in Jackson Hole fueled expectations of another rate increase this year, though a move in September was seen as less likely. Some investors believe further gains could come from a resilient economy and continued excitement over the business potential of artificial intelligence, fanned this week by chip maker Nvidia’s strong earnings report and $25 billion stock buyback announcement. | By David Randall NEW YORK, Aug 25 (Reuters) - U.S. stock investors are bracing for a potentially volatile September as the market faces key economic data reports, a Federal Reserve meeting and worries over a possible government shutdown during a month of historically muted equity performance. A hotter than expected employment reading for August would likely revive inflation concerns, while a much weaker number could fuel worries that the Fed’s interest rate hikes are starting to crack the economy, Janasiewicz said. A government shutdown stands to directly reduce U.S. economic growth by around 0.15 percentage points for each week it lasts, analysts at Goldman Sachs wrote this week. |
30785.0 | 2023-08-25 00:00:00 UTC | Which Is A Better Buy – Boston Scientific Stock Or Abbott? | ABT | https://www.nasdaq.com/articles/which-is-a-better-buy-boston-scientific-stock-or-abbott | nan | nan | We believe Boston Scientific stock (NYSE: BSX) will likely offer better returns over Abbott stock (NYSE: ABT) in the next three years. Boston Scientific is trading at 5.5x revenues compared to 4.5x for Abbott. Investors have assigned a lower multiple to ABT due to a significant fall in its Diagnostics sales amid lower Covid-19 testing demand.
Interestingly, BSX has had a Sharpe Ratio of 0.5 since early 2017, which is lower than 0.6 for the S&P 500 Index over the same period. However, Abbott’s Sharpe Ratio of 0.7 fared better than the S&P500. This compares with the Sharpe of 1.3 for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.
If we look at stock returns, Boston Scientific, with 9% returns in the last twelve months, has fared better than Abbott, down 4%, and both have underperformed the broader S&P 500 index, up 14%. There is more to the comparison, and in the sections below, we discuss why we believe BSX will offer better returns over ABT in the next three years. We compare a slew of factors, such as historical revenue growth, returns, and valuation, in an interactive dashboard analysis of Boston Scientific vs. Abbott: Which Stock Is A Better Bet? Parts of the analysis are summarized below.
1. Abbott’s Revenue Growth Is Better
Abbott’s revenue growth has been better, with an 11.4% average annual growth rate in the last three years, compared to 6.3% for Boston Scientific.
A high demand for Covid-19 testing drove Abbott’s sales growth in recent years. With the worst of Covid-19 behind us, the demand for testing has been declining, weighing on Abbott’s diagnostics business in recent quarters.
Abbott will see a dip in sales in 2023 owing to its diagnostics business. For perspective, Abbott expects total Covid-19-related sales of $2.0 billion in 2023, compared to $8.4 billion last year. However, it should return to growth next year, and its other businesses, including Medical Devices and Established Pharmaceuticals, should continue to grow steadily.
For Boston Scientific, revenue growth is driven by an uptick in total procedures after a decline during the pandemic. It has also benefited from new product launches, including POLARx (Japan), Vercise, and XL valves.
This trend is expected to continue going forward. Its recent acquisitions, including Baylis, will further bolster its top-line growth. The company has acquired a majority stake in Acotec, which will aid its future sales growth in China.
Looking at the last twelve months, Boston Scientific’s 8.7% sales growth has fared much better than -11.7% for Abbott.
Our Boston Scientific Revenue Comparison and Abbott Revenue Comparison dashboards provide more insight into the companies’ sales.
2. Abbott Is More Profitable
Abbott’s reported operating margin expanded from 14% in 2019 to 19% in 2022. In comparison, Boston Scientific’s operating margin slid slightly from 14% in 2019 to 13% in 2022.
Looking at the last twelve-month period, Abbott’s operating margin of 15% fares better than 14% for Boston Scientific.
Our Boston Scientific Operating Income Comparison and Abbott Operating Income Comparison dashboards have more details.
Looking at financial risk, Abbott fares better. Its 9% debt as a percentage of equity is lower than 12% for Boston Scientific Airlines, and its 11% cash as a percentage of assets is higher than 1% for the latter, implying that Abbott has a better debt position and has more cash cushion.
3. The Net of It All
We see that Abbott has seen superior revenue growth, is more profitable, has a better financial position, and is trading at a comparatively lower valuation multiple over Boston Scientific.
Now, looking at prospects, using P/S as a base, due to high fluctuations in P/E and P/EBIT, we believe Boston Scientific will offer better returns compared to Abbott over the next three years.
Looking at recent financials, Abbott appears more appealing. Still, after a meaningful decline in the Covid-19 testing demand, the revenue growth for Abbott will likely be tepid. At the same time, Boston Scientific sales are expected to expand faster, aided by its new products.
If we compare the current valuation multiples to the historical averages, ABT fares slightly better. Abbott stock trades at 4.5x trailing sales compared to its last five-year average of 5.4x, and Boston Scientific stock trades at 5.5x vs. the last five-year average of 5.9x.
Our Boston Scientific (BSX) Valuation Ratios Comparison and Abbott (ABT) Valuation Ratios Comparison have more details.
The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 18% for Boston Scientific over this period vs. a 9% expected return for Abbott stock, implying that investors will likely be better off picking BSX over ABT, based on Trefis Machine Learning analysis – Boston Scientific vs. Abbott – which also provides more details on how we arrive at these numbers.
While BSX may outperform ABT in the next three years, it is helpful to see how Boston Scientific’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Aug 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
BSX Return -3% 9% 133%
ABT Return -6% -4% 174%
S&P 500 Return -4% 14% 96%
Trefis Reinforced Value Portfolio -7% 28% 556%
[1] Month-to-date and year-to-date as of 8/23/2023
[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. | We believe Boston Scientific stock (NYSE: BSX) will likely offer better returns over Abbott stock (NYSE: ABT) in the next three years. Investors have assigned a lower multiple to ABT due to a significant fall in its Diagnostics sales amid lower Covid-19 testing demand. There is more to the comparison, and in the sections below, we discuss why we believe BSX will offer better returns over ABT in the next three years. | Our Boston Scientific (BSX) Valuation Ratios Comparison and Abbott (ABT) Valuation Ratios Comparison have more details. We believe Boston Scientific stock (NYSE: BSX) will likely offer better returns over Abbott stock (NYSE: ABT) in the next three years. Investors have assigned a lower multiple to ABT due to a significant fall in its Diagnostics sales amid lower Covid-19 testing demand. | The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 18% for Boston Scientific over this period vs. a 9% expected return for Abbott stock, implying that investors will likely be better off picking BSX over ABT, based on Trefis Machine Learning analysis – Boston Scientific vs. Abbott – which also provides more details on how we arrive at these numbers. We believe Boston Scientific stock (NYSE: BSX) will likely offer better returns over Abbott stock (NYSE: ABT) in the next three years. Investors have assigned a lower multiple to ABT due to a significant fall in its Diagnostics sales amid lower Covid-19 testing demand. | The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 18% for Boston Scientific over this period vs. a 9% expected return for Abbott stock, implying that investors will likely be better off picking BSX over ABT, based on Trefis Machine Learning analysis – Boston Scientific vs. Abbott – which also provides more details on how we arrive at these numbers. We believe Boston Scientific stock (NYSE: BSX) will likely offer better returns over Abbott stock (NYSE: ABT) in the next three years. Investors have assigned a lower multiple to ABT due to a significant fall in its Diagnostics sales amid lower Covid-19 testing demand. |
30786.0 | 2023-08-24 00:00:00 UTC | Abbott (ABT) Stock Moves -1.31%: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-stock-moves-1.31%3A-what-you-should-know | nan | nan | In the latest trading session, Abbott (ABT) closed at $103.75, marking a -1.31% move from the previous day. This change was narrower than the S&P 500's 1.35% loss on the day. Elsewhere, the Dow lost 1.08%, while the tech-heavy Nasdaq lost 1.87%.
Prior to today's trading, shares of the maker of infant formula, medical devices and drugs had lost 7.85% over the past month. This has lagged the Medical sector's loss of 1.44% and the S&P 500's loss of 2.06% in that time.
Investors will be hoping for strength from Abbott as it approaches its next earnings release. In that report, analysts expect Abbott to post earnings of $1.10 per share. This would mark a year-over-year decline of 4.35%. Our most recent consensus estimate is calling for quarterly revenue of $9.78 billion, down 6.09% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.40 per share and revenue of $39.77 billion, which would represent changes of -17.6% and -8.89%, respectively, from the prior year.
Any recent changes to analyst estimates for Abbott should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.05% higher. Abbott currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Abbott is holding a Forward P/E ratio of 23.9. This represents a premium compared to its industry's average Forward P/E of 20.67.
Investors should also note that ABT has a PEG ratio of 4.7 right now. 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. ABT's industry had an average PEG ratio of 2.58 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 103, which puts 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.
Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
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Abbott Laboratories (ABT) : 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, Abbott (ABT) closed at $103.75, marking a -1.31% move from the previous day. Investors should also note that ABT has a PEG ratio of 4.7 right now. ABT's industry had an average PEG ratio of 2.58 as of yesterday's close. | In the latest trading session, Abbott (ABT) closed at $103.75, marking a -1.31% move from the previous day. Investors should also note that ABT has a PEG ratio of 4.7 right now. ABT's industry had an average PEG ratio of 2.58 as of yesterday's close. | In the latest trading session, Abbott (ABT) closed at $103.75, marking a -1.31% move from the previous day. Investors should also note that ABT has a PEG ratio of 4.7 right now. ABT's industry had an average PEG ratio of 2.58 as of yesterday's close. | In the latest trading session, Abbott (ABT) closed at $103.75, marking a -1.31% move from the previous day. Investors should also note that ABT has a PEG ratio of 4.7 right now. ABT's industry had an average PEG ratio of 2.58 as of yesterday's close. |
30787.0 | 2023-08-23 00:00:00 UTC | US FDA taps EPA veteran James Jones to oversee food division after formula crisis | ABT | https://www.nasdaq.com/articles/us-fda-taps-epa-veteran-james-jones-to-oversee-food-division-after-formula-crisis | nan | nan | By Leah Douglas
Aug 23 (Reuters) - The U.S. Food and Drug Administration has selected James "Jim" Jones, a 30-year veteran of the Environmental Protection Agency (EPA), to direct its food division as part of a broader reorganization, the agency said on Wednesday.
The FDA in January said it would reorganize its food program after being slammed for its slow response to issues at an infant formula plant that resulted in an outbreak of illness and a national formula shortage.
Jones was a member of a panel convened by the Reagan-Udall Foundation, an organization funded in part by the FDA, that conducted an evaluation of the regulator's response to the formula crisis and recommended structural changes to its food program.
"Our proposed reorganization is the largest undertaking of its kind in recent history for our agency," said FDA Commissioner Robert Califf in a statement. "I’m confident that under Jim’s leadership, we will build a stronger organization."
In his deputy commissioner role, Jones will have authority over all food-related programs and resources, including its food safety, policy, nutrition, and regulatory operations, FDA said.
At EPA, Jones worked on reducing chemicals and pesticides in the food supply and on sustainability programs.
"As a former pesticide regulator, I have a deep understanding of the unique needs of government programs involved in upholding safety of the U.S. food supply," Jones said in a statement.
Though FDA oversees the vast majority of the U.S. food supply, the agency has been criticized for under-resourcing its food-related programs.
In last year's outbreak, five infants were sickened and two died after consuming formula from an Abbott Laboratories ABT.N plant.
Jones will take up his now post on Sept. 24, the agency said.
(Reporting by Leah Douglas; Editing by Bill Berkrot)
((Reuters.Briefs@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. | In last year's outbreak, five infants were sickened and two died after consuming formula from an Abbott Laboratories ABT.N plant. Jones was a member of a panel convened by the Reagan-Udall Foundation, an organization funded in part by the FDA, that conducted an evaluation of the regulator's response to the formula crisis and recommended structural changes to its food program. In his deputy commissioner role, Jones will have authority over all food-related programs and resources, including its food safety, policy, nutrition, and regulatory operations, FDA said. | In last year's outbreak, five infants were sickened and two died after consuming formula from an Abbott Laboratories ABT.N plant. The FDA in January said it would reorganize its food program after being slammed for its slow response to issues at an infant formula plant that resulted in an outbreak of illness and a national formula shortage. In his deputy commissioner role, Jones will have authority over all food-related programs and resources, including its food safety, policy, nutrition, and regulatory operations, FDA said. | In last year's outbreak, five infants were sickened and two died after consuming formula from an Abbott Laboratories ABT.N plant. By Leah Douglas Aug 23 (Reuters) - The U.S. Food and Drug Administration has selected James "Jim" Jones, a 30-year veteran of the Environmental Protection Agency (EPA), to direct its food division as part of a broader reorganization, the agency said on Wednesday. The FDA in January said it would reorganize its food program after being slammed for its slow response to issues at an infant formula plant that resulted in an outbreak of illness and a national formula shortage. | In last year's outbreak, five infants were sickened and two died after consuming formula from an Abbott Laboratories ABT.N plant. By Leah Douglas Aug 23 (Reuters) - The U.S. Food and Drug Administration has selected James "Jim" Jones, a 30-year veteran of the Environmental Protection Agency (EPA), to direct its food division as part of a broader reorganization, the agency said on Wednesday. The FDA in January said it would reorganize its food program after being slammed for its slow response to issues at an infant formula plant that resulted in an outbreak of illness and a national formula shortage. |
30788.0 | 2023-08-23 00:00:00 UTC | Want Growing Passive Income? This Dividend King Could Be a Smart Buy | ABT | https://www.nasdaq.com/articles/want-growing-passive-income-this-dividend-king-could-be-a-smart-buy | nan | nan | More than three years after deeming COVID-19 a global health emergency, the World Health Organization ended the pandemic's special status in May.
This was certainly welcome news for numerous industries that were hit hard by the pandemic, such as leisure and hospitality, food services, and retail. But for COVID-19 test makers like Abbott Laboratories (NYSE: ABT), a drop in test demand has weighed on the stock so far in 2023. Shares have shed 5% during that time as the broader markets have rallied.
However, Abbott is down but not out. Let's check out why the Dividend King with a 51-year dividend growth streak could be a savvy buy for income investors.
The base business is robust
Since its founding in 1888, with the goal of providing more effective therapies to patients and their physicians, Abbott has grown to epic proportions. The company's portfolio consists of top-selling nutrition products (e.g., Ensure shakes), popular diagnostic tests (e.g., BinaxNOW COVID-19 tests), leading continuous glucose monitors (e.g., the FreeStyle Libre franchise), and branded generic medicines. Thanks to this enviable product portfolio, Abbott's market capitalization is a whopping $180 billion.
The Chicago-based company recorded $10 billion in net sales for the second quarter ended June 30, down 11.4% over the year-ago period. As a shareholder, it's always tough to see a decline in the top line.
However, when viewed within the proper context, Abbott's results are, arguably, just fine; the company posted net sales growth in each of its four segments, except diagnostics. Net sales growth ranged from the mid-single-digits in its established pharmaceuticals and nutrition segments to double-digit growth in the medical devices segment.
Net sales in Abbott's diagnostics segment fell by 46% year over year to $2.3 billion during the second quarter due to tumbling demand for COVID-19 tests. Excluding COVID-19 test net sales and unfavorable foreign currency exchange from results, organic net sales for the company's base business grew by 11.5% in the quarter.
METRIC Q2 2022 Q2 2023
Net margin 22.6% 19%
Diluted shares outstanding (in millions) 1,765 1,750
Data source: Abbott Laboratories.
Abbott's non-GAAP (adjusted) diluted earnings per share (EPS) decreased by 24.5% over the year-ago period to $1.08 for the second quarter. A slower decline in total operating expenses than net sales led to a 360-basis point contraction in the company's non-GAAP (non-generally accepted accounting principles) net margin during the quarter.
Retiring some of its shares via its share repurchase program only partially offset the impact of diminished profitability. This is why adjusted diluted EPS fell faster than net sales in the quarter.
The FreeStyle Libre continuous glucose monitor (CGM) is arguably the most promising product in the company's portfolio. The CGM franchise generated $1.3 billion in revenue for the company for the second quarter, which was up 22.9% over the year-ago period. As FreeStyle Libre continues to gain more market share through incremental product improvements and the global diabetes patient count further rises, the opportunity for much more revenue is there.
While COVID-19 tests are becoming less and less of Abbott's sales mix, there are plenty of additional product launches in the works, and so the company's outlook should improve. This is why analysts anticipate decent adjusted diluted EPS growth over the next few years.
Image source: Getty Images.
A phenomenal dividend growth rate
Meanwhile, against the S&P 500's 1.6% dividend yield, Abbott's 2% yield is high enough to attract the attention of dividend investors. In fact, Abbott has been a superb dividend grower. The company's quarterly dividend per share has skyrocketed in the past 10 years.
ABT Dividend data by YCharts.
And considering that Abbott's dividend payout ratio is poised to clock in at approximately 46% for 2023, the company looks set up to continue delivering respectable dividend growth. That's because such a payout ratio gives the company the funds to balance investing in growth, repaying debt, and repurchasing shares.
