To date, the company had invested more than $50 billion into research through more than 250 partnerships. AbbVie's stock was trading at $161.61 on January 1st, 2023. I have been maintaining a revenue forecasting table for AbbVie's products which I have amended based on Q2'22 and H1'22 results, and the slightly downgraded guidance issued for 2022 - management now expects adjusted earnings per share ("EPS") of $13.78 - $13.98, representing growth of 17% at the midpoint. AbbVie Inc. (NYSE:ABBV) posted its earnings results on Thursday, February, 9th. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. . Investors needn't panic however - Humira's replacements are expected by AbbVie's CEO to generate even higher revenues per annum. It is important to do your own research, and remember that your decision to trade depends on your attitude to risk, your expertise in the market, the spread of your investment portfolio and how comfortable you feel about losing money. I had felt this could be an issue for Skyrizi and Rinvoq, given it is rare for a drug to be as dominant as Humira was, but although the level of competition is fierce, both drugs are more than meeting expectations, and with the entire auto-immune market worth as much as $45 - $50bn, it does seem possible that Skyrizi and Rinvoq could one day generate >$20bn revenues between them, as management hopes. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions). AT&T Inc. (T) stock forecast and price target Find the latest AT&T Inc. T analyst stock forecast, price target, and recommendation trends with in-depth analysis from research reports. Export data to Excel for your own analysis. Sales are expected to recover in H2'22, however, and forecast year-on-year growth. Trading CFDs is high risk and is not suitable for everyone. Drug development has not traditionally been one of AbbVie's strengths - it has not had to be - but we ought to see the positive results of heavy investment into the oncology pipeline over the next 5-7 years, and by 2030, I believe this division could account for >17% of AbbVie's total revenues. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. The companys original winner, Humira, is still the number one revenue source but the portfolio has been greatly expanded. In my modeling table above, I estimate Humira sales will decline by 25% between 2022 and 2023, to ~$16bn, although some of that lost revenue will be gobbled up by Skyrizi/Rinvoq. Morningstar: 2019 Morningstar, Inc. All Rights Reserved. Neuroscience looks highly promising too, and aesthetics capable of driving some respectable growth driven by old stager Botox. AbbVie Stock Forecast 2022 - 2025 - 2030 | StockForecast.com GB The shining star in the aesthetics business is Botox, which increased sales by 45% year over year to $477 million in the first quarter of 2021. Whether these factors make ABBV a good investment for you or not will depend on your portfolio composition, investment goals and risk profile, among other factors. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities. You should never invest money you cannot afford to lose. It is a Top 50 Company regarding diversification and a member of the Dow Jones Sustainability World Index and the S&P ESG Index. By creating a free account, you agree to our, In Britain, warm hubs emerge to beat soaring energy costs, In Chicago, adapting electric buses to winters challenges, Global race to boost electric vehicle range in cold weather, Ukraine ally Kallas fights for reelection in Estonia vote, Paid express lanes grow more popular in once-reluctant South, Pot vote has Oklahoma hungry to rake in green from Texas, Home Depot Stock Earnings Slide, Long Term Value Still There, AbbVie Stock Still a Solid Buy Despite Challenges, Chief Financial Officer & Executive Vice President, BREAKING: Tiny biotech successfully treats blindness, Fed's Shocking New Plan to Control Your Money. I do much more than just articles at Haggerston BioHealth: Members get access to model portfolios, regular updates, a chat room, and more. Over the next nine years, experts believe that GSK's Free Cash Flow will grow at a rate of 1.98%. The average analyst rating for AbbVie stock from 34 stock analysts is "Buy". These are Immunology, Oncology, Neurology, Virology and Eye Care. The company earns $11.84 billion in net income (profit) each year or $6.61 on an earnings per share basis. Sign in to your free account to enjoy all that MarketBeat has to offer. Neurology also looks strong although aesthetics, eye care and oncology have something to prove. I also considered the long-term outlook for a company that is still only 10 years old and is about to feel the impact of a loss of patent protection for its mega-blockbuster auto-immune drug Humira, which made $20.7bn of sales for the company in FY21, representing 37% of total revenues generated. In the last two years, GSK's Free Cash Flow has grown by 0.37%, rising from 6.76B to 6.78B. This indicates that AbbVie will be able to sustain or increase its dividend. A Warner Bros. That is a significant difference because at a