AbbVie (NYSE:ABBV) Shares Down 1.8% – Time to Sell?

AbbVie Inc. (NYSE:ABBV) shares dropped 1.8% during mid-day trading on Thursday . The stock traded as low as $257.25 and last traded at $258.2290. 4,329,557 shares traded hands during mid-day trading, a decline of 36% from the average session volume of 6,784,919 shares. The stock had previously closed at $262.90.

AbbVie News Summary

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: AbbVie submitted an application to the European Medicines Agency for subcutaneous SKYRIZI induction in adults with moderately to severely active Crohn’s disease. If approved, the treatment would provide patients with an additional, less invasive induction option alongside the existing intravenous formulation. The filing is supported by positive Phase 3 AFFIRM data and could expand SKYRIZI’s European immunology opportunity. AbbVie Submits Regulatory Application to EMA for SKYRIZI Subcutaneous Induction
• Positive Sentiment: AbbVie continues to receive attention as a defensive healthcare company with a growing immunology pipeline. The company’s dividend profile is also being highlighted by income-focused investors, potentially supporting demand for the shares. 3 Dividend Stocks, 12 Paychecks a Year
• Positive Sentiment: Billionaire investor Ken Griffin reportedly increased his AbbVie stake by 547% in the second quarter, signaling continued institutional confidence in the company’s dividend and long-term earnings prospects. Ken Griffin Increased His Stake in AbbVie
• Neutral Sentiment: AbbVie’s immunology scholarship and patient-support initiatives enhance its corporate and patient engagement efforts, but they are unlikely to materially affect near-term earnings. AbbVie’s Immunology Scholarship Program
• Negative Sentiment: After a substantial advance, analysts are questioning whether AbbVie’s business can justify its premium valuation. The shares are near their 52-week high and carry a notably elevated reported price-to-earnings ratio, increasing the risk of profit-taking or valuation-driven weakness even as operating fundamentals remain solid. Has AbbVie Stock Become Too Expensive to Buy?

Wall Street Analyst Weigh In

Several research firms recently weighed in on ABBV. BMO Capital Markets raised their price objective on AbbVie from $258.00 to $300.00 and gave the company an “outperform” rating in a research note on Monday, July 13th. Weiss Ratings raised shares of AbbVie from a “hold (c)” rating to a “buy (b-)” rating in a report on Tuesday, August 4th. Wells Fargo & Company raised their price target on shares of AbbVie from $295.00 to $300.00 and gave the company an “overweight” rating in a research note on Monday, August 17th. Wolfe Research raised shares of AbbVie from a “peer perform” rating to an “outperform” rating and set a $300.00 price target on the stock in a report on Thursday, August 13th. Finally, Barclays upped their price objective on shares of AbbVie from $275.00 to $300.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 29th. Two analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, AbbVie currently has an average rating of “Moderate Buy” and an average price target of $275.95.

AbbVie Price Performance

The company has a fifty day moving average price of $251.04 and a two-hundred day moving average price of $228.43. The company has a market capitalization of $456.24 billion, a P/E ratio of 72.95, a PEG ratio of 0.88 and a beta of 0.30.

AbbVie (NYSE:ABBV) last issued its quarterly earnings data on Friday, July 31st. The company reported $3.65 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.61 by $0.04. AbbVie had a net margin of 9.80% and a negative return on equity of 422.07%. The business had revenue of $16.99 billion during the quarter, compared to analyst estimates of $16.80 billion. During the same quarter last year, the business earned $2.97 EPS. The firm’s quarterly revenue was up 10.2% on a year-over-year basis. AbbVie has set its Q3 2026 guidance at 3.840-3.880 EPS. As a group, sell-side analysts forecast that AbbVie Inc. will post 14.06 earnings per share for the current year.

AbbVie Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Wednesday, July 15th were paid a $1.73 dividend. The ex-dividend date of this dividend was Wednesday, July 15th. This represents a $6.92 annualized dividend and a dividend yield of 2.7%. AbbVie’s payout ratio is currently 195.48%.

Insiders Place Their Bets

In related news, EVP Nicholas Donoghoe sold 32,710 shares of the stock in a transaction on 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 completion of the sale, the executive vice president directly owned 74,430 shares in the company, valued at $18,607,500. This represents a 30.53% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.06% of the stock is owned by insiders.

Institutional Investors Weigh In On AbbVie

A number of institutional investors have recently made changes to their positions in ABBV. Burk Holdings LLC acquired a new position in shares of AbbVie in the 2nd quarter worth approximately $30,000. Litman Gregory Wealth Management LLC acquired a new stake in shares of AbbVie during the fourth quarter worth $28,000. Imprint Wealth LLC lifted its holdings in AbbVie by 56.2% in the fourth quarter. Imprint Wealth LLC now owns 125 shares of the company’s stock valued at $29,000 after buying an additional 45 shares during the period. IFC & Insurance Marketing Inc. bought a new stake in AbbVie during the fourth quarter valued at $31,000. Finally, Legacy Wealth Managment LLC ID boosted its position in AbbVie by 115.9% during the fourth quarter. Legacy Wealth Managment LLC ID now owns 136 shares of the company’s stock valued at $31,000 after acquiring an additional 73 shares during the last quarter. Institutional investors own 70.23% of the company’s stock.

AbbVie Company Profile

AbbVie is a global, research-driven biopharmaceutical company that was created as a spin-off from Abbott Laboratories in 2013 and is headquartered in North Chicago, Illinois. The company focuses on discovering, developing and commercializing therapies for complex and often chronic medical conditions. Its operations span research and development, manufacturing, regulatory affairs and commercialization, with an emphasis on bringing specialty medicines to market across multiple therapeutic areas.

AbbVie’s product portfolio and pipeline cover several major therapeutic categories, including immunology, oncology, neuroscience, virology and women’s health.