abbvie stock forecast 2030
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. Management puts this down to "delayed market recovery for new patients starting therapy in Chronic Lymphocytic Leukemia ("CLL") and increasing competition" and has downgraded its FY22 guidance as a result. 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. During the same quarter in the prior year, the firm posted $3.31 EPS. AbbVie - ABBV Stock Forecast, Price & News - MarketBeat AbbVie Stock Crumbles On Mixed Earnings, Slashes 2022 Earnings Outlook The average price target represents a 6.33% change from the last price of $153.90. In most cases, trials are underway for multiple indications, including some therapies that have already been approved for 1 or more conditions. The shining star in the aesthetics business is Botox, which increased sales by 45% year over year to $477 million in the first quarter of 2021. 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. Although management reminded analysts that "Imbruvica continues to be the total market share leader across all lines of therapy in CLL", the outlook does not look especially promising. In the next year, analysts predict that Revenue will reach C$253.83M - an increase of 3.50%. The other major plus is probably the performance of the neuroscience divisions, where as we can see, Botox (indicated for migraine treatment), atypical antipsychotic Vraylar, migraine therapy Ubrelvy and newly launched Qulipta, an oral CGRP inhibitor indicated for chronic migraine all delivered good sales growth. 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. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. In the last four years, Johnson & Johnson's Free Cash Flow has fallen from $18.53B to $17.00B - a 8.28% decrease. 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. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions) . View which stocks are hot on social media with MarketBeat's trending stocks report. I'm on twitter @edmundingham. Epcoritamab alone will not be sufficient to get AbbVie where it wants to be - despite some analysts believing it will be the highest grossing Pharma revenue wise by 2026. 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. Should You Buy AbbVie Stock After The Recent 7% Fall? - Forbes Our daily ratings and market update email newsletter. All Rights Reserved. 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. AbbVie Inc. is a US-based biopharma company with global operations. Always conduct your own due diligence before investing. 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. Your current $100 investment may be up to $188.28 in 2028. 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. AbbVie has a PEG Ratio of 3.51. Our Product Disclosure Statement (PDS) and Target Market Determination provides important information about our products and who our products are more likely to be suited to Capital.com does not provide financial or investment advice and you should seek independent advice if you are unsure of the risks or whether our products are suitable for you. Furthermore, it seems sales of Lupron and Synthroid have joined the "All Other" section, which has generated $2.2bn of revenues in the first half of 2022, versus $1.5bn in the first half of 2021. Read our dividend analysis for ABBV. Between September 2021 and April 2022, AbbVie stock went on a sensational bull run, gaining 62% and hitting an all-time peak of $174. 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. RHHBY vs. ABBV: Which Stock Is the Better Value Option? AbbVie updated its FY 2024 earnings guidance on Friday, February, 10th. 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. You should do your own research and never invest money you cannot afford to lose. It is a Top 50 Company regarding diversification and a member of the Dow Jones Sustainability World Index and the S&P ESG Index. About the AbbVie, Inc. stock forecast. 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. AbbVie (NYSE:ABBV) pays an annual dividend of $5.92 per share and currently has a dividend yield of 3.83%. In-depth profiles and analysis for 20,000 public companies. We expect that to happen in 2027 with continued significant growth anticipated in the following years. Receive regular, detailed analysis focused on biotech and healthcare stocks. The difference between trading assets and CFDs. The average price target is $163.64 with a high forecast of $190.00 and a low forecast of $133.00. I wrote this article myself, and it expresses my own opinions. I had felt this could be an issue for Skyrizi and Rinvoq, given it is rare for a drug to be as dominant as Humira was, but although the level of competition is fierce, both drugs are more than meeting expectations, and with the entire auto-immune market worth as much as $45 - $50bn, it does seem possible that Skyrizi and Rinvoq could one day generate >$20bn revenues between them, as management hopes. 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. ABBV Stock 12 Months Forecast. A Warner Bros. 