Management believes these 2 drugs could one day generate $15bn in peak sales, going a long way to solving the Humira loss of exclusivity ("LOE") problem. You should consider whether you understand how CFDs work and can afford the risks. The AbbVie of today has 5 thriving divisions - Immunology, Oncology, Neuroscience, Aesthetics, and Eye Care - with the latter 3 divisions acquired from Allergan as part of AbbVie's $63bn takeover of that company. In the U.S. dermatology segment, where approximately 30% of patients exhibit both skin and joint involvement, Skyrizi is already achieving an in-play patient share of nearly 20%. After creating the income statement I prepare the discounted cash flow/EBITDA multiple analysis. outlook for a company that is still only 10 years old and is about to feel the impact of a loss of patent protection for its mega-blockbuster auto-immune drug Humira, which made $20.7bn of sales for the company in FY21, representing 37% of total revenues generated. Ltd., AbbVie Pty Ltd, AbbVie Purchasing LLC, AbbVie Real Estate Management GmbH, AbbVie Research B.V., AbbVie Resources Inc., AbbVie Resources International Inc., AbbVie Respiratory LLC, AbbVie S. de R.L., AbbVie S.A., AbbVie S.A., AbbVie S.A.S., AbbVie S.R.L., AbbVie S.r.l., AbbVie S. r.l., AbbVie SA, AbbVie SAS, AbbVie SIA, AbbVie Sarl, AbbVie Sdn. I am not receiving compensation for it (other than from Seeking Alpha). The companys original winner, Humira, is still the number one revenue source but the portfolio has been greatly expanded. Neuroscience looks highly promising too, and aesthetics capable of driving some respectable growth driven by old stager Botox. I'm on twitter @edmundingham. My No. I look forward to seeing if Epcoritamab is approved this year, and although there is not a lot else in the near-term pipeline at this time, I also look forward to seeing how other projects may progress, e.g., opportunities in Parkinson's Disease, Alzheimer's and Cystic Fibrosis. AbbVie product revenue forecasts to 2030. Morningstar: 2019 Morningstar, Inc. All Rights Reserved. 2023 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. Forecast . AbbVie's stock was trading at $161.61 on January 1st, 2023. A Warner Bros. In February, a Phase 3 induction study saw positive top-line results. The official website for the company is www.abbvie.com. AbbVie saw a increase in short interest in February. If you have an ad-blocker enabled you may be blocked from proceeding. I have not managed to match management's ambitious high-single-digit growth figures from 2025 - 2023, despite anticipating 6% growth for nearly all products in that period. Receive ABBV Stock News and Ratings via Email. AbbVie's total revenue grew a solid 51% to $50.2 billion over the last twelve month period, compared to $33.0 billion in 2019. Outside of Humira, management does not have to worry about LOEs for any of its other portfolio products before the end of the decade, which is encouraging, however, based on my own projections of how AbbVie will generate its revenues between 2023 and 2030, if management wants to drive a CAGR in the high single digits after 2025, it will need some help from its pipeline - not an area of particular strength for AbbVie. But AbbVie is also keen to explore solid tumors, and I am therefore adding an additional $1.5bn of revenues from that source by 2030. Skyrizi has shown superiority to Humira in fields such as plaque psoriasis by a statistically significant amount, with a comparable safety profile, whilst Rinvoq has shown superiority in e.g. In this post I model AbbVie product sales to 2030 - including pipeline assets - and use discounted cash flow analysis to calculate a present day share price target. As with debt, if approval and revenue targets aren't met, it can quickly result in a loss of faith in the company. The firm's revenue for the quarter was up 1.6% compared to the same quarter last year. Abbvies haematologic oncology portfolio, neuroscience portfolio and aesthetics portfolio reported net revenues of $1.65bn, $1.49bn and $1.37bn, respectively. I wrote this article myself, and it expresses my own opinions. AbbVie Stock Forecast 03-06-2023. Abbvie Stock Forecast 2023, 2024, 2025, 2030 - Stock in US Duodopa is approved for Parkinson's Disease but Gonzalez believes that the subcutaneous non-surgical delivery system of candidate ABBV951 can "significantly expand the patient population currently addressed by Duopa", and sees the drug as yet another future blockbuster. A major reason behind Abbvies stellar performance amid the ongoing economic crises is the resolution of the companys Humira (adalimumab) litigation with Alvotech in March 2022. If youre new to trading, then youve probably heard the wrong thing about optionsthat theyre risky, unpredictable, or difficult. The companys full-year adjusted diluted EPS guidance excluded any impact from acquired IPR&D and milestones that may be incurred beyond the first quarter of the year, as both cannot be reliably forecasted. Nevertheless, after applying the discount factor, I calculate a share price target of $151 based on DCF analysis and a slightly higher figure of $168 based on EBITDA analysis. Sales of the drug reached $19.9bn in 2018 and were $19.2bn, $19.8bn and $20.6bn in 2019, 2020, and 2021 respectively. The Abbvie stock forecast for 2025 had the price at $259.018. Projections are based on making fundamental and technical studies of the ABBV stock price performance. Eye Care, Other products Division Projected Revenues to 2030 (my table and assumptions ). Gene therapies have been a long time coming, having first been popularized in the early noughties. I suspect Eye Care is a division AbbVie can turn around given time, and I feel that with regards to oncology, where AbbVie has the strongest pipeline assets - lymphoma bispecific Epcoritamab may be approved to treat large B-cell lymphoma, and peak sales estimates range from $1.5 - $3bn, although AbbVie will not earn all of that since the product is co-developed with Genmab. How do I arrive at my share price target? (NYSE: ABBV) Abbvie's current Earnings Per Share (EPS) is $6.65. It is important to do your own research, and remember that your decision to trade depends on your attitude to risk, your expertise in the market, the spread of your investment portfolio and how comfortable you feel about losing money. The firm earned $15.12 billion during the quarter, compared to the consensus estimate of $15.30 billion. At their peak, according to a slide from AbbVie's presentation at the JPMorgan (JPM), these 2 drugs are expected to generate more revenues than Humira at its peak. View which stocks are hot on social media with MarketBeat's trending stocks report. Get short term trading ideas from the MarketBeat Idea Engine. It revealed that patients with moderate to severe Crohns disease receiving Abbvies Rinvoq achieved steroid-free clinical remission in significantly higher numbers than patients receiving a placebo. This represents a $5.92 dividend on an annualized basis and a dividend yield of 3.79%. