ABBVIE INC (ABBV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ABBV - US00287Y1091 - Common Stock
224.39 USD
+0.26 (+0.12%)
Taking everything into account, ABBV scores 5 out of 10 in our fundamental rating. ABBV was compared to 530 industry peers in the Biotechnology industry. While ABBV belongs to the best of the industry regarding profitability, there are concerns on its financial health. ABBV is not valued too expensively and it also shows a decent growth rate. Finally ABBV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ABBV had positive earnings in the past year.
In the past year ABBV had a positive cash flow from operations.
Each year in the past 5 years ABBV has been profitable.
Each year in the past 5 years ABBV had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 1.75%, ABBV belongs to the best of the industry, outperforming 88.87% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 15.64%, ABBV belongs to the top of the industry, outperforming 96.23% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ABBV is below the industry average of 18.28%.
The last Return On Invested Capital (15.64%) for ABBV 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
Looking at the Profit Margin, with a value of 3.94%, ABBV belongs to the top of the industry, outperforming 89.06% of the companies in the same industry.
In the last couple of years the Profit Margin of ABBV has declined.
With an excellent Operating Margin value of 33.05%, ABBV belongs to the best of the industry, outperforming 96.98% of the companies in the same industry.
In the last couple of years the Operating Margin of ABBV has declined.
ABBV has a better Gross Margin (71.16%) than 82.08% of its industry peers.
In the last couple of years the Gross Margin of ABBV has declined.
| 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
ABBV has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for ABBV remains at a similar level compared to 1 year ago.
The number of shares outstanding for ABBV has been increased compared to 5 years ago.
The debt/assets ratio for ABBV is higher compared to a year ago.
2.2 Solvency
ABBV has an Altman-Z score of 2.43. This is not the best score and indicates that ABBV is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.43, ABBV is doing good in the industry, outperforming 67.17% of the companies in the same industry.
ABBV has a debt to FCF ratio of 3.49. This is a good value and a sign of high solvency as ABBV would need 3.49 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.49, ABBV belongs to the best of the industry, outperforming 92.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 2.43 |
ROIC/WACC1.87
WACC8.37%
2.3 Liquidity
A Current Ratio of 0.72 indicates that ABBV may have some problems paying its short term obligations.
ABBV has a Current ratio of 0.72. This is amonst the worse of the industry: ABBV underperforms 88.11% of its industry peers.
A Quick Ratio of 0.60 indicates that ABBV may have some problems paying its short term obligations.
ABBV has a worse Quick ratio (0.60) than 88.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
ABBV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -12.09%.
ABBV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.51% yearly.
ABBV shows a small growth in Revenue. In the last year, the Revenue has grown by 7.40%.
ABBV 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
ABBV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.69% yearly.
The Revenue is expected to grow by 7.42% on average over the next years.
EPS Next Y7.3%
EPS Next 2Y19.85%
EPS Next 3Y16.87%
EPS Next 5Y13.69%
Revenue Next Year8.74%
Revenue Next 2Y9.13%
Revenue Next 3Y8.7%
Revenue Next 5Y7.42%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
With a Price/Earnings ratio of 23.74, ABBV is valued on the expensive side.
ABBV's Price/Earnings ratio is rather cheap when compared to the industry. ABBV is cheaper than 93.96% of the companies in the same industry.
ABBV's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.00.
The Price/Forward Earnings ratio is 15.44, which indicates a correct valuation of ABBV.
ABBV's Price/Forward Earnings ratio is rather cheap when compared to the industry. ABBV is cheaper than 95.85% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, ABBV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.74 | ||
| Fwd PE | 15.44 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ABBV is valued cheaper than 94.53% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ABBV indicates a rather cheap valuation: ABBV is cheaper than 95.66% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.15 | ||
| EV/EBITDA | 16.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ABBV does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ABBV may justify a higher PE ratio.
A more expensive valuation may be justified as ABBV's earnings are expected to grow with 16.87% in the coming years.
PEG (NY)3.25
PEG (5Y)9.46
EPS Next 2Y19.85%
EPS Next 3Y16.87%
5. Dividend
5.1 Amount
ABBV has a Yearly Dividend Yield of 3.03%. Purely for dividend investing, there may be better candidates out there.
ABBV's Dividend Yield is rather good when compared to the industry average which is at 1.20. ABBV pays more dividend than 98.87% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.94, ABBV pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
5.2 History
On average, the dividend of ABBV grows each year by 7.72%, which is quite nice.
ABBV has been paying a dividend for at least 10 years, so it has a reliable track record.
ABBV has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.72%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
489.69% of the earnings are spent on dividend by ABBV. This is not a sustainable payout ratio.
ABBV's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP489.69%
EPS Next 2Y19.85%
EPS Next 3Y16.87%
NYSE:ABBV (1/9/2026, 9:57:08 AM)
224.39
+0.26 (+0.12%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners75.04%
Inst Owner Change0%
Ins Owners0.05%
Ins Owner Change-0.57%
Market Cap396.58B
Revenue(TTM)59.64B
Net Income(TTM)2.35B
Analysts77.89
Price Target249.74 (11.3%)
Short Float %1.02%
Short Ratio3.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
Yearly Dividend6.24
Dividend Growth(5Y)7.72%
DP489.69%
Div Incr Years11
Div Non Decr Years11
Ex-Date
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)0.46%
PT rev (3m)7.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.79%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-11.46%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.74 | ||
| Fwd PE | 15.44 | ||
| P/S | 6.65 | ||
| P/FCF | 20.15 | ||
| P/OCF | 19.01 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.28 |
EPS(TTM)9.45
EY4.21%
EPS(NY)14.54
Fwd EY6.48%
FCF(TTM)11.14
FCFY4.96%
OCF(TTM)11.8
OCFY5.26%
SpS33.75
BVpS-1.49
TBVpS-52.38
PEG (NY)3.25
PEG (5Y)9.46
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 | 2.43 |
F-Score7
WACC8.37%
ROIC/WACC1.87
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 Y7.3%
EPS Next 2Y19.85%
EPS Next 3Y16.87%
EPS Next 5Y13.69%
Revenue 1Y (TTM)7.4%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%9.1%
Revenue Next Year8.74%
Revenue Next 2Y9.13%
Revenue Next 3Y8.7%
Revenue Next 5Y7.42%
EBIT growth 1Y27.38%
EBIT growth 3Y-5.38%
EBIT growth 5Y3.87%
EBIT Next Year9.3%
EBIT Next 3Y15.61%
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 / ABBV FAQ
Can you provide the ChartMill fundamental rating for ABBVIE INC?
ChartMill assigns a fundamental rating of 5 / 10 to ABBV.
What is the valuation status of ABBVIE INC (ABBV) stock?
ChartMill assigns a valuation rating of 6 / 10 to ABBVIE INC (ABBV). This can be considered as Fairly Valued.
Can you provide the profitability details for ABBVIE INC?
ABBVIE INC (ABBV) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for ABBV stock?
The Price/Earnings (PE) ratio for ABBVIE INC (ABBV) is 23.74 and the Price/Book (PB) ratio is -150.11.
What is the expected EPS growth for ABBVIE INC (ABBV) stock?
The Earnings per Share (EPS) of ABBVIE INC (ABBV) is expected to grow by 7.3% in the next year.