FY2027 EPS Estimates for AbbVie Lowered by Erste Group Bank

Key Points

• Erste Group Bank lowered AbbVie’s FY2027 EPS forecast to $16.24 from $16.40, while maintaining a “Buy” rating. The broader analyst consensus remains favorable, with a “Moderate Buy” rating and an average price target of $275.70.
• AbbVie exceeded quarterly expectations, reporting $3.65 in EPS versus the $3.61 consensus and $16.99 billion in revenue, up 10.2% year over year. The company also declared a quarterly dividend of $1.73, equivalent to a 2.8% yield.
• Growth prospects include a potential new Botox indication and the proposed $10.9 billion Apogee acquisition, though the deal’s roughly $8 billion in additional debt could raise leverage and dividend-sustainability concerns.

AbbVie Inc. (NYSE:ABBV - Free Report) - Research analysts at Erste Group Bank lowered their FY2027 EPS estimates for shares of AbbVie in a report released on Wednesday, August 5th. Erste Group Bank analyst H. Engel now forecasts that the company will post earnings per share of $16.24 for the year, down from their previous estimate of $16.40. Erste Group Bank currently has a "Buy" rating on the stock. The consensus estimate for AbbVie's current full-year earnings is $14.07 per share.

AbbVie (NYSE:ABBV - Get Free Report) last issued its quarterly earnings results on Friday, July 31st. The company reported $3.65 EPS for the quarter, topping the consensus estimate of $3.61 by $0.04. AbbVie had a net margin of 9.80% and a negative return on equity of 422.07%. The company had revenue of $16.99 billion during the quarter, compared to analysts' expectations of $16.80 billion. During the same quarter in the previous year, the company earned $2.97 EPS. AbbVie's revenue was up 10.2% on a year-over-year basis. AbbVie has set its Q3 2026 guidance at 3.840-3.880 EPS.

A number of other research analysts also recently weighed in on ABBV. Wall Street Zen downgraded AbbVie from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 5th. Guggenheim raised their target price on AbbVie from $261.00 to $288.00 and gave the stock a "buy" rating in a report on Tuesday, August 4th. Weiss Ratings raised AbbVie from a "hold (c)" rating to a "buy (b-)" rating in a research note on Tuesday, August 4th. BMO Capital Markets boosted their price objective on shares of AbbVie from $258.00 to $300.00 and gave the company an "outperform" rating in a report on Monday, July 13th. Finally, JPMorgan Chase & Co. lifted their price target on shares of AbbVie from $260.00 to $280.00 and gave the stock an "overweight" rating in a research report on Thursday, July 9th. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $275.70.

AbbVie Stock Performance

Shares of ABBV stock opened at $247.86 on Tuesday. The firm's 50 day moving average price is $242.67 and its two-hundred day moving average price is $225.28. AbbVie has a 52-week low of $190.75 and a 52-week high of $267.47. The stock has a market cap of $437.92 billion, a PE ratio of 70.02, a PEG ratio of 0.82 and a beta of 0.30.

Institutional Investors Weigh In On AbbVie

Several hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. increased its holdings in shares of AbbVie by 1.7% in the fourth quarter. Vanguard Group Inc. now owns 180,779,699 shares of the company's stock valued at $41,306,353,000 after purchasing an additional 3,032,438 shares during the last quarter. State Street Corp increased its position in AbbVie by 1.4% during the 4th quarter. State Street Corp now owns 80,940,931 shares of the company's stock worth $18,494,193,000 after buying an additional 1,119,274 shares during the period. Geode Capital Management LLC grew its stake in shares of AbbVie by 10.4% in the fourth quarter. Geode Capital Management LLC now owns 44,629,980 shares of the company's stock valued at $10,179,099,000 after acquiring an additional 4,190,487 shares in the last quarter. Bank of America Corp DE raised its stake in AbbVie by 1.4% in the 4th quarter. Bank of America Corp DE now owns 25,824,399 shares of the company's stock worth $5,900,617,000 after purchasing an additional 356,394 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of AbbVie during the 4th quarter worth approximately $5,865,055,000. 70.23% of the stock is currently owned by institutional investors and hedge funds.

AbbVie Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 14th. Stockholders of record on Wednesday, July 15th will be issued a $1.73 dividend. This represents a $6.92 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Wednesday, July 15th. AbbVie's dividend payout ratio is presently 195.48%.

Key Headlines Impacting AbbVie

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: Botox gained a potential new indication: The FDA accepted AbbVie’s supplemental application for Botox Cosmetic to treat masseter muscle prominence, bringing the product closer to a fifth use. Approval would expand Botox’s addressable market and support additional aesthetics revenue. AbbVie’s Botox Just Got a Step Closer to a Fifth Use
• Positive Sentiment: Apogee strengthens AbbVie’s immunology pipeline: The proposed $10.9 billion acquisition adds zumilokibart, which produced positive Phase 2 results in atopic dermatitis and is expected to advance into Phase 3. The drug also has potential applications in asthma and eosinophilic esophagitis, helping AbbVie diversify beyond Humira and bolster its long-term immunology growth. AbbVie to Acquire Apogee Therapeutics for $10.9 Billion
• Neutral Sentiment: Analyst sentiment remains favorable: Brokerages hold a consensus “Moderate Buy” rating, while recent commentary viewed AbbVie as potentially undervalued after strong second-quarter earnings. However, the shares already trade near their 52-week high and at a high earnings multiple, which may limit immediate upside. AbbVie Receives Consensus Rating of Moderate Buy
• Negative Sentiment: Debt-funded acquisition is the key concern: AbbVie is reportedly taking on approximately $8 billion of debt for the Apogee deal. While the acquisition could replace revenue lost to patent expirations, higher leverage may increase interest costs and raise questions about capital allocation and the sustainability of AbbVie’s dividend. The transaction still requires customary regulatory and shareholder approvals. AbbVie Piles on $8 Billion in Debt for Its Apogee Deal

AbbVie Company Profile

AbbVie is a global, research-driven biopharmaceutical company that was created as a spin-off from Abbott Laboratories in 2013 and is headquartered in North Chicago, Illinois. The company focuses on discovering, developing and commercializing therapies for complex and often chronic medical conditions. Its operations span research and development, manufacturing, regulatory affairs and commercialization, with an emphasis on bringing specialty medicines to market across multiple therapeutic areas.

AbbVie's product portfolio and pipeline cover several major therapeutic categories, including immunology, oncology, neuroscience, virology and women's health.

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