Out of the most recent ratings, BMO Capital Markets Gary Nachman raised its price target from $161 to $174 with an outperform rating, while Truist Financial analyst Robyn Karnauskas raised the Abbvie stock prediction from $118 to $135 while raising rating to a buy. 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. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities. That figure suggests a forward Price to Earnings ("P/E") ratio of ~10x, which is well below the US Big Pharma sector average of ~23x, although it should be noted that the GAAP/non-adjusted EPS may be only significantly lower than the adjusted figure, based on adjusted EPS of $6.52 across H1'22, and GAAP EPS of $3.03 over the same period. Since then, however, the stock price has fallen 18% to its current price of $142.6. Teliso V is an antibody drug conjugate and a c-Met inhibitor. In other words, no Humira, no problem! 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. The most recent increase was . In this article we take a closer look at the Abbvie stock forecast, after analysing the firms latest earnings, price moving news and analyst comments. The major market events for the week ahead right in your inbox. According to analysts' consensus price target of $161.12, AbbVie has a forecasted upside of 3.2% from its current price of $156.06. In the next year, analysts expect Free Cash Flow to reach $26.97B - an increase of 58.68%. Real-time analyst ratings, insider transactions, earnings data, and more. Abbvie stock price has put up an impressive performance in 2022. 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. 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. View ABBV analyst ratings or view top-rated stocks. If you like what you have just read and want to receive at least 4 exclusive stock tips every week focused on Pharma, Biotech and Healthcare, then join me at my marketplace channel, Haggerston BioHealth. The current consensus among 24 polled investment analysts is to Buy stock in Abbvie Inc. Thus, it is likely that ABBV will continue to find support on the dips in this type of market environment.. Please disable your ad-blocker and refresh. Sales of the drug reached $19.9bn in 2018 and were $19.2bn, $19.8bn and $20.6bn in 2019, 2020, and 2021 respectively. Rinvoq's progress has been a little more circumspect, but almost as impressive. The median. As we can see above one of either Skyrizi or Rinvoq has now been approved for all of the same indications as Humira is, except for Hidradenitis Suppurativa, although Rinvoq is undergoing a Phase study in this indication. The above table shows quarterly and annual product revenues going back to FY20, whilst the last 4 columns show revenue growth percentage between FY20 and FY21, then revenue growth between Q2'21 and Q2'22, the sequential (quarter on quarter) growth, followed by product sales as a percentage of revenues. Our daily ratings and market update email newsletter. $163.64. In the past three months, AbbVie insiders have sold more of their company's stock than they have bought. Sales are expected to recover in H2'22, however, and forecast year-on-year growth. 16 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for AbbVie in the last year. I wrote this article myself, and it expresses my own opinions. Richard A. Gonzalez has an approval rating of 88% among the company's employees. AbbVie passed that onto its 2022 guidance. Johnson & Johnson is rushing toward a patent cliff but a new shelf offering registration suggests itis gearing up for acquisitions. Neurology also looks strong although aesthetics, eye care and oncology have something to prove. The company had recorded a $4.7 billion increase in the contingent consideration liability related to Skyrizi last year. View the latest news, buy/sell ratings, SEC filings and insider transactions for your stocks. The company issued revenue guidance of -. If you have an ad-blocker enabled you may be blocked from proceeding. AbbVie projected sales - immunology (my forecasts and assumptions). Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. 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. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. AbbVie saw a increase in short interest in February. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. I haven't included Epcoritamab sales in my forecasts this time, but I hope to adjust the table before Q3'22 results are announced. (my table and forecasts). Data from two Phase 3 induction studies and one maintenance study supported the approval. 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. We now expect global sales for Skyrizi to reach more than $10 billion in 2025, an increase of $2.5 billion versus our previous guidance, reflecting higher performance across basically all of the indications. AbbVie has said it expects to generate high-single-digit CAGR growth from 2025 to the end of the decade after revenues fall in 2023 due to Humira LOE. (6.33% Upside) Based on 15 Wall Street analysts offering 12 month price targets for AbbVie in the last 3 months. On average, they predict the company's stock price to reach $161.12 in the next year. Bringing RGX314 would be a coup for AbbVie although I am forecasting for only $2bn in peak revenues in 2030 as a hedge against the risk that this candidate does not make it to market on safety grounds. Based on earnings estimates, ABBV will have a dividend payout ratio of 54.11% next year. RHHBY vs. ABBV: Which Stock Is the Better Value Option? What is the dividend yield for AbbVie? The stocks growth marks a significant outperformance over the broader markets. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions) . 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. 164.71 0.00 0.00%. 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's total revenue grew a solid 51% to $50.2 billion over the last twelve month period, compared to $33.0 billion in 2019. The lowest target is $136.35 and the highest is $210. And never invest or trade money you cannot afford to lose. 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. Snowflake Reports Weak Guidance: Is the Growth Snowflake Melting? The firm earned $15.12 billion during the quarter, compared to the consensus estimate of $15.30 billion. Among its many positions is sustainable operations so it can deliver life-changing therapies to those who need them most. 