Abbott stock is an alluring value
Due to the sell-off in its shares, Abbott's forward price-to-earnings (P/E) ratio has dipped to just 22.5. This is below the medical devices industry average of 23.8. The company has a remarkable operational track record trading at a discount to its industry peers, making it a buy for dividend growth investors patient enough to wait for the turnaround to be completed.
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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. | But for COVID-19 test makers like Abbott Laboratories (NYSE: ABT), a drop in test demand has weighed on the stock so far in 2023. ABT Dividend data by YCharts. The base business is robust Since its founding in 1888, with the goal of providing more effective therapies to patients and their physicians, Abbott has grown to epic proportions. | But for COVID-19 test makers like Abbott Laboratories (NYSE: ABT), a drop in test demand has weighed on the stock so far in 2023. ABT Dividend data by YCharts. The company's portfolio consists of top-selling nutrition products (e.g., Ensure shakes), popular diagnostic tests (e.g., BinaxNOW COVID-19 tests), leading continuous glucose monitors (e.g., the FreeStyle Libre franchise), and branded generic medicines. | But for COVID-19 test makers like Abbott Laboratories (NYSE: ABT), a drop in test demand has weighed on the stock so far in 2023. ABT Dividend data by YCharts. However, when viewed within the proper context, Abbott's results are, arguably, just fine; the company posted net sales growth in each of its four segments, except diagnostics. | But for COVID-19 test makers like Abbott Laboratories (NYSE: ABT), a drop in test demand has weighed on the stock so far in 2023. ABT Dividend data by YCharts. However, Abbott is down but not out. |
30789.0 | 2023-08-22 00:00:00 UTC | ABT Quantitative Stock Analysis - Peter Lynch | ABT | https://www.nasdaq.com/articles/abt-quantitative-stock-analysis-peter-lynch | nan | nan | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating using this strategy is 87% 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.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
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Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
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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. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. | Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. |
30790.0 | 2023-08-22 00:00:00 UTC | Medtronic raises annual forecast as demand for medical procedures picks up | ABT | https://www.nasdaq.com/articles/medtronic-raises-annual-forecast-as-demand-for-medical-procedures-picks-up | nan | nan | Adds details on forecast in paragraphs 1,2,3
Aug 22 (Reuters) - Medtronic MDT.N on Tuesday raised its annual profit forecast, banking on higher demand for its medical devices as surgical procedure volumes pick up pace.
Medtronic becomes the latest in line of medical device makers, including Abbott Laboratories ABT.N, Stryker SYK.N and Boston Scientific BSX.N, that are benefitting from a flurry of demand for non-urgent surgeries, after reaching a trough during the pandemic.
It now expects profit to be between $5.08 per share and $5.16 per share for the fiscal year 2024, above the range of $5 to $5.10 per share previously expected.
Excluding items, the Dublin-based medical device maker reported a profit of $1.20 per share for the first quarter ended July 28, beating analysts' average estimate of $1.11 per share, according to Refinitiv IBES data.
(Reporting by Bhanvi Satija and Christy Santhosh in Bengaluru; Editing by Shweta Agarwal)
((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Medtronic becomes the latest in line of medical device makers, including Abbott Laboratories ABT.N, Stryker SYK.N and Boston Scientific BSX.N, that are benefitting from a flurry of demand for non-urgent surgeries, after reaching a trough during the pandemic. Adds details on forecast in paragraphs 1,2,3 Aug 22 (Reuters) - Medtronic MDT.N on Tuesday raised its annual profit forecast, banking on higher demand for its medical devices as surgical procedure volumes pick up pace. Excluding items, the Dublin-based medical device maker reported a profit of $1.20 per share for the first quarter ended July 28, beating analysts' average estimate of $1.11 per share, according to Refinitiv IBES data. | Medtronic becomes the latest in line of medical device makers, including Abbott Laboratories ABT.N, Stryker SYK.N and Boston Scientific BSX.N, that are benefitting from a flurry of demand for non-urgent surgeries, after reaching a trough during the pandemic. Adds details on forecast in paragraphs 1,2,3 Aug 22 (Reuters) - Medtronic MDT.N on Tuesday raised its annual profit forecast, banking on higher demand for its medical devices as surgical procedure volumes pick up pace. Excluding items, the Dublin-based medical device maker reported a profit of $1.20 per share for the first quarter ended July 28, beating analysts' average estimate of $1.11 per share, according to Refinitiv IBES data. | Medtronic becomes the latest in line of medical device makers, including Abbott Laboratories ABT.N, Stryker SYK.N and Boston Scientific BSX.N, that are benefitting from a flurry of demand for non-urgent surgeries, after reaching a trough during the pandemic. Adds details on forecast in paragraphs 1,2,3 Aug 22 (Reuters) - Medtronic MDT.N on Tuesday raised its annual profit forecast, banking on higher demand for its medical devices as surgical procedure volumes pick up pace. It now expects profit to be between $5.08 per share and $5.16 per share for the fiscal year 2024, above the range of $5 to $5.10 per share previously expected. | Medtronic becomes the latest in line of medical device makers, including Abbott Laboratories ABT.N, Stryker SYK.N and Boston Scientific BSX.N, that are benefitting from a flurry of demand for non-urgent surgeries, after reaching a trough during the pandemic. Adds details on forecast in paragraphs 1,2,3 Aug 22 (Reuters) - Medtronic MDT.N on Tuesday raised its annual profit forecast, banking on higher demand for its medical devices as surgical procedure volumes pick up pace. It now expects profit to be between $5.08 per share and $5.16 per share for the fiscal year 2024, above the range of $5 to $5.10 per share previously expected. |
30791.0 | 2023-08-21 00:00:00 UTC | 5 Dividend Growth Stocks With Upside To Analyst Targets | ABT | https://www.nasdaq.com/articles/5-dividend-growth-stocks-with-upside-to-analyst-targets-105 | nan | nan | To become a "Dividend Aristocrat," a dividend paying company must accomplish an incredible feat: consistently increase shareholder dividends every year for at least 20 consecutive years. Companies with this kind of track record tend to attract a lot of investor attention — and furthermore, "tracking" funds that follow the Dividend Aristocrats Index must own them. With all of this demand for shares, dividend growth stocks can sometimes become "fully priced," where there isn't much upside to analyst targets.
But we here at ETF Channel have looked through the underlying holdings of the SPDR S&P Dividend ETF (which tracks the S&P High Yield Dividend Aristocrats Index), and found these five dividend growth stocks that actually still have fairly substantial upside to the average analyst target price 12 months out. Which means, if the analysts are correct, these are five dividend growth stocks that could produce capital gains in addition to their growing dividend payments.
In the first table below, we present the five stocks. The recent share price, average analyst 12-month target price, and percentage upside to reach the analyst target are presented.
STOCK RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
Royal Gold Inc (Symbol: RGLD) $106.99 $140.50 31.32%
NU Skin Enterprises, Inc. (Symbol: NUS) $24.34 $31.50 29.42%
Abbott Laboratories (Symbol: ABT) $103.71 $123.88 19.44%
Chevron Corporation (Symbol: CVX) $160.90 $188.39 17.08%
Colgate-Palmolive Co. (Symbol: CL) $74.55 $87.08 16.81%
The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. To ballpark that total return potential, we have added the current yield to the analyst target price upside, in order to arrive at the 12-month total return potential:
STOCK DIVIDEND YIELD % UPSIDE TO ANALYST TARGET IMPLIED TOTAL RETURN POTENTIAL
Royal Gold Inc (Symbol: RGLD) 1.40% 31.32% 32.72%
NU Skin Enterprises, Inc. (Symbol: NUS) 6.41% 29.42% 35.83%
Abbott Laboratories (Symbol: ABT) 1.97% 19.44% 21.41%
Chevron Corporation (Symbol: CVX) 3.75% 17.08% 20.83%
Colgate-Palmolive Co. (Symbol: CL) 2.58% 16.81% 19.39%
Another consideration with dividend growth stocks is just how much the dividend is growing. We looked up the trailing twelve months worth of dividends shareholders of each of the above five companies have collected, and then also looked up the same number for the prior trailing twelve months. This gives us a rough yardstick to see how much the dividend has grown, from one trailing twelve month period to another.