forward P/E of 10x AbbVie stock looks like a solid buy opportunity, but at a P/E of 20x, when we consider the risk/challenge of Humira's LOE, prospective investors may prefer to maintain a watching brief as opposed to opening a position. Projections are based on making fundamental and technical studies of the ABBV stock price performance. Our Product Disclosure Statement (PDS) and Target Market Determination provides important information about our products and who our products are more likely to be suited to Capital.com does not provide financial or investment advice and you should seek independent advice if you are unsure of the risks or whether our products are suitable for you. The median. That was below AbbVie stock analysts' view for $14.16. AbbVie Inc. is a US-based biopharma company with global operations. AbbVie says it will pay down debt of $4bn in 2023, which will "bring cumulative debt pay down ~$34bn", but the company is heavily reliant on maintaining an investment grade rating. As with debt, if approval and revenue targets aren't met, it can quickly result in a loss of faith in the company. As per management's guidance, I am modelling for $5.7bn of revenues in 2023, with growth beginning to accelerate substantially from 2025 / 26 onwards. As we can see, AbbVie is likely to generate some impressive cash flow based on its operating margins, which begin at 32%. Although Wallet Investor did not provide targets for 2030, its longer-term Abbvie stock prediction expected the price to hit $300.386 in June 2027. (AbbVie data). The 21 analysts offering 1 year price forecasts for ABBV have a max estimate of and a min estimate of . Moreover, with surging demand, rising investments in research and development, and increasing e-pharmacy channels, the industry is well-positioned for significant growth New research suggests Depakote ingredient could have a new clinical function. Please disable your ad-blocker and refresh. Abbvie Inc quote is equal to 152.710 USD at 2023-02-27. Zscaler, Inc Plummets, Is It Time To Buy The Dip? The company is scheduled to release its next quarterly earnings announcement on Friday, May 5th 2023. Let's begin our analysis with the immunology division. If signs point to that happening I will likely be revising my target price upwards again, but I am playing it more conservative as nobody truly knows the scale of losses after the Humira LOE. MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. Skyrizi - which inhibits the activities of IL-23 - a naturally occurring cytokine that is involved in inflammatory and immune responses - and Rinvoq - a member of the janus kinase inhibitor drug class - fit this profile. AbbVie Stock Forecast 03-06-2023. 2022 Cable News Network. AbbVie probably does not want to be recognized as simply an immunology giant however, it wants to be substantially more diversified and like all major Pharma's it has a strong long-term focus on oncology. According to AbbVie CEO Rick Gonzalez, speaking on the Q2'22 earnings call, "Skyrizi's total prescription share of the U.S. biological market (in psoriasis) has increased to approximately 26%", and". This has been in spite of a string of macroeconomic headwinds such as the ongoing Russia-Ukraine war that has contributed to record high inflation in the US and the UK, and the companys psoriatic arthritis drug Adalimumab, known as Humira, facing biosimilar rivals in the US from 2023. This rating has held steady since February, when it was unchanged from a Buy rating.Move your mouse over pastmonths for detail. According to analysts' consensus price target of $161.12, AbbVie has a forecasted upside of 3.2% from its current price of $156.06. The average Abbvie stock price prediction forecasts a potential upside of 7.07% from the current ABBV share price of $155.27. Price target. In other words, management believes the LOE of Humira - despite it being the world's best-selling drug - will not hinder growth at the company. Insiders that own company stock include Azita Saleki-Gerhardt, Brian L Durkin, Carlos Alban, Carrie C Strom, Carrie C Strom, Elaine K Sorg, Henry O Gosebruch, Jeffrey Ryan Stewart, Laura J Schumacher, Michael Severino, Perry C Siatis, Richard A Gonzalez, Robert A Michael, Roxanne S Austin, Scott T Reents, Timothy J Richmond and Timothy J Richmond. I am not receiving compensation for it (other than from Seeking Alpha). I wrote this article myself, and it expresses my own opinions. The development of these 2 drugs has been very quick by drug development standards, and to date both have performed exceptionally well. (AbbVie JPM Healthcare conference presentation). The S&P 500 (US500) lost 9.1%, the Dow Jones (US30) slid 9.7%, and the Nasdaq Composite fell 23% during the same period. As I have mentioned in previous notes, however, the gains owe more to price hikes than sales volumes, and come 2023 and the LOE, even AbbVie admits the blow to revenues will be substantial. Today, AbbVie operates as a diversified multi-national pharmaceutical company with a patient-centric approach to research. Pessimistic target level: 151.42 