GICS Sector : Healthcare
AbbVie Inc.discovers, develops, manufactures, and sells pharmaceuticals in the worldwide.The company offers HUMIRA, a therapy administered as an injection for autoimmune and intestinal Behçet's diseases; SKYRIZI to treat moderate to severe plaque psoriasis in adults; RINVOQ, a JAK inhibitor for the treatment of moderate to severe active rheumatoid arthritis in adult patients; IMBRUVICA to treat adult patients with chronic lymphocytic leukemia (CLL), small lymphocytic lymphoma (SLL), and VENCLEXTA, a BCL-2 inhibitor used to treat adults with CLL or SLL; and MAVYRET to treat patients with chronic HCV genotype 1-6 infection.
AbbVie's fourth quarter 2025 performance closed out an excellent year, with record net sales and exceeding financial commitments. The company delivered adjusted earnings per share of $2.71, beating analyst estimates of $2.65. Total net revenues were $16.6 billion, reflecting robust growth of 10%. The company's full-year adjusted earnings per share guidance is between $14.37 and $14.57, and it expects total net revenues of approximately $67 billion in 2026.
Publication Date: Feb -05
AbbVie's immunology segment delivered strong performance, driven by SKYRIZI and RINVOQ. The combined revenue of these two products was approximately $25.9 billion in 2025. SKYRIZI captured over 45% of the US biologic psoriasis market, while RINVOQ achieved a leading mid-teen in-play patient share for RA. The company expects continued double-digit revenue growth from these products, with combined sales of over $31 billion in 2026.
AbbVie's neuroscience segment delivered full-year revenues of over $10.7 billion, driven by continued double-digit growth of Vraylar and Therapeutic. The company's emerging portfolio in Parkinson's disease, including Violet, is expected to achieve blockbuster revenue in 2026. The company is also making progress in its migraine business, with UBRELVY leading in acute migraine and Botox approved for chronic migraine.
AbbVie's oncology segment delivered total revenues of nearly $1.7 billion in the quarter, with VENCLEXTA global sales up 6.4% on an operational basis. The company is making progress in its oncology pipeline, including a new PD-one VEGF antibody and a T cell engager. The company is also exploring the use of combinations with SKYRIZI, including alpha four beta seven and TL1A.
Using the provided valuation metrics, we can see that AbbVie's P/E Ratio is 161.11, indicating a relatively high valuation. The company's P/S Ratio is 6.43, which is more reasonable. The Dividend Yield is 3.06%, which is attractive for income investors. The EV/EBITDA ratio is 34.92, which is relatively high. Overall, the valuation metrics suggest that AbbVie's stock price may be driven by its growth prospects, particularly in its immunology and neuroscience segments.
AbbVie has numerous sources of upside across the enterprise, including immunology, neuroscience, and oncology. The company expects SKYRIZI and RINVOQ to grow robustly into the 2030s, with longer-term growth not reflected in models. The neuroscience segment is expected to deliver mid-teens growth this year, with the Parkinson's franchise achieving peak sales in excess of $5 billion. Analysts estimate next year's revenue growth at 7.8%, which is slightly lower than the company's expected growth rate.
Dividend Kings: No Ideal Buys In February's 57
Feb -10
Here's What Will Drive AbbVie's Top-line Growth in 2026
Feb -10
Legacy Financial Strategies LLC Sells 12,664 Shares of AbbVie Inc. $ABBV
Feb -09
AbbVie Inc. $ABBV Shares Sold by Profund Advisors LLC
Feb -09
AbbVie's Prognosis: The February Dip Looks Like a Buy Signal
Feb -05
AbbVie: The Market Is Getting It Wrong
Feb -05
AbbVie: Skyrizi And Rinvoq Growth Isn't Everything, But It's A Lot
Feb -05
AbbVie: Double-Digit Growth For Immunology Products Continues With HUMIRA Surprise
Feb -04
AbbVie's biopharmaceuticals' growth is driven by increasing demand for innovative therapies, strong R&D pipeline, and strategic collaborations, leading to a forecasted 10.3% growth rate.
Humira is a prescription medication used to treat autoimmune diseases such as rheumatoid arthritis, psoriatic arthritis, ankylosing spondylitis, Crohn's disease, and ulcerative colitis.
Imbruvica is a prescription medication used to treat certain types of blood cancers, including mantle cell lymphoma, chronic lymphocytic leukemia, and Waldenström's macroglobulinemia.
Venclexta is a prescription medication used to treat chronic lymphocytic leukemia (CLL) and acute myeloid leukemia (AML).
Mavyret is a prescription medication used to treat chronic hepatitis C virus (HCV) infection.
Rinvoq is a prescription medication used to treat moderate to severe rheumatoid arthritis.
Skyrizi is a prescription medication used to treat moderate to severe plaque psoriasis.
Ubrelvy is a prescription medication used to treat acute migraine attacks.
AbbVie Inc. has a moderate threat of substitutes due to the presence of alternative treatments and therapies for various diseases. However, the company's strong brand recognition and patented products mitigate this threat to some extent.
AbbVie Inc. has a low bargaining power of customers due to the lack of concentration in the buyer's market. The company's products are often prescribed by doctors, reducing the bargaining power of individual customers.
AbbVie Inc. has a moderate bargaining power of suppliers due to the presence of multiple suppliers for raw materials and services. However, the company's large scale of operations and long-term contracts with suppliers mitigate this threat to some extent.
AbbVie Inc. has a low threat of new entrants due to the high barriers to entry in the pharmaceutical industry, including significant R&D investments and regulatory hurdles.
AbbVie Inc. operates in a highly competitive pharmaceutical industry, with many established players and new entrants vying for market share. The company faces intense competition in various therapeutic areas, including immunology, oncology, and virology.
| Value | |
|---|---|
| Debt Weight | 85.15% |
| Debt Cost | 3.95% |
| Equity Weight | 14.85% |
| Equity Cost | 7.07% |
| WACC | 4.41% |
| Leverage | 573.21% |
Value: 3.1
Growth: 4.0
Quality: 8.8
Yield: 6.0
Momentum: 9.5
Volatility: 10.0
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Value: 3.3
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Value: 3.1
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Momentum: 9.5
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Value: 2.9
Growth: 5.0
Quality: 6.8
Yield: 6.0
Momentum: 9.0
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Value: 4.6
Growth: 6.2
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Value: 5.0
Growth: 3.9
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Yield: 8.0
Momentum: 1.5
Volatility: 8.0
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