Abbott Laboratories (NYSE:ABT) Shares Gap Down - Should You Sell?

Key Points

• Abbott Laboratories' shares opened at $128.01 after closing at $132.68, with the current price at $129.87 and a trading volume of 1,890,211 shares.
• Analysts have mixed ratings on the stock, with Morgan Stanley raising the target price to $137.00, while the overall average target is $146.17, reflecting a "Moderate Buy" consensus.
• The company reported earnings of $1.30 per share, meeting expectations, and it also announced a quarterly dividend of $0.59 with a dividend yield of 1.8%.

Shares of Abbott Laboratories (NYSE:ABT - Get Free Report) gapped down before the market opened on Wednesday . The stock had previously closed at $132.68, but opened at $128.01. Abbott Laboratories shares last traded at $129.87, with a volume of 1,890,211 shares changing hands.

Analyst Ratings Changes

ABT has been the topic of a number of recent research reports. Morgan Stanley raised their target price on shares of Abbott Laboratories from $127.00 to $137.00 and gave the stock an "equal weight" rating in a report on Tuesday, July 15th. Evercore ISI upped their target price on Abbott Laboratories from $140.00 to $144.00 and gave the stock an "outperform" rating in a research report on Tuesday, October 7th. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Abbott Laboratories in a report on Wednesday, October 8th. Wells Fargo & Company dropped their price target on Abbott Laboratories from $147.00 to $142.00 and set an "overweight" rating on the stock in a report on Friday, July 18th. Finally, William Blair raised shares of Abbott Laboratories to a "strong-buy" rating in a research note on Thursday, July 17th. Two research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $146.17.

Abbott Laboratories Price Performance

The stock has a market capitalization of $222.58 billion, a price-to-earnings ratio of 16.08, a P/E/G ratio of 2.49 and a beta of 0.69. The company's 50-day simple moving average is $132.62 and its 200 day simple moving average is $131.61. The company has a quick ratio of 1.30, a current ratio of 1.82 and a debt-to-equity ratio of 0.25.

Abbott Laboratories (NYSE:ABT - Get Free Report) last posted its earnings results on Wednesday, October 15th. The healthcare product maker reported $1.30 earnings per share for the quarter, hitting the consensus estimate of $1.30. Abbott Laboratories had a return on equity of 18.32% and a net margin of 32.43%.The firm had revenue of $11.37 billion during the quarter, compared to analyst estimates of $11.40 billion. During the same period in the previous year, the company earned $1.21 EPS. The company's revenue for the quarter was up 6.9% on a year-over-year basis. Abbott Laboratories has set its FY 2025 guidance at 5.120-5.180 EPS. Equities research analysts forecast that Abbott Laboratories will post 5.14 EPS for the current year.

Abbott Laboratories Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 17th. Stockholders of record on Wednesday, October 15th will be paid a $0.59 dividend. The ex-dividend date is Wednesday, October 15th. This represents a $2.36 annualized dividend and a dividend yield of 1.8%. Abbott Laboratories's dividend payout ratio (DPR) is presently 29.57%.

Insider Activity at Abbott Laboratories

In related news, CFO Philip P. Boudreau sold 5,550 shares of the business's stock in a transaction dated Friday, August 8th. The stock was sold at an average price of $134.55, for a total transaction of $746,752.50. Following the transaction, the chief financial officer directly owned 51,003 shares in the company, valued at $6,862,453.65. The trade was a 9.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Corporate insiders own 0.46% of the company's stock.

Hedge Funds Weigh In On Abbott Laboratories

A number of hedge funds have recently made changes to their positions in the business. IMG Wealth Management Inc. lifted its position in Abbott Laboratories by 759.1% during the 2nd quarter. IMG Wealth Management Inc. now owns 189 shares of the healthcare product maker's stock worth $26,000 after buying an additional 167 shares in the last quarter. Hughes Financial Services LLC acquired a new position in shares of Abbott Laboratories during the first quarter valued at $27,000. Abound Financial LLC bought a new stake in Abbott Laboratories during the 1st quarter worth about $28,000. Elequin Capital LP acquired a new stake in shares of Abbott Laboratories during the 1st quarter worth approximately $30,000. Finally, Anfield Capital Management LLC grew its position in shares of Abbott Laboratories by 81.3% during the 2nd quarter. Anfield Capital Management LLC now owns 232 shares of the healthcare product maker's stock worth $32,000 after buying an additional 104 shares during the period. Institutional investors and hedge funds own 75.18% of the company's stock.

Abbott Laboratories Company Profile

Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide. It operates in four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The company provides generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency, irritable bowel syndrome or biliary spasm, intrahepatic cholestasis or depressive symptoms, gynecological disorder, hormone replacement therapy, dyslipidemia, hypertension, hypothyroidism, Ménière's disease and vestibular vertigo, pain, fever, inflammation, and migraine, as well as provides anti-infective clarithromycin, influenza vaccine, and products to regulate physiological rhythm of the colon.

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