ABT

Abbott Laboratories

Fundamental data last updated:June 4, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Healthcare

industry

Medical - Devices

Exchange

NYSE

County of HQ

US

Next Earnings Date

07/16/2026

Business Summary

Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide. It operates in four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The Established Pharmaceutical Products segment provides generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency, irritable bowel syndrome or biliary spasm, intrahepatic cholestasis or depressive symptoms, gynecological disorder, hormone replacement therapy, dyslipidemia, hypertension, hypothyroidism, Ménière's disease and vestibular vertigo, pain, fever, inflammation, and migraine, as well as provides anti-infective clarithromycin, influenza vaccine, and products to regulate physiological rhythm of the colon. The Diagnostic Products segment offers laboratory systems in the areas of immunoassay, clinical chemistry, hematology, and transfusion; molecular diagnostics systems that automate the extraction, purification, and preparation of DNA and RNA from patient samples, as well as detect and measure infectious agents; point of care systems; cartridges for testing blood; rapid diagnostics lateral flow testing products; molecular point-of-care testing for HIV, SARS-CoV-2, influenza A and B, RSV, and strep A; cardiometabolic test systems; drug and alcohol test, and remote patient monitoring and consumer self-test systems; and informatics and automation solutions for use in laboratories. The Nutritional Products segment provides pediatric and adult nutritional products. The Medical Devices segment offers rhythm management, electrophysiology, heart failure, vascular, and structural heart devices for the treatment of cardiovascular diseases; and diabetes care products, as well as neuromodulation devices for the management of chronic pain and movement disorders. Abbott Laboratories was founded in 1888 and is based in North Chicago, Illinois.

 


VALUATION

P/E

23.90

Market Cap ($M USD)

$149.53B

Forward P/E

10.27

PEG

0.08

PRICE TO SALES

3.31

PRICE TO BOOK

2.88

EV / EBITDA

16.36

5-Year Average P/E

Free Cash Flow Yield

4.93%

DCF Value

$149.19

Graham Number

$49.08

Price to FCF

20.27

EV to FCF

23.96

Earnings Yield

4.18%

FCF Yield

4.93%

DIVIDEND

Yield

2.84%

Annual Payout

$2.44

Payout Ratio

66.73%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$3.59

Next Year EPS Growth Estimate

$8.36

Next Year Revenue Growth Estimate

$6.82T

Return on Equity (ROE)

12.20%

FREE CASH FLOW

Operating Margin

18.17%

Debt-to-Equity

0.29

Piotroski F-Score

6

Altman Z-Score

2.95

Return on Invested Capital (ROIC)

8.91%

Current Ratio

1.39

Quick Ratio

1.01

Net Debt to EBITDA

2.52

Interest Coverage

29.83

Gross Profit margin

56.38%

FCF PER SHARE

$4.22

REVENUE PER SHARE

$25.84

Gainseekers Quantitative Analysis

Summary

Abbott Laboratories presents a compelling valuation story. With a DCF value significantly higher than its recent trading price, the market appears to be undervaluing the stock. The Forward P/E ratio suggests robust growth expectations, while the low PEG ratio indicates potential undervaluation relative to growth. The Altman Z-score of 2.97 signals moderate financial safety, reinforcing the company’s stability. Overall, Abbott seems to be mispriced, offering a potential opportunity for value investors.

AI Exposure / Tech Reliance

Operating in the Medical Devices industry, Abbott is well-positioned to leverage AI and modern technology. The healthcare sector is increasingly integrating AI for diagnostics and patient care, areas where Abbott can capitalize on its existing expertise. This adaptability could enhance its competitive edge and operational efficiency.

The Bull Case

For value and GARP investors, Abbott's strengths are clear. The company boasts a solid ROIC of 8.91%, indicating efficient capital use. Its FCF yield, though modest, combined with a Piotroski F-Score of 6, suggests reasonable financial health and operational efficiency. With an operating margin of 18.17%, Abbott demonstrates strong pricing power, making it an attractive buy for those seeking growth at a reasonable price.

The Bear Case

Despite its strengths, Abbott faces structural risks. The Price/Book and Price/Sales ratios are relatively high, suggesting potential overvaluation in terms of asset and revenue generation. Additionally, the stock's proximity to its 52-week low could indicate market skepticism. Investors should be cautious of these valuation multiples, which may reflect overly optimistic future growth assumptions.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$127.46

Institutional Ownership %

1-Year Beta

0.65

Insider Buying % (6 Mo)

Distance to 52-Week High

61.98%

Distance to 52-Week Low

4.52%

EARNINGS SURPRISE %

0.88%

50-DAY SMA

$94.66

200-DAY SMA

$116.82

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.