Jenny Walton And Scott Schuman, Withington Hospital Podiatry, Articles A

The total revenue in 2021 was $56.20 billion with a 31% operating margin. We're currently running a sale at my private investing ideas service, Haggerston BioHealth, where members get access to portfolios, market alerts, real-time chat, and more. Date. The company reported its first revenue for Botox competitor Daxxify. Kateryna Onyshchuk/iStock via Getty Images. I have downgraded my forecasts to 2016 accordingly however to 2% annual growth. Get 30 Days of MarketBeat All Access Free, Sign in to your free account to enjoy these benefits. AbbVie's success - as its shareholders will doubtless be aware - stems from the runaway success of its immunology drug Humira, which is indicated for a range of autoimmune conditions, including Rheumatoid Arthritis, Psoriatic Arthritis, Psoriasis, Crohn's Disease, Ulcerative Colitis, Hidradenitis Suppurativa and Ankylosing spondylitis. As we can see, sales of Humira are still climbing, with losses in Europe - where revenues fell by 14% to $699m - offset by growth in the US, to $4.7bn, up 10% year-on-year. Their ABBV share price forecasts range from $140.00 to $200.00. All Rights Reserved. AbbVie is a leading dividend payer. Ever since its split from Abbott Laboratories (ABT) in 2012 AbbVie (NYSE:ABBV) has delivered strong returns for investors - its stock price having risen overall from $30, to $149 per share at the time of writing - trading down slightly from its all-time high of >$160 achieved in early December last year. Abbvie stock price has put up an impressive performance in 2022. AbbVie's post-Humira LOE plans are not riskless, and its targets are ambitious, but nevertheless I see no harm in picking up shares in the Pharma at the current price, accepting a generous 4% dividend, and likely benefitting from share repurchases and a steadily growing share price until 2030. 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. Real-time analyst ratings, insider transactions, earnings data, and more. The other major plus is probably the performance of the neuroscience divisions, where as we can see, Botox (indicated for migraine treatment), atypical antipsychotic Vraylar, migraine therapy Ubrelvy and newly launched Qulipta, an oral CGRP inhibitor indicated for chronic migraine all delivered good sales growth. The lowest target is $136.35 and the highest is $210. Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: You have already added five stocks to your watchlist. Gonzalez has vigorously defended AbbVie against accusations of price manipulation, but the company is renowned for pushing drug prices up annually and should its powerful lobbies become less powerful in the face of external pressure, once again, the sector will start to look unattractive for investors. The acquisition expanded AbbVies neuroscience portfolio, adding first-in-class modulators of the synaptic vesicle protein 2A, including lead molecule SDI-118 currently in Phase 1b studies. AbbVie trades on the New York Stock Exchange (NYSE) under the ticker symbol "ABBV.". 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. These products are not suitable for everyone and you should therefore consider your objectives, financial situation, needs and experience with these products before investing in them. Nineteen analysts predict that AbbVie's share price will increase in the coming year, reaching $165.00. The fact that my own forecasts are less ambitious than management's reflects the fact I have not introduced new products into my forecasts, and it will be interesting to see how management performs on that front as AbbVie has not really had to have a string pipeline while Humira has delivered such dominance in the auto-immune markets. Please. AbbVie has fought off patent challenges against Humira for years longer than expected, and despite losing exclusivity in Europe in 2020, a series of price hikes and market dominance in the US in indications such as Rheumatoid Arthritis ("RA"), Psoriatic Arthritis ("PsA"), Crohn's Disease ("CD"), and Ulcerative Colitis ("UC") - have enabled the drug's sales revenues to keep growing. A hold rating indicates that analysts believe investors should maintain any existing positions they have in ABBV, but not buy additional shares or sell existing shares. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We now expect global sales for Skyrizi to reach more than $10 billion in 2025, an increase of $2.5 billion versus our previous guidance, reflecting higher performance across basically all of the indications. To summarize, Humira may be going off-patent, but is more than capable of delivering double-digit billion revenues for another 3-4 years, and even in 2030, it could be amongst the top 20 best-selling drugs worldwide. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. We expect proof-of-concept data from roughly a dozen additional early stage oncology opportunities over the next couple of years. AbbVie probably does not want to be recognized as simply an immunology giant however, it wants to be substantially more diversified and like all major Pharma's it has a strong long-term focus on oncology. AbbVie Inc. is a US-based biopharma company with global operations. According to the Abbvie stock technical analysis, as of 30 June, the Relative Strength Index (RSI) was pointing to neutral at 62.18. One share of ABBV stock can currently be purchased for approximately $156.06. With Skyrizi and Rinviq - two assets developed in-house - performing so well, however, perhaps we should give management the benefit of the doubt. The average ABBVIE INC stock forecast 2023 represents a 1.86% increase from the last price of $153.729995727539. In general, it is important to pay attention to trends, both in the overall market and in the specific sector that a company is in. Please disable your ad-blocker and refresh. The average price target represents a 6.33% change from the last price of $153.90. Forecast target price for 03-06-2023: $ 152.58. This rating has held steady since February, when it was unchanged from a Buy rating.Move your mouse over pastmonths for detail. The first is Epcoritamab, a CD3xCD20 bispecific for B-cell malignancies, including DLBCL and follicular lymphoma, which AbbVie expects will be approved this year. AbbVie Inc. (NYSE:ABBV) posted its earnings results on Thursday, February, 9th. Today, AbbVie operates as a diversified multi-national pharmaceutical company with a patient-centric approach to research. approvals of Humira, Skyrizi, Rinvoq (AbbVie JPM Healthcare conference presentation). 