ABBOTT LABORATORIES (ABL.DE) Stock Fundamental Analysis
FRA:ABL - Deutsche Boerse Ag - US0028241000 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to ABL. ABL was compared to 57 industry peers in the Health Care Equipment & Supplies industry. ABL gets an excellent profitability rating and is at the same time showing great financial health properties. ABL has a decent growth rate and is not valued too expensively. These ratings would make ABL suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year ABL was profitable.
ABL had a positive operating cash flow in the past year.
Each year in the past 5 years ABL has been profitable.
Each year in the past 5 years ABL had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 16.58%, ABL belongs to the best of the industry, outperforming 92.98% of the companies in the same industry.
ABL has a Return On Equity of 27.66%. This is amongst the best in the industry. ABL outperforms 96.49% of its industry peers.
ABL's Return On Invested Capital of 9.27% is fine compared to the rest of the industry. ABL outperforms 77.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ABL is above the industry average of 8.12%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.58% | ||
| ROE | 27.66% | ||
| ROIC | 9.27% |
ROA(3y)11.2%
ROA(5y)9.84%
ROE(3y)20.61%
ROE(5y)19.06%
ROIC(3y)10.45%
ROIC(5y)10.18%
1.3 Margins
ABL has a Profit Margin of 31.89%. This is amongst the best in the industry. ABL outperforms 98.25% of its industry peers.
ABL's Profit Margin has improved in the last couple of years.
ABL has a better Operating Margin (17.45%) than 80.70% of its industry peers.
ABL's Operating Margin has improved in the last couple of years.
ABL has a Gross Margin of 56.10%. This is comparable to the rest of the industry: ABL outperforms 54.39% of its industry peers.
In the last couple of years the Gross Margin of ABL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.45% | ||
| PM (TTM) | 31.89% | ||
| GM | 56.1% |
OM growth 3Y-5.79%
OM growth 5Y2.63%
PM growth 3Y24.85%
PM growth 5Y22.55%
GM growth 3Y-0.89%
GM growth 5Y-1.07%
2. Health
2.1 Basic Checks
ABL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
ABL has about the same amout of shares outstanding than it did 1 year ago.
ABL has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ABL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.02 indicates that ABL is not in any danger for bankruptcy at the moment.
The Altman-Z score of ABL (6.02) is better than 87.72% of its industry peers.
ABL has a debt to FCF ratio of 1.99. This is a very positive value and a sign of high solvency as it would only need 1.99 years to pay back of all of its debts.
ABL has a better Debt to FCF ratio (1.99) than 84.21% of its industry peers.
A Debt/Equity ratio of 0.26 indicates that ABL is not too dependend on debt financing.
ABL has a Debt to Equity ratio (0.26) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.99 | ||
| Altman-Z | 6.02 |
ROIC/WACC1.07
WACC8.7%
2.3 Liquidity
ABL has a Current Ratio of 1.78. This is a normal value and indicates that ABL is financially healthy and should not expect problems in meeting its short term obligations.
ABL has a Current ratio of 1.78. This is comparable to the rest of the industry: ABL outperforms 47.37% of its industry peers.
ABL has a Quick Ratio of 1.27. This is a normal value and indicates that ABL is financially healthy and should not expect problems in meeting its short term obligations.
ABL has a Quick ratio (1.27) which is comparable to the rest of the industry.
ABL does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.88% over the past year.
ABL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.59% yearly.
The Revenue has been growing slightly by 5.00% in the past year.
ABL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.63% yearly.
EPS 1Y (TTM)8.88%
EPS 3Y-3.58%
EPS 5Y7.59%
EPS Q2Q%11.22%
Revenue 1Y (TTM)5%
Revenue growth 3Y-0.88%
Revenue growth 5Y5.63%
Sales Q2Q%3.95%
3.2 Future
Based on estimates for the next years, ABL will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.82% on average per year.
Based on estimates for the next years, ABL will show a small growth in Revenue. The Revenue will grow by 7.19% on average per year.
EPS Next Y11.61%
EPS Next 2Y10.91%
EPS Next 3Y10.72%
EPS Next 5Y9.82%
Revenue Next Year6.43%
Revenue Next 2Y7.08%
Revenue Next 3Y7.24%
Revenue Next 5Y7.19%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.68, which means the current valuation is very expensive for ABL.
70.18% of the companies in the same industry are more expensive than ABL, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.51. ABL is around the same levels.
ABL is valuated rather expensively with a Price/Forward Earnings ratio of 23.04.
ABL's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of ABL to the average of the S&P500 Index (35.58), we can say ABL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.68 | ||
| Fwd PE | 23.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ABL is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ABL indicates a somewhat cheap valuation: ABL is cheaper than 61.40% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.59 | ||
| EV/EBITDA | 22.38 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
ABL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.38
PEG (5Y)3.65
EPS Next 2Y10.91%
EPS Next 3Y10.72%
5. Dividend
5.1 Amount
ABL has a Yearly Dividend Yield of 1.77%.
Compared to an average industry Dividend Yield of 2.27, ABL pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.35, ABL is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.77% |
5.2 History
On average, the dividend of ABL grows each year by 11.40%, which is quite nice.
