Abbott Laboratories: Attractive Dividend Investment Opportunity
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Should l Buy ABT?
Source: Fool
- Price Dip Opportunity: Abbott Laboratories' stock has fallen 30% over the past year, currently priced at $89.46, presenting an opportunity for investors to buy on the dip and potentially achieve long-term returns.
- Acquisition-Driven Growth: The company completed a $21 billion acquisition of Exact Sciences in Q1, which is expected to enhance revenue through new products like Cologuard, particularly in the colorectal cancer screening market, thereby expanding its market share.
- Innovative Product Line: Abbott's FreeStyle Libre continuous glucose monitoring devices have been a major growth driver, and the launch of new products like Lingo and Libre Rio will help the company penetrate underdeveloped markets, catering to more diabetes patients.
- Stable Dividend Returns: As a Dividend King, Abbott Laboratories has increased its dividend for 50 consecutive years, with a current yield of 2.8%, significantly above the S&P 500's 1.1%, providing investors with a reliable cash flow.
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Analyst Views on ABT
Wall Street analysts forecast ABT stock price to rise
19 Analyst Rating
17 Buy
2 Hold
0 Sell
Strong Buy
Current: 90.790
Low
136.00
Averages
148.11
High
169.00
Current: 90.790
Low
136.00
Averages
148.11
High
169.00
About ABT
Abbott Laboratories is a global healthcare company. The Company’s principal business is the discovery, development, manufacture, and sale of a broad and diversified line of healthcare products. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. Diagnostic Products segment is involved in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories and alternate-care testing sites. Nutritional Products segment is engaged in the worldwide sales of a broad line of adult and pediatric nutritional products. Medical Devices segment is involved in the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation and diabetes care products. It serves people in more than 160 countries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Abbott Laboratories: Attractive Dividend Investment Opportunity
- Price Dip Opportunity: Abbott Laboratories' stock has fallen 30% over the past year, currently priced at $89.46, presenting an opportunity for investors to buy on the dip and potentially achieve long-term returns.
- Acquisition-Driven Growth: The company completed a $21 billion acquisition of Exact Sciences in Q1, which is expected to enhance revenue through new products like Cologuard, particularly in the colorectal cancer screening market, thereby expanding its market share.
- Innovative Product Line: Abbott's FreeStyle Libre continuous glucose monitoring devices have been a major growth driver, and the launch of new products like Lingo and Libre Rio will help the company penetrate underdeveloped markets, catering to more diabetes patients.
- Stable Dividend Returns: As a Dividend King, Abbott Laboratories has increased its dividend for 50 consecutive years, with a current yield of 2.8%, significantly above the S&P 500's 1.1%, providing investors with a reliable cash flow.
See More
Abbott Laboratories Stock Down 30%: A Long-Term Buy Opportunity
- Stock Price Decline: Abbott Laboratories' stock has fallen 30% over the past year, primarily due to slow growth in its nutrition and diagnostics segments, with only 3.7% comparable sales growth in Q1, which has impacted investor confidence.
- Acquisition-Driven Growth: The company completed a $21 billion acquisition of Exact Sciences in Q1, introducing new products like Cologuard for colorectal cancer testing, which is expected to leverage Abbott's strong healthcare presence to drive growth and expand market share.
- Innovative Product Line: Abbott's FreeStyle Libre continuous glucose monitoring devices have been a major growth driver in recent years, and with the CGM market still underpenetrated, the launch of new over-the-counter CGM products like Lingo and Libre Rio will further target populations and enhance sales potential.
- Dividend Attractiveness: As a
See More
Multiple Companies Hit 52-Week Lows Amid Sector Concerns
- Abbott Stock Decline: Abbott Laboratories (ABT) shares fell to a 52-week low of $90.29 during intraday trading, primarily due to declining demand for Covid-19 testing and market share losses in pediatric nutrition, resulting in a more than 26% drop in stock price this year.
- Figma Stock Fluctuation: Figma Inc. (FIG) hit a 52-week low of $16.60 on Thursday but rebounded to $17.70 at close, as retail investors largely dismissed concerns over its AI design tool, indicating a potential upside of about 127% based on a 12-month average price target of $40.25 from analysts.
- International Paper's Poor Performance: International Paper Co. (IP) shares fell to a fresh 52-week low of $29.45 after posting Q1 EBITDA of $677 million, which was 3% below consensus and significantly below its own guidance, contributing to a more than 24% decline in stock price this year.