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. Sign in to your free account to enjoy all that MarketBeat has to offer. Trial results demonstrated an overall response rate of 63% and a median duration of response of 12 months, where 39% of patients had already tried a CAR-T cell therapy. I have been maintaining a revenue forecasting table for AbbVie's products which I have amended based on Q2'22 and H1'22 results, and the slightly downgraded guidance issued for 2022 - management now expects adjusted earnings per share ("EPS") of $13.78 - $13.98, representing growth of 17% at the midpoint. Other profitable therapies include but are not limited to SKYRIZI for psoriasis, RINVOQ for rheumatoid arthritis and IMBRUVICA and VENCLEXTA for chronic leukemia conditions. 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. According to 23 major analysts, AbbVie's Fair Value will fall by 5.43% in the next year, reaching $122.98. 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. (AbbVie data). In the last two years, GSK's Free Cash Flow has grown by 0.37%, rising from 6.76B to 6.78B. Aesthetics was propped up by growing sales of Botox - up 12% year-on-year to $678m, but let down by sales of Juvederm, which management put down to lockdown regulations in China, and the "suspension" of operations in Russia. 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. Where Will AbbVie Be in 5 Years? | The Motley Fool (844) 978-6257. AbbVie (NYSE:ABBV) has a market capitalization of $276.13 billion and generates $58.05 billion in revenue each year. What is a Good Dividend Yield? All rights reserved. Ltd., AbbVie Overseas S. r.l., AbbVie Oy, AbbVie Participaes Ltda., AbbVie Pharmaceutical Trading (Shanghai) Co. Ltd., AbbVie Pharmaceuticals B.V., AbbVie Pharmaceuticals GmbH, AbbVie Pharmaceuticals LLC, AbbVie Pharmaceuticals SCA., AbbVie Pharmaceuticals Societe Anonyme, AbbVie Polska Sp. Here's Exactly How AbbVie Stock Can Beat the Market In 2023 AbbVie has 5 focus areas for its research and products. Discovery Company. Teliso V is an antibody drug conjugate and a c-Met inhibitor. The median estimate represents a +5.72% increase from the last price of 156.07. 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. AbbVie (ABBV) Stock Forecast & Price Target - TipRanks Price target. 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. GSK Free Cash Flow Forecast for 2023 - 2025 - 2030. For the next eight years, the forecast is for Free Cash Flow to grow by . 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. The company employs 50,000 workers across the globe. 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. AbbVie probably does not want to be recognized as simply an immunology giant however, it wants to be substantially more diversified and like all major Pharma's it has a strong long-term focus on oncology. 16 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for AbbVie in the last year. CFDs are complex leveraged instruments and come with a high risk of losing money. 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. View the latest news, buy/sell ratings, SEC filings and insider transactions for your stocks. The company projects the U.S. toxin market (where Botox is the top product) will decline by mid-single digits. Sign-up to receive the latest news and ratings for AbbVie and its competitors with MarketBeat's FREE daily newsletter. First of all, as shown in the table above I forecast product sales out to 2030. Drug pricing is another issue - there is bipartisan, and international pressure on US Pharmas to reduce drug pricing, particularly outside of the US. The Abbvie stock forecast for 2025 had the price at $259.018. However, there are some general principles that can be followed in order to improve the accuracy of stock price predictions. 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. Different trading strategies will suit different investment goals with short or long-term focus. As a result I have dropped Imbruvica revenues to just over $3.5bn in 2022 and modelled for a CAGR growth of just 1.5% between then and 2030. Find the latest AbbVie Inc. (ABBV) stock quote, history, news and other vital information to help you with your stock trading and investing. . In this post, I will discuss Q2'22 results, as well as the long-term outlook for AbbVie based on the latest information, goals, risks, and financial modeling analysis, to try to establish a target price for AbbVie stock. 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. When looking for ABBV stock forecasts, it's important to bear in mind that analysts' forecasts can be wrong. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions). This indicates that the company will be able to sustain or increase its dividend. AbbVie has been increasing its dividend for 51 years. MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. It is generally accepted however that 2023 will see the entrants into the US market of several generic versions of Humira - which works by inhibiting Tumor Necrosis Factor ("TNF"), an inflammation causing protein - from the likes of Viatris (VTRS), Organon (OGN), Pfizer (PFE), Amgen (AMGN), and several more companies involved in the development and sale of generic or biosimilar drugs. