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. The ex-dividend date of this dividend is Thursday, April 13th. 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. ABBV has several positive factors pushing its price performance. Although the company has admitted that 2023 earnings will likely be down in 2022 - guidance for last year is for earnings per share ("EPS') of $13.84 - $13.88 on an adjusted diluted basis, versus $12.7 in 2021 - Gonzalez and his team were making some bold promises to investors at this year's JP Morgan Healthcare conference. Find me at my marketplace channel, Haggerston BioHealth - model portfolio + 4 exclusive stock tips every week. The P/E ratio of AbbVie is 23.61, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 126.03. 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. Read our dividend analysis for ABBV. AbbVie's stock was trading at $161.61 on January 1st, 2023. The company originated as the bio-pharma segment of Abbott Laboratories and was spun off in late 2012. Trading CFDs is high risk and is not suitable for everyone. Eli Lilly has long been a reliable stock, but with the company's impressive product pipeline, the stock could hold significant potential in the near term. Upgrade to MarketBeat Daily Premium to add more stocks to your watchlist. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions). Among the many avenues of research and innovation are the advancement of precision medicine or pMedicine. The Large Pharma sector performed remarkably well in 2022, with the "Big 8" delivering an average ~15% gain whilst the S&P 500 index fell in value, and the biotech sector was in turmoil. AbbVie is a leader in ESG and sustainability. If you have an ad-blocker enabled you may be blocked from proceeding. We have also launched Skyrizi for PSA in rheumatology, where we're seeing strong utilization, which is driving accelerated share growth. The company has been increasing its dividend for 51 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. 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. AbbVie product revenue forecasts to 2030. American biopharmaceutical company Abbvie (ABBV) has surged nearly 13% year to date (YTD), and 35% year-over-year (YOY), as of 30 June. The company reported $3.60 EPS for the quarter, topping the consensus estimate of $3.54 by $0.06. This suggests a possible upside of 3.2% from the stock's current price. All rights reserved. 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. 164.71 0.00 0.00%. (AbbVie data). Venclexta continues to pick up momentum with sales up 16% to >$500m in Q2'22, and I forecast the drug to exceed $3.2bn in revenues by the end of the decade. All rights reserved. The firm's revenue for the quarter was up 1.6% compared to the same quarter last year. Skyrizi has also been approved to treat Crohn's Disease, an added bonus and another multi-billion dollar market. Please. I have no business relationship with any company whose stock is mentioned in this article. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. psoriatic arthritis at a lower dose, again with a comparable safety profile, and has also won approval in a field where Humira has not, namely Atopic Dermatitis. 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. AbbVie has a PEG Ratio of 3.51. ABBV currently yields 4.1% and has raised its dividend every year since 2013. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab. call (03) 8658 0539 support.au@capital.com. Noting the stellar earnings reported by the firm in the first quarter, Richard A. Gonzalez, chairman and CEO of AbbVie, said: An overview of the companys net revenue in Q1 shows a major portion of revenue came from its immunology portfolio, which brought in $6.14bn. 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. In 2022, the company will most likely boast 12 "blockbuster" (>$1bn per annum) selling assets, driving ~$48bn of revenues between them, with Humira being the only drug that faces a near term patent expiry, whilst AbbVie is promising at least 6 or 7 major new product launches by 2026. What is AbbVie's stock price forecast for 2023? Finally, AbbVie was able to raise its financial . And with a dividend yield of 4.9%, AbbVie is quite attractive for investors yearning for . The development of these 2 drugs has been very quick by drug development standards, and to date both have performed exceptionally well. Price target. Based on aggregate information from My MarketBeat watchlists, some companies that other AbbVie investors own include Intact Financial (IFC), Constellation Software (CSU), AutoCanada (ACQ), Alimentation Couche-Tard (ATD.B), Vermilion Energy (VET), AT&T (T), Bristol-Myers Squibb (BMY), Wheaton Precious Metals (WPM), Rogers Communications (RCI) and Open