abbvie stock forecast 2030nicole alexander bio

Invest alongside the model portfolio or simply access the investment bank-grade financial models and research. Disclosure: I/we have a beneficial long position in the shares of BMY, GILD, ABBV either through stock ownership, options, or other derivatives. Richard A. Gonzalez has an approval rating of 88% among the company's employees. With the Hughes Optioneering Strategy, youll soon learn that the safest option for new accounts is options themselves! Since its 2013 separation from Abbott Laboratories (ABT 1.78%), AbbVie's stock has grown more than 160%. Over the years, AbbView Inc. has made numerous acquisitions. Drug pricing is another issue - there is bipartisan, and international pressure on US Pharmas to reduce drug pricing, particularly outside of the US. Based on our forecasts, a long-term increase is expected, the "ABBV" stock price prognosis for 2028-02-23 is 287.522 USD. The dividend payout ratio is 89.56%. AbbVie Inc. is a US-based biopharma company with global operations. Payout ratios above 75% are not desirable because they may not be sustainable. Free Stock Analysis Report: See The True Value of Any Stock, The Best Strategy For Your Small Trading Account. Receive regular, detailed analysis focused on biotech and healthcare stocks. 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. Find the latest AbbVie Inc. (ABBV) stock quote, history, news and other vital information to help you with your stock trading and investing. I believe AbbVie is likely 15 - 20% undervalued at current price. On average, analysts rate AbbVie stock as a buy. It should be noted that the strength of the competition AbbVie faces from other Pharma's desperate to claim a larger share of the immunology markets after Humira's LOE is fierce - Eli Lilly's (LLY) Olumiant, Pfizer's (PFE) Zeljanz, Amgen's Otezla, Bristol Myers Squibb's (BMY) Zeposia, Johnson & Johnson's (JNJ) Tremfya, Novartis' (NVS) Cosentyx and Regeneron (REGN) / Sanofi's (SNY) Dupixent to name a few. Refer to our. The Immunology division looks strong, even factoring in the patent cliff faced by $20 billion-selling Humira. AbbVie's stock is owned by many different institutional and retail investors. Earnings for AbbVie are expected to decrease by -0.55% in the coming year, from $11.00 to $10.94 per share. The company has been increasing its dividend for 51 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. (my table and forecasts). 326 E 8th St #105, Sioux Falls, SD 57103 Disclaimer. . My calculation is that Humira revenues in 2023 will be 80% of the 2022 figure, or $16.7bn. The 21 analysts offering 1 year price forecasts for ABBV have a max estimate of and a min estimate of . I/we have a beneficial long position in the shares of BMY, GILD, ABBV either through stock ownership, options, or other derivatives. Find me at my marketplace channel, Haggerston BioHealth - model portfolio + 4 exclusive stock tips every week. There are currently 9 hold ratings and 7 buy ratings for the stock. I look forward to seeing if Epcoritamab is approved this year, and although there is not a lot else in the near-term pipeline at this time, I also look forward to seeing how other projects may progress, e.g., opportunities in Parkinson's Disease, Alzheimer's and Cystic Fibrosis. To be sure, AbbVie is modeling for a tough year in 2023 for the aesthetics market. 16 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for AbbVie in the last year. The company issued revenue guidance of -. The ex-dividend date of this dividend is Thursday, April 13th. The CEO, speaking at a fireside chat during the conference, commented: we remain well-positioned to absorb the impact from the Humira LOE and quickly return to strong growth starting in 2025. What is Richard A. Gonzalez's approval rating as AbbVie's CEO? My EPS figure increases slightly between 2022 and 2023, whilst AbbVie has suggested it will be down slightly before beginning to accelerate towards the end of the decade, as revenues correspondingly begin to climb sharply once the worst of the Humira LOE is over. Discovery Company. GSK Free Cash Flow Forecast for 2023 - 2025 - 2030. 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. AbbVie projected sales - immunology (my forecasts and assumptions). The company may not generate as much excitement as some of the other members of the "Big 8" - most notably Eli Lilly and its weight loss franchise, but the path to revenue growth, expanding margins and a growing share price is clear. It is in business to discover, develop, manufacture and market pharmaceuticals globally but in a way that best serves the needs of patients and the global community. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. Please. Under the terms of the resolution, AbbVie will grant Alvotech a non-exclusive licence to its Humira-related patents in the US, which will begin on 1 July 2023. 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. There has been a raft of price-moving news for Abbvie, which may positively affect the stock price. The company reported $3.60 EPS for the quarter, topping the consensus estimate of $3.54 by $0.06. In my model I have then reduced revenues by 20% between 2024 - 2026, and then by 10% per annum between 2027 - 2030. That certainly won't derail the oncology division however. Whether these factors make ABBV a good investment for you or not will depend on your portfolio composition, investment goals and risk profile, among other factors. According to CEO Gonzalez: Over the long-term, aesthetics continues to be an extremely attractive underpenetrated market with significant growth potential. The most recent increase was . 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. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities. The AbbVie of today has 5 thriving divisions - Immunology, Oncology, Neuroscience, Aesthetics, and Eye Care - with the latter 3 divisions acquired from Allergan as part of AbbVie's $63bn takeover of that company. Skyrizi and Rinvoq will together achieve a higher peak sales figure than even Humira could manage, even while Humira is still making a substantial top line contribution, still accounting for as much of 7% of AbbVie's total sales in 2030. That is interesting to me as I think it suggests management will need to commercialize more assets if it wants to hit that target. When I began this post it was in my mind to give AbbVie stock a "Hold" rating owing to an underwhelming - on some levels - set of Q2'22 earnings, some concerns around high revenue generating products such as Imbruvica, Juvederm, and Restasis, the disappearance of the Women's Health division, the imminent LOE for Humira and the high levels of debt. 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. Based on an average daily volume of 5,600,000 shares, the days-to-cover ratio is currently 2.1 days. Let's begin our analysis with the immunology division. Pharmaceuticals are often valued based on a philosophy of "jam tomorrow" as opposed to jam today i.e. The obvious advantages of a "one and done" permanent cure make them potentially very lucrative therapies. All rights reserved. target price for AbbVie stock based on DCF / EBITDA multiple analysis (my table and assumptions). 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. Receive regular, detailed analysis focused on biotech and healthcare stocks. I also considered the long-term outlook for a company that is still only 10 years old and is about to feel the impact of a loss of patent protection for its mega-blockbuster auto-immune drug Humira, which made $20.7bn of sales for the company in FY21, representing 37% of total revenues generated. AbbVie updated its FY 2024 earnings guidance on Friday, February, 10th. In my last note on AbbVie (NYSE:ABBV) for Seeking Alpha - in early July - I reviewed the Big Pharma's Q1'22 earnings and looked ahead to the release of Q2'22 figures. The surge in revenues can primarily be attributed to its Allergan. The company earns $11.84 billion in net income (profit) each year or $6.61 on an earnings per share basis. Although Wallet Investor did not provide targets for 2030, its longer-term Abbvie stock prediction expected the price to hit $300.386 in June 2027. losed Joint Stock Company FinTech Solutions, Fidelity NASDAQ Composite Index Tracking Stock Fund, Abbvie stock price analysis: Past year performance, Abbvie fundamental analysis: Q1 2022 earnings, Abbvie stock forecast: Company guidance and analysts predictions. Is this happening to you frequently? Both of these assets appear to be doing the job they were intended for - protecting AbbVie's dominance in various auto-immune markets - and now represent ~13% of AbbVie's total revenue generation. AbbVie saw a increase in short interest in February. I write about Biotech, Pharma and Healthcare stocks and share investment tips. Skyrizi has shown superiority to Humira in fields such as plaque psoriasis by a statistically significant amount, with a comparable safety profile, whilst Rinvoq has shown superiority in e.g. Note that analysts ABBV stock forecasts can be wrong. Should I buy or sell AbbVie stock right now? AbbVie's free cash flow yield is 10.5% compared to 4.3% for Johnson & Johnson . 