UBS Shrugs Abbott Laboratories' (ABT) Diagnostic Weakness Affirms 'Buy' Rating

Abbott Laboratories (NYSE:ABT) is one of the defensive stocks that billionaires are buying amid US trade tariff uncertainty. On July 21, UBS reiterated a ‘Buy’ rating and a $148 price target on the stock. The bullish stance comes on the heels of the stock coming under pressure following the release of lower fiscal year 2025 sales guidance.

The biopharmaceutical company is facing weakness in its diagnostic segment. However, the weakness has not altered UBS’s positive stance on the company. That’s because the company is experiencing robust growth, with its MedTech division recording 12.2% organic growth in the second quarter, higher than the consensus estimate of 11.2%.

In addition, UBS is buoyed by Abbott’s 6.9% organic sales growth or 7.5% on excluding COVID diagnostics. The research firm expects robust growth in other segments, including the MedTech pipeline, to offset weakness in the diagnostic segment.

Abbott Laboratories (NYSE:ABT) is a global healthcare company focused on creating life-changing technologies and products that span diagnostics, medical devices, nutrition, and branded generic pharmaceuticals. It is focused on improving health and well-being across all stages of life through innovative solutions and a commitment to accessibility.

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Disclosure: None. This article is originally published at Insider Monkey.