Upside case
Bull case
$793+284.9%
ABBV would need investors to value it at roughly 56x earnings — about 41x more generous than today's 15x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated May 1, 2026
AbbVie Inc. (ABBV) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
41
analysts
28 bullish · 1 bearish · 41 covering ABBV
Strong Buy
0
Buy
28
Hold
12
Sell
1
Strong Sell
0
Consensus Target
$257
+24.5% vs today
Scenario Range
$222 – $793
Model bear to bull value window
Coverage
41
Published analyst ratings
Valuation Context
14.5x
Forward P/E · Market cap $364.6B
ABBV price targets
Three scenarios for where ABBV stock could go
Current
~$206
Confidence
54 / 100
Updated
May 1, 2026
Where we are now
Current · $206
Bear
$222
Base
$654
Bull
$793
Market caseClosest to today
Base case
$654+217.2%
At 46x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$222+7.6%
The bear case assumes sentiment or fundamentals disappoint enough to push ABBV down roughly 8% from the current price.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
AbbVie Inc.
ABBV · NYSEHealthcareDrug Manufacturers - GeneralDecember year-end
AbbVie is a global biopharmaceutical company that develops and markets innovative medicines for serious health conditions. It generates revenue primarily from prescription drug sales — with immunology drugs like Skyrizi and Rinvoq now driving growth as Humira faces biosimilar competition — and also earns income from its aesthetics portfolio including Botox. The company's competitive advantage lies in its deep R&D pipeline, strong patent portfolio, and established commercial infrastructure for launching new blockbuster therapies.
Market Cap
$364.6B
Revenue TTM
$61.2B
Net Income TTM
$4.2B
Net Margin
6.9%
ABBV Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
92%Exceptional
12 quarters tracked
Revenue Beat Rate
100%Exceptional
vs consensus estimates
Avg EPS Surprise
+0.4%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 4 of 4Q3 2025
EPS
$2.97/$2.88
Revenue
$15.4B/$15.0B
Q4 2025
EPS
$1.86/$1.77
Revenue
$15.8B/$15.6B
Q1 2026
EPS
$2.71/$2.65
Revenue
$16.6B/$16.4B
Q2 2026
EPS
$2.65/$2.59
Revenue
$15.0B/$14.7B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $2.97/$2.88 | +3.1% | $15.4B/$15.0B | +2.6% |
| Q4 2025 | $1.86/$1.77 | +5.1% | $15.8B/$15.6B | +1.2% |
| Q1 2026 | $2.71/$2.65 | +2.3% | $16.6B/$16.4B | +1.2% |
| Q2 2026 | $2.65/$2.59 | +2.3% | $15.0B/$14.7B | +1.9% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$65.8B
+7.7% YoY
FY2
$70.1B
+6.4% YoY
EPS Outlook
FY1
$7.66
+221.5% YoY
FY2
$7.52
-1.8% YoY
Trailing FCF (TTM)$18.7B
FCF Margin: 30.6%
Next Earnings
—
Expected EPS
—
Expected Revenue
—
ABBV beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
ABBV Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $58.2B
Product Mix
Latest annual revenue by segment or product family
SKYRIZI
30.2%
+49.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
UNITED STATES
95.2%
+8.3% YoY
Tap, hover, or focus a slice to inspect segment detail.
SKYRIZI is the largest disclosed segment at 30.2% of FY 2025 revenue, up 49.9% YoY.
UNITED STATES is the largest reported region at 95.2%, up 8.3% YoY.
ABBV Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Overvalued
Fair value est. $138 — implies -33.1% from today's price.
