ABBVIE INC (1ABBV.MI) Stock Fundamental Analysis
BIT:1ABBV - US00287Y1091 - Common Stock
177.8 EUR
+17.8 (+11.13%)
Overall 1ABBV gets a fundamental rating of 5 out of 10. We evaluated 1ABBV against 74 industry peers in the Biotechnology industry. While 1ABBV belongs to the best of the industry regarding profitability, there are concerns on its financial health. 1ABBV scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
1ABBV had positive earnings in the past year.
In the past year 1ABBV had a positive cash flow from operations.
Each year in the past 5 years 1ABBV has been profitable.
1ABBV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.05%, 1ABBV is in the better half of the industry, outperforming 78.38% of the companies in the same industry.
1ABBV has a better Return On Equity (292.61%) than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 13.43%, 1ABBV belongs to the top of the industry, outperforming 87.84% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1ABBV is in line with the industry average of 12.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 292.61% | ||
| ROIC | 13.43% |
ROA(3y)5.07%
ROA(5y)5.21%
ROE(3y)80.76%
ROE(5y)70.31%
ROIC(3y)13.67%
ROIC(5y)12.68%
1.3 Margins
1ABBV's Profit Margin of 7.24% is amongst the best of the industry. 1ABBV outperforms 81.08% of its industry peers.
1ABBV's Profit Margin has declined in the last couple of years.
1ABBV has a better Operating Margin (30.43%) than 87.84% of its industry peers.
1ABBV's Operating Margin has declined in the last couple of years.
The Gross Margin of 1ABBV (70.69%) is better than 64.86% of its industry peers.
1ABBV's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.43% | ||
| PM (TTM) | 7.24% | ||
| GM | 70.69% |
OM growth 3Y-5.46%
OM growth 5Y-6.52%
PM growth 3Y-28.3%
PM growth 5Y-20.42%
GM growth 3Y0.39%
GM growth 5Y-1.92%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1ABBV is still creating some value.
1ABBV has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1ABBV has more shares outstanding
Compared to 1 year ago, 1ABBV has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.30 indicates that 1ABBV is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.30, 1ABBV is in the better half of the industry, outperforming 68.92% of the companies in the same industry.
1ABBV has a debt to FCF ratio of 4.54. This is a neutral value as 1ABBV would need 4.54 years to pay back of all of its debts.
1ABBV has a Debt to FCF ratio of 4.54. This is in the better half of the industry: 1ABBV outperforms 79.73% of its industry peers.
A Debt/Equity ratio of 46.56 is on the high side and indicates that 1ABBV has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 46.56, 1ABBV is doing worse than 74.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 46.56 | ||
| Debt/FCF | 4.54 | ||
| Altman-Z | 2.3 |
ROIC/WACC1.41
WACC9.53%
2.3 Liquidity
1ABBV has a Current Ratio of 0.76. This is a bad value and indicates that 1ABBV is not financially healthy enough and could expect problems in meeting its short term obligations.
1ABBV has a Current ratio of 0.76. This is in the lower half of the industry: 1ABBV underperforms 78.38% of its industry peers.
1ABBV has a Quick Ratio of 0.76. This is a bad value and indicates that 1ABBV is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.64, 1ABBV is doing worse than 79.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
1ABBV shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.03%.
1ABBV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.51% yearly.
The Revenue has been growing slightly by 3.71% in the past year.
Measured over the past years, 1ABBV shows a quite strong growth in Revenue. The Revenue has been growing by 11.11% on average per year.
EPS 1Y (TTM)-1.03%
EPS 3Y-7.24%
EPS 5Y2.51%
EPS Q2Q%12.08%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%6.65%
3.2 Future
The Earnings Per Share is expected to grow by 13.01% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.55% on average over the next years.
EPS Next Y22.41%
EPS Next 2Y18.82%
EPS Next 3Y16.07%
EPS Next 5Y13.01%
Revenue Next Year7.1%
Revenue Next 2Y7.62%
Revenue Next 3Y7.47%
Revenue Next 5Y6.55%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.56, the valuation of 1ABBV can be described as rather expensive.
86.49% of the companies in the same industry are more expensive than 1ABBV, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.84. 1ABBV is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.50, 1ABBV is valued correctly.
Based on the Price/Forward Earnings ratio, 1ABBV is valued cheaper than 86.49% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of 1ABBV to the average of the S&P500 Index (22.48), we can say 1ABBV is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.56 | ||
| Fwd PE | 14.5 |
4.2 Price Multiples
81.08% of the companies in the same industry are more expensive than 1ABBV, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, 1ABBV is valued cheaply inside the industry as 82.43% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.79 | ||
| EV/EBITDA | 16.63 |
4.3 Compensation for Growth
1ABBV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of 1ABBV may justify a higher PE ratio.
1ABBV's earnings are expected to grow with 16.07% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.87
PEG (5Y)7.79
EPS Next 2Y18.82%
EPS Next 3Y16.07%
5. Dividend
5.1 Amount
1ABBV has a Yearly Dividend Yield of 3.47%.