Text (OTEX). The five-year dividend growth rate is just below 18%. Based on an average daily volume of 5,600,000 shares, the days-to-cover ratio is currently 2.1 days. That is interesting to me as I think it suggests management will need to commercialize more assets if it wants to hit that target. And it couldnt be more wrong! With AbbVie's revenues accelerating past $80bn in 2030 (by my calculation), and cash flow generated in that year being >$25bn, after applying discount factors for each year I reach a price target of $176 - the average of DCF - $162 per share - and EBITDA - $189 per share - calculations. AbbVie passed that onto its 2022 guidance. Your current $100 investment may be up to $188.28 in 2028. Join the 500.000+ traders worldwide that chose to trade with Capital.com, Also you can contact us: Invest alongside the model portfolio or simply access the investment bank-grade financial models and research. 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. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. 16 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for AbbVie in the last year. What intrigues here is the possibility of RGX-314, an anti-VEGF gene therapy that Gonzalez believes "has the potential to be a one-time treatment for wet AMD, diabetic retinopathy and other chronic retinal conditions". All Rights Reserved. Always conduct your own due diligence before investing. That is substantially higher than the 12% CAGR achieved between 2018 - 2022, although that period includes the additional revenues from Allergan. The company's lead asset - all-time best selling immunology drug Humira - finally loses patent protection this year and sales will enter a period of terminal decline. 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. Year-to-date, the stock was up slightly more than 12% while benchmark global indices have all fallen sharply amid surging inflation, interest rate hikes and slowdown worries. I am not receiving compensation for it (other than from Seeking Alpha). I wrote this article myself, and it expresses my own opinions. 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. If you have an ad-blocker enabled you may be blocked from proceeding. According to CompaniesMarketCap, the biopharmas market capitalisation stood at $272.38bn, making it the worlds 30th most valuable company. Wallet Investor suggested that the price could hit $300.386 in June 2027. You should consider whether you understand how CFDs work and can afford the risks. I am modelling for AbbVie to grow revenues at a compound annual growth rate of ~5% between now and 2030 with growth accelerating in the latter half of the decade. I have speculatively assigned peak sales of $2bn, although it should be noted that success here is far from guaranteed, although if AbbVie did succeed with ABBV916 sales could be 2 or 3x higher than my forecast. We expect that to happen in 2027 with continued significant growth anticipated in the following years. How to Decide, Taiwan Semiconductor Manufacturing Expanding in the West, One Way to Earn More From Dividend Stocks, How to Choose a Winning Dividend Investing Strategy, 3 Industries Leading the Stock Market Rebound, Oil Tankers Boost Dividends, See Continued Robust Business In '23. 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. MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. 326 E 8th St #105, Sioux Falls, SD 57103 Analysts have tipped the drug to achieve peak sales of $2.75bn, and although the emergence of CAR-T therapies and some concerns around safety - notably cases of cytokine release syndrome ("CRS') - persist, this revenue figure is achievable in my view. I have no business relationship with any company whose stock is mentioned in this article. Pharmaceuticals are often valued based on a philosophy of "jam tomorrow" as opposed to jam today i.e. Earnings for AbbVie are expected to decrease by -0.55% in the coming year, from $11.00 to $10.94 per share. Without the additional patents - >130 in total - Humira would have lost its market exclusivity in 2016, but having eventually lost protection in Europe, which has resulted in a sales decline from $6.3bn in 2018, to ~$2.7bn in 2022, Humira will finally face generic competition in the US from the beginning of this year. In the last four years, Johnson & Johnson's Free Cash Flow has fallen from $18.53B to $17.00B - a 8.28% decrease. AbbVie is one of the largest global Pharmaceuticals, with a market cap of >$265bn. In most cases, trials are underway for multiple indications, including some therapies that have already been approved for 1 or more conditions. The current consensus among 24 polled investment analysts is to Buy stock in Abbvie Inc. According to the algorithm-based forecaster Wallet Investor in its Abbvie stock forecast for 2022, the price could reach $169.852 by the end of December, $199.491 by 2023 and $229.304 by 2024. Currently, AbbVie sees a significantly higher portion of every dollar end up as cash to do with what they please. Shareholders of record on Friday, April 14th will be given a dividend of $1.48 per share on Monday, May 15th. AbbVie product revenues by quarter and year since FY20. 