STOCK PRIOR TTM DIVIDEND TTM DIVIDEND % GROWTH
Royal Gold Inc (Symbol: RGLD) $1.35 $1.475 9.26%
NU Skin Enterprises, Inc. (Symbol: NUS) $1.53 $1.55 1.31%
Abbott Laboratories (Symbol: ABT) $1.86 $2 7.53%
Chevron Corporation (Symbol: CVX) $5.6 $5.95 6.25%
Colgate-Palmolive Co. (Symbol: CL) $1.84 $1.9 3.26%
These five stocks are part of our full Dividend Aristocrats List. The average analyst target price data upon which this article was based, is courtesy of data provided by Zacks Investment Research via Quandl.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. | Royal Gold Inc (Symbol: RGLD) $106.99 $140.50 31.32% NU Skin Enterprises, Inc. (Symbol: NUS) $24.34 $31.50 29.42% Abbott Laboratories (Symbol: ABT) $103.71 $123.88 19.44% Chevron Corporation (Symbol: CVX) $160.90 $188.39 17.08% Colgate-Palmolive Co. (Symbol: CL) $74.55 $87.08 16.81% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Royal Gold Inc (Symbol: RGLD) 1.40% 31.32% 32.72% NU Skin Enterprises, Inc. (Symbol: NUS) 6.41% 29.42% 35.83% Abbott Laboratories (Symbol: ABT) 1.97% 19.44% 21.41% Chevron Corporation (Symbol: CVX) 3.75% 17.08% 20.83% Colgate-Palmolive Co. (Symbol: CL) 2.58% 16.81% 19.39% Another consideration with dividend growth stocks is just how much the dividend is growing. Royal Gold Inc (Symbol: RGLD) $1.35 $1.475 9.26% NU Skin Enterprises, Inc. (Symbol: NUS) $1.53 $1.55 1.31% Abbott Laboratories (Symbol: ABT) $1.86 $2 7.53% Chevron Corporation (Symbol: CVX) $5.6 $5.95 6.25% Colgate-Palmolive Co. (Symbol: CL) $1.84 $1.9 3.26% These five stocks are part of our full Dividend Aristocrats List. | Royal Gold Inc (Symbol: RGLD) $106.99 $140.50 31.32% NU Skin Enterprises, Inc. (Symbol: NUS) $24.34 $31.50 29.42% Abbott Laboratories (Symbol: ABT) $103.71 $123.88 19.44% Chevron Corporation (Symbol: CVX) $160.90 $188.39 17.08% Colgate-Palmolive Co. (Symbol: CL) $74.55 $87.08 16.81% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Royal Gold Inc (Symbol: RGLD) 1.40% 31.32% 32.72% NU Skin Enterprises, Inc. (Symbol: NUS) 6.41% 29.42% 35.83% Abbott Laboratories (Symbol: ABT) 1.97% 19.44% 21.41% Chevron Corporation (Symbol: CVX) 3.75% 17.08% 20.83% Colgate-Palmolive Co. (Symbol: CL) 2.58% 16.81% 19.39% Another consideration with dividend growth stocks is just how much the dividend is growing. Royal Gold Inc (Symbol: RGLD) $1.35 $1.475 9.26% NU Skin Enterprises, Inc. (Symbol: NUS) $1.53 $1.55 1.31% Abbott Laboratories (Symbol: ABT) $1.86 $2 7.53% Chevron Corporation (Symbol: CVX) $5.6 $5.95 6.25% Colgate-Palmolive Co. (Symbol: CL) $1.84 $1.9 3.26% These five stocks are part of our full Dividend Aristocrats List. | Royal Gold Inc (Symbol: RGLD) $106.99 $140.50 31.32% NU Skin Enterprises, Inc. (Symbol: NUS) $24.34 $31.50 29.42% Abbott Laboratories (Symbol: ABT) $103.71 $123.88 19.44% Chevron Corporation (Symbol: CVX) $160.90 $188.39 17.08% Colgate-Palmolive Co. (Symbol: CL) $74.55 $87.08 16.81% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Royal Gold Inc (Symbol: RGLD) 1.40% 31.32% 32.72% NU Skin Enterprises, Inc. (Symbol: NUS) 6.41% 29.42% 35.83% Abbott Laboratories (Symbol: ABT) 1.97% 19.44% 21.41% Chevron Corporation (Symbol: CVX) 3.75% 17.08% 20.83% Colgate-Palmolive Co. (Symbol: CL) 2.58% 16.81% 19.39% Another consideration with dividend growth stocks is just how much the dividend is growing. Royal Gold Inc (Symbol: RGLD) $1.35 $1.475 9.26% NU Skin Enterprises, Inc. (Symbol: NUS) $1.53 $1.55 1.31% Abbott Laboratories (Symbol: ABT) $1.86 $2 7.53% Chevron Corporation (Symbol: CVX) $5.6 $5.95 6.25% Colgate-Palmolive Co. (Symbol: CL) $1.84 $1.9 3.26% These five stocks are part of our full Dividend Aristocrats List. | Royal Gold Inc (Symbol: RGLD) $106.99 $140.50 31.32% NU Skin Enterprises, Inc. (Symbol: NUS) $24.34 $31.50 29.42% Abbott Laboratories (Symbol: ABT) $103.71 $123.88 19.44% Chevron Corporation (Symbol: CVX) $160.90 $188.39 17.08% Colgate-Palmolive Co. (Symbol: CL) $74.55 $87.08 16.81% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Royal Gold Inc (Symbol: RGLD) 1.40% 31.32% 32.72% NU Skin Enterprises, Inc. (Symbol: NUS) 6.41% 29.42% 35.83% Abbott Laboratories (Symbol: ABT) 1.97% 19.44% 21.41% Chevron Corporation (Symbol: CVX) 3.75% 17.08% 20.83% Colgate-Palmolive Co. (Symbol: CL) 2.58% 16.81% 19.39% Another consideration with dividend growth stocks is just how much the dividend is growing. Royal Gold Inc (Symbol: RGLD) $1.35 $1.475 9.26% NU Skin Enterprises, Inc. (Symbol: NUS) $1.53 $1.55 1.31% Abbott Laboratories (Symbol: ABT) $1.86 $2 7.53% Chevron Corporation (Symbol: CVX) $5.6 $5.95 6.25% Colgate-Palmolive Co. (Symbol: CL) $1.84 $1.9 3.26% These five stocks are part of our full Dividend Aristocrats List. |
30792.0 | 2023-08-19 00:00:00 UTC | 2 Healthcare Stocks You Can Buy and Hold for the Next Decade | ABT | https://www.nasdaq.com/articles/2-healthcare-stocks-you-can-buy-and-hold-for-the-next-decade-11 | nan | nan | Over the past few years, several hot investing trends swept through Wall Street. First, it was the metaverse, and now it's artificial intelligence; there will likely be some new big thing in a year or two. But one industry that remains consistently attractive to invest in is healthcare. That should remain the case through the next decade -- and likely much longer -- unless someone invents an all-purpose cure for all diseases.
Assuming that won't happen, let's consider two healthcare stocks worth buying and hanging onto for the next 10 years: Abbott Laboratories (NYSE: ABT) and Intuitive Surgical (NASDAQ: ISRG).
1. Abbott Laboratories
Abbott Laboratories has a deep and diversified presence in healthcare, especially in its medical-devices area of expertise. The company's results have been somewhat volatile in recent years due to its diagnostics segment, which has seen its revenue fluctuate based on COVID-19 cases. Abbott markets several coronavirus diagnostic products. In the first quarter, the company's revenue of about $10 billion declined by 11.4% year over year for this reason.
Putting aside its coronavirus-related sales, Abbott Laboratories' top line actually jumped by 11.5% year over year organically. One of the company's most important growth drivers is its diabetes care unit -- specifically its continuous glucose monitoring (CGM) franchise, the FreeStyle Libre. Second-quarter FreeStyle Libre sales of $1.3 billion increased by almost 23% year over year.
There was at least one other important highlight regarding this product line recently. In June, the FreeStyle Libre 2 became the first and only CGM device to obtain reimbursement from French health authorities for all diabetes patients who use basal insulin. Previously, only type 1 patients and those with type 2 on intensive insulin therapy were eligible. Similar developments in both Japan and the U.S. have added 3 million potential customers who are covered for Abbott's CGM devices.
If Abbott can grab even a 20% share of this newly reimbursed market, these regulatory developments could meaningfully move the needle for the company. And given the growing number of diabetes patients worldwide, Abbott could ride the CGM tailwind for a long time.
ABT data by YCharts.
Of course, the company has other growth drivers. It's also an excellent dividend stock. Abbott has hiked its payouts for 51 straight years, making it a Dividend King. The company's current yield of 1.9% isn't massive, but still higher than the S&P 500's average of 1.5%.
Abbott Laboratories has outperformed the S&P 500 over the past decade, and it has done so by a wider margin when considering total returns that include dividends reinvested. In my view, the company is well-positioned to do the same over the next 10 years.
2. Intuitive Surgical
Intuitive Surgical is the leader in the robotic-assisted surgery (RAS) market. It has delivered excellent returns over the past 10 years thanks to growing adoption of the technology -- and its famous robot device, the da Vinci Surgical System, which has helped increase its revenue and earnings at a good clip.