Dividend Growth(5Y)11.4%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
ABL pays out 28.92% of its income as dividend. This is a sustainable payout ratio.
ABL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.92%
EPS Next 2Y10.91%
EPS Next 3Y10.72%
FRA:ABL (7/14/2025, 7:00:00 PM)
113.2
+0.7 (+0.62%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners80.44%
Inst Owner ChangeN/A
Ins Owners0.45%
Ins Owner ChangeN/A
Market Cap196.95B
Analysts78.18
Price Target126.16 (11.45%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.77% |
Yearly Dividend1.89
Dividend Growth(5Y)11.4%
DP28.92%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.21%
Min EPS beat(2)-1.16%
Max EPS beat(2)0.73%
EPS beat(4)2
Avg EPS beat(4)0.36%
Min EPS beat(4)-1.16%
Max EPS beat(4)2.22%
EPS beat(8)5
Avg EPS beat(8)0.86%
EPS beat(12)9
Avg EPS beat(12)5.62%
EPS beat(16)13
Avg EPS beat(16)9.57%
Revenue beat(2)0
Avg Revenue beat(2)-1.35%
Min Revenue beat(2)-1.37%
Max Revenue beat(2)-1.33%
Revenue beat(4)0
Avg Revenue beat(4)-0.95%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)-0.19%
Revenue beat(8)2
Avg Revenue beat(8)-0.01%
Revenue beat(12)6
Avg Revenue beat(12)1.49%
Revenue beat(16)10
Avg Revenue beat(16)3.05%
PT rev (1m)-0.1%
PT rev (3m)-2.56%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)0.18%
EPS NY rev (1m)0.05%
EPS NY rev (3m)0.22%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.82%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.68 | ||
| Fwd PE | 23.04 | ||
| P/S | 5.44 | ||
| P/FCF | 34.59 | ||
| P/OCF | 25.72 | ||
| P/B | 4.72 | ||
| P/tB | 12 | ||
| EV/EBITDA | 22.38 |
EPS(TTM)4.09
EY3.61%
EPS(NY)4.91
Fwd EY4.34%
FCF(TTM)3.27
FCFY2.89%
OCF(TTM)4.4
OCFY3.89%
SpS20.82
BVpS24
TBVpS9.44
PEG (NY)2.38
PEG (5Y)3.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.58% | ||
| ROE | 27.66% | ||
| ROCE | 10.8% | ||
| ROIC | 9.27% | ||
| ROICexc | 10.3% | ||
| ROICexgc | 19.85% | ||
| OM | 17.45% | ||
| PM (TTM) | 31.89% | ||
| GM | 56.1% | ||
| FCFM | 15.72% |
ROA(3y)11.2%
ROA(5y)9.84%
ROE(3y)20.61%
ROE(5y)19.06%
ROIC(3y)10.45%
ROIC(5y)10.18%
ROICexc(3y)12.18%
ROICexc(5y)11.89%
ROICexgc(3y)32.65%
ROICexgc(5y)35.03%
ROCE(3y)12.16%
ROCE(5y)11.86%
ROICexcg growth 3Y-24.08%
ROICexcg growth 5Y-8.19%
ROICexc growth 3Y-10.71%
ROICexc growth 5Y6.04%
OM growth 3Y-5.79%
OM growth 5Y2.63%
PM growth 3Y24.85%
PM growth 5Y22.55%
GM growth 3Y-0.89%
GM growth 5Y-1.07%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.99 | ||
| Debt/EBITDA | 1.21 | ||
| Cap/Depr | 72.36% | ||
| Cap/Sales | 5.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.75% | ||
| Profit Quality | 49.3% | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 6.02 |
F-Score7
WACC8.7%
ROIC/WACC1.07
Cap/Depr(3y)63.63%
Cap/Depr(5y)61.92%
Cap/Sales(3y)4.94%
Cap/Sales(5y)5.1%
Profit Quality(3y)82.78%
Profit Quality(5y)99.6%
High Growth Momentum
Growth
EPS 1Y (TTM)8.88%
EPS 3Y-3.58%
EPS 5Y7.59%
EPS Q2Q%11.22%
EPS Next Y11.61%
EPS Next 2Y10.91%
EPS Next 3Y10.72%
EPS Next 5Y9.82%
Revenue 1Y (TTM)5%
Revenue growth 3Y-0.88%
Revenue growth 5Y5.63%
Sales Q2Q%3.95%
Revenue Next Year6.43%
Revenue Next 2Y7.08%
Revenue Next 3Y7.24%
Revenue Next 5Y7.19%
EBIT growth 1Y12%
EBIT growth 3Y-6.62%
EBIT growth 5Y8.41%
EBIT Next Year29.19%
EBIT Next 3Y15.9%
EBIT Next 5Y10.98%
FCF growth 1Y-2.43%
FCF growth 3Y-9.78%
FCF growth 5Y7.14%
OCF growth 1Y3.36%
OCF growth 3Y-6.69%
OCF growth 5Y6.88%