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. Among its many positions is sustainable operations so it can deliver life-changing therapies to those who need them most. View our ABBV earnings forecast. AbbVie passed that onto its 2022 guidance. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. AbbVie says it will pay down debt of $4bn in 2023, which will "bring cumulative debt pay down ~$34bn", but the company is heavily reliant on maintaining an investment grade rating. 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. AbbVie made the bold decision to take on a heavy debt load and bid for Allergan, with the deal being completed in 2020. AbbVie (NYSE:ABBV) has a market capitalization of $276.13 billion and generates $58.05 billion in revenue each year. Having so much debt in a prevailing inflationary environment is also unattractive. Aurora Cannabis Revenue Forecast for 2023 - 2025 - 2030. AbbVie product revenue forecasts to 2030. Read our dividend analysis for ABBV. We have also launched Skyrizi for PSA in rheumatology, where we're seeing strong utilization, which is driving accelerated share growth. Abbvie stock price has put up an impressive performance in 2022. Shareholders of record on Friday, April 14th will be given a dividend of $1.48 per share on Monday, May 15th. High institutional ownership can be a signal of strong market trust in this company. Management are very optimistic on Vraylar, with Gonzalez describing it as "now the only antipsychotic that is a dopamine and serotonin partial agonist approved for the treatment of the most common forms of depression, Bipolar 1 and MDD" and targeting >$5bn peak sales. The median estimate represents a +5.72% increase from the last price of 156.07. The dividend payout ratio of AbbVie is 89.56%. 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. I am not receiving compensation for it (other than from Seeking Alpha). Skyrizi is a collaboration between Boehringer Ingelheim and AbbVie, with AbbVie leading development and commercialisation globally. Abbvies haematologic oncology portfolio, neuroscience portfolio and aesthetics portfolio reported net revenues of $1.65bn, $1.49bn and $1.37bn, respectively. Forecast target price for 03-06-2023: $ 152.58. We expect proof-of-concept data from roughly a dozen additional early stage oncology opportunities over the next couple of years. There is an element of risk to that as clinical trial failures are common, even for a giant like AbbVie, and even CEO Gonzalez may be forced to backtrack on some of his blockbuster sales projections. Compare Top Brokerages Here. Date. This could present more profit potential for drugmakers as well as investors. View the latest news, buy/sell ratings, SEC filings and insider transactions for your stocks. Outside of Humira, management does not have to worry about LOEs for any of its other portfolio products before the end of the decade, which is encouraging, however, based on my own projections of how AbbVie will generate its revenues between 2023 and 2030, if management wants to drive a CAGR in the high single digits after 2025, it will need some help from its pipeline - not an area of particular strength for AbbVie. As such I have downgraded my own growth expectations in the forecasting table above, reducing annual growth from 7.5%, to just 2.5%, after forecasting for $5bn revenues in FY22 - down 7.5% year-on-year. Fawad Razaqzada, market analyst for City Index and FOREX.com, commenting to Capital.com, said: As of 30 June, analyst ratings compiled by MarketBeat shared different price targets for Abbvie stock. View analysts price targets for ABBV or view top-rated stocks among Wall Street analysts. It should be noted however that, with ~$12bn near-term debt falling due, and long-term debt of ~$61bn - most of it due to the $66bn acquisition of Allergan, completed in 2020, AbbVie has some hefty interest expense payments to make - $15bn between 2022 and 2027, I estimate, and the level of debt makes it tough for the company to invest in M&A deals. Only 0.08% of the stock of AbbVie is held by insiders. Capital Com is an execution-only service provider. 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. I do much more than just articles at Haggerston BioHealth: Members get access to model portfolios, regular updates, a chat room, and more. (ABBV), MarketBeat Week in Review 2/13 - 2/17 (ABBV), The 3 Best Pharma Stocks to Buy for Big Gains in 2023 (ABBV), How Abbott Labs, AbbVie Could Profit on Seizure Drug Formula (ABBV), AbbVie Has a Mixed Outlook After Mixed Earnings, Q4 2022 AdTheorent Holding Company Inc Earnings Call. As with debt, if approval and revenue targets aren't met, it can quickly result in a loss of faith in the company. View AbbVie's Short Interest. In-depth profiles and analysis for 20,000 public companies. PEG Ratios above 1 indicate that a company could be overvalued. 