Abbott Laboratories (NYSE:ABT) Issues Earnings Results, Hits Estimates

Key Points

• Abbott met earnings expectations: The company reported quarterly EPS of $1.42, in line with consensus, while revenue of $13.01 billion modestly exceeded the $12.99 billion analyst estimate.
• Growth initiatives remain central: Abbott reported strong year-over-year sales growth, reaffirmed its full-year EPS guidance, and plans to separate its approximately $8.5 billion Nutrition business into an independent public company by the end of 2027.
• Investors face both upside and risks: Analysts maintain a consensus “Moderate Buy” rating with an $118.88 target price, while Abbott’s Libre glucose-monitoring business faces increasing competition and the Nutrition separation carries execution risks.

Abbott Laboratories (NYSE:ABT - Get Free Report) issued its quarterly earnings results on Wednesday. The healthcare product maker reported $1.42 earnings per share (EPS) for the quarter, meeting the consensus estimate of $1.42, FiscalAI reports. The firm had revenue of $13.01 billion for the quarter, compared to analyst estimates of $12.99 billion. Abbott Laboratories had a net margin of 11.65% and a return on equity of 17.69%.

Abbott Laboratories Price Performance

ABT stock opened at $102.68 on Wednesday. The company has a quick ratio of 0.97, a current ratio of 1.38 and a debt-to-equity ratio of 0.57. Abbott Laboratories has a 12 month low of $81.97 and a 12 month high of $132.02. The firm has a market cap of $177.67 billion, a P/E ratio of 33.23, a P/E/G ratio of 1.93 and a beta of 0.59. The company's 50-day moving average price is $105.68 and its two-hundred day moving average price is $98.30.

Abbott Laboratories Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, November 16th. Investors of record on Thursday, October 15th will be given a $0.63 dividend. The ex-dividend date is Thursday, October 15th. This represents a $2.52 dividend on an annualized basis and a dividend yield of 2.5%. Abbott Laboratories's dividend payout ratio (DPR) is presently 81.55%.

Key Headlines Impacting Abbott Laboratories

Here are the key news stories impacting Abbott Laboratories this week:

• Positive Sentiment: Strong third-quarter performance: Abbott reported 14.5% year-over-year sales growth, or 7.0% on a comparable basis. Adjusted diluted EPS was $1.42, and management reaffirmed its full-year EPS guidance, signaling that operating trends remain on track. Abbott Reports Third-Quarter 2026 Results and Reaffirms Full-Year EPS Guidance
• Positive Sentiment: Nutrition separation could unlock value: Abbott plans to distribute its approximately $8.5 billion Nutrition business to shareholders as an independent, publicly traded company by the end of 2027. Management expects the separation to give Abbott faster sales growth and a broader margin profile, while allowing both businesses to pursue more focused strategies. Abbott Announces Nutrition Business Separation
• Positive Sentiment: Diagnostics expansion: Abbott received European CE Mark authorization for its Cologuard Plus colorectal cancer screening test, expanding the potential market for its diagnostics portfolio in Europe. Abbott Secures Europe CE Mark for Colorectal Cancer Test
• Neutral Sentiment: Execution risk remains: The Nutrition transaction is not expected to be completed until 2027, leaving investors to evaluate separation costs, tax-free distribution requirements and the eventual growth and margin profiles of both companies.
• Negative Sentiment: Libre faces a more competitive market: Abbott’s FreeStyle Libre continuous glucose monitoring business continues to grow, but rising competition, product improvements from rivals and insurer pressures could limit future pricing and profitability. Can Libre Keep Growing as Glucose Monitoring Becomes More Competitive?

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on ABT. Wells Fargo & Company upped their target price on shares of Abbott Laboratories from $109.00 to $112.00 and gave the company an "overweight" rating in a report on Friday, July 17th. Rothschild & Co Redburn upgraded Abbott Laboratories from a "neutral" rating to a "buy" rating and lifted their price target for the stock from $119.00 to $127.00 in a report on Friday, October 2nd. TD Cowen reiterated a "buy" rating and set a $135.00 price target on shares of Abbott Laboratories in a report on Friday, October 16th. Citigroup boosted their price target on Abbott Laboratories from $108.00 to $112.00 and gave the stock a "buy" rating in a research report on Friday, July 17th. Finally, Royal Bank Of Canada restated an "outperform" rating and issued a $130.00 price objective on shares of Abbott Laboratories in a research note on Friday, July 17th. Three analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, Abbott Laboratories has a consensus rating of "Moderate Buy" and a consensus target price of $118.88.

About Abbott Laboratories

Abbott Laboratories is a global healthcare company that develops, manufactures and markets a broad range of medical products and services. Founded in 1888 by Wallace C. Abbott, the company is headquartered in Abbott Park, Illinois, and serves patients, healthcare providers and consumers in markets around the world.

Abbott operates across four principal businesses: medical devices, diagnostics, nutrition and established pharmaceutical products. Its offerings include glucose-monitoring systems such as FreeStyle Libre; cardiovascular devices, including stents and structural heart products; laboratory and point-of-care diagnostic systems; and branded generic medicines in areas such as gastroenterology, women's health and cardiometabolic care.

The company's nutrition portfolio includes infant and pediatric products such as Similac and PediaSure, adult nutritional products such as Ensure, and rehydration products such as Pedialyte.

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