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. You should consider whether you understand how CFDs work and can afford the risks. 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. Teliso V is an antibody drug conjugate and a c-Met inhibitor. The company is scheduled to release its next quarterly earnings announcement on Friday, May 5th 2023. As a result I have dropped Imbruvica revenues to just over $3.5bn in 2022 and modelled for a CAGR growth of just 1.5% between then and 2030. Analysts have tipped the drug to achieve peak sales of $2.75bn, and although the emergence of CAR-T therapies and some concerns around safety - notably cases of cytokine release syndrome ("CRS') - persist, this revenue figure is achievable in my view. $163.64. Fortunately for AbbVie shareholders Gonzalez and his management team have had many more years than expected to prepare for Humira's Loss of Exclusivity ("LOE"), and it has never been the Pharma's ambition to build its business around a single, all-conquering but time-limited drug. Read our dividend analysis for ABBV. What intrigues here is the possibility of RGX-314, an anti-VEGF gene therapy that Gonzalez believes "has the potential to be a one-time treatment for wet AMD, diabetic retinopathy and other chronic retinal conditions". Skyrizi is a collaboration between Boehringer Ingelheim and AbbVie, with AbbVie leading development and commercialisation globally. AbbVie has received a consensus rating of Hold. During the same quarter in the prior year, the firm posted $3.31 EPS. AT&T Inc. (T) stock forecast and price target Find the latest AT&T Inc. T analyst stock forecast, price target, and recommendation trends with in-depth analysis from research reports. z o.o., AbbVie Productos Farmacuticos Limitada, AbbVie Products LLC, AbbVie Promoo L.da, AbbVie Pte. Sign-up to receive the latest news and ratings for AbbVie and its competitors with MarketBeat's FREE daily newsletter. Johnson & Johnson is rushing toward a patent cliff but a new shelf offering registration suggests itis gearing up for acquisitions. (ABBV), MarketBeat Week in Review 2/13 - 2/17 (ABBV), The 3 Best Pharma Stocks to Buy for Big Gains in 2023 (ABBV), How Abbott Labs, AbbVie Could Profit on Seizure Drug Formula (ABBV), AbbVie Has a Mixed Outlook After Mixed Earnings, Q4 2022 AdTheorent Holding Company Inc Earnings Call. American Consumer News, LLC dba MarketBeat 2010-2023. The pharma industry witnessed solid growth amid the pandemic. Armed with management's detailed guidance and commentary on sales performance of key assets and new product launches, however, I have completed sales projections for AbbVie to 2030, which I will share in this post, highlighting areas of strength and potential weaknesses. Receive regular, detailed analysis focused on biotech and healthcare stocks. The ex-dividend date of this dividend is Thursday, April 13th. Management has previously stated that it expects total revenues to decline in 2023 following the Humira LOE, followed by a return to growth in 2024, and a "high single digit CAGR" maintained through the remainder of the decade. Between September 2021 and April 2022, AbbVie stock went on a sensational bull run, gaining 62% and hitting an all-time peak of $174. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. What is Richard A. Gonzalez's approval rating as AbbVie's CEO? With AbbVie's revenues accelerating past $80bn in 2030 (by my calculation), and cash flow generated in that year being >$25bn, after applying discount factors for each year I reach a price target of $176 - the average of DCF - $162 per share - and EBITDA - $189 per share - calculations. Top institutional shareholders include Geode Capital Management LLC (1.91%), Morgan Stanley (1.79%), Moneta Group Investment Advisors LLC (1.65%), Price T Rowe Associates Inc. MD (1.15%), Norges Bank (1.06%) and Legal & General Group Plc (0.66%). I'll also share some a forward income statement and discounted cash flow analysis that suggests the present value of AbbVie shares ought to trade as high as $176, implying that shares are presently discounted by as much as 18% to their true worth. In other words, no Humira, no problem! AbbVie has been working hard to ensure the 2 drugs it has developed to replace Humira - Skyrizi, which inhibits the pro-inflammatory cytokine IL23, and Rinvoq, a Janus Kinase (enzymes involved in immune cell function) inhibitor - are winning approvals and growing sales in Humira's markets. Morningstar: 2019 Morningstar, Inc. All Rights Reserved. MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. The drug is now approved in severe Rheumatoid Arthritis, active Psoriatic Arthritis, moderate to severe Atopic Dermatitis, Ulcerative Colitis, active Ankylosing Spondylitis, with Crohn's Disease the next approval on the list. CNN Sans & 2016 Cable News Network. Drug pricing is another issue - there is bipartisan, and international pressure on US Pharmas to reduce drug pricing, particularly outside of the