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. My No. Currently, AbbVie sees a significantly higher portion of every dollar end up as cash to do with what they please. Get short term trading ideas from the MarketBeat Idea Engine. Thus, it is likely that ABBV will continue to find support on the dips in this type of market environment.. I'm on twitter @edmundingham. In the U.S. dermatology segment, where approximately 30% of patients exhibit both skin and joint involvement, Skyrizi is already achieving an in-play patient share of nearly 20%. . Gene therapies have been a long time coming, having first been popularized in the early noughties. abbvie stock forecast 2022 - 2025 - 2030 - 2032 Neurology also looks strong although aesthetics, eye care and oncology have something to prove. The five-year dividend growth rate is just below 18%. Richard A. Gonzalez has an approval rating of 88% among the company's employees. Upgrade to MarketBeat Daily Premium to add more stocks to your watchlist. In the next year, analysts expect Free Cash Flow to reach $26.97B - an increase of 58.68%. 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. Past performance is no guarantee of future results. Eye Care, Other products Division Projected Revenues to 2030 (my table and assumptions ). Their ABBV share price forecasts range from $140.00 to $200.00. After 2022 Humira's row is shaded yellow to signify patent expiry. The ex-dividend date of this dividend is Thursday, April 13th. With the Hughes Optioneering Strategy, youll soon learn that the safest option for new accounts is options themselves! Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. According to analysts' consensus price target of $161.12, AbbVie has a forecasted upside of 3.2% from its current price of $156.06. View AbbVie's Short Interest. Skyrizi is a collaboration between Boehringer Ingelheim and AbbVie, with AbbVie leading development and commercialisation globally. To be sure, AbbVie is modeling for a tough year in 2023 for the aesthetics market. Bhd., AbbVie Sp. Rinvoq's progress has been a little more circumspect, but almost as impressive. (my tables and forecasting). 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. This included an unfavourable impact of $0.08 a share related to acquired in-process research and development (IPR&D) and milestones expenses incurred during the March quarter. AbbVie Stock Forecast 03-06-2023. Build a CFD portfolio with your favourite companies. (NYSE: ABBV) Abbvie's current Earnings Per Share (EPS) is $6.65. I have no business relationship with any company whose stock is mentioned in this article. What is AbbVie's stock price forecast for 2023? Finally, AbbVie was able to raise its financial . 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. AbbVie: Modelling The Post Humira Bull Case To 2030 (ABBV) First we can take a quick look at what a forward income statement for AbbVie might look like to 2030. 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. Disclosure: I/we have a beneficial long position in the shares of ABBV, BMY either through stock ownership, options, or other derivatives. Read our dividend analysis for ABBV. 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. Since then, ABBV stock has decreased by 3.4% and is now trading at $156.06. As well as the stock price gains AbbVie has always paid a handsome dividend - which has increased by 270% since the Pharma's inception, currently paying $1.48 per quarter, for a current yield of 4% - the highest in the large Pharmaceutical sector. Only 0.08% of the stock of AbbVie is held by insiders. Compare Top Brokerages Here. Net earnings also saw a steep rise to $4.49bn from $3.55bn, while net revenue jumped to $13.54bn from 13.01bn. After a Blowout Quarter, Is AbbVie Stock a Buy? | The Motley Fool - Nasdaq The weighted average cost of capital I estimate to be 9.6% - I tend to use a WACC of 10% for most Big Pharma analysis. AbbVie, like its parent Abbot Laboratories, is a well-established dividend growth stock. The lowest target is $136.35 and the highest is $210. Abbvie Stock Forecast: up to 179.050 USD! - Walletinvestor.com 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. AbbVie stock is one of the most well-known pharmaceutical companies. Is AbbVie Stock A Buy Or A Sell With Humira Rivals Looming? The company also successfully completed the acquisition of Syndesi Therapeutics SA in March. 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. I haven't included Epcoritamab sales in my forecasts this time, but I hope to adjust the table before Q3'22 results are announced. Currently, the company has a "stable" rating, but that must be maintained or investors will perceive the company as unsafe to invest in and that will drag the share price down rapidly. To summarize, Humira may be going off-patent, but is more than capable of delivering double-digit billion revenues for another 3-4 years, and even in 2030, it could be amongst the top 20 best-selling drugs worldwide. 