The past three years have been challenging for Intuitive Surgical. It's dealt with a drop in elective procedures induced by the pandemic, inflation, and supply chain and labor issues. But the company is rebounding. It ended the second quarter with an installed base of 8,042 systems, representing a 13% increase year over year. Revenue of $1.76 billion jumped 15% compared to the year-ago period. On the bottom line, adjusted earnings per share of $1.42 came in 24.6% higher than the prior-year quarter.
ISRG Revenue (Quarterly) data by YCharts.
Intuitive Surgical had a solid quarter, but its long-term prospects are even more attractive. Despite making tremendous progress in the RAS market, fewer than 5% of eligible procedures are performed robotically. However, the da Vinci system allows physicians to conduct minimally invasive surgeries that lead to better health outcomes for patients. So the number of robotic surgeries could continue to increase far beyond the next decade, and as it does, the company will make more money by selling more instruments and accessories to accompany its crown jewel.
Intuitive Surgical has a solid reputation in this field that's second to none. It also benefits from an economic moat thanks to its high switching costs -- the da Vinci system costs between $0.5 million and $2.5 million and needs hours of training to master -- and intangible assets in the form of patents that protect it against competitors.
The company's recent headwinds do little to change its prospects. That's why you can safely keep this stock in your portfolio through the next 10 years.
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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. | Assuming that won't happen, let's consider two healthcare stocks worth buying and hanging onto for the next 10 years: Abbott Laboratories (NYSE: ABT) and Intuitive Surgical (NASDAQ: ISRG). ABT data by YCharts. It has delivered excellent returns over the past 10 years thanks to growing adoption of the technology -- and its famous robot device, the da Vinci Surgical System, which has helped increase its revenue and earnings at a good clip. | Assuming that won't happen, let's consider two healthcare stocks worth buying and hanging onto for the next 10 years: Abbott Laboratories (NYSE: ABT) and Intuitive Surgical (NASDAQ: ISRG). ABT data by YCharts. It has delivered excellent returns over the past 10 years thanks to growing adoption of the technology -- and its famous robot device, the da Vinci Surgical System, which has helped increase its revenue and earnings at a good clip. | Assuming that won't happen, let's consider two healthcare stocks worth buying and hanging onto for the next 10 years: Abbott Laboratories (NYSE: ABT) and Intuitive Surgical (NASDAQ: ISRG). ABT data by YCharts. In the first quarter, the company's revenue of about $10 billion declined by 11.4% year over year for this reason. | Assuming that won't happen, let's consider two healthcare stocks worth buying and hanging onto for the next 10 years: Abbott Laboratories (NYSE: ABT) and Intuitive Surgical (NASDAQ: ISRG). ABT data by YCharts. In June, the FreeStyle Libre 2 became the first and only CGM device to obtain reimbursement from French health authorities for all diabetes patients who use basal insulin. |
30793.0 | 2023-08-19 00:00:00 UTC | Down 4% to 17%, These Monster Dividend Stocks Could Be Picking Up Steam | ABT | https://www.nasdaq.com/articles/down-4-to-17-these-monster-dividend-stocks-could-be-picking-up-steam | nan | nan | Dividend stocks don't often come with the glitz and glam of growth stocks, but they can be a lucrative staple in a well-diversified portfolio.
You can't predict how a company's stock price will perform, but you can be confident that particular dividend stocks will pay out their quarterly dividends regardless of broader economic and stock market conditions. It's consistent income at its finest.
Although the following three dividend stocks are down for the year, they're still good options for investors with time on their side.
COMPANY QUARTERLY DIVIDEND PAYOUT DIVIDEND YIELD
Altria Group (NYSE: MO) $0.94 8.73%
3M (NYSE: MMM) $1.50 5.91%
Abbott Laboratories (NYSE: ABT) $0.51 1.95%
Data source: Google Finance. Dividend yields as of Aug. 15.
1. Altria Group
Altria is one of the largest tobacco companies in the world, with leading brands like Marlboro, Black & Mild, Copenhagen, and many more. The past five years have been challenging for Altria's stock, as the company has had some noticeable missteps. This includes the failed $10 billion Juul purchase and the decline in its cannabis investments.
Altria's dividend yield is one of the highest you'll find from an individual company on the stock market, and its management says it plans to increase it by "mid-single-digit" percentages every year until at least 2028. That's a good sign the company is confident in its cash flow and committed to rewarding shareholders.
Smoking rates in the U.S. have been declining, but Altria has managed to keep revenue growing through its pricing power. It's not a good thing health-wise, but the reality is that tobacco is a product that sells regardless of economic conditions. An increase in prices won't convince many smokers to suddenly quit.
Regardless, the stats point to slowing tobacco use, which means Altria will need to be effective in its "Moving Beyond Smoking" campaign and be a legitimate competitor in those segments. The company plans to grow its smoke-free portfolio from $2 billion in revenue in 2022 to $5 billion by 2028.
With a strong balance sheet and projected stock buybacks, investors should be rewarded while the company attempts to right the ship.
2. 3M
Industrial giant 3M's stock performance in recent years has also left many investors with a bad taste. While the industrial sector (based on S&P 500 companies) is up over 9% this year, 3M is trending in the opposite direction, down over 17% as of Aug. 15. The difference between the two is worse when you zoom out.
Data by YCharts.
A combination of things contributed to this, including looming legal liabilities, missed revenue guidance back-to-back to close 2022, and declining profit margins.
Most concerns about 3M's troubles are justified, but the market sentiment toward the stock has sent it well into value territory. Its forward price-to-earnings (P/E) ratio is 11.8, well below the industrial sector's 18.7 average (as of Aug. 16).
While 3M is trying to turn the corner with restructuring and cost-cutting, investors should take comfort in the fact that it has increased its yearly dividend for 65 straight years. Only seven companies on the stock market have more consecutive years of dividend increases. Regardless of business conditions, 3M will find a way to keep the dividend rolling.
3M's sales have been hurt by a sluggish economy, but at some point, the tide should change. The company won't make a complete 180-degree change even when the economy improves, but it has all the resources needed to make sure it changes course and regains its competitive edge.
3. Abbott Laboratories
Abbott Laboratories is one of the top healthcare companies in the world, specializing in medical devices, diagnostics, nutrition, and pharmaceuticals.
In the second quarter, Abbott Laboratories' sales declined by 11.4% year over year, mainly because of a drop in COVID-19 testing-related sales. This drop may explain investors' pessimism toward the stock, but it's not a problem that should linger. If anything, the drop-off had to happen sooner or later.
Healthcare isn't a sector that will see double-digit percentage growth year in and year out, but its profit pools are projected to grow to $790 billion by 2026 (up from $654 billion in 2021), according to McKinsey. With a portfolio of diverse offerings in many healthcare industries, Abbott Laboratories is in a great position to take advantage of sector growth.
Here are the company's sales by business unit:
Medical devices: $4.3 billion.
Diagnostics: $2.3 billion.
Nutrition: $2.1 billion.
Established pharmaceuticals: $1.3 billion.
A key to Abbott Laboratories' continued growth is its commitment to research and development (R&D) and expanding its offerings. The $715 million it spent on R&D in Q2 is $31 million more than in Q2 2022 and over 23% more than just three years ago.
Long-term investors are in good hands with this dividend stock.
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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. | Abbott Laboratories (NYSE: ABT) $0.51 1.95% Data source: Google Finance. Altria's dividend yield is one of the highest you'll find from an individual company on the stock market, and its management says it plans to increase it by "mid-single-digit" percentages every year until at least 2028. Regardless, the stats point to slowing tobacco use, which means Altria will need to be effective in its "Moving Beyond Smoking" campaign and be a legitimate competitor in those segments. | Abbott Laboratories (NYSE: ABT) $0.51 1.95% Data source: Google Finance. You can't predict how a company's stock price will perform, but you can be confident that particular dividend stocks will pay out their quarterly dividends regardless of broader economic and stock market conditions. Abbott Laboratories Abbott Laboratories is one of the top healthcare companies in the world, specializing in medical devices, diagnostics, nutrition, and pharmaceuticals. | Abbott Laboratories (NYSE: ABT) $0.51 1.95% Data source: Google Finance. You can't predict how a company's stock price will perform, but you can be confident that particular dividend stocks will pay out their quarterly dividends regardless of broader economic and stock market conditions. Altria's dividend yield is one of the highest you'll find from an individual company on the stock market, and its management says it plans to increase it by "mid-single-digit" percentages every year until at least 2028. | Abbott Laboratories (NYSE: ABT) $0.51 1.95% Data source: Google Finance. You can't predict how a company's stock price will perform, but you can be confident that particular dividend stocks will pay out their quarterly dividends regardless of broader economic and stock market conditions. Only seven companies on the stock market have more consecutive years of dividend increases. |
30794.0 | 2023-08-17 00:00:00 UTC | Alcon (ALC) Q2 Earnings Surpass Estimates, Margins Increase | ABT | https://www.nasdaq.com/articles/alcon-alc-q2-earnings-surpass-estimates-margins-increase | nan | nan | Alcon, Inc. ALC delivered core earnings per share (EPS) of 69 cents in the second quarter of 2023, up 9.5% from the year-ago quarter’s figure (up 19% at the constant exchange rate or CER). The figure topped the Zacks Consensus Estimate by 11.3%. Alcon’s “core” results are based on non-IFRS (International Financial Reporting Standards) measures.
