AbbVie Continues to Raise Quarterly Dividend Amid Patent Challenges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 08 2026
0mins
Source: Fool
- Stable Dividend Growth: AbbVie has raised its quarterly dividend every year since becoming independent in 2013, with the latest dividend at $1.73 per share, or $6.92 annually, demonstrating strong cash flow and shareholder returns despite challenges from Humira's patent expiration.
- Sales Driven by New Drugs: Sales from Skyrizi and Rinvoq are projected to reach $50 billion by 2030, having generated $31 billion in 2025, effectively countering the decline in Humira sales and ensuring future profitability for AbbVie.
- Neuroscience Portfolio Growth: AbbVie's neuroscience products, including Vraylar and Botox Therapeutic, have seen low-teens percentage year-over-year growth, supporting the company's financial health despite declines in other areas like oncology and aesthetics treatments.
- Future Dividend Potential: With earnings expected to rise by 45.4% in 2026 and 10.8% in 2027, AbbVie is positioned for larger dividend increases in the future, and while it is still years away from becoming a Dividend King, its growth potential remains significant.
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Analyst Views on ABBV
Wall Street analysts forecast ABBV stock price to rise
18 Analyst Rating
12 Buy
6 Hold
0 Sell
Moderate Buy
Current: 224.950
Low
223.00
Averages
252.00
High
289.00
Current: 224.950
Low
223.00
Averages
252.00
High
289.00
About ABBV
AbbVie Inc. is a global, diversified, research-based biopharmaceutical company. It is engaged in research and development, manufacturing, commercialization and sale of medicines and therapies. Its product portfolio includes Immunology, Oncology, Aesthetics, Neuroscience, Eye Care and Other Key Products. Immunology products include rheumatology, dermatology and gastroenterology. Oncology products include Imbruvica, Venclexta/Venclyxto, Elahere and Epkinly. The aesthetics portfolio consists of facial injectables, plastics and regenerative medicine, body contouring, and skincare products. Its Neuroscience products include Botox Therapeutic, Vraylar, Duopa and Duodopa, Ubrelvy, and Qulipta. Duodopa is a levodopa-carbidopa intestinal gel for the treatment of Parkinson's disease. Eye care products include Ozurdex, Lumigan/Ganfort, Alphagan/Combigan, Restasis, and other eye care. Other key products include Mavyret/Maviret, Creon, and Linzess/Constella.
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.
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- Product Characteristics Analysis: TrenibotE, a novel botulinum neurotoxin serotype E neuromodulator, is characterized by a rapid onset of effects, reported as early as eight hours post-administration, and a short duration of approximately two to three weeks, potentially appealing to patients wary of long-term commitments.
- Market Potential Exploration: Given that most aesthetic neuromodulators currently in use are based on botulinum toxin type A, TrenibotE's rapid onset may introduce a new direction in the field, catering to consumer demand for shorter-acting products.
- Company Outlook: AbbVie focuses on developing and marketing therapies across immunology, oncology, and neuroscience, and despite facing FDA challenges, the company is confident in its ability to promptly address the FDA's comments and continue advancing TrenibotE towards market approval.
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- Clinical Data Showcase: AbbVie will present 21 oral and poster presentations at the EHA 2026 Congress, covering various blood cancer studies including multiple myeloma and chronic lymphocytic leukemia, demonstrating its robust research capabilities in the hematologic oncology space and further solidifying its market position.
- Innovative Drug Advancement: The research includes the investigational drug etentamig (ABBV-383) alongside approved therapies EPKINLY® and VENCLEXTA®, with clinical advancements that could provide new treatment options for patients, enhancing treatment efficacy and quality of life.
- Raising Treatment Standards: AbbVie's research aims to elevate standards of care in blood cancer treatment, with VP Daejin Abidoye stating that the company's ongoing innovations will help address significant challenges in treating hematologic cancers, pushing the industry forward.
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- Dividend Growth History: Since going public in 2013, AbbVie has increased its quarterly cash dividend from $0.40 to $1.73 per share, reflecting an annualized growth rate of nearly 12%, underscoring its tradition as a reliable dividend stock.
- Dividend Yield: Currently, AbbVie offers a forward dividend yield of around 3%, providing a relatively high yield given its share price, while trading at approximately 16 times forward earnings, which remains attractive compared to peers.
- Earnings Expectations: AbbVie is projected to report adjusted earnings of $10 per share in 2025, increasing to $16.23 per share by 2027, indicating strong earnings growth potential, especially as competitors like Pfizer face expected declines.
- Sustainable Dividend Policy: With a payout ratio of 42%, AbbVie operates within sustainable levels, and its recent dividend growth averaging 5% to 6% suggests the likelihood of continued increases, appealing to long-term investors.
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- Dividend Growth History: Since going public in 2013, AbbVie has increased its quarterly cash dividend from $0.40 to $1.73 per share, reflecting an annualized growth rate of nearly 12%, underscoring its tradition as a reliable dividend stock.
- Current Dividend Yield: AbbVie currently offers a forward dividend yield of approximately 3%, providing a relatively high return at its share price level, which appeals to income-seeking investors.
- Strong Earnings Outlook: AbbVie is expected to report adjusted earnings of around $10 per share in 2025, increasing to $16.23 per share by 2027, indicating the company's ability to achieve earnings growth despite facing a patent cliff, which boosts investor confidence.
- Sustainable Payout Ratio: With a payout ratio of 42%, AbbVie remains within sustainable levels, and combined with recent dividend growth averaging 5% to 6%, it suggests the company can continue to increase dividends, attracting long-term investors.
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