Optimistic target level: 154.48 ABBV (ABBV) Monthly Stock Prediction for 2023 Full forecast for 2023 AbbVie forecast for this year The fact that my own forecasts are less ambitious than management's reflects the fact I have not introduced new products into my forecasts, and it will be interesting to see how management performs on that front as AbbVie has not really had to have a string pipeline while Humira has delivered such dominance in the auto-immune markets. AbbVie CEO Gonzalez told the audience at the JPM Healthcare conference that: We now have a little over 90% access for next year for Humira at parity. Other approved ADC's targeting the c-Met protein, a validated target in NSCLC, include Novartis Tabrecta, which has been pegged for peak sales of ~$1.5bn, which seems a realistic target for Teliso given how large the lung cancer market is - the largest of all oncology markets. In my model I have then reduced revenues by 20% between 2024 - 2026, and then by 10% per annum between 2027 - 2030. I am not receiving compensation for it (other than from Seeking Alpha). Revance Therapeutics gapped up 54.34% on January 9, and built upon those gains in February. Their ABBV share price forecasts range from $140.00 to $200.00. Please log in to your account or sign up in order to add this asset to your watchlist. Management are very optimistic on Vraylar, with Gonzalez describing it as "now the only antipsychotic that is a dopamine and serotonin partial agonist approved for the treatment of the most common forms of depression, Bipolar 1 and MDD" and targeting >$5bn peak sales. Although investing in AbbVie isn't riskless, it is advisable based on what we know about the company. There are currently 9 hold ratings and 7 buy ratings for the stock. Their ABBV share price forecasts range from $140.00 to $200.00. Payout ratios above 75% are not desirable because they may not be sustainable. AbbVie (NYSE:ABBV) pays an annual dividend of $5.92 per share and currently has a dividend yield of 3.83%. What is Richard A. Gonzalez's approval rating as AbbVie's CEO? Compare Top Brokerages Here. Find the latest AbbVie Inc. (ABBV) stock quote, history, news and other vital information to help you with your stock trading and investing. AbbVie stock forecast 2022 - 2025 - 2030 with analysis AbbVie stock stood at $162.110000610352 on 2022-03-31. forecast for 2023 is $159.42, forecast for 2024 is $156.65, forecast for 2025 is $139.68, forecast for 2026 is $124.48, AbbVie updated its FY 2024 earnings guidance on Friday, February, 10th. Our first quarter results highlight the diversity of our portfolio and include compelling performance from key growth drivers Skyrizi, Rinvoq, Aesthetics and Neuroscience. What that means is, essentially it will be on formulary with biosimilars, but there won't be any difference between the biosimilar and Humira from a co-pay standpoint or any kind of a step editing. As we look beyond 2025, we expect combined sales for Skyrizi and Rinvoq to exceed the peak revenues achieved by Humira, which was more than $21 billion. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. Neuroscience is one of AbbVie's most intriguing divisions and perhaps the hardest to model. Skyrizi is a collaboration between Boehringer Ingelheim and AbbVie, with AbbVie leading development and commercialisation globally. Investors do not seem to be taking the bait, however, as AbbVie's share price has slipped by >7% across the past month, and >5% across the past 5 days. And never invest or trade money you cannot afford to lose. A AbbVie Inc. (NYSE:ABBV) insider lowered their holding by 87% earlier this year, These 2 Dividend Stocks Could Be a Great Addition to Your Income Portfolio, AbbVie Can Write Diversified Growth Story Without Humira, Rest Of The Business Has Strength, Analyst Says, AbbVie (NYSE:ABBV) Receives New Coverage from Analysts at Guggenheim, AbbVie to Present at the Cowen 43rd Annual Health Care Conference, AbbVie Receives Positive CHMP Opinion for Upadacitinib (RINVOQ) for the Treatment of Adults with Moderate to Severe Crohn's Disease, AbbVie Highlights Robust Gastroenterology Portfolio with New Analyses and Data in Inflammatory Bowel Diseases at the 18th Congress of European Crohn's and Colitis Organisation (ECCO), 3 Stocks to Buy Right Now That Are Cash Cows, The painfully high price of Humira is patently wrong, AbbVie Inc. (NYSE:ABBV) SVP Sells $4,310,832.64 in Stock, StockNews.com Upgrades AbbVie (NYSE:ABBV) to "Strong-Buy", AbbVie Inc. (NYSE:ABBV) Director Sells $1,505,000.00 in Stock, Azita Saleki-Gerhardt Sells 25,000 Shares of AbbVie Inc. (NYSE:ABBV) Stock, AbbVie and Capsida Biotherapeutics Expand Strategic Collaboration to Develop Targeted Genetic Medicines for Eye Diseases with High Unmet Need, view top-rated stocks among Wall Street analysts, 1 NORTH WAUKEGAN ROAD, NORTH CHICAGO IL, 60064. With the Hughes Optioneering Strategy, youll soon learn that the safest option for new accounts is options themselves! The company reported its first revenue for Botox competitor Daxxify. It is in business to discover, develop, manufacture