ABBVIE INC (4AB.DE) Stock Fundamental Analysis
Europe - FRA:4AB - US00287Y1091 - Common Stock
201 EUR
-2.5 (-1.23%)
We assign a fundamental rating of 5 out of 10 to 4AB. 4AB was compared to 73 industry peers in the Biotechnology industry. There are concerns on the financial health of 4AB while its profitability can be described as average. 4AB is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 4AB was profitable.
4AB had a positive operating cash flow in the past year.
Each year in the past 5 years 4AB has been profitable.
In the past 5 years 4AB always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of 4AB (2.71%) is better than 75.32% of its industry peers.
4AB's Return On Invested Capital of 13.81% is amongst the best of the industry. 4AB outperforms 85.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 4AB is in line with the industry average of 14.37%.
The 3 year average ROIC (13.67%) for 4AB is below the current ROIC(13.81%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.71% | ||
| ROE | N/A | ||
| ROIC | 13.81% |
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
With a decent Profit Margin value of 6.38%, 4AB is doing good in the industry, outperforming 77.92% of the companies in the same industry.
4AB's Profit Margin has declined in the last couple of years.
4AB has a better Operating Margin (31.27%) than 85.71% of its industry peers.
4AB's Operating Margin has declined in the last couple of years.
4AB has a Gross Margin of 70.93%. This is in the better half of the industry: 4AB outperforms 64.94% of its industry peers.
4AB's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.27% | ||
| PM (TTM) | 6.38% | ||
| GM | 70.93% |
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 4AB is still creating some value.
Compared to 1 year ago, 4AB has about the same amount of shares outstanding.
Compared to 5 years ago, 4AB has more shares outstanding
The debt/assets ratio for 4AB is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.47 indicates that 4AB 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 2.47, 4AB is in the better half of the industry, outperforming 67.53% of the companies in the same industry.
4AB has a debt to FCF ratio of 3.86. This is a good value and a sign of high solvency as 4AB would need 3.86 years to pay back of all of its debts.
The Debt to FCF ratio of 4AB (3.86) is better than 80.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.86 | ||
| Altman-Z | 2.47 |
ROIC/WACC1.42
WACC9.71%
2.3 Liquidity
A Current Ratio of 0.74 indicates that 4AB may have some problems paying its short term obligations.
With a Current ratio value of 0.74, 4AB is not doing good in the industry: 76.62% of the companies in the same industry are doing better.
A Quick Ratio of 0.61 indicates that 4AB may have some problems paying its short term obligations.
With a Quick ratio value of 0.61, 4AB is not doing good in the industry: 77.92% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
4AB shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.03%.
The Earnings Per Share has been growing slightly by 2.51% on average over the past years.
Looking at the last year, 4AB shows a small growth in Revenue. The Revenue has grown by 6.05% in the last year.
Measured over the past years, 4AB 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)6.05%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%6.65%
3.2 Future
4AB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.59% yearly.
4AB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.22% yearly.
EPS Next Y21.19%
EPS Next 2Y19.9%
EPS Next 3Y16.83%
EPS Next 5Y13.59%
Revenue Next Year8.21%
Revenue Next 2Y8.6%
Revenue Next 3Y8.22%
Revenue Next 5Y7.22%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 22.26, the valuation of 4AB can be described as rather expensive.
4AB's Price/Earnings ratio is rather cheap when compared to the industry. 4AB is cheaper than 80.52% of the companies in the same industry.
When comparing the Price/Earnings ratio of 4AB to the average of the S&P500 Index (27.86), we can say 4AB is valued slightly cheaper.
With a Price/Forward Earnings ratio of 16.21, 4AB is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 4AB indicates a rather cheap valuation: 4AB is cheaper than 83.12% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.32. 4AB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.26 | ||
| Fwd PE | 16.21 |
4.2 Price Multiples
76.62% of the companies in the same industry are more expensive than 4AB, based on the Enterprise Value to EBITDA ratio.
80.52% of the companies in the same industry are more expensive than 4AB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.84 | ||
| EV/EBITDA | 17.92 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
4AB has a very decent profitability rating, which may justify a higher PE ratio.