US. As such, I have decreased my own expectations for 2022 based on simply doubling H1'22 revenues to get a FY22 figure, and downgrading growth expectations to 3% per annum until 2026. Thus, it is likely that ABBV will continue to find support on the dips in this type of market environment.. These are Immunology, Oncology, Neurology, Virology and Eye Care. The important point here is that physicians will not necessarily be under any pressure to switch patients from Humira to a biosimilar, given, as Gonzalez puts it: there won't be any difference between the biosimilar and Humira from a co-pay standpoint or any kind of a step editing. GSK Free Cash Flow Forecast for 2023 - 2025 - 2030. I have speculatively assigned peak sales of $2bn, although it should be noted that success here is far from guaranteed, although if AbbVie did succeed with ABBV916 sales could be 2 or 3x higher than my forecast. The average price target is $163.64 with a high forecast of $190.00 and a low forecast of $133.00. The company employs 50,000 workers across the globe. Please. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. Management initially blamed slow take-up post pandemic for the drug's declining sales, but Gonzalez also told JPM Conference attendees that "new competitive entrants has significantly lowered our sales expectations for Imbruvica". In-depth profiles and analysis for 20,000 public companies. Since then, however, the stock price has fallen 18% to. The major market events for the week ahead right in your inbox. Other products such as Mavyret and Creon appear to have many more years of blockbuster sales ahead of them, although it is interesting to note that AbbVie no longer reports revenues from its Women's Health division, and scarcely mentions it. In the next year, analysts expect Free Cash Flow to reach $26.97B - an increase of 58.68%. Export data to Excel for your own analysis. Within eye care, Restasis was a major disappointment, and the entire division seems to be struggling, with total revenues falling from ~$920m in Q2'21, to ~$720m in Q2'22. In terms of market cap, it ranks third behind Pfizer ( PFE) and Novo Nordisk ( NVO ). Earnings for AbbVie are expected to decrease by -0.55% in the coming year, from $11.00 to $10.94 per share. Different trading strategies will suit different investment goals with short or long-term focus. According to CompaniesMarketCap, the biopharmas market capitalisation stood at $272.38bn, making it the worlds 30th most valuable company. With the Hughes Optioneering Strategy, youll soon learn that the safest option for new accounts is options themselves! I have no business relationship with any company whose stock is mentioned in this article. I am not receiving compensation for it (other than from Seeking Alpha). Their combined revenues are expected to reach $7.5bn in 2022, and Gonzalez told the audience at JPM that: Skyrizi and Rinvoq are now on pace to deliver more than $17.5 billion in combined sales, risk adjusted sales in 2025, well above our previous expectations. My No. It's hard to argue against Skyrizi and Rinvoq's performance to date, however, and with the total addressable market across all immunology indications likely well in excess of $100bn, I feel fairly comfortable that AbbVie can grow this division's revenues even as the world's biggest ever selling drug exits stage left. As of 30 June, analysts price predictions compiled by MarketBeats and long-term forecasts by Wallet Investor projected that the ABBV stock price could rise. Among its many positions is sustainable operations so it can deliver life-changing therapies to those who need them most. In summary, the total revenue increase of just 4% year-on-year in Q2'22 might disappoint a few investors, as might the downgraded guidance, although it is hard to argue that AbbVie is a bad investment when we consider that the Pharma also pays a dividend of $1.41 per quarter, yielding 4% per annum, drove operating earnings of $3.925bn on a GAAP basis, and trades at a >10% discount to my calculated target price. I hope to see you there. Please disable your ad-blocker and refresh. AbbVie's Q2'22 earnings threw up some positives and negatives for investors to contemplate. 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. In most cases, trials are underway for multiple indications, including some therapies that have already been approved for 1 or more conditions. In the past I have written about the high level of competition between major Pharma in the auto-immune space - for example, for Psoriatic Arthritis the list of approved drugs includes Humira, UCB Pharma's Cimzia, Amgen's Enbrel, Johnson & Johnson's (JNJ) Stelara, Eli Lilly's (LLY) Talzt, Novartis' (NVS) Cosentyx and Bristol-Myers Squibb's (BMY) Orencia. Based on earnings estimates, AbbVie will have a dividend payout ratio of 54.11% next year. View which stocks are hot on social media with MarketBeat's trending stocks report. The company has a robust pipeline of new products that are in some stage of clinical trials. The company is a member of the Fortune 100 and one of the Fortune 100s Best Companies To Work For. It is in business to discover, develop, manufacture and market pharmaceuticals globally but in a way that best serves the needs of patients and the global community. To be sure, AbbVie is modeling for a tough year in 2023 for the aesthetics market. Moreover, with surging demand, rising investments in research and development, and increasing e-pharmacy channels, the industry is well-positioned for significant growth New research suggests Depakote ingredient could have a new clinical function. Psoriatic arthritis is also adding significantly to Skyrizi's momentum, where we are now approved in 54 countries. 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.