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. Both Leqembi and Donanemab are potential $5bn - $10bn selling assets, but both drugs still have safety questions to answer and not certain to be made eligible for reimbursement. Sales are expected to recover in H2'22, however, and forecast year-on-year growth. For the next eight years, the forecast is for Free Cash Flow to grow by . As of 2023 February 22, Wednesday current price of ABBV stock is 151.340$ and our data indicates that the asset price has been in an uptrend for the past 1 year (or since its inception).. Abbvie stock price as been showing a rising tendency so we believe that similar market segments were very popular in the given time frame. The average price target represents a 6.33% change from the last price of $153.90. The company provided earnings per share (EPS) guidance of $10.70- for the period. With AbbVie seemingly very confident of approvals for all 3 of these drugs, and Gonzalez suggesting they could form the basis of a "$6 billion kind of franchise" I have modelled for such an outcome by 2030. I haven't included Epcoritamab sales in my forecasts this time, but I hope to adjust the table before Q3'22 results are announced. Our first quarter results highlight the diversity of our portfolio and include compelling performance from key growth drivers Skyrizi, Rinvoq, Aesthetics and Neuroscience. Disclaimer. I have downgraded my forecasts to 2016 accordingly however to 2% annual growth. The average ABBVIE INC stock forecast 2023 represents a 1.86% increase from the last price of $153.729995727539. These are mostly related to the US Food and Drug Administrations (FDA) approval of Abbvies drug Rinvoq for ulcerative colitis and positive top-line results from the Phase 3 induction study U-EXCEL. According to CEO Gonzalez: Over the long-term, aesthetics continues to be an extremely attractive underpenetrated market with significant growth potential. I take the total revenue figure from each year and plug it into an income statement forecast as follows: AbbVie income statement forecast. 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. 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. In summary, the total revenue increase of just 4% year-on-year in Q2'22 might disappoint a few investors, as might the downgraded guidance, although it is hard to argue that AbbVie is a bad investment when we consider that the Pharma also pays a dividend of $1.41 per quarter, yielding 4% per annum, drove operating earnings of $3.925bn on a GAAP basis, and trades at a >10% discount to my calculated target price. 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. Payout ratios above 75% are not desirable because they may not be sustainable. Between September 2021 and April 2022, AbbVie stock went on a sensational bull run, gaining 62% and hitting an all-time peak of $174. Data from two Phase 3 induction studies and one maintenance study supported the approval. In the last two years, GSK's Free Cash Flow has grown by 0.37%, rising from 6.76B to 6.78B. Payout ratios above 75% are not desirable because they may not be sustainable. 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. 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. AbbVie's stock is owned by many different institutional and retail investors. Receive ABBV Stock News and Ratings via Email. This indicates that the company will be able to sustain or increase its dividend. What is Richard A. Gonzalez's approval rating as AbbVie's CEO? One of the few pain points AbbVie experienced during a year of portfolio wide growth in 2022 was the decline in the revenue contribution from Imbruvica, approved to treat various types of lymphoma. 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. The acquisition expanded AbbVies neuroscience portfolio, adding first-in-class modulators of the synaptic vesicle protein 2A, including lead molecule SDI-118 currently in Phase 1b studies. The stock projection varied from the low price target of $135 to the high of $200. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. The drug is now approved in severe Rheumatoid Arthritis, active Psoriatic Arthritis, moderate to severe Atopic Dermatitis, Ulcerative Colitis, active Ankylosing Spondylitis, with Crohn's Disease the next approval on the list.
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