In the latest close session, Abbott (ABT) was down 1.58% at $134.11. The stock's change was less than the S&P 500's daily gain of 0.48%. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq added 0.94%.
Shares of the maker of infant formula, medical devices and drugs have appreciated by 1.91% over the course of the past month, underperforming the Medical sector's gain of 2.8%, and the S&P 500's gain of 5.13%.
The upcoming earnings release of Abbott will be of great interest to investors. The company's earnings report is expected on July 17, 2025. The company's earnings per share (EPS) are projected to be $1.25, reflecting a 9.65% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $11.07 billion, reflecting a 6.7% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.16 per share and revenue of $44.7 billion. These totals would mark changes of +10.49% and +6.56%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Abbott. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. At present, Abbott boasts a Zacks Rank of #2 (Buy).
Digging into valuation, Abbott currently has a Forward P/E ratio of 26.42. This expresses a premium compared to the average Forward P/E of 19.46 of its industry.
We can also see that ABT currently has a PEG ratio of 2.59. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Medical - Products industry currently had an average PEG ratio of 2.3 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 151, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Abbott Laboratories (ABT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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