1ABBV's Dividend Yield is rather good when compared to the industry average which is at 12.87. 1ABBV pays more dividend than 97.30% of the companies in the same industry.
1ABBV's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
5.2 History
On average, the dividend of 1ABBV grows each year by 7.72%, which is quite nice.
Dividend Growth(5Y)7.72%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1ABBV pays out 269.03% of its income as dividend. This is not a sustainable payout ratio.
The dividend of 1ABBV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP269.03%
EPS Next 2Y18.82%
EPS Next 3Y16.07%
BIT:1ABBV (8/26/2025, 7:00:00 PM)
177.8
+17.8 (+11.13%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners74.24%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap314.07B
Analysts78.82
Price Target188.83 (6.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
Yearly Dividend5.48
Dividend Growth(5Y)7.72%
DP269.03%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.58%
Min EPS beat(2)0.02%
Max EPS beat(2)1.14%
EPS beat(4)4
Avg EPS beat(4)0.84%
Min EPS beat(4)0.02%
Max EPS beat(4)1.28%
EPS beat(8)7
Avg EPS beat(8)0.85%
EPS beat(12)8
Avg EPS beat(12)0.35%
EPS beat(16)10
Avg EPS beat(16)0.22%
Revenue beat(2)1
Avg Revenue beat(2)0.51%
Min Revenue beat(2)-0.2%
Max Revenue beat(2)1.23%
Revenue beat(4)2
Avg Revenue beat(4)0.35%
Min Revenue beat(4)-0.71%
Max Revenue beat(4)1.23%
Revenue beat(8)4
Avg Revenue beat(8)0.35%
Revenue beat(12)4
Avg Revenue beat(12)-0.56%
Revenue beat(16)5
Avg Revenue beat(16)-0.82%
PT rev (1m)0.4%
PT rev (3m)1.05%
EPS NQ rev (1m)-10.58%
EPS NQ rev (3m)-9.98%
EPS NY rev (1m)-0.84%
EPS NY rev (3m)-0.57%
Revenue NQ rev (1m)0.32%
Revenue NQ rev (3m)0.51%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.56 | ||
| Fwd PE | 14.5 | ||
| P/S | 6.38 | ||
| P/FCF | 23.79 | ||
| P/OCF | 22.31 | ||
| P/B | 257.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.63 |
EPS(TTM)9.09
EY5.11%
EPS(NY)12.26
Fwd EY6.9%
FCF(TTM)7.47
FCFY4.2%
OCF(TTM)7.97
OCFY4.48%
SpS27.87
BVpS0.69
TBVpS-44.87
PEG (NY)0.87
PEG (5Y)7.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.05% | ||
| ROE | 292.61% | ||
| ROCE | 17.5% | ||
| ROIC | 13.43% | ||
| ROICexc | 14.15% | ||
| ROICexgc | 565.94% | ||
| OM | 30.43% | ||
| PM (TTM) | 7.24% | ||
| GM | 70.69% | ||
| FCFM | 26.82% |
ROA(3y)5.07%
ROA(5y)5.21%
ROE(3y)80.76%
ROE(5y)70.31%
ROIC(3y)13.67%
ROIC(5y)12.68%
ROICexc(3y)15.06%
ROICexc(5y)13.91%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.54%
ROCE(5y)16.27%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-1.81%
ROICexc growth 5Y-14.87%
OM growth 3Y-5.46%
OM growth 5Y-6.52%
PM growth 3Y-28.3%
PM growth 5Y-20.42%
GM growth 3Y0.39%
GM growth 5Y-1.92%
F-Score6
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 46.56 | ||
| Debt/FCF | 4.54 | ||
| Debt/EBITDA | 2.56 | ||
| Cap/Depr | 12.17% | ||
| Cap/Sales | 1.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.55% | ||
| Profit Quality | 370.28% | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 2.3 |
F-Score6
WACC9.53%
ROIC/WACC1.41
Cap/Depr(3y)9.59%
Cap/Depr(5y)10.06%
Cap/Sales(3y)1.45%
Cap/Sales(5y)1.5%
Profit Quality(3y)361.43%
Profit Quality(5y)328.91%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.03%
EPS 3Y-7.24%
EPS 5Y2.51%
EPS Q2Q%12.08%
EPS Next Y22.41%
EPS Next 2Y18.82%
EPS Next 3Y16.07%
EPS Next 5Y13.01%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%6.65%
Revenue Next Year7.1%
Revenue Next 2Y7.62%
Revenue Next 3Y7.47%
Revenue Next 5Y6.55%
EBIT growth 1Y9.32%
EBIT growth 3Y-5.38%
EBIT growth 5Y3.87%
EBIT Next Year22.05%
EBIT Next 3Y14.64%
EBIT Next 5Y10.77%
FCF growth 1Y-34.59%
FCF growth 3Y-6.75%
FCF growth 5Y6.9%
OCF growth 1Y-32.31%
OCF growth 3Y-6.19%
OCF growth 5Y7.14%