AbbVie (ABBV)

Health Care · $518B market cap · SEC CIK 0001551152

Next reports on Feb 2, 2027, after the close, with analysts expecting $3.95 in earnings per share.

52-week range $190.75 to $302.93. 3% below its 52-week high and 54% above its low.

The case for ABBV

• Generated $17.8B of free cash flow in FY2025, 29% of revenue.
• Revenue growing 10.7% year over year.
• Earnings per share up 332.9%.
• Pays a 4.5% dividend while you wait.
• Gross margin of 74% absorbs cost shocks.
• Moves less than the market (beta 0.14).

The case against

• Expensive for its growth: 50.1× earnings, where 5% a year of growth plus a 4.5% dividend would justify about 22×.
• Owes more than it owns: shareholder equity is −$3.3B, usually the result of buybacks funded with debt. ROE and price-to-book mean little here.
• Current liabilities exceed current assets (ratio 0.87).
• Dividend takes 117% of earnings, leaving little cushion.
• Long-term debt of $64.5B against $5.2B of cash.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Health Care companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Shareholder equity is negative, so return on equity, price-to-book and debt-to-equity are left out.
• Each factor except momentum is half fixed thresholds, half rank among the 59 Health Care companies.

The financials

The financials, five years deep

Pulled from AbbVie's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What AbbVie says it does

Overview AbbVie or "the company" refer to AbbVie Inc., or AbbVie Inc. and its consolidated subsidiaries, as the context requires. AbbVie is a global, diversified research-based biopharmaceutical company positioned for success with a comprehensive product portfolio that has leadership positions across immunology, neuroscience, oncology and aesthetics. AbbVie uses its expertise, dedicated people and unique approach to innovation to develop and market advanced therapies that address some of the world’s most complex and serious diseases. AbbVie was incorporated in Delaware on April 10, 2012. On January 1, 2013, AbbVie became an independent, publicly-traded company as a result of the distribution by Abbott Laboratories (Abbott) of 100% of the outstanding common stock of AbbVie to Abbott's shareholders. Segments AbbVie operates as a single global business segment dedicated to the research and development, manufacturing, commercialization and…

Risk factors ABBV lists in its 10-K

• AbbVie's major products could lose patent protection earlier than expected, which could adversely affect AbbVie's revenues and operating earnings
• A third party's intellectual property may prevent AbbVie from selling its products or have a material adverse effect on AbbVie's profitability and financial condition
• AbbVie's research and development efforts may not succeed in developing products and technologies that can be successfully commercialized, which may cause its revenues and profitability to decline
• Pharmacy benefit managers and other supply chain intermediaries exert significant influence over pricing and patient access to our products, which could adversely affect our revenues and results of operations
• A portion of AbbVie's near-term pharmaceutical pipeline relies on collaborations with third parties, which may adversely affect the development and sale of its products
• Biologics carry unique risks and uncertainties, which could have a negative impact on AbbVie's business and results of operations
• Trade restrictions, tariffs, and other changes in global trade policy could increase costs, disrupt supply chains, and adversely affect AbbVie’s business and results of operations
• Certain aspects of AbbVie’s operations are highly dependent upon third party service providers
• Significant safety or efficacy issues could arise for AbbVie's products, which could have a material adverse effect on AbbVie's revenues and financial condition
• AbbVie is subject to product liability claims and other lawsuits that may adversely affect its business, results of operations and reputation
• AbbVie is subject to governmental regulations, and it can be costly to comply with these regulations and to develop compliant products and processes
• Laws and regulations affecting government benefit programs could impose new obligations on AbbVie, require it to change its business practices, and restrict its operations
• The international nature of AbbVie's business subjects it to additional business risks that may cause its revenue and profitability to decline
• If AbbVie does not effectively and profitably commercialize its products, AbbVie's revenues and financial condition could be adversely affected
• AbbVie may acquire other businesses, license rights to technologies or products, form alliances, or dispose of assets, which could cause it to incur significant expenses and could negatively affect profitability
• AbbVie has debt obligations that could adversely affect its business and its ability to meet its obligations
• AbbVie may need additional financing in the future to meet its capital needs or to make opportunistic acquisitions, and such financing may not be available on favorable terms, if at all
• Failure to attract, develop and retain highly qualified personnel could affect AbbVie’s ability to successfully develop and commercialize products
• The illegal distribution and sale by third parties of counterfeit or unregistered versions of AbbVie products could have a material adverse impact on its reputation, business and results of operations
• Other factors can have a material adverse effect on AbbVie's profitability and financial condition
• AbbVie cannot guarantee the timing, amount, or payment of dividends on its common stock or the repurchase of its common stock
• An AbbVie stockholder's percentage of ownership in AbbVie may be diluted in the future

Filings

Other Health Care companies