In the second quarter, the company’s diluted EPS was 34 cents compared with 30 cents in the prior-year quarter.
Revenues in Detail
Alcon’s net sales to third parties in the second quarter were $2.40 billion, exceeding the Zacks Consensus Estimate by 2.5%. The top line increased 9.2% from the year-ago quarter’s levels (up 12% at CER).
Alcon Price, Consensus and EPS Surprise
Alcon price-consensus-eps-surprise-chart | Alcon Quote
Quarter in Detail
Alcon reports its operations through two reportable segments — Surgical (comprising Implantables, Consumables and Equipment/Other) and Vision Care (comprising Contact Lenses and Ocular Health).
Surgical
In the second quarter, Surgical sales amounted to $1.38 billion, up 6.6% year over year and 10% at CER. Our model projected a year-over-year improvement of 2.8%.
Net sales in Implantables decreased 1.6% compared to the previous year’s quarter. Our model projected a year-over-year improvement of 1.5%.
Consumables increased 10.9%, while Equipment/Other was up 11.1% compared to the previous year’s quarter. Our model projected an improvement of 3.3% and 4% from consumables and equipment/other, respectively.
Vision Care
The segment reported total sales of $1.02 billion, up 12.4% year over year (up 15% year over year at CER). Our model projected a year-over-year improvement of 6.7%.
Net sales of Contact Lenses increased 8.6% year over year, led by continued growth in silicone hydrogel contact lenses, including the Precision1 and Total product families and price increases. Our model’s projected improvement from this segment was 4.3%.
Ocular Health sales increased 19.3% year over year, exceeding our model’s estimate of 10.3%. The growth was primarily driven by the portfolio of eye drops, including acquired ophthalmic pharmaceutical product price increases and the ongoing recovery from supply-chain challenges in contact lens care.
Margins
The cost of net sales in the second quarter was $1.04 billion, up 4.1% year over year. The core gross profit rose 13.4% to $1.36 billion in the reported quarter. The core gross margin expanded 211 basis points (bps) to 56.7% in the second quarter of 2023.
The core operating margin expanded 317 bps in the second quarter to 13%. The growth was primarily driven by a higher gross margin and improved underlying operating leverage from higher sales, partially offset by higher investments in R&D with the acquisition of Aerie.
Financial Position
Alcon exited the second quarter of 2023 with cash and cash equivalents of $661 million compared with $980 million as of Dec 31, 2022.
The cumulative net cash flow from operating activities at the end of the second quarter was $410 million compared with $470 million a year ago. Free cash flow totaled $189 million at the end of the second quarter of 2023 compared with a cash inflow of $233 million a year ago.
2023 Outlook
Alcon provided an updated outlook for the full year.
The company anticipates 2023 net sales in the range of $9.3-$9.5 billion (previously $9.2-$9.4 billion). The revised range suggests growth of 9%-11% at CER from 2022, up from the earlier projected growth of 7%-9%. The Zacks Consensus Estimate for ALC’s revenues is pegged at $9.35 billion.
Core EPS for the full year is expected in the range of $2.70-$2.80 (previously $2.55-$2.65). This indicates growth of 28-32% at CER over 2022, up from the earlier projected growth of 20%-24%. The Zacks Consensus Estimate for Alcon’s 2023 earnings is currently pegged at $2.64 per share.
Our Take
Alcon delivered better-than-expected earnings and revenues in the second quarter of 2023. The robust performance was driven by a competitive product portfolio, favorable market conditions, strong commercial execution and selective price increases. The initial feedback of Vivity is encouraging, which the company introduced in some international markets, including Japan and Canada.
Alcon continued its ATIOL market leadership in the second quarter in the United States and across geographies. In the Vision care franchise, contact lens sales growth was favored by new innovations and contributions from the recent SiHy launches, including PRECISION1 Sphere and Toric, TOTAL30 Sphere, Toric and DAILIES TOTAL1Toric. The expansion of both margins bodes well for the stock. The updated guidance for the full year buoys optimism.
Meanwhile, Alcon expects the gross margin to remain pressured in the remainder of 2023 due to the sales of inventory manufactured at a higher cost base due to inflation. Within Implantables, international growth was partially offset by other market entrants in the United States.
Zacks Rank and Other Key Picks
Alcon currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Intuitive Surgical, Inc. ISRG.
Abbott, carrying a Zacks Rank of 2, reported a second-quarter 2023 adjusted EPS of $1.08, beating the Zacks Consensus Estimate by 3.8%. Revenues of $9.98 billion outpaced the consensus mark by 2.9%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 12.4%.
Elevance Health reported a second-quarter 2023 adjusted EPS of $9.04, beating the Zacks Consensus Estimate by 2.5%. Revenues of $43.38 billion surpassed the Zacks Consensus Estimate by 4.5%. It currently carries a Zacks Rank #2.
Elevance Health has a long-term estimated growth rate of 12.1%. ELV’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 2.8%.
Intuitive Surgical reported a second-quarter 2023 adjusted EPS of $1.42, beating the Zacks Consensus Estimate by 7.6%. Revenues of $1.76 billion surpassed the Zacks Consensus Estimate by 1.4%. It currently carries a Zacks Rank #2.
Intuitive Surgical has a long-term estimated growth rate of 14.5%. ISRG’s earnings surpassed estimates in three of the trailing four quarters and missed the same once, the average surprise being 4.2%.
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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. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Intuitive Surgical, Inc. ISRG. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 12.4%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Alcon (ALC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Alcon (ALC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Intuitive Surgical, Inc. ISRG. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 12.4%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Alcon (ALC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Intuitive Surgical, Inc. ISRG. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 12.4%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Intuitive Surgical, Inc. ISRG. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 12.4%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Alcon (ALC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30795.0 | 2023-08-16 00:00:00 UTC | Abbott Laboratories (ABT) Is a Trending Stock: Facts to Know Before Betting on It | ABT | https://www.nasdaq.com/articles/abbott-laboratories-abt-is-a-trending-stock%3A-facts-to-know-before-betting-on-it-1 | nan | nan | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -1.9%, compared to the Zacks S&P 500 composite's -1.4% change. During this period, the Zacks Medical - Products industry, which Abbott falls in, has lost 5.8%. The key question now is: What could be the stock's future direction?
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
Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
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.
Abbott is expected to post earnings of $1.10 per share for the current quarter, representing a year-over-year change of -4.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.5%.
For the current fiscal year, the consensus earnings estimate of $4.40 points to a change of -17.6% from the prior year. Over the last 30 days, this estimate has changed +0.2%.
For the next fiscal year, the consensus earnings estimate of $4.60 indicates a change of +4.6% from what Abbott is expected to report a year ago. Over the past month, the estimate has changed +1.3%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Abbott.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Abbott, the consensus sales estimate for the current quarter of $9.78 billion indicates a year-over-year change of -6.1%. For the current and next fiscal years, $39.77 billion and $41.7 billion estimates indicate -8.9% and +4.9% changes, respectively.
Last Reported Results and Surprise History
Abbott reported revenues of $9.98 billion in the last reported quarter, representing a year-over-year change of -11.4%. EPS of $1.08 for the same period compares with $1.43 a year ago.
Compared to the Zacks Consensus Estimate of $9.7 billion, the reported revenues represent a surprise of +2.84%. The EPS surprise was +3.85%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
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.
Abbott is graded C on this front, indicating that it is trading at par with 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 Abbott. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
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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. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -1.9%, compared to the Zacks S&P 500 composite's -1.4% change. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: 12 Month EPS Projected Revenue Growth While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. | Abbott (ABT) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. And if earnings estimates go up for a company, the fair value for its stock goes up. |
30796.0 | 2023-08-15 00:00:00 UTC | Abbott (ABT) Gains in Core Diagnostics With FDA Nod for Alinity H | ABT | https://www.nasdaq.com/articles/abbott-abt-gains-in-core-diagnostics-with-fda-nod-for-alinity-h | nan | nan | Abbott ABT, a global leader in healthcare solutions, recently achieved a significant milestone with the FDA approval of its cutting-edge Alinity h-series hematology system. This approval is poised to enhance Abbott's diagnostics business, propelling it to the forefront of complete blood count testing (CBC).
The Alinity h-series is set to revolutionize laboratory operations and patient care.
