ABBVIE INC (1ABBV.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ABBV - US00287Y1091 - Common Stock
189.6 EUR
+2.8 (+1.5%)
We assign a fundamental rating of 5 out of 10 to 1ABBV. 1ABBV was compared to 83 industry peers in the Biotechnology industry. While 1ABBV is still in line with the averages on profitability rating, there are concerns on its financial health. 1ABBV has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year 1ABBV was profitable.
1ABBV had a positive operating cash flow in the past year.
In the past 5 years 1ABBV has always been profitable.
Each year in the past 5 years 1ABBV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.75%, 1ABBV is in the better half of the industry, outperforming 74.70% of the companies in the same industry.
1ABBV has a better Return On Invested Capital (15.64%) than 90.36% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1ABBV is in line with the industry average of 12.74%.
The last Return On Invested Capital (15.64%) for 1ABBV is above the 3 year average (13.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.75% | ||
| ROE | N/A | ||
| ROIC | 15.64% |
ROA(3y)5.07%
ROA(5y)5.21%
ROE(3y)80.76%
ROE(5y)70.31%
ROIC(3y)13.67%
ROIC(5y)12.68%
1.3 Margins
1ABBV's Profit Margin of 3.94% is fine compared to the rest of the industry. 1ABBV outperforms 78.31% of its industry peers.
1ABBV's Profit Margin has declined in the last couple of years.
1ABBV's Operating Margin of 33.05% is amongst the best of the industry. 1ABBV outperforms 87.95% of its industry peers.
In the last couple of years the Operating Margin of 1ABBV has declined.
Looking at the Gross Margin, with a value of 71.16%, 1ABBV is in the better half of the industry, outperforming 61.45% of the companies in the same industry.
1ABBV's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.05% | ||
| PM (TTM) | 3.94% | ||
| GM | 71.16% |
OM growth 3Y-5.46%
OM growth 5Y-6.52%
PM growth 3Y-28.3%
PM growth 5Y-20.42%
GM growth 3Y0.39%
GM growth 5Y-1.92%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1ABBV is creating value.
1ABBV has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1ABBV has more shares outstanding
Compared to 1 year ago, 1ABBV has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.41 indicates that 1ABBV is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.41, 1ABBV is doing good in the industry, outperforming 69.88% of the companies in the same industry.
The Debt to FCF ratio of 1ABBV is 3.49, which is a good value as it means it would take 1ABBV, 3.49 years of fcf income to pay off all of its debts.
1ABBV's Debt to FCF ratio of 3.49 is amongst the best of the industry. 1ABBV outperforms 80.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 2.41 |
ROIC/WACC1.88
WACC8.31%
2.3 Liquidity
1ABBV has a Current Ratio of 0.72. This is a bad value and indicates that 1ABBV is not financially healthy enough and could expect problems in meeting its short term obligations.
1ABBV's Current ratio of 0.72 is on the low side compared to the rest of the industry. 1ABBV is outperformed by 77.11% of its industry peers.
1ABBV has a Quick Ratio of 0.72. This is a bad value and indicates that 1ABBV is not financially healthy enough and could expect problems in meeting its short term obligations.
1ABBV has a Quick ratio of 0.60. This is in the lower half of the industry: 1ABBV underperforms 77.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for 1ABBV have decreased strongly by -12.09% in the last year.
The Earnings Per Share has been growing slightly by 2.51% on average over the past years.
1ABBV shows a small growth in Revenue. In the last year, the Revenue has grown by 7.40%.
1ABBV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.11% yearly.
EPS 1Y (TTM)-12.09%
EPS 3Y-7.24%
EPS 5Y2.51%
EPS Q2Q%-38%
Revenue 1Y (TTM)7.4%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%9.1%
3.2 Future
The Earnings Per Share is expected to grow by 13.69% on average over the next years. This is quite good.
Based on estimates for the next years, 1ABBV will show a small growth in Revenue. The Revenue will grow by 7.42% on average per year.
EPS Next Y7.28%
EPS Next 2Y19.81%
EPS Next 3Y16.75%
EPS Next 5Y13.69%
Revenue Next Year8.73%
Revenue Next 2Y9.07%
Revenue Next 3Y8.57%
Revenue Next 5Y7.42%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 23.47 indicates a rather expensive valuation of 1ABBV.
Based on the Price/Earnings ratio, 1ABBV is valued cheaply inside the industry as 80.72% of the companies are valued more expensively.
1ABBV's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.25.
Based on the Price/Forward Earnings ratio of 15.26, the valuation of 1ABBV can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ABBV indicates a rather cheap valuation: 1ABBV is cheaper than 90.36% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of 1ABBV to the average of the S&P500 Index (23.98), we can say 1ABBV is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.47 | ||
| Fwd PE | 15.26 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1ABBV indicates a somewhat cheap valuation: 1ABBV is cheaper than 78.31% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1ABBV indicates a rather cheap valuation: 1ABBV is cheaper than 86.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.9 | ||
| EV/EBITDA | 16.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1ABBV does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1ABBV may justify a higher PE ratio.
A more expensive valuation may be justified as 1ABBV's earnings are expected to grow with 16.75% in the coming years.
PEG (NY)3.22
PEG (5Y)9.35
EPS Next 2Y19.81%
EPS Next 3Y16.75%
5. Dividend
5.1 Amount
1ABBV has a Yearly Dividend Yield of 3.09%.
1ABBV's Dividend Yield is rather good when compared to the industry average which is at 0.76. 1ABBV pays more dividend than 97.59% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.92, 1ABBV pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
On average, the dividend of 1ABBV grows each year by 7.72%, which is quite nice.
