AbbVie (NYSE:ABBV) Hits New 1-Year High – Here’s Why

Shares of AbbVie Inc. (NYSE:ABBV) hit a new 52-week high during mid-day trading on Thursday. The stock traded as high as $298.97 and last traded at $300.10, with a volume of 375,467 shares trading hands. The stock had previously closed at $294.83.

Trending Headlines about AbbVie

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: AbbVie’s third-quarter results beat expectations, with revenue of $17.4 billion, and the company raised its full-year adjusted earnings outlook. The earnings report has strengthened the growth case for the shares. AbbVie stock climbs as Q3 earnings fuel growth case
• Positive Sentiment: A licensing agreement with Nxera Pharma for an EP4 agonist gives AbbVie another potential inflammatory bowel disease treatment candidate. The deal may add to its pipeline as investors assess the durability of its newer growth drivers. Nxera licenses EP4 agonist to AbbVie
• Positive Sentiment: AbbVie recently reached a fresh high following its earnings beat and a dividend increase, while analysts remain broadly optimistic. This supports investor interest in the stock as a defensive healthcare name. AbbVie’s new growth engines face another test
• Negative Sentiment: AbbVie’s shares have already climbed substantially and are near their 52-week high, leaving less room for disappointment. Humira’s decline also means the company must continue demonstrating that newer products can sustain growth. The one thing to settle before buying AbbVie stock

Analyst Ratings Changes

ABBV has been the subject of several research reports. JPMorgan Chase & Co. raised their target price on AbbVie from $285.00 to $300.00 and gave the company an “overweight” rating in a research note on Thursday, October 8th. Canaccord Genuity Group increased their price target on AbbVie from $290.00 to $338.00 and gave the company a “buy” rating in a report on Monday, November 2nd. Erste Group Bank upgraded shares of AbbVie from a “hold” rating to a “buy” rating in a research report on Wednesday, August 5th. Bank of America reiterated a “buy” rating on shares of AbbVie in a research report on Tuesday, September 8th. Finally, Cantor Fitzgerald boosted their price target on shares of AbbVie from $290.00 to $325.00 and gave the company an “overweight” rating in a research report on Monday, November 2nd. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $297.46.

AbbVie Stock Performance

The stock has a market cap of $515.03 billion, a P/E ratio of 50.17, a price-to-earnings-growth ratio of 1.31 and a beta of 0.20. The firm’s 50 day moving average is $271.98 and its 200 day moving average is $239.04.

AbbVie (NYSE:ABBV) last posted its quarterly earnings data on Friday, October 30th. The company reported $3.82 earnings per share for the quarter, topping analysts’ consensus estimates of $3.73 by $0.09. The company had revenue of $17.40 billion during the quarter, compared to analysts’ expectations of $17.32 billion. AbbVie had a negative return on equity of 435.41% and a net margin of 15.67%. The firm’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same period last year, the firm earned $1.86 EPS. As a group, analysts expect that AbbVie Inc. will post 13.99 EPS for the current fiscal year.

AbbVie Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, February 16th. Investors of record on Friday, January 15th will be issued a dividend of $1.82 per share. This represents a $7.28 dividend on an annualized basis and a yield of 2.5%. This is an increase from AbbVie’s previous quarterly dividend of $1.73. The ex-dividend date is Friday, January 15th. AbbVie’s dividend payout ratio is 119.10%.

Insider Transactions at AbbVie

In other news, EVP Nicholas Donoghoe sold 32,710 shares of the business’s stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $250.00, for a total value of $8,177,500.00. Following the transaction, the executive vice president directly owned 74,430 shares in the company, valued at $18,607,500. The trade was a 30.53% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 0.06% of the company’s stock.

Institutional Investors Weigh In On AbbVie

Several hedge funds and other institutional investors have recently made changes to their positions in ABBV. Cornerstone Advisory LLC increased its position in shares of AbbVie by 1.0% in the third quarter. Cornerstone Advisory LLC now owns 16,358 shares of the company’s stock worth $4,279,000 after acquiring an additional 156 shares in the last quarter. Ibex Wealth Advisors lifted its position in shares of AbbVie by 0.5% during the 3rd quarter. Ibex Wealth Advisors now owns 63,744 shares of the company’s stock worth $16,675,000 after buying an additional 320 shares during the period. Condor Capital Management raised its position in shares of AbbVie by 6.1% during the 3rd quarter. Condor Capital Management now owns 6,145 shares of the company’s stock valued at $1,608,000 after acquiring an additional 351 shares during the last quarter. Wellington Grp LLC boosted its stake in shares of AbbVie by 3.4% during the 3rd quarter. Wellington Grp LLC now owns 1,558 shares of the company’s stock worth $408,000 after buying an additional 51 shares during the last quarter. Finally, Bernicke Wealth Management Ltd. bought a new stake in shares of AbbVie in the third quarter valued at about $1,286,000. Institutional investors and hedge funds own 70.23% of the company’s stock.

AbbVie Company Profile

AbbVie is a biopharmaceutical company that discovers, develops and markets medicines for a range of serious health conditions. Its research and product portfolio spans immunology, oncology, neuroscience and other therapeutic areas.

Key products include the immunology medicines Skyrizi and Rinvoq, cancer treatments such as Imbruvica and Venclexta, and neuroscience therapies including Botox and Vraylar. Through its Allergan acquisition, AbbVie also offers aesthetics products such as Botox Cosmetic and Juvéderm.

AbbVie was established in 2013 as a spin-off from Abbott Laboratories and is headquartered in North Chicago, Illinois.