and market pharmaceuticals globally but in a way that best serves the needs of patients and the global community. AbbVie could be the biggest global Pharma by revenue generation in 2028. Among its many positions is sustainable operations so it can deliver life-changing therapies to those who need them most. I have no business relationship with any company whose stock is mentioned in this article. I have plugged my revenue expectations into this table knowing that they closely match AbbVie management's own expectations based on what they have said in public. Get daily stock ideas from top-performing Wall Street analysts. Bringing RGX314 would be a coup for AbbVie although I am forecasting for only $2bn in peak revenues in 2030 as a hedge against the risk that this candidate does not make it to market on safety grounds. Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: You have already added five stocks to your watchlist. 164.71 0.00 0.00%. As of February 15th, there was short interest totaling 11,710,000 shares, an increase of 13.7% from the January 31st total of 10,300,000 shares. It had an upside potential of 4.76%, based on the closing price of $152.49 on 29 June. In most cases, trials are underway for multiple indications, including some therapies that have already been approved for 1 or more conditions. contact@marketbeat.com The five-year dividend growth rate is just below 18%. The company issued revenue guidance of -. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. Read our dividend analysis for ABBV. With no LOEs on the horizon, it is relatively plain sailing for the company ex-Humira, and the performance of Skyrizi and Rinvoq - to date at least - suggests management does have this massive patent cliff covered. And with a dividend yield of 4.9%, AbbVie is quite attractive for investors yearning for . Having dived into the numbers however and looked ahead to 2030 through the eyes and guidance of management, my conclusion is that investors can probably buy AbbVie stock at current price with reasonably high hopes of making a decent ROI - perhaps 15 - 20% in the next 12 - 18 months, whilst also benefiting from a generous dividend. A major reason behind Abbvies stellar performance amid the ongoing economic crises is the resolution of the companys Humira (adalimumab) litigation with Alvotech in March 2022. As we can see, sales of Humira are still climbing, with losses in Europe - where revenues fell by 14% to $699m - offset by growth in the US, to $4.7bn, up 10% year-on-year. A hold rating indicates that analysts believe investors should maintain any existing positions they have in ABBV, but not buy additional shares or sell existing shares. on the strength of its future rather than present portfolio. See AbbVie Inc. (ABBV) stock analyst estimates, including earnings and revenue, EPS, upgrades and downgrades. Not only do these companies pay handsome dividends, they typically grow revenues every year and generate wide profit margins which leads to share price upside. In general, it is important to pay attention to trends, both in the overall market and in the specific sector that a company is in. Data from two Phase 3 induction studies and one maintenance study supported the approval. Please disable your ad-blocker and refresh. The major market events for the week ahead right in your inbox. According to 34 stock analysts, the average 12-month stock price forecast for AbbVie stock is $166.14, which predicts an increase of 7.62%. On average, they expect the company's stock price to reach $161.12 in the next twelve months. All Rights Reserved. ABBV has several positive factors pushing its price performance. On average, they predict the company's stock price to reach $161.12 in the next year. As we can see, as per management's guidance revenues fall between 2022 and 2023, before recovering and growing in each year after. Ever since its split from Abbott Laboratories (ABT) in 2012 AbbVie (NYSE:ABBV) has delivered strong returns for investors - its stock price having risen overall from $30, to $149 per share at the time of writing - trading down slightly from its all-time high of >$160 achieved in early December last year. Disclosure: I/we have a beneficial long position in the shares of ABBV, BMY either through stock ownership, options, or other derivatives. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. American biopharmaceutical company Abbvie (ABBV) has surged nearly 13% year to date (YTD), and 35% year-over-year (YOY), as of 30 June. The firm earned $15.12 billion during the quarter, compared to the consensus estimate of $15.30 billion. The company employs 50,000 workers across the globe. Other products such as Mavyret and Creon appear to have many more years of blockbuster sales ahead of them, although it is interesting to note that AbbVie no longer reports revenues from its Women's Health division, and scarcely mentions it. target price for AbbVie stock based on DCF / EBITDA multiple analysis (my table and assumptions). I will conclude this analysis by stating that, based on all available information, market