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. AbbVie has been the subject of 9 research reports in the past 90 days, demonstrating strong analyst interest in this stock. Among the many avenues of research and innovation are the advancement of precision medicine or pMedicine. (AbbVie data). MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. With a 5-year investment, the revenue is expected to be around +88.28%. All Rights Reserved. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. Forecast . AbbVie could be the biggest global Pharma by revenue generation in 2028. It had an upside potential of 4.76%, based on the closing price of $152.49 on 29 June. Teliso V is an antibody drug conjugate and a c-Met inhibitor. Abbvie Inc quote is equal to 152.710 USD at 2023-02-27. Nevertheless, after applying the discount factor, I calculate a share price target of $151 based on DCF analysis and a slightly higher figure of $168 based on EBITDA analysis. Their ABBV share price forecasts range from $140.00 to $200.00. The stock projection varied from the low price target of $135 to the high of $200. It pays a dividend yield of 3.83%, putting its dividend yield in the top 25% of dividend-paying stocks. ABBV-916 is targeting Alzheimer's and it is an anti-amyloid antibody, with a similar mechanism of action ("MoA") to recently approved Leqembi, developed by Biogen (BIIB) / Eisai, and likely soon-to-be approved Donanemab, developed by Eli Lilly. 1 dividend stock for a LIFETIME of income. Perhaps this is an example of how ruthless management can be when encountering falling sales, and a warning that not all company divisions are guaranteed to thrive. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. Read our dividend analysis for ABBV. RHHBY vs. ABBV: Which Stock Is the Better Value Option? The first is Epcoritamab, a CD3xCD20 bispecific for B-cell malignancies, including DLBCL and follicular lymphoma, which AbbVie expects will be approved this year. I'm on twitter @edmundingham. Having dived into the numbers however and looked ahead to 2030 through the eyes and guidance of management, my conclusion is that investors can probably buy AbbVie stock at current price with reasonably high hopes of making a decent ROI - perhaps 15 - 20% in the next 12 - 18 months, whilst also benefiting from a generous dividend. This has been in spite of a string of macroeconomic headwinds such as the ongoing Russia-Ukraine war that has contributed to record high inflation in the US and the UK, and the companys psoriatic arthritis drug Adalimumab, known as Humira, facing biosimilar rivals in the US from 2023. Below, I will outline how I see AbbVie putting the Humira LOE firmly behind it, and driving the high single digit percentage annual growth management has promised. As we look beyond 2025, we expect combined sales for Skyrizi and Rinvoq to exceed the peak revenues achieved by Humira, which was more than $21 billion. ET comments I am not receiving compensation for it (other than from Seeking Alpha). Move your mouse over a quarter or year to see how estimates have changed over time. See AbbVie Inc. (ABBV) stock analyst estimates, including earnings and revenue, EPS, upgrades and downgrades. Since then, however, the stock price has fallen 18% to its current price of $142.6. Other approved ADC's targeting the c-Met protein, a validated target in NSCLC, include Novartis Tabrecta, which has been pegged for peak sales of ~$1.5bn, which seems a realistic target for Teliso given how large the lung cancer market is - the largest of all oncology markets. In the last four years, Johnson & Johnson's Free Cash Flow has fallen from $18.53B to $17.00B - a 8.28% decrease. But AbbVie is also keen to explore solid tumors, and I am therefore adding an additional $1.5bn of revenues from that source by 2030. How do I arrive at my share price target? Ever since its split from Abbott Laboratories (ABT) in 2012 AbbVie (NYSE:ABBV) has delivered strong returns for investors - its stock price having risen overall from $30, to $149 per share at the time of writing - trading down slightly from its all-time high of >$160 achieved in early December last year. Management initially blamed slow take-up post pandemic for the drug's declining sales, but Gonzalez also told JPM Conference attendees that "new competitive entrants has significantly lowered our sales expectations for Imbruvica". AbbVie Fair Value Forecast for 2023 - 2025 - 2030 In the last two years, AbbVie's Price has grown, increasing from $91.55 to $130.05 - an increase of 42.06%. On average, they expect the company's stock price to reach $161.12 in the next twelve months. Ltd., AbbVie Pty Ltd, AbbVie Purchasing LLC, AbbVie Real Estate Management GmbH, AbbVie Research B.V., AbbVie Resources Inc., AbbVie Resources International Inc., AbbVie Respiratory LLC, AbbVie S. de R.L., AbbVie S.A., AbbVie S.A., AbbVie S.A.S., AbbVie S.R.L., AbbVie S.r.l., AbbVie S. r.l., AbbVie SA, AbbVie SAS, AbbVie SIA, AbbVie Sarl, AbbVie Sdn. 