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. In my model I have then reduced revenues by 20% between 2024 - 2026, and then by 10% per annum between 2027 - 2030. Myelofibrosis has proved to be a tricky indication for drug developers and there are no wholly satisfactory solutions on the market at present, therefore if approved I would expect Navitoclax - a drug that AbbVie has been working on for some time - to generate a couple of billion dollars in peak sales. 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. I have no business relationship with any company whose stock is mentioned in this article. I take the total revenue figure from each year and plug it into an income statement forecast as follows: AbbVie income statement forecast. Gene therapies have been a long time coming, having first been popularized in the early noughties. I/we have a beneficial long position in the shares of ABBV, BMY either through stock ownership, options, or other derivatives. There has been a raft of price-moving news for Abbvie, which may positively affect the stock price. Price target. That is interesting to me as I think it suggests management will need to commercialize more assets if it wants to hit that target. 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. Disclaimer. (ABBV) AbbVie Stock Predictions from the Leading Provider of Short and Long Term Stock Price Forecasts. Moreover, with surging demand, rising investments in research and development, and increasing e-pharmacy channels, the industry is well-positioned for significant growth New research suggests Depakote ingredient could have a new clinical function. That led to an overall 6% year-on-year gain of 6%, and a 13% sequential gain. In most cases, trials are underway for multiple indications, including some therapies that have already been approved for 1 or more conditions. A Warner Bros. With a 5-year investment, the revenue is expected to be around +88.28%. AbbVie's post-Humira LOE plans are not riskless, and its targets are ambitious, but nevertheless I see no harm in picking up shares in the Pharma at the current price, accepting a generous 4% dividend, and likely benefitting from share repurchases and a steadily growing share price until 2030. CFDs are complex leveraged instruments and come with a high risk of losing money. 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. Nevertheless, AbbVie is clearly under huge pressure to protect its dominance in the immunology markets, and the signs are it has been able to do just that thanks to the launches of 2 new drugs - Skyrizi and Rinvoq. Your current $100 investment may be up to $188.28 in 2028. Neuroscience looks highly promising too, and aesthetics capable of driving some respectable growth driven by old stager Botox. 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. In this post I model AbbVie product sales to 2030 - including pipeline assets - and use discounted cash flow analysis to calculate a present day share price target. Finally, eye-care - another division inherited from Allergan - has been performing well for AbbVie although I am not expecting particularly strong growth from the current product portfolio. Read the conference call transcript. The next two approvals - for Navitoclax in Myelofibrosis and Teliso V in non squamous non-small cell lung cancer ("NSCLC") - are anticipated by management in 2024. On average, analysts rate AbbVie stock as a buy. According to 23 major analysts, AbbVie's Fair Value will fall by 5.43% in the next year, reaching $122.98. The dividend payout ratio is 89.56%. ET comments 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. I'm on twitter @edmundingham. Their ABBV share price forecasts range from $140.00 to $200.00. It is important to do your own research, and remember that your decision to trade depends on your attitude to risk, your expertise in the market, the spread of your investment portfolio and how comfortable you feel about losing money. We expect that to happen in 2027 with continued significant growth anticipated in the following years. When looking for ABBV stock forecasts, its important to bear in mind that analysts forecasts can be wrong. We expect proof-of-concept data from roughly a dozen additional early stage oncology opportunities over the next couple of years. 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. Not only do these companies pay handsome dividends, they typically grow revenues every year and generate wide profit margins which leads to share price upside. 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. Pharmaceuticals are often valued based on a philosophy of "jam tomorrow" as opposed to jam today i.e. Among the many avenues of research and innovation are the advancement of precision medicine or pMedicine. Remember that past performance is not a guarantee of future results and you should never invest more money than you can afford to lose. To see all exchange delays and terms of use please see Barchart's disclaimer. Our first quarter results highlight the diversity of our portfolio and include compelling performance from key growth drivers Skyrizi, Rinvoq, Aesthetics and Neuroscience. That makes companies like AbbVie generally very attractive to investors although it should be noted that AbbVie carries a very high level of debt which stood at >$60bn as of Q322 - more or less the amount the company paid to acquire Allergan. It's hard to argue against Skyrizi and Rinvoq's performance to date, however, and with the total addressable market across all immunology indications likely well in excess of $100bn, I feel fairly comfortable that AbbVie can grow this division's revenues even as the world's biggest ever selling drug exits stage left. Wallet Investor suggested that the price could hit $300.386 in June 2027. Based on an average daily volume of 5,600,000 shares, the days-to-cover ratio is currently 2.1 days. 2022 Cable News Network. In terms of market cap, it ranks third behind Pfizer ( PFE) and Novo Nordisk ( NVO ). AbbVie has been the subject of 9 research reports in the past 90 days, demonstrating strong analyst interest in this stock. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. The obvious advantages of a "one and done" permanent cure make them potentially very lucrative therapies.