AbbVie (NYSE:ABBV) Sets New 12-Month High - Time to Buy?

Key Points

• AbbVie hit a new 52-week high, trading around $300 after closing previously at $294.83.
• Quarterly results beat expectations: revenue rose 10.3% year over year to $17.4 billion, adjusted EPS was $3.82, and the company raised its full-year earnings guidance.
• Analyst sentiment is broadly positive, with a “Moderate Buy” consensus and an average price target of $297.46; pipeline news was mixed, including a new IBD drug-rights deal and discontinuation of a Phase 2 cancer program.

AbbVie Inc. (NYSE:ABBV - Get Free Report) shares reached a new 52-week high on Thursday. The stock traded as high as $298.97 and last traded at $300.10, with a volume of 375,467 shares. The stock had previously closed at $294.83.

Trending Headlines about AbbVie

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: Q3 results and higher guidance: AbbVie reported $17.4 billion in revenue, up 10.3% year over year, and adjusted EPS of $3.82, topping estimates. It also raised full-year adjusted earnings guidance, reinforcing expectations for continued growth. Article: AbbVie (ABBV) Stock Climbs As Q3 Earnings Fuel Growth Case
• Positive Sentiment: IBD pipeline expansion: AbbVie secured global rights to Nxera Pharma’s experimental oral EP4 receptor agonist, NXE0033744. The deal includes $100 million upfront, up to $1.37 billion in development and commercial milestones, and royalties. The candidate could complement existing IBD treatments, although it is still under development. Article: AbbVie pens $1.4B deal for deprioritized IBD drug from Nxera
• Positive Sentiment: Analyst support: Several reports said analysts raised price targets or expressed optimism about ABBV, adding to the positive reaction to earnings. Article: AbbVie stock gets price target bump from Morgan Stanley
• Neutral Sentiment: Oxford R&D investment: AbbVie expanded its Oxford research facility as part of an investment exceeding £120 million. The site will work on immunology, neurology and oncology treatments—supportive of research capacity, but with benefits likely to emerge over time. Article: AbbVie expands Oxford R&D facility
• Negative Sentiment: Oncology setback: AbbVie stopped a Phase 2 solid-tumor drug program after finding limited benefit, a setback for that part of its pipeline. Article: AbbVie abandons Phase 2 solid tumor drug

Analyst Upgrades and Downgrades

ABBV has been the topic of several analyst reports. BMO Capital Markets set a $315.00 target price on AbbVie in a research report on Wednesday. BNP Paribas Exane lifted their target price on AbbVie from $218.00 to $247.00 and gave the stock a "neutral" rating in a report on Tuesday, August 11th. Wolfe Research raised AbbVie from a "peer perform" rating to an "outperform" rating and boosted their target price for the stock from $235.00 to $300.00 in a research report on Thursday, August 13th. JPMorgan Chase & Co. upped their target price on AbbVie from $285.00 to $300.00 and gave the company an "overweight" rating in a report on Thursday, October 8th. Finally, Bank of America reiterated a "buy" rating on shares of AbbVie in a research report on Tuesday, September 8th. One 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 company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $297.46.

AbbVie Trading Up 1.5%

The company has a market cap of $528.53 billion, a P/E ratio of 51.48, a price-to-earnings-growth ratio of 1.30 and a beta of 0.20. The firm's 50 day moving average price is $270.80 and its 200-day moving average price is $238.28.

AbbVie (NYSE:ABBV - Get Free Report) last announced its earnings results on Friday, October 30th. The company reported $3.82 earnings per share for the quarter, topping analysts' consensus estimates of $3.73 by $0.09. The firm had revenue of $17.40 billion during the quarter, compared to analyst estimates of $17.32 billion. AbbVie had a net margin of 15.67% and a negative return on equity of 435.41%. The company's revenue for the quarter was up 10.3% compared to the same quarter last year. During the same period in the prior year, the business earned $1.86 EPS. Analysts predict that AbbVie Inc. will post 13.99 earnings per share for the current fiscal year.

AbbVie Increases Dividend

The firm also recently declared 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. This represents a $7.28 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Friday, January 15th. This is an increase from AbbVie's previous quarterly dividend of $1.73. AbbVie's dividend payout ratio (DPR) is 125.30%.

Insider Buying and Selling

In other AbbVie news, EVP Nicholas Donoghoe sold 32,710 shares of the business's stock in a transaction 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 document filed with the SEC, which can be accessed through the SEC website. 0.06% of the stock is owned by insiders.

Institutional Trading of AbbVie

Several hedge funds and other institutional investors have recently modified their holdings of the business. State Street Corp increased its position in shares of AbbVie by 1.7% in the second quarter. State Street Corp now owns 82,596,748 shares of the company's stock worth $20,784,646,000 after purchasing an additional 1,379,232 shares during the period. Corient Private Wealth LP acquired a new position in AbbVie during the 2nd quarter valued at about $559,736,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in shares of AbbVie by 0.7% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 14,267,697 shares of the company's stock worth $3,590,323,000 after buying an additional 106,091 shares during the last quarter. Legal & General Group Plc purchased a new position in shares of AbbVie in the second quarter worth about $2,905,952,000. Finally, Deutsche Bank AG boosted its holdings in AbbVie by 13.0% in the 2nd quarter. Deutsche Bank AG now owns 10,772,949 shares of the company's stock valued at $2,710,905,000 after purchasing an additional 1,241,587 shares during the period. Institutional investors own 70.23% of the company's stock.

About AbbVie

AbbVie Inc NYSE: ABBV is a global biopharmaceutical company that discovers, develops and commercializes medicines and other healthcare products. Its portfolio focuses on immunology, oncology, neuroscience, aesthetics and eye care, serving patients and healthcare providers in markets around the world.

The company's key products include immunology medicines such as Skyrizi and Rinvoq; neuroscience treatments including Vraylar, Ubrelvy and Qulipta; and oncology products such as Imbruvica and Venclexta.

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