Premium to Fair Value
33.1%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
ABBV
87.0x
vs
S&P 500
25.1x
+246% premium
vs Healthcare Trailing P/E
ABBV
87.0x
vs
Healthcare
22.2x
+292% premium
vs ABBV 5Y Avg P/E
Today
87.0x
vs
5Y Average
54.6x
+59% premium
Forward PE
14.5x
S&P 500
19.1x
-24%
Healthcare
18.8x
-23%
5Y Avg
—
—
Trailing PE
87.0x
S&P 500
25.1x
+246%
Healthcare
22.2x
+292%
5Y Avg
54.6x
+59%
PEG Ratio
—
S&P 500
1.72x
—
Healthcare
1.53x
—
5Y Avg
—
—
EV/EBITDA
15.2x
S&P 500
15.2x
-0%
Healthcare
14.0x
+8%
5Y Avg
15.5x
-2%
Price/FCF
20.5x
S&P 500
21.1x
-3%
Healthcare
18.6x
+10%
5Y Avg
15.1x
+35%
Price/Sales
6.0x
S&P 500
3.1x
+91%
Healthcare
2.8x
+113%
5Y Avg
5.3x
+12%
Dividend Yield
3.19%
S&P 500
1.87%
+71%
Healthcare
1.42%
+124%
5Y Avg
3.51%
-9%
| Metric | ABBV | S&P 500 | Healthcare | 5Y Avg ABBV |
|---|---|---|---|---|
| Forward PE | 14.5x | 19.1x-24% | 18.8x-23% | — |
| Trailing PE | 87.0x | 25.1x+246% | 22.2x+292% | 54.6x+59% |
| PEG Ratio | — | 1.72x | 1.53x | — |
| EV/EBITDA | 15.2x | 15.2x | 14.0x | 15.5x |
| Price/FCF | 20.5x | 21.1x | 18.6x+10% | 15.1x+35% |
| Price/Sales | 6.0x | 3.1x+91% | 2.8x+113% | 5.3x+12% |
| Dividend Yield | 3.19% | 1.87% | 1.42% | 3.51% |
ABBV trades above S&P 500 benchmarks on 2 of 5 measured multiples — is elevated on some multiples, but competitive on others — a mixed valuation picture.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolABBV Financial Health
Verdict
Exceptional
ABBV generates $18.7B in free cash flow at a 30.6% margin — 23.9% ROIC signals a durable competitive advantage · returns 3.5% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$61.2B
Revenue Growth
TTM vs prior year
+8.6%
Gross Margin
Gross profit as a share of revenue
70.2%
Operating Margin
Operating income divided by revenue
26.7%
Net Margin
Net income divided by revenue
6.9%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$2.38
Free Cash Flow (TTM)
Cash generation after capex
$18.7B
FCF Margin
FCF as share of revenue — the primary cash quality signal
30.6%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
23.9%
ROA
Return on assets, trailing twelve months
3.1%
Cash & Equivalents
Liquid assets on the balance sheet
$5.2B
Net Debt
Total debt minus cash
$63.8B
Debt Serviceability
Net debt as a multiple of annual free cash flow
3.4× FCF
~3.4 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
—
Shareholder Returns
How capital is returned to owners
Total shareholder yield
3.5%
Dividend
3.2%
Buyback
0.3%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$980M
Dividend / Share
Annualized trailing dividend per share
$6.57
Payout Ratio
Share of earnings distributed as dividends
275.8%
Shares Outstanding
Declining as buybacks retire shares
1.8B
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageABBV Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 11, 2026
High Risk
Product Concentration
AbbVie’s revenue is heavily dependent on a handful of flagship drugs. Historically, Humira has been the dominant revenue driver, with Skyrizi and Rinvoq gaining importance in recent years. Any safety concerns, manufacturing issues, or pricing pressures on these key products could immediately and substantially impact the company’s financial performance.
High Risk
Patent Expirations & Competition
AbbVie relies on patent protection for its core drugs. When patents expire, generic and biosimilar competitors can enter the market, potentially eroding revenues and operating earnings. The loss of exclusivity for major products poses a significant threat to the company’s profitability.
High Risk
R&D Pipeline Uncertainty
Developing new therapies is capital‑intensive, lengthy, and uncertain. AbbVie’s future growth hinges on the success of its research pipeline and the launch of new indications. Failure to deliver successful products could render existing therapies obsolete and negatively affect revenues.
Medium
Pricing Pressures & Regulation
Government initiatives and cost‑containment efforts exert ongoing pressure on drug pricing. Changes in rebate programs and regulatory requirements can reduce AbbVie’s revenue and profitability. The company must navigate these dynamics to maintain margins.
Medium
Acquisition & Integration Risks
AbbVie has pursued acquisitions to diversify its portfolio. Overpayment, integration challenges, unexpected liabilities, and weaker product performance can undermine expected synergies. Successful integration is critical to realizing the anticipated benefits.
Lower
Debt Burden
AbbVie carries debt from past acquisitions and shareholder returns. While currently manageable, a significant debt load can limit financial flexibility. Rising interest rates, lower earnings, or large legal settlements could strain capital allocation.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why ABBV Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 11, 2026
Immunology Momentum
AbbVie's immunology drugs Skyrizi and Rinvoq are driving robust growth, with combined annual sales projected to exceed $31 billion by 2026. These products have secured approvals across multiple indications—including psoriasis, psoriatic arthritis, IBD, atopic dermatitis, and rheumatoid arthritis—offsetting the decline in Humira sales from biosimilar competition.
Neuroscience Growth
The neuroscience portfolio is expected to generate roughly $10 billion in sales in 2025, supported by key products such as Botox Therapeutic, Vraylar, Ubrelvy, and Qulipta. These drugs expand AbbVie's presence in high‑margin therapeutic areas and provide a steady revenue stream.
Strategic M&A Pipeline
Since early 2024, AbbVie has committed over $22 billion to mergers and acquisitions, targeting oncology, neuroscience, and immunology. Recent deals include Capstan Therapeutics for its in‑vivo CAR‑T therapy and ImmunoGen, which added the oncology asset Elahere to the portfolio.