headwinds and tailwinds, competitors, and opportunities via its products and pipeline, I still consider AbbVie to be a strong investment opportunity. ABBV-916 is therefore a real opportunity for AbbVie to develop a more effective and safer drug in the same class and claim a sizeable share of a 6m patient market. I have not managed to match management's ambitious high-single-digit growth figures from 2025 - 2023, despite anticipating 6% growth for nearly all products in that period. While some of the gains are due to investor perception that it is a strong company, some view ABBV as a defensive stock, with most of the other stocks in the sector also doing well. The company provided earnings per share (EPS) guidance of $10.70- for the period. Different trading strategies will suit different investment goals with short or long-term focus. As of 2022, AbbVie employed more than 50,000 people globally with 21,000 in STEM-related positions. Factset: FactSet Research Systems Inc.2019. At their peak, according to a slide from AbbVie's presentation at the JPMorgan (JPM), these 2 drugs are expected to generate more revenues than Humira at its peak. Johnson & Johnson Free Cash Flow Forecast for 2023 - 2025 - 2030. The company projects the U.S. toxin market (where Botox is the top product) will decline by mid-single digits. GSK Free Cash Flow Forecast for 2023 - 2025 - 2030. Receive ABBV Stock News and Ratings via Email. Skyrizi has also been approved to treat Crohn's Disease, an added bonus and another multi-billion dollar market. Having so much debt in a prevailing inflationary environment is also unattractive. Any company is likely to struggle if sales of its best-selling asset begin to decline by ~20% per annum, which is traditionally the rate at which patent expired drugs' sales slip, but when the drug in question accounts for >35% of a company's sales, as Humira does, the situation becomes even more serious. View the latest news, buy/sell ratings, SEC filings and insider transactions for your stocks. If you have an ad-blocker enabled you may be blocked from proceeding. AbbVie is a leader in ESG and sustainability. What guidance has AbbVie issued on next quarter's earnings? I/we have a beneficial long position in the shares of BMY, GILD, ABBV either through stock ownership, options, or other derivatives. The company may not generate as much excitement as some of the other members of the "Big 8" - most notably Eli Lilly and its weight loss franchise, but the path to revenue growth, expanding margins and a growing share price is clear. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. View which stocks are hot on social media with MarketBeat's trending stocks report. Pharmaceuticals are often valued based on a philosophy of "jam tomorrow" as opposed to jam today i.e. Retail sales were up but so was inflation which meant more volatility for stocks. I'll also share some a forward income statement and discounted cash flow analysis that suggests the present value of AbbVie shares ought to trade as high as $176, implying that shares are presently discounted by as much as 18% to their true worth. In the past I have written about the high level of competition between major Pharma in the auto-immune space - for example, for Psoriatic Arthritis the list of approved drugs includes Humira, UCB Pharma's Cimzia, Amgen's Enbrel, Johnson & Johnson's (JNJ) Stelara, Eli Lilly's (LLY) Talzt, Novartis' (NVS) Cosentyx and Bristol-Myers Squibb's (BMY) Orencia. That same month, the FDA extended the review period for Skyrizi (risankizumab), a treatment drug for moderate to severe Crohns disease in patients aged 16 and older. AbbVie made the bold decision to take on a heavy debt load and bid for Allergan, with the deal being completed in 2020. Furthermore, it seems sales of Lupron and Synthroid have joined the "All Other" section, which has generated $2.2bn of revenues in the first half of 2022, versus $1.5bn in the first half of 2021. I write about Biotech, Pharma and Healthcare stocks and share investment tips. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Past performance is no guarantee of future results. Multidrug Resistant Bacteria Treatment Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2030) Published: March 2, 2023 at 2:55 a.m. Abbvie stock price has put up an impressive performance in 2022. I am using a weighted average cost of capital of ~10%, which is broadly consistent with the figure I use when modelling for the other 7 members of what I term the "Big 8" US Pharmas - Johnson & Johnson, Eli Lilly, Pfizer, Merck & Co (MRK), Bristol Myers Squibb, Amgen, and Gilead Sciences (GILD) - which helps prove the accuracy of the calculation. Gene therapies have been a long time coming, having first been popularized in the early noughties. Read our dividend analysis for ABBV. The companys full-year adjusted diluted EPS guidance excluded any impact from acquired IPR&D and milestones that may be incurred beyond the first quarter of the year, as both cannot be reliably forecasted.
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