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. Johnson & Johnson Stock Forecast 2023 - 2025 - 2030 On average, they expect the company's stock price to reach $161.12 in the next twelve months. Disclosure: I/we have a beneficial long position in the shares of ABBV, BMY either through stock ownership, options, or other derivatives. The stocks growth marks a significant outperformance over the broader markets. Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. And never invest or trade money you cannot afford to lose. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab. There are currently 9 hold ratings and 7 buy ratings for the stock. The company projects the U.S. toxin market (where Botox is the top product) will decline by mid-single digits. See AbbVie Inc. (ABBV) stock analyst estimates, including earnings and revenue, EPS, upgrades and downgrades. AbbVie's free cash flow yield is 10.5% compared to 4.3% for Johnson & Johnson . Since then, ABBV stock has decreased by 3.4% and is now trading at $156.06. According to the Abbvie stock technical analysis, as of 30 June, the Relative Strength Index (RSI) was pointing to neutral at 62.18. I am using a weighted average cost of capital of ~10%, which is broadly consistent with the figure I use when modelling for the other 7 members of what I term the "Big 8" US Pharmas - Johnson & Johnson, Eli Lilly, Pfizer, Merck & Co (MRK), Bristol Myers Squibb, Amgen, and Gilead Sciences (GILD) - which helps prove the accuracy of the calculation. Disclosure: I/we have a beneficial long position in the shares of BMY, GILD, ABBV either through stock ownership, options, or other derivatives. AbbVie Inc. (ABBV) Stock Price, News, Quote & History - Yahoo Finance American Consumer News, LLC dba MarketBeat 2010-2023. Forecasts shouldnt be used as a substitute for your own research. As we can see above one of either Skyrizi or Rinvoq has now been approved for all of the same indications as Humira is, except for Hidradenitis Suppurativa, although Rinvoq is undergoing a Phase study in this indication. As we can see, as per management's guidance revenues fall between 2022 and 2023, before recovering and growing in each year after. According to analysts' consensus price target of $161.12, AbbVie has a forecasted upside of 3.2% from its current price of $156.06. Migraine therapy Ubrelvy is a future blockbuster, Gonzalez believes, as is Qulipta, in the same indication. That figure suggests a forward Price to Earnings ("P/E") ratio of ~10x, which is well below the US Big Pharma sector average of ~23x, although it should be noted that the GAAP/non-adjusted EPS may be only significantly lower than the adjusted figure, based on adjusted EPS of $6.52 across H1'22, and GAAP EPS of $3.03 over the same period. Should I buy or sell AbbVie stock right now? Johnson & Johnson is rushing toward a patent cliff but a new shelf offering registration suggests itis gearing up for acquisitions. AbbVie Stock Crumbles On Mixed Earnings, Slashes 2022 Earnings Outlook On average, they predict the company's stock price to reach $161.12 in the next year. Payout ratios above 75% are not desirable because they may not be sustainable. For the next eight years, the forecast is for Free Cash Flow to grow by . The median. View analysts price targets for ABBV or view top-rated stocks among Wall Street analysts. AbbVie's mailing address is 1 NORTH WAUKEGAN ROAD, NORTH CHICAGO IL, 60064. AbbVie has been the subject of 9 research reports in the past 90 days, demonstrating strong analyst interest in this stock. The development of these 2 drugs has been very quick by drug development standards, and to date both have performed exceptionally well. Shares of ABBV stock can be purchased through any online brokerage account. . ABBV Stock Forecast Price Target for 2024 TradingView ABBV has several positive factors pushing its price performance. There is no mention of Women's Health in the Q2'22 earnings call or in the 10-Q submission to the SEC, or any of the drugs within it, yet the divisions have not (to the best of my knowledge) been sold, despite rumors it was put up for sale at ~$5bn. When I began this post it was in my mind to give AbbVie stock a "Hold" rating owing to an underwhelming - on some levels - set of Q2'22 earnings, some concerns around high revenue generating products such as Imbruvica, Juvederm, and Restasis, the disappearance of the Women's Health division, the imminent LOE for Humira and the high levels of debt. As I have mentioned in previous notes, however, the gains owe more to price hikes than sales volumes, and come 2023 and the LOE, even AbbVie admits the blow to revenues will be substantial. The company officially IPOd on January 2, 2013; contrary to criticisms, the move was solely to protect the parent company from expiring patents. After a Blowout Quarter, Is AbbVie Stock a Buy? | The Motley Fool - Nasdaq AbbVie, like its parent Abbot Laboratories, is a well-established dividend growth stock. The "King Of Quants" sees 10X potential Eric Fry believes he just discovered America's next "Wealth Supercluster" and it's forming in the place you'd least expect. Export data to Excel for your own analysis. Between September 2021 and April 2022, AbbVie stock went on a sensational bull run, gaining 62% and hitting an all-time peak of $174. Note that analysts ABBV stock forecasts can be wrong. Richard A. Gonzalez has an approval rating of 88% among the company's employees. This indicates that the company will be able to sustain or increase its dividend. Since then, however, the stock price has fallen 18% to.
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