More on the News
The Alinity h-series is based on Alinity hq, an automated hematology analyzer, and Alinity hs, an integrated slide maker and stainer. The Alinity hq's utilization of the revolutionary MAPSSTM technology, which employs light scattering to distinguish intricate cellular features, facilitates the enhanced identification of various blood cells. This technological edge translates into more precise and reliable diagnostic outcomes.
Advanced Features of Alinity h
The Alinity h-series not only delivers technological innovation but also addresses the realistic challenges faced by modern healthcare systems. By enabling easy integration into existing core lab operations, Abbott's Alinity h-series empowers laboratories and hospitals to streamline their processes, even amid resource constraints and dynamic shifts post-pandemic. The system's capacity to process up to 119 CBC results per hour, coupled with its space-efficient design, ensures both efficiency and resource optimization.
Several unique features set the Alinity h-series apart as a transformative asset for laboratories. Its seamless sample loading from both the front and a laboratory automation system, coupled with the ability to prioritize urgent samples without compromising workflow, underlines its efficiency. Furthermore, the system's hands-off maintenance and integration of slide-making with analysis reduce manual intervention and enhance precision.
Prospects of the Hematology Analyzer Market and Major Peers
Going by a Mordor Intelligence report, the global Hematology Analyzers Market is set for robust growth, projected to increase from $5.82 billion in 2023 to $8.20 billion by 2028, with a CAGR of 7.10% during the forecast period.
Post-pandemic, testing-related research has accelerated, underscoring the value of laboratory hematology data in disease prognosis. Strategic partnerships between industry leaders, like Roche Holding AG’s RHHBY expansion of the Global Business Partnership Agreement with Japanese Sysmex Corporation in August 2023, are anticipated to propel their market expansion.
The market's growth is intrinsically tied to the escalating prevalence of blood disorders. Anemia, blood cancers, hemorrhagic conditions and blood-borne infections affect millions annually. Initiatives aimed at early detection and intervention, such as CellaVision's DIFF-Line launch, underpin market progression.
Other players in this market are Danaher DHR and Haemonetics HAE. Beckman Coulter Diagnostics, part of Danaher, develops hematology analyzers to enhance medical laboratory operations and improve patient care. On the other hand, HAE’s portfolio of hemostasis diagnostic systems enables clinicians to assess the coagulation status of a patient at the point-of-care or laboratory setting holistically.
Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information.
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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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
Abbott Laboratories (ABT) : Free Stock Analysis Report
Roche Holding AG (RHHBY) : Free Stock Analysis Report
Danaher Corporation (DHR) : Free Stock Analysis Report
Haemonetics Corporation (HAE) : 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. | Abbott ABT, a global leader in healthcare solutions, recently achieved a significant milestone with the FDA approval of its cutting-edge Alinity h-series hematology system. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Danaher Corporation (DHR) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report To read this article on Zacks.com click here. The Alinity hq's utilization of the revolutionary MAPSSTM technology, which employs light scattering to distinguish intricate cellular features, facilitates the enhanced identification of various blood cells. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Danaher Corporation (DHR) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT, a global leader in healthcare solutions, recently achieved a significant milestone with the FDA approval of its cutting-edge Alinity h-series hematology system. Strategic partnerships between industry leaders, like Roche Holding AG’s RHHBY expansion of the Global Business Partnership Agreement with Japanese Sysmex Corporation in August 2023, are anticipated to propel their market expansion. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Danaher Corporation (DHR) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT, a global leader in healthcare solutions, recently achieved a significant milestone with the FDA approval of its cutting-edge Alinity h-series hematology system. More on the News The Alinity h-series is based on Alinity hq, an automated hematology analyzer, and Alinity hs, an integrated slide maker and stainer. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Roche Holding AG (RHHBY) : Free Stock Analysis Report Danaher Corporation (DHR) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott ABT, a global leader in healthcare solutions, recently achieved a significant milestone with the FDA approval of its cutting-edge Alinity h-series hematology system. The Alinity h-series is set to revolutionize laboratory operations and patient care. |
30797.0 | 2023-08-15 00:00:00 UTC | Notable ETF Inflow Detected - IOO, ABT, PM, NKE | ABT | https://www.nasdaq.com/articles/notable-etf-inflow-detected-ioo-abt-pm-nke | 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 Global 100 ETF (Symbol: IOO) where we have detected an approximate $208.8 million dollar inflow -- that's a 5.2% increase week over week in outstanding units (from 52,700,000 to 55,450,000). Among the largest underlying components of IOO, in trading today Abbott Laboratories (Symbol: ABT) is down about 0.2%, Philip Morris International Inc (Symbol: PM) is down about 1.2%, and Nike (Symbol: NKE) is lower by about 1.4%. For a complete list of holdings, visit the IOO Holdings page » The chart below shows the one year price performance of IOO, versus its 200 day moving average:
Looking at the chart above, IOO's low point in its 52 week range is $58.45 per share, with $78.3499 as the 52 week high point — that compares with a last trade of $75.22. 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 »
Also see:
Selling Puts For Income
MBFI shares outstanding history
IMAX Historical Stock Prices
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 IOO, in trading today Abbott Laboratories (Symbol: ABT) is down about 0.2%, Philip Morris International Inc (Symbol: PM) is down about 1.2%, and Nike (Symbol: NKE) is lower by about 1.4%. 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 IOO, in trading today Abbott Laboratories (Symbol: ABT) is down about 0.2%, Philip Morris International Inc (Symbol: PM) is down about 1.2%, and Nike (Symbol: NKE) is lower by about 1.4%. For a complete list of holdings, visit the IOO Holdings page » The chart below shows the one year price performance of IOO, versus its 200 day moving average: Looking at the chart above, IOO's low point in its 52 week range is $58.45 per share, with $78.3499 as the 52 week high point — that compares with a last trade of $75.22. 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 IOO, in trading today Abbott Laboratories (Symbol: ABT) is down about 0.2%, Philip Morris International Inc (Symbol: PM) is down about 1.2%, and Nike (Symbol: NKE) is lower by about 1.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Global 100 ETF (Symbol: IOO) where we have detected an approximate $208.8 million dollar inflow -- that's a 5.2% increase week over week in outstanding units (from 52,700,000 to 55,450,000). For a complete list of holdings, visit the IOO Holdings page » The chart below shows the one year price performance of IOO, versus its 200 day moving average: Looking at the chart above, IOO's low point in its 52 week range is $58.45 per share, with $78.3499 as the 52 week high point — that compares with a last trade of $75.22. | Among the largest underlying components of IOO, in trading today Abbott Laboratories (Symbol: ABT) is down about 0.2%, Philip Morris International Inc (Symbol: PM) is down about 1.2%, and Nike (Symbol: NKE) is lower by about 1.4%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Global 100 ETF (Symbol: IOO) where we have detected an approximate $208.8 million dollar inflow -- that's a 5.2% increase week over week in outstanding units (from 52,700,000 to 55,450,000). For a complete list of holdings, visit the IOO Holdings page » The chart below shows the one year price performance of IOO, versus its 200 day moving average: Looking at the chart above, IOO's low point in its 52 week range is $58.45 per share, with $78.3499 as the 52 week high point — that compares with a last trade of $75.22. |
30798.0 | 2023-08-15 00:00:00 UTC | Boston Scientific's (BSX) POLARx System Gets FDA Approval | ABT | https://www.nasdaq.com/articles/boston-scientifics-bsx-polarx-system-gets-fda-approval | nan | nan | Boston Scientific Corporation BSX recently announced receiving FDA approval for its POLARx Cryoablation System. The POLARx FIT Cryoablation Balloon Catheter is a component of the new system intended to treat people with paroxysmal atrial fibrillation (AF). This catheter has the unusual ability to accommodate two balloon diameters, 28 and 31mm.
The latest approval is likely to bolster Boston Scientific’s Cardiovascular segment.
More on POLARx Cryoablation System
In February 2020, the POLARx Cryoablation System gained the CE Mark, and in October 2021, the Japanese Pharmaceuticals and Medical Devices Agency (PMDA) granted its certification. In 2023, the POLARx FIT catheter was given the go-ahead in Europe, Japan, Canada, and several Asia Pacific markets.
The latest system overcomes recognized drawbacks by rethinking current cryoablation options, enabling doctors to expand and modify the new POLARx catheter to match a patient's unique anatomy during an ablation treatment, which can reduce the need for time-consuming and disruptive device replacements. Additionally, the tool enables medical professionals to treat a more extensive variety of pulmonary vein anatomy and to design lesions in ideal locations to more effectively deliver therapy to the parts of the heart from which the disruptive impulses that cause AF originate.
Data from the global, prospective, non-randomized, single-arm FROZEN-AF IDE clinical trial, which was presented at Heart Rhythm 2023, showed that the POLARx Cryoablation System was safe and efficacious for the treatment of 385 patients with paroxysmal AF.
