Abbott Q2 2024 Results: What to Expect

Abbott Laboratories (ABT), with a market capitalization of $178 billion, manufactures and sells a wide range of healthcare products, including pharmaceuticals, diagnostics, nutrition, and medical devices. The company, headquartered in North Chicago, Illinois, is scheduled to report fiscal second-quarter financial results before the market opens on Thursday, July 18.

Ahead of the event, analysts expect ABT to report earnings of $1.10 per share, up 1.9% from $1.08 per share in the year-ago quarter. The company has met or exceeded Wall Street estimates for net income in its last four quarterly reports. Abbott topped consensus EPS estimates by 2.1% in the latest quarter, driven by solid sales in its medical devices segment, particularly its glucose monitoring product.

For fiscal 2024, analysts forecast ABT will post earnings per share of $4.62, up 4.1% from earnings per share of $4.44 in fiscal 2023. For fiscal 2025, earnings per share are forecast to grow 10.8% annually to $5.12.

ABT is down 4.6% over the past 52 weeks, lagging the 24.3% gain for the S&P 500 Index ($SPX) and the 8.9% gain for the S&P 500 Healthcare Sector SPDR Index (XLV) over the same period.

Abbott Laboratories shares fell 2.8% on Jan. 24 after its 2024 earnings forecast missed Wall Street expectations despite meeting fourth-quarter earnings forecasts. Concerns about future competition in the electrophysiology market and declining revenue from COVID-19 testing also contributed to investor concerns. Similarly, the stock fell nearly 3% on April 17 as investors reacted negatively to the company maintaining the high end of its full-year earnings forecast rather than further raising it, despite beating first-quarter earnings expectations.

The analyst consensus on Abbott stock is bullish, with an overall rating of “Strong Buy.” Of the 20 analysts covering the stock, 14 recommend a “Strong Buy,” two have a “Moderate Buy” rating, and four give a “Hold” rating. This setup is more bullish than it was three months ago, with 13 analysts suggesting a “Strong Buy.”

The average analyst price target for ABT shares is $125.50, indicating a modest upside potential of 22.6% from current levels.

On the date of publication, Sohini Mondal did not hold (directly or indirectly) a position in any of the securities mentioned in this article. All information and data in this article is for informational purposes only. For further information, please refer to Barchart’s Disclosure Policy here.