- Market Sentiment Analysis: Despite the ongoing declines in Abbott and International Paper's stock prices, retail sentiment on Stocktwits remains bearish for Abbott, particularly with high message volumes indicating market concerns about its future performance.
See More
Dexcom Reiterates Full-Year Revenue Forecast After Beating Estimates
- Quarterly Performance Beat: Dexcom reported quarterly revenue of $1.19 billion, a 15% year-over-year increase, surpassing analysts' expectations of $1.18 billion, indicating strong demand for its continuous glucose monitors.
- Profitability Improvement: The company posted an adjusted earnings per share of 56 cents, exceeding estimates of 47 cents, reflecting effective strategies in cost control and market demand management.
- Product Innovation and Market Expansion: Dexcom expanded the launch of the Dexcom G7 15-day sensor in the U.S. and added new meal-logging features to the Stelo platform, further solidifying its market position in diabetes care.
- Intensifying Market Competition: With rising awareness of diabetes care and broader insurance coverage, Dexcom faces fierce competition from Medtronic and Abbott, prompting continuous innovation to maintain market share.
See More
Analysis of Abbott Laboratories Holdings
- Holding Changes Overview: As of March 31, 2026, 25 hedge funds held Abbott Laboratories (ABT), with 6 increasing their positions and 14 decreasing, indicating a divergence in market sentiment towards the stock.
- Share Count Growth: Between the reporting periods of December 31, 2025, and March 31, 2026, the aggregate shares held by funds increased from 52,811,680 to 55,496,224, reflecting a growth of approximately 5.08%, showcasing sustained confidence in the company.
- Funds Exiting Positions: Notably, funds such as Baxter Bros Inc., Carlton Hofferkamp & Jenks Wealth Management LLC, Seascape Capital Management, and Core Wealth Advisors LLC exited their common stock positions in ABT during this period, suggesting a cautious stance from some investors.
- Investor Behavior Analysis: While 13F filings only reveal long positions, analyzing the changes across multiple funds provides a more comprehensive understanding of market sentiment, prompting investors to consider potential opportunities in Abbott Laboratories.
See More
Investment Analysis of Abbott Laboratories
- Stable Dividend Returns: Abbott Laboratories has paid dividends for 399 consecutive quarters since 1924 and has increased its payout for 54 years, currently offering a dividend yield of 2.8%, providing investors with stable cash flow amid economic fluctuations.
- Strong Financial Growth: In the first quarter, Abbott's revenue grew nearly 8% year-over-year, with earnings per share (EPS) increasing by 6%, partly due to the acquisition of Exact Sciences, which enhances its expertise in oncology diagnostics, showcasing the company's success in diversification.
- Reasonable Valuation Levels: Abbott's forward-looking price-to-earnings (P/E) ratio stands at 16.6, below its five-year average of 23.6, and its price-to-sales ratio is 3.5, lower than the average of 4.8, indicating that its stock is attractive in the current market environment.
- Diversified Business Driving Growth: Abbott's cancer diagnostics business, medical devices portfolio, and product pipeline progress are viewed by management as key growth drivers, ensuring that even if one division falters, others can support overall performance.
See More
Abbott Laboratories: Attractive Dividend Investment Opportunity
- Price Dip Opportunity: Abbott Laboratories' stock has fallen 30% over the past year, currently priced at $89.46, presenting an opportunity for investors to buy on the dip and potentially achieve long-term returns.
- Acquisition-Driven Growth: The company completed a $21 billion acquisition of Exact Sciences in Q1, which is expected to enhance revenue through new products like Cologuard, particularly in the colorectal cancer screening market, thereby expanding its market share.
- Innovative Product Line: Abbott's FreeStyle Libre continuous glucose monitoring devices have been a major growth driver, and the launch of new products like Lingo and Libre Rio will help the company penetrate underdeveloped markets, catering to more diabetes patients.
- Stable Dividend Returns: As a Dividend King, Abbott Laboratories has increased its dividend for 50 consecutive years, with a current yield of 2.8%, significantly above the S&P 500's 1.1%, providing investors with a reliable cash flow.
See More
Abbott Laboratories Stock Down 30%: A Long-Term Buy Opportunity
- Stock Price Decline: Abbott Laboratories' stock has fallen 30% over the past year, primarily due to slow growth in its nutrition and diagnostics segments, with only 3.7% comparable sales growth in Q1, which has impacted investor confidence.