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. Neuroscience is one of AbbVie's most intriguing divisions and perhaps the hardest to model. Capital Com Australia Pty Ltd (ABN 47 625 601 489) is a company registered in Australia and regulated by the Australian Securities and Investments Commission (ASIC) under AFSL 513393. The company reported $3.60 EPS for the quarter, topping the consensus estimate of $3.54 by $0.06. Sales of the drug reached $19.9bn in 2018 and were $19.2bn, $19.8bn and $20.6bn in 2019, 2020, and 2021 respectively. All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. In the past three months, AbbVie insiders have sold more of their company's stock than they have bought. One share of ABBV stock can currently be purchased for approximately $156.06. And it couldnt be more wrong! My detailed modeling suggests there is 15-20% upside to look forward to in the short term and that ABBV stock remains a solid long-term buy opportunity for investors. This represents a $5.92 dividend on an annualized basis and a dividend yield of 3.79%. With Skyrizi and Rinviq - two assets developed in-house - performing so well, however, perhaps we should give management the benefit of the doubt. You should consider whether you understand how CFDs work and can afford the risks. To summarize, although AbbVie does not have the same clout in oncology as it does in immunology - as evidenced perhaps by the declining sales of Imbruvica - it is clearly an area of focus for management. Invest alongside the model portfolio or simply access the investment bank-grade financial models and research. AbbVie Inc. (ABBV) Stock Forecast & Price Prediction For 2023 2024 2025 That is substantially higher than the 12% CAGR achieved between 2018 - 2022, although that period includes the additional revenues from Allergan. AbbVie made the bold decision to take on a heavy debt load and bid for Allergan, with the deal being completed in 2020. Psoriatic arthritis is also adding significantly to Skyrizi's momentum, where we are now approved in 54 countries. According to the Abbvie stock technical analysis, as of 30 June, the Relative Strength Index (RSI) was pointing to neutral at 62.18. Armed with management's detailed guidance and commentary on sales performance of key assets and new product launches, however, I have completed sales projections for AbbVie to 2030, which I will share in this post, highlighting areas of strength and potential weaknesses. Kateryna Onyshchuk/iStock via Getty Images. I wrote this article myself, and it expresses my own opinions. The current consensus among 24 polled investment analysts is to Buy stock in Abbvie Inc. 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. Having so much debt in a prevailing inflationary environment is also unattractive. Venclexta - a "first-in-class BCL-2 inhibitor for multiple hematological malignancies", according to Gonzalez, is forecast for strong growth, whilst Gonzalez has name checked 3 new drugs he expects to be approved by 2026. As we can see, AbbVie is likely to generate some impressive cash flow based on its operating margins, which begin at 32%. The company had recorded a $4.7 billion increase in the contingent consideration liability related to Skyrizi last year. Aurora Cannabis Revenue Forecast for 2023 - 2025 - 2030. 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. Snowflake Reports Weak Guidance: Is the Growth Snowflake Melting? 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. Enjoy your holiday weekend and catch up on our most read stories this week. When looking for ABBV stock forecasts, its important to bear in mind that analysts forecasts can be wrong. How often does AbbVie pay dividends? The firm earned $15.12 billion during the quarter, compared to the consensus estimate of $15.30 billion. On the negative side of things, we can see that AbbVie is no longer breaking out sales within its Women's Health division, with revenues lumped into the "all other section, presumably. If you have an ad-blocker enabled you may be blocked from proceeding. 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. This could present more profit potential for drugmakers as well as investors. Abbvie Stock Forecast 2023, 2024, 2025, 2030 - Stock in US I take the total revenue figure from each year and plug it into an income statement forecast as follows: AbbVie income statement forecast. Earnings for AbbVie are expected to decrease by -0.55% in the coming year, from $11.00 to $10.94 per share. There has been a raft of price-moving news for Abbvie, which may positively affect the stock price. The median. 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. I am not receiving compensation for it (other than from Seeking Alpha). The company has been increasing its dividend for 51 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. AbbVie has been the subject of 9 research reports in the past 90 days, demonstrating strong analyst interest in this stock.
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