Dividend Growth(5Y)7.72%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1ABBV pays out 489.69% of its income as dividend. This is not a sustainable payout ratio.
1ABBV's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP489.69%
EPS Next 2Y19.81%
EPS Next 3Y16.75%
BIT:1ABBV (1/6/2026, 7:00:00 PM)
189.6
+2.8 (+1.5%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners74.96%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap335.10B
Revenue(TTM)59.64B
Net Income(TTM)2.35B
Analysts77.89
Price Target213.47 (12.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend5.32
Dividend Growth(5Y)7.72%
DP489.69%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.85%
Min EPS beat(2)0.95%
Max EPS beat(2)2.75%
EPS beat(4)4
Avg EPS beat(4)1.21%
Min EPS beat(4)0.02%
Max EPS beat(4)2.75%
EPS beat(8)7
Avg EPS beat(8)0.95%
EPS beat(12)9
Avg EPS beat(12)0.65%
EPS beat(16)11
Avg EPS beat(16)0.49%
Revenue beat(2)1
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-0.79%
Max Revenue beat(2)0.63%
Revenue beat(4)2
Avg Revenue beat(4)0.22%
Min Revenue beat(4)-0.79%
Max Revenue beat(4)1.23%
Revenue beat(8)4
Avg Revenue beat(8)0.31%
Revenue beat(12)5
Avg Revenue beat(12)-0.17%
Revenue beat(16)5
Avg Revenue beat(16)-0.74%
PT rev (1m)7.91%
PT rev (3m)13.23%
EPS NQ rev (1m)0.85%
EPS NQ rev (3m)0.63%
EPS NY rev (1m)1.03%
EPS NY rev (3m)-11.53%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)0.52%
Revenue NY rev (1m)0.46%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.47 | ||
| Fwd PE | 15.26 | ||
| P/S | 6.57 | ||
| P/FCF | 19.9 | ||
| P/OCF | 18.78 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.13 |
EPS(TTM)8.08
EY4.26%
EPS(NY)12.42
Fwd EY6.55%
FCF(TTM)9.53
FCFY5.02%
OCF(TTM)10.09
OCFY5.32%
SpS28.86
BVpS-1.28
TBVpS-44.8
PEG (NY)3.22
PEG (5Y)9.35
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.75% | ||
| ROE | N/A | ||
| ROCE | 20.86% | ||
| ROIC | 15.64% | ||
| ROICexc | 16.59% | ||
| ROICexgc | 572.43% | ||
| OM | 33.05% | ||
| PM (TTM) | 3.94% | ||
| GM | 71.16% | ||
| FCFM | 33% |
ROA(3y)5.07%
ROA(5y)5.21%
ROE(3y)80.76%
ROE(5y)70.31%
ROIC(3y)13.67%
ROIC(5y)12.68%
ROICexc(3y)15.06%
ROICexc(5y)13.91%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.54%
ROCE(5y)16.27%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-1.81%
ROICexc growth 5Y-14.87%
OM growth 3Y-5.46%
OM growth 5Y-6.52%
PM growth 3Y-28.3%
PM growth 5Y-20.42%
GM growth 3Y0.39%
GM growth 5Y-1.92%
F-Score7
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.49 | ||
| Debt/EBITDA | 2.39 | ||
| Cap/Depr | 14.25% | ||
| Cap/Sales | 1.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.59% | ||
| Profit Quality | 838.33% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 2.41 |
F-Score7
WACC8.31%
ROIC/WACC1.88
Cap/Depr(3y)9.59%
Cap/Depr(5y)10.06%
Cap/Sales(3y)1.45%
Cap/Sales(5y)1.5%
Profit Quality(3y)361.43%
Profit Quality(5y)328.91%
High Growth Momentum
Growth
EPS 1Y (TTM)-12.09%
EPS 3Y-7.24%
EPS 5Y2.51%
EPS Q2Q%-38%
EPS Next Y7.28%
EPS Next 2Y19.81%
EPS Next 3Y16.75%
EPS Next 5Y13.69%
Revenue 1Y (TTM)7.4%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%9.1%
Revenue Next Year8.73%
Revenue Next 2Y9.07%
Revenue Next 3Y8.57%
Revenue Next 5Y7.42%
EBIT growth 1Y27.38%
EBIT growth 3Y-5.38%
EBIT growth 5Y3.87%
EBIT Next Year9.29%
EBIT Next 3Y15.46%
EBIT Next 5Y11.36%
FCF growth 1Y-20.4%
FCF growth 3Y-6.75%
FCF growth 5Y6.9%
OCF growth 1Y-18.24%
OCF growth 3Y-6.19%
OCF growth 5Y7.14%
ABBVIE INC / 1ABBV.MI FAQ
Can you provide the ChartMill fundamental rating for ABBVIE INC?
ChartMill assigns a fundamental rating of 5 / 10 to 1ABBV.MI.
What is the valuation status of ABBVIE INC (1ABBV.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to ABBVIE INC (1ABBV.MI). This can be considered as Fairly Valued.
What is the profitability of 1ABBV stock?
ABBVIE INC (1ABBV.MI) has a profitability rating of 6 / 10.
What is the valuation of ABBVIE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ABBVIE INC (1ABBV.MI) is 23.47 and the Price/Book (PB) ratio is -148.29.
Can you provide the dividend sustainability for 1ABBV stock?
The dividend rating of ABBVIE INC (1ABBV.MI) is 6 / 10 and the dividend payout ratio is 489.69%.