Significance of POLARx Cryoablation System
The expandable cryoballoon catheter in particular, part of the new POLARx Cryoablation System, is an exciting advancement for the successful treatment of AF since it enables medical professionals to better customise care for individual patients without compromising safety or effectiveness. As observed in the clinical evaluation, the system's maneuverability, combined with the ability to use different balloon sizes, allows it to address long-standing issues with various cardiac anatomy.
The FDA clearance of the POLARx Cryoablation System, which has been used for more than 25,000 patients globally, heralds a significant development in managing atrial fibrillation (AF) and the dawn of a new era in cryoablation technology. This product transforms a crucial therapy in the electrophysiology field, attends to the unmet needs of physicians, and reaffirms the company’s commitment to bringing significant advancements to existing technologies by prioritizing procedural flexibility and individualized care.
Industry Prospects
Per a report by Grand View Research, the global atrial fibrillation market size was valued at $22.4 billion in 2022 and is projected to grow at a CAGR of 10.1% by 2023. The increasing prevalence of atrial fibrillation (AFib) and growing awareness about the condition are expected to drive the market.
Peers Developments within Cardiac Segment
Within cardiac ablation treatment, companies like Johnson & Johnson JNJ, Abbott Laboratories ABT and Medtronic plc MDT are also making significant progress.
In August 2023, Biosense Webster, a global leader in cardiac arrhythmia treatment and part of Johnson & Johnson received the FDA approval for multiple atrial fibrillation ablation products to be used in a workflow without fluoroscopy. The products that can be used in this workflow include: THERMOCOOL SMARTTOUCH SF catheter — the most commonly used ablation catheter in the world for RF ablation, THERMOCOOL SMARTTOUCH Catheter, CARTO VIZIGO Bi-Directional Guiding Sheath, PENTARAY NAV ECO High Density Mapping Catheter, DECANAV Mapping Catheters, and Webster CS Catheter.
In July 2023, Abbott received the FDA approval for the AVEIR dual chamber (DR) leadless pacemaker system, the world's first dual chamber leadless pacing system that treats people with abnormal or slow heart rhythms. With more than 80% of people needing a pacemaker requiring pacing in two chambers of the heart (both the right atrium and right ventricle), the approval significantly increases access to leadless pacing for millions across the United States.
In May 2023, Medtronic received FDA approval for its Micra AV2 and Micra VR2, the next generation of its industry-leading miniaturized, leadless pacemakers. Micra AV2 and Micra VR2, the world's smallest pacemakers, provide longer battery life and easier programming than prior Micra pacemakers, while still delivering the many benefits of leadless pacing such as reduced complications compared with traditional pacemakers.
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 credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent 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
Abbott Laboratories (ABT) : Free Stock Analysis Report
Boston Scientific Corporation (BSX) : Free Stock Analysis Report
Johnson & Johnson (JNJ) : Free Stock Analysis Report
Medtronic PLC (MDT) : 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. | Peers Developments within Cardiac Segment Within cardiac ablation treatment, companies like Johnson & Johnson JNJ, Abbott Laboratories ABT and Medtronic plc MDT are also making significant progress. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report To read this article on Zacks.com click here. The latest system overcomes recognized drawbacks by rethinking current cryoablation options, enabling doctors to expand and modify the new POLARx catheter to match a patient's unique anatomy during an ablation treatment, which can reduce the need for time-consuming and disruptive device replacements. | Peers Developments within Cardiac Segment Within cardiac ablation treatment, companies like Johnson & Johnson JNJ, Abbott Laboratories ABT and Medtronic plc MDT are also making significant progress. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report To read this article on Zacks.com click here. In July 2023, Abbott received the FDA approval for the AVEIR dual chamber (DR) leadless pacemaker system, the world's first dual chamber leadless pacing system that treats people with abnormal or slow heart rhythms. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report To read this article on Zacks.com click here. Peers Developments within Cardiac Segment Within cardiac ablation treatment, companies like Johnson & Johnson JNJ, Abbott Laboratories ABT and Medtronic plc MDT are also making significant progress. Significance of POLARx Cryoablation System The expandable cryoballoon catheter in particular, part of the new POLARx Cryoablation System, is an exciting advancement for the successful treatment of AF since it enables medical professionals to better customise care for individual patients without compromising safety or effectiveness. | Peers Developments within Cardiac Segment Within cardiac ablation treatment, companies like Johnson & Johnson JNJ, Abbott Laboratories ABT and Medtronic plc MDT are also making significant progress. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report To read this article on Zacks.com click here. Boston Scientific Corporation BSX recently announced receiving FDA approval for its POLARx Cryoablation System. |
30799.0 | 2023-08-14 00:00:00 UTC | Validea's Top Health Care Stocks Based On Peter Lynch - 8/14/2023 | ABT | https://www.nasdaq.com/articles/valideas-top-health-care-stocks-based-on-peter-lynch-8-14-2023 | nan | nan | The following are the top rated Health Care stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating according to our strategy based on Peter Lynch is 87% 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.
Company Description: Abbott Laboratories is a global healthcare company. The Company's portfolio of technologies spans the spectrum of healthcare, with businesses and products in diagnostics, medical devices, nutritional and branded generic medicines. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. The Diagnostic Products segment is engaged in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories, and alternate-care testing sites. The Nutritional Products segment is involved in the worldwide sales of a broad line of adult and pediatric nutritional products. The Medical Devices segment includes the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation, and diabetes care products.
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.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
THERMO FISHER SCIENTIFIC INC (TMO) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating according to our strategy based on Peter Lynch is 87% 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.
Company Description: Thermo Fisher Scientific Inc. is engaged in serving science. The Company operates through four segments. Life Sciences Solutions segment provides a portfolio of reagents, instruments and consumables used in biological and medical research, discovery and production of new drugs and vaccines, as well as diagnosis of infection and disease. Analytical Instruments segment provides an offering of instruments and the supporting consumables, software and services that are used for a range of applications. Specialty Diagnostics segment offers a range of diagnostic test kits, reagents, culture media, instruments and associated products to serve customers in healthcare, clinical, pharmaceutical, industrial and food safety laboratories. Laboratory Products and Biopharma Services segment offers virtually everything needed for the laboratory. Its brands, including Thermo Scientific, Applied Biosystems, Invitrogen, Fisher Scientific, Unity Lab Services, Patheon and PPD.
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.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of THERMO FISHER SCIENTIFIC INC
TMO Guru Analysis
TMO Fundamental Analysis
BRISTOL-MYERS SQUIBB CO (BMY) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on Peter Lynch is 72% 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.
Company Description: Bristol-Myers Squibb Company is a biopharmaceutical company. The Company is engaged in the discovery, development, licensing, manufacturing, marketing, distribution, and sale of biopharmaceutical products. It offers products for a range of therapeutic classes, which include oncology, immunology, cardiovascular and hematology. Its pharmaceutical products include chemically synthesized or small molecule drugs and products produced from biological processes, called biologics. Biologics are administered to patients through injections or by infusion. Its products include Revlimid, Abecma, Eliquis, Opdivo, Orencia, Pomalyst/Imnovid, Sprycel, Yervoy, Abraxane, Empliciti, Reblozyl, Inrebic, Onureg, Zeposia, Camzyos, and Breyanzi. It also has a pipeline of investigational medicines designed to target the common mutations associated with oncogenesis, including repotrectinib. Its products are sold to wholesalers, distributors, pharmacies, retailers, hospitals, clinics, and government agencies.
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.
INVENTORY TO SALES: PASS
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO: PASS
EARNINGS PER SHARE: PASS
TOTAL DEBT/EQUITY RATIO: FAIL
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of BRISTOL-MYERS SQUIBB CO
BMY Guru Analysis
BMY Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
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. | ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis THERMO FISHER SCIENTIFIC INC (TMO) is a large-cap growth stock in the Medical Equipment & Supplies industry. Life Sciences Solutions segment provides a portfolio of reagents, instruments and consumables used in biological and medical research, discovery and production of new drugs and vaccines, as well as diagnosis of infection and disease. | Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis THERMO FISHER SCIENTIFIC INC (TMO) is a large-cap growth stock in the Medical Equipment & Supplies industry. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of THERMO FISHER SCIENTIFIC INC TMO Guru Analysis TMO Fundamental Analysis BRISTOL-MYERS SQUIBB CO (BMY) is a large-cap growth stock in the Biotechnology & Drugs industry. | Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis THERMO FISHER SCIENTIFIC INC (TMO) is a large-cap growth stock in the Medical Equipment & Supplies industry. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. | ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis THERMO FISHER SCIENTIFIC INC (TMO) is a large-cap growth stock in the Medical Equipment & Supplies industry. The following are the top rated Health Care stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. |
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