4AB's earnings are expected to grow with 16.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)8.87
EPS Next 2Y19.9%
EPS Next 3Y16.83%
5. Dividend
5.1 Amount
4AB has a Yearly Dividend Yield of 2.77%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 13.34, 4AB pays a better dividend. On top of this 4AB pays more dividend than 93.51% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, 4AB has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.77% |
5.2 History
On average, the dividend of 4AB grows each year by 7.72%, which is quite nice.
Dividend Growth(5Y)7.72%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
4AB pays out 304.54% of its income as dividend. This is not a sustainable payout ratio.
4AB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP304.54%
EPS Next 2Y19.9%
EPS Next 3Y16.83%
FRA:4AB (10/3/2025, 7:00:00 PM)
201
-2.5 (-1.23%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners74.42%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap355.08B
Analysts79.46
Price Target196.55 (-2.21%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.77% |
Yearly Dividend5.32
Dividend Growth(5Y)7.72%
DP304.54%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.04%
Min EPS beat(2)0.95%
Max EPS beat(2)1.14%
EPS beat(4)4
Avg EPS beat(4)0.75%
Min EPS beat(4)0.02%
Max EPS beat(4)1.14%
EPS beat(8)7
Avg EPS beat(8)0.76%
EPS beat(12)9
Avg EPS beat(12)0.46%
EPS beat(16)11
Avg EPS beat(16)0.4%
Revenue beat(2)2
Avg Revenue beat(2)0.93%
Min Revenue beat(2)0.63%
Max Revenue beat(2)1.23%
Revenue beat(4)2
Avg Revenue beat(4)0.24%
Min Revenue beat(4)-0.71%
Max Revenue beat(4)1.23%
Revenue beat(8)4
Avg Revenue beat(8)0.36%
Revenue beat(12)5
Avg Revenue beat(12)-0.32%
Revenue beat(16)5
Avg Revenue beat(16)-0.81%
PT rev (1m)3.1%
PT rev (3m)4.12%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)1.75%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)-1.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.44%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)1.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.26 | ||
| Fwd PE | 16.21 | ||
| P/S | 7.14 | ||
| P/FCF | 22.84 | ||
| P/OCF | 21.61 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.92 |
EPS(TTM)9.03
EY4.49%
EPS(NY)12.4
Fwd EY6.17%
FCF(TTM)8.8
FCFY4.38%
OCF(TTM)9.3
OCFY4.63%
SpS28.14
BVpS-0.09
TBVpS-44.79
PEG (NY)1.05
PEG (5Y)8.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.71% | ||
| ROE | N/A | ||
| ROCE | 18.72% | ||
| ROIC | 13.81% | ||
| ROICexc | 14.74% | ||
| ROICexgc | 370.81% | ||
| OM | 31.27% | ||
| PM (TTM) | 6.38% | ||
| GM | 70.93% | ||
| FCFM | 31.27% |
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 Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.86 | ||
| Debt/EBITDA | 2.58 | ||
| Cap/Depr | 12.62% | ||
| Cap/Sales | 1.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.74% | ||
| Profit Quality | 489.9% | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 2.47 |
F-Score6
WACC9.71%
ROIC/WACC1.42
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 Y21.19%
EPS Next 2Y19.9%
EPS Next 3Y16.83%
EPS Next 5Y13.59%
Revenue 1Y (TTM)6.05%
Revenue growth 3Y0.08%
Revenue growth 5Y11.11%
Sales Q2Q%6.65%
Revenue Next Year8.21%
Revenue Next 2Y8.6%
Revenue Next 3Y8.22%
Revenue Next 5Y7.22%
EBIT growth 1Y13.81%
EBIT growth 3Y-5.38%
EBIT growth 5Y3.87%
EBIT Next Year20.95%
EBIT Next 3Y15.22%
EBIT Next 5Y11.27%
FCF growth 1Y-26.45%
FCF growth 3Y-6.75%
FCF growth 5Y6.9%
OCF growth 1Y-24.5%
OCF growth 3Y-6.19%
OCF growth 5Y7.14%