ABT:NYSEAbbott Laboratories Analysis
Data as of 2026-03-09 - not real-time
$112.65
Latest Price
5/10Risk
Risk Level: Medium
Executive Summary
Abbott Laboratories is trading at $112.65, well above its DCF fair value of $57.53, indicating a significant overvaluation. The stock sits below its 20‑day SMA (113.12) and 50‑day SMA (116.15), with a bearish MACD histogram and a neutral RSI at 47, signaling short‑term downside pressure. A recent profit warning highlighted earnings below expectations, adding to the technical weakness, while the 30‑day volatility of 21.6% and a max drawdown of 23% underscore heightened price swings.
Despite these near‑term challenges, the company boasts a solid 4.4% revenue growth, robust operating cash flow of $9.57 B, and a sustainable dividend yield of 2.3% with a payout ratio of 63%. Its low beta (~0.25) and defensive healthcare sector positioning reduce systematic risk, and analysts maintain a “buy” consensus with a median target of $135, reflecting confidence in long‑term growth and cash generation.
Despite these near‑term challenges, the company boasts a solid 4.4% revenue growth, robust operating cash flow of $9.57 B, and a sustainable dividend yield of 2.3% with a payout ratio of 63%. Its low beta (~0.25) and defensive healthcare sector positioning reduce systematic risk, and analysts maintain a “buy” consensus with a median target of $135, reflecting confidence in long‑term growth and cash generation.
Market Outlook
Short Term
< 1 yearCautious
Model confidence: 7/10
Key Factors
- Profit warning and earnings miss
- Bearish technical indicators (price below SMA20, MACD bearish)
- Current price far exceeds DCF fair value
Medium Term
1–3 yearsNeutral
Model confidence: 6/10
Key Factors
- Strong cash flow and sustainable dividend
- Analyst consensus remains bullish with upside potential
- Valuation gap may narrow as market re‑prices fundamentals
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- Diversified product portfolio across pharmaceuticals, diagnostics, nutrition, and devices
- Consistent revenue growth and solid ROE
- Attractive dividend yield and low beta for defensive positioning
Key Metrics & Analysis
Financial Health
Revenue Growth4.40%
Profit Margin14.72%
P/E Ratio30.2
ROE12.96%
ROA6.63%
Debt/Equity26.79
P/B Ratio3.8
Op. Cash Flow$9.6B
Free Cash Flow$6.3B
Industry P/E25.4
Technical Analysis
TrendBearish
RSI47.3
Support$108.34
Resistance$116.82
MA 20$113.12
MA 50$116.15
MA 200$126.76
MACDBearish
VolumeStable
Fear & Greed Index100
Valuation
Fair Value$57.53
Target Price$133.39
Upside/Downside18.41%
GradeOvervalued
TypeGrowth
Dividend Yield2.30%
Risk Assessment
Beta0.25
Volatility21.62%
Sector RiskLow
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskLow
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.