Abbott (ABT) Gains As Market Dips: What You Should Know
In the latest trading session, Abbott (ABT) closed at $125.47, marking a +0.59% move from the previous day.
Abbott (ABT) closed at $125.47 in the latest trading session, marking a +0.59% move from the prior day. This change outpaced the S&P 500's 0.58% loss on the day.
Coming into today, shares of the maker of infant formula, medical devices and drugs had gained 3.5% in the past month. In that same time, the Medical sector gained 2.3%, while the S&P 500 gained 2.07%.
ABT will be looking to display strength as it nears its next earnings release. On that day, ABT is projected to report earnings of $0.92 per share, which would represent a year-over-year decline of 6.12%. Our most recent consensus estimate is calling for quarterly revenue of $9.43 billion, up 6.54% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.42 per share and revenue of $39.8 billion. These totals would mark changes of +21.1% and +14.99%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for ABT. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ABT is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note ABT's current valuation metrics, including its Forward P/E ratio of 28.25. This represents a no noticeable deviation compared to its industry's average Forward P/E of 28.25.
Also, we should mention that ABT has a PEG ratio of 2.38. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ABT's industry had an average PEG ratio of 2.28 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 219, putting it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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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