Strong Financial Outlook
Q1 2025 revenues rose 8.4% year‑over‑year, and management has raised full‑year 2025 adjusted diluted EPS guidance. The company projects a high single‑digit compound annual revenue growth rate through 2029 and expects 9.5% revenue growth in 2026, with no major patent expirations anticipated for the decade.
Shareholder Returns
AbbVie offers a stable dividend yield of about 3.3% and has increased its dividend annually for over a decade. This commitment is underpinned by strong free‑cash‑flow generation, reinforcing value delivery to shareholders.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
ABBV Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$206.15
52W Range Position
43%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$176.57
+16.8% from the low
52-Week High
$244.81
-15.8% from the high
1 Month
-0.24%
3 Month
-5.88%
YTD
-10.1%
1 Year
+5.1%
3Y CAGR
+11.7%
5Y CAGR
+12.2%
10Y CAGR
+12.7%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
ABBV vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
14.5x
vs 19.5x median
-25% below peer median
Revenue Growth
+7.7%
vs +3.0% median
+152% above peer median
Net Margin
6.9%
vs 27.3% median
-75% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
ABB ABBV AbbVie Inc. | $364.6B | 14.5x | +7.7% | 6.9% | Buy | +24.5% |
JNJ JNJ Johnson & Johnson | $543.6B | 19.5x | +6.4% | 27.3% | Buy | +10.5% |
MRK MRK Merck & Co., Inc. | $279.5B | 22.1x | +3.0% | 28.1% | Buy | +14.3% |
PFE PFE Pfizer Inc. | $150.4B | 8.9x | -2.7% | 11.8% | Hold | +3.1% |
BMY BMY Bristol-Myers Squibb Company | $116.2B | 9.0x | -0.6% | 15.0% | Hold | +8.9% |
LLY LLY Eli Lilly and Company | $933.7B | 28.6x | +14.3% | 35.0% | Buy | +27.4% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
ABBV Dividend and Capital Return
ABBV returns 3.5% total yield, led by a 3.19% dividend, raised 13 consecutive years.
Dividend SustainableFCF Adequate
Total Shareholder Yield
3.5%
Dividend + buyback return per year
Buyback Yield
0.3%
Dividend Yield
3.19%
Payout Ratio
2.8%
How ABBV Splits Its Return
Div 3.19%
Dividend 3.19%Buybacks 0.3%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$6.57
Growth Streak
Consecutive years of dividend increases
13Y
3Y Div CAGR
5.2%
5Y Div CAGR
6.8%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$980M
Estimated Shares Retired
5M
Approx. Share Reduction
0.3%
Shares Outstanding
Current diluted share count from the screening snapshot
1.8B
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $3.46 | — | — | — |
| 2025 | $6.56 | +5.8% | 0.2% | 3.1% |
| 2024 | $6.20 | +4.7% | 0.5% | 4.0% |
| 2023 | $5.92 | +5.0% | 0.7% | 4.6% |
| 2022 | $5.64 | +8.5% | 0.5% | 4.0% |
FAQ
7 questionsABBV Investor Questions
Common questions answered from live analyst data and company financials.
01Is AbbVie Inc. (ABBV) stock a buy or sell in 2026?
AbbVie Inc. (ABBV) is rated Buy by Wall Street analysts as of 2026. Of 41 analysts covering the stock, 28 rate it Buy or Strong Buy, 12 rate it Hold, and 1 rate it Sell or Strong Sell. The consensus 12-month price target is $257, implying +24.5% from the current price of $206. The bear case scenario is $222 and the bull case is $793.
02What is the ABBV stock price target for 2026?
The Wall Street consensus price target for ABBV is $257 based on 41 analyst estimates. The high-end target is $294 (+42.6% from today), and the low-end target is $223 (+8.2%). The base case model target is $654.
03Is AbbVie Inc. (ABBV) stock overvalued in 2026?
ABBV trades at 14.5x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals significantly overvalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for AbbVie Inc. (ABBV) stock in 2026?
The primary risks for ABBV in 2026 are: (1) Product Concentration — AbbVie’s revenue is heavily dependent on a handful of flagship drugs. (2) Patent Expirations & Competition — AbbVie relies on patent protection for its core drugs. (3) R&D Pipeline Uncertainty — Developing new therapies is capital‑intensive, lengthy, and uncertain. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is AbbVie Inc.'s revenue and earnings forecast?
Analyst consensus estimates ABBV will report consensus revenue of $65.8B (+7.7% year-over-year) and EPS of $7.66 (+221.5% year-over-year) for the upcoming fiscal year. The following year, analysts project $70.1B in revenue.
06When does AbbVie Inc. (ABBV) report its next earnings?
A confirmed upcoming earnings date for ABBV is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
07How much free cash flow does AbbVie Inc. generate?
AbbVie Inc. (ABBV) generated $18.7B in free cash flow over the trailing twelve months — a free cash flow margin of 30.6%. ABBV returns capital to shareholders through dividends (3.2% yield) and share repurchases ($980M TTM).