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. Different trading strategies will suit different investment goals with short or long-term focus. These are Immunology, Oncology, Neurology, Virology and Eye Care. Abbvies first quarter 2022 financial results for the quarter ended 31 March revealed that diluted earnings per share (EPS) increased to $2.51 on a generally accepted accounting principles (GAAP) basis, up from $1.99 a year earlier. I have no business relationship with any company whose stock is mentioned in this article. Abbvie Stock Forecast 2023 In the Biopharmaceutical Industry, Abbvie has been able to create a leadership position in the market in each business segment with different brand names in different business categories like Immunology, Hematologic Oncology, Neuroscience, Aesthetics, and Eye Care. Duodopa is approved for Parkinson's Disease but Gonzalez believes that the subcutaneous non-surgical delivery system of candidate ABBV951 can "significantly expand the patient population currently addressed by Duopa", and sees the drug as yet another future blockbuster. Currently, AbbVie sees a significantly higher portion of every dollar end up as cash to do with what they please. Over the next nine years, experts believe that GSK's Free Cash Flow will grow at a rate of 1.98%. Thus, it is likely that ABBV will continue to find support on the dips in this type of market environment.. Always conduct your own due diligence before investing. This suggests a possible upside of 3.2% from the stock's current price. approvals of Humira, Skyrizi, Rinvoq (AbbVie JPM Healthcare conference presentation). The 21 analysts offering 12-month price forecasts for Abbvie Inc have a median target of 165.00, with a high estimate of 200.00 and a low estimate of 135.00. Pessimistic target level: 151.42 Optimistic target level: 154.48 ABBV (ABBV) Monthly Stock Prediction for 2023 Full forecast for 2023 AbbVie forecast for this year 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. If signs point to that happening I will likely be revising my target price upwards again, but I am playing it more conservative as nobody truly knows the scale of losses after the Humira LOE. The majority of the biosimilar (more sophisticated versions of generic drugs) imitations of Humira that will contest for market share with the original will launch around the middle of 2023, including versions developed by Pfizer (PFE), Boehringer Ingelheim, Organon (OGN), Biocon, Coherus Biosciences (CHRS) and Sandoz, whilst Amgen's (AMGN) Amjevita is permitted to launch in January. Drug development has not traditionally been one of AbbVie's strengths - it has not had to be - but we ought to see the positive results of heavy investment into the oncology pipeline over the next 5-7 years, and by 2030, I believe this division could account for >17% of AbbVie's total revenues. Since then, ABBV stock has decreased by 3.4% and is now trading at $156.06. And never invest or trade money you cannot afford to lose. Only you can design whether Abbvie stock is the right investment for you. AbbVie, like its parent Abbot Laboratories, is a well-established dividend growth stock. Please log in to your account or sign up in order to add this asset to your watchlist. AbbVie is one of the largest global Pharmaceuticals, with a market cap of >$265bn. The company is a member of the Fortune 100 and one of the Fortune 100s Best Companies To Work For. AbbVie stock was up after posting a mixed fourth-quarter earnings report, but with the company's patent expiring on Humira, the stock is a hold, February 24, 2023|americanbankingnews.com, February 23, 2023|americanbankingnews.com. For ABBVIE INC stock forecast for 2023, 10 predictions are offered for each month of 2023 with average ABBVIE INC stock forecast of $156.58, a high forecast of $160.07, and a low forecast of $152.24.

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