AbbVie Inc. $ABBV Stock: Cullinan Associates Inc. Raises Position

Key Points

• Cullinan Associates increased its AbbVie stake 5.1% in the third quarter, adding 3,541 shares to bring its holdings to 72,341 shares, valued at about $18.9 million.
• AbbVie beat third-quarter earnings and revenue expectations, reported 10.3% year-over-year revenue growth, and raised its full-year adjusted earnings outlook. It also increased its quarterly dividend from $1.73 to $1.82 per share.
• Shares are near their 52-week high, while Humira’s decline puts pressure on newer products to sustain growth. Analysts are broadly positive, with a consensus “Moderate Buy” rating and an average price target of $297.46.

Cullinan Associates Inc. raised its stake in AbbVie Inc. (NYSE:ABBV - Free Report) by 5.1% during the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 72,341 shares of the company's stock after purchasing an additional 3,541 shares during the period. AbbVie comprises 1.4% of Cullinan Associates Inc.'s investment portfolio, making the stock its 18th biggest position. Cullinan Associates Inc.'s holdings in AbbVie were worth $18,924,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds also recently bought and sold shares of the company. Burk Holdings LLC purchased a new stake in shares of AbbVie during the second quarter worth approximately $30,000. Marquette Asset Management LLC raised its holdings in AbbVie by 52.2% in the second quarter. Marquette Asset Management LLC now owns 140 shares of the company's stock valued at $35,000 after acquiring an additional 48 shares in the last quarter. IMG Wealth Management Inc. raised its holdings in AbbVie by 3,060.0% in the second quarter. IMG Wealth Management Inc. now owns 158 shares of the company's stock valued at $40,000 after acquiring an additional 153 shares in the last quarter. Principia Wealth Advisory LLC lifted its stake in AbbVie by 38.9% in the second quarter. Principia Wealth Advisory LLC now owns 157 shares of the company's stock worth $40,000 after acquiring an additional 44 shares during the last quarter. Finally, Tacita Capital Inc purchased a new position in AbbVie in the second quarter worth approximately $42,000. Institutional investors and hedge funds own 70.23% of the company's stock.

AbbVie News Roundup

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: AbbVie’s third-quarter results beat expectations, with revenue of $17.4 billion, and the company raised its full-year adjusted earnings outlook. The earnings report has strengthened the growth case for the shares. AbbVie stock climbs as Q3 earnings fuel growth case
• Positive Sentiment: A licensing agreement with Nxera Pharma for an EP4 agonist gives AbbVie another potential inflammatory bowel disease treatment candidate. The deal may add to its pipeline as investors assess the durability of its newer growth drivers. Nxera licenses EP4 agonist to AbbVie
• Positive Sentiment: AbbVie recently reached a fresh high following its earnings beat and a dividend increase, while analysts remain broadly optimistic. This supports investor interest in the stock as a defensive healthcare name. AbbVie’s new growth engines face another test
• Negative Sentiment: AbbVie’s shares have already climbed substantially and are near their 52-week high, leaving less room for disappointment. Humira’s decline also means the company must continue demonstrating that newer products can sustain growth. The one thing to settle before buying AbbVie stock

Insider Buying and Selling at AbbVie

In other news, EVP Nicholas Donoghoe sold 32,710 shares of the business's stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $250.00, for a total transaction of $8,177,500.00. Following the completion of the sale, the executive vice president owned 74,430 shares in the company, valued at approximately $18,607,500. The trade was a 30.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.06% of the company's stock.

AbbVie Stock Performance

Shares of NYSE ABBV opened at $291.51 on Friday. AbbVie Inc. has a fifty-two week low of $190.75 and a fifty-two week high of $302.93. The firm has a market capitalization of $515.27 billion, a PE ratio of 50.17, a price-to-earnings-growth ratio of 1.32 and a beta of 0.20. The stock's 50-day simple moving average is $271.98 and its 200-day simple moving average is $239.04.

AbbVie (NYSE:ABBV - Get Free Report) last announced its quarterly earnings results on Friday, October 30th. The company reported $3.82 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.73 by $0.09. The firm had revenue of $17.40 billion during the quarter, compared to the consensus estimate of $17.32 billion. AbbVie had a negative return on equity of 450.55% and a net margin of 15.67%. The firm's quarterly revenue was up 10.3% compared to the same quarter last year. During the same period in the prior year, the company posted $1.86 earnings per share. On average, sell-side analysts forecast that AbbVie Inc. will post 13.99 earnings per share for the current fiscal year.

AbbVie Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 16th. Shareholders of record on Friday, January 15th will be issued a dividend of $1.82 per share. The ex-dividend date of this dividend is Friday, January 15th. This is an increase from AbbVie's previous quarterly dividend of $1.73. This represents a $7.28 dividend on an annualized basis and a yield of 2.5%. AbbVie's dividend payout ratio is 125.30%.

Wall Street Analyst Weigh In

Several research analysts have commented on the stock. JPMorgan Chase & Co. boosted their price target on shares of AbbVie from $285.00 to $300.00 and gave the stock an "overweight" rating in a report on Thursday, October 8th. Weiss Ratings upgraded shares of AbbVie from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, October 8th. BNP Paribas Exane lifted their price objective on shares of AbbVie from $218.00 to $247.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 11th. Argus boosted their target price on shares of AbbVie from $250.00 to $270.00 in a research note on Tuesday, August 4th. Finally, Cantor Fitzgerald boosted their target price on shares of AbbVie from $290.00 to $325.00 and gave the stock an "overweight" rating in a research note on Monday, November 2nd. One research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $297.46.

AbbVie Company Profile

AbbVie is a biopharmaceutical company that discovers, develops and markets medicines for a range of serious health conditions. Its research and product portfolio spans immunology, oncology, neuroscience and other therapeutic areas.

Key products include the immunology medicines Skyrizi and Rinvoq, cancer treatments such as Imbruvica and Venclexta, and neuroscience therapies including Botox and Vraylar. Through its Allergan acquisition, AbbVie also offers aesthetics products such as Botox Cosmetic and Juvéderm.

AbbVie was established in 2013 as a spin-off from Abbott Laboratories and is headquartered in North Chicago, Illinois.

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