What changed
$ABT — WATCHLIST 📊
Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide.
🎯 Q1 FY26 | Rev $11B | EPS $1.15 vs $1.15 🟢 | Margin 26.0%
💡 Market has priced in Exact Sciences acquisition and modest organic growth at ~16x forward P/E. Consensus FY EPS $5.48 leaves little room for positive surprise; integration benefits are 12+ months away.
🏢 Business Quality: 8/10 - Wide-moat healthcare conglomerate with stable cash flows, R&D capability, and strong global distribution.
📊 Valuation: fair - Forward P/E 16.4x vs sector median ~17x; EV/EBITDA ~15x; FCF yield 2.4%. Not cheap enough to compensate for integration risk.
Also in play: $ALSN $WAB $GBX $TRN $CAT $CMC
Why it matters
Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide.