Abbott Laboratories (ABT) AI Stock Analysis

Abbott Laboratories develops, manufactures, and distributes healthcare products across four primary segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The Established Pharmaceutical business offers generic medications for conditions such as irritable bowel syndrome and dyslipidemia, alongside anti-infectives and influenza vaccines. Diagnostic Products provides laboratory systems for immunoassay, clinical chemistry, and molecular analysis, including testing for HIV and COVID-19. Nutritional Products supplies pediatric and adult nutritional formulas. The Medical Devices segment focuses on cardiovascular care, diabetes care, and neuromodulation devices for chronic pain management.

Abbott generated revenue of $43.08B in FY2021, $43.65B in FY2022, and $40.11B in FY2023, before rebounding to $41.95B in FY2024 and $44.33B in FY2025. Gross margin expanded to 55.5% in FY2025, up from 50.8% in FY2024 and 50.0% in FY2023, while operating margin rose to 18.2%. Net income stood at $6.52B with EPS of $5.15 in FY2025, following $13.40B in FY2024. For the trailing twelve months ending June 30, 2026, revenue totaled $46.58B with an operating margin of 14.7%. In the latest quarter, quarterly revenue grew 13.0% year-over-year, while quarterly earnings fell 47.5%.

As of June 30, 2026, Abbott held cash and short-term investments of $5.60B against total debt of $32.61B, leaving net debt at $27.00B. Total assets stood at $109.22B and shareholders' equity was $51.11B, resulting in a debt-to-equity ratio of 0.64 and a current ratio of 1.38. In FY2025, operating cash flow reached $9.57B and free cash flow was $7.39B. Capital allocation during FY2025 included $2.17B in capital expenditures, $893.0M in share buybacks, and $4.12B in dividends paid.

Abbott trades at a trailing P/E of 33.8x and a forward P/E of 17.1x, compared to 27.2x and 16.5x for the median of its S&P 500 Healthcare peers. Its enterprise value stands at $206.08B, with an EV/EBITDA multiple of 17.6x versus the peer median of 15.0x, and a price-to-sales ratio of 3.9x against the peer median of 3.4x. Over the past year, the stock fell 15.8%, underperforming the SPY return of 16.8%. Over a 5-year period, Abbott shares fell 1.4%, while SPY gained 83.0%.

Abbott pays an annual forward dividend of $2.52 per share, representing a dividend yield of 2.40% and a payout ratio of 47.9%. Dividends are distributed on a quarterly frequency and have been paid for 44 consecutive years. The company's 5-year annualized dividend growth rate is 10.4%, with the most recent ex-dividend date on October 15, 2026.

Wall Street coverage consists of 19 Strong Buy, 5 Buy, and 4 Hold ratings, with 0 Sell and 0 Strong Sell ratings. The mean price target is $120.72, which represents 15.1% upside from the last close of $104.89. For the current fiscal year ending December 31, 2026, analysts estimate revenue of $50.20B and EPS of $5.52. Abbott has beaten EPS estimates in 2 of the last 4 quarters, and the next earnings date is October 21, 2026.

This page is an AI-written research summary of Abbott Laboratories (ABT). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: ABT income statement, ABT balance sheet, ABT key metrics, ABT analyst forecast, ABT chart. See the ABT stock overview for the latest quote and news.