- Acquisition-Driven Growth: The company completed a $21 billion acquisition of Exact Sciences in Q1, introducing new products like Cologuard for colorectal cancer testing, which is expected to leverage Abbott's strong healthcare presence to drive growth and expand market share.
- Innovative Product Line: Abbott's FreeStyle Libre continuous glucose monitoring devices have been a major growth driver in recent years, and with the CGM market still underpenetrated, the launch of new over-the-counter CGM products like Lingo and Libre Rio will further target populations and enhance sales potential.
- Dividend Attractiveness: As a
See More
Multiple Companies Hit 52-Week Lows Amid Sector Concerns
- Abbott Stock Decline: Abbott Laboratories (ABT) shares fell to a 52-week low of $90.29 during intraday trading, primarily due to declining demand for Covid-19 testing and market share losses in pediatric nutrition, resulting in a more than 26% drop in stock price this year.
- Figma Stock Fluctuation: Figma Inc. (FIG) hit a 52-week low of $16.60 on Thursday but rebounded to $17.70 at close, as retail investors largely dismissed concerns over its AI design tool, indicating a potential upside of about 127% based on a 12-month average price target of $40.25 from analysts.
- International Paper's Poor Performance: International Paper Co. (IP) shares fell to a fresh 52-week low of $29.45 after posting Q1 EBITDA of $677 million, which was 3% below consensus and significantly below its own guidance, contributing to a more than 24% decline in stock price this year.
- Market Sentiment Analysis: Despite the ongoing declines in Abbott and International Paper's stock prices, retail sentiment on Stocktwits remains bearish for Abbott, particularly with high message volumes indicating market concerns about its future performance.
See More
Dexcom Reiterates Full-Year Revenue Forecast After Beating Estimates
- Quarterly Performance Beat: Dexcom reported quarterly revenue of $1.19 billion, a 15% year-over-year increase, surpassing analysts' expectations of $1.18 billion, indicating strong demand for its continuous glucose monitors.
- Profitability Improvement: The company posted an adjusted earnings per share of 56 cents, exceeding estimates of 47 cents, reflecting effective strategies in cost control and market demand management.
- Product Innovation and Market Expansion: Dexcom expanded the launch of the Dexcom G7 15-day sensor in the U.S. and added new meal-logging features to the Stelo platform, further solidifying its market position in diabetes care.
- Intensifying Market Competition: With rising awareness of diabetes care and broader insurance coverage, Dexcom faces fierce competition from Medtronic and Abbott, prompting continuous innovation to maintain market share.
See More
Analysis of Abbott Laboratories Holdings
- Holding Changes Overview: As of March 31, 2026, 25 hedge funds held Abbott Laboratories (ABT), with 6 increasing their positions and 14 decreasing, indicating a divergence in market sentiment towards the stock.
- Share Count Growth: Between the reporting periods of December 31, 2025, and March 31, 2026, the aggregate shares held by funds increased from 52,811,680 to 55,496,224, reflecting a growth of approximately 5.08%, showcasing sustained confidence in the company.
- Funds Exiting Positions: Notably, funds such as Baxter Bros Inc., Carlton Hofferkamp & Jenks Wealth Management LLC, Seascape Capital Management, and Core Wealth Advisors LLC exited their common stock positions in ABT during this period, suggesting a cautious stance from some investors.
- Investor Behavior Analysis: While 13F filings only reveal long positions, analyzing the changes across multiple funds provides a more comprehensive understanding of market sentiment, prompting investors to consider potential opportunities in Abbott Laboratories.
See More
Investment Analysis of Abbott Laboratories
- Stable Dividend Returns: Abbott Laboratories has paid dividends for 399 consecutive quarters since 1924 and has increased its payout for 54 years, currently offering a dividend yield of 2.8%, providing investors with stable cash flow amid economic fluctuations.
- Strong Financial Growth: In the first quarter, Abbott's revenue grew nearly 8% year-over-year, with earnings per share (EPS) increasing by 6%, partly due to the acquisition of Exact Sciences, which enhances its expertise in oncology diagnostics, showcasing the company's success in diversification.
- Reasonable Valuation Levels: Abbott's forward-looking price-to-earnings (P/E) ratio stands at 16.6, below its five-year average of 23.6, and its price-to-sales ratio is 3.5, lower than the average of 4.8, indicating that its stock is attractive in the current market environment.
- Diversified Business Driving Growth: Abbott's cancer diagnostics business, medical devices portfolio, and product pipeline progress are viewed by management as key growth drivers, ensuring that even if one division falters, others can support overall performance.
See More
