About AbbVie Inc.
AbbVie Inc., a research-based biopharmaceutical company, engages in the research and development, manufacturing, commercializing, and sale of medicines and therapies worldwide. The company offers Skyrizi to treat autoimmune diseases; Rinvoq to treat inflammatory diseases; Imbruvica for the treatment of adult patients with blood cancers; Venclexta to treat blood cancers; Elahere to treat various cancer; and Epkinly to treat lymphoma; and Emrelis for the treatment of lung cancer. It also provides facial injectables, plastics and regenerative medicine, body contouring, and skincare products; botox Cosmetic for the treatment of glabellar lines, crow's feet, forehead lines, and platysma bands; Juvederm Collection to treat volume loss in the temples, undereye, cheeks, chin, lips and lower face; Vraylar to treat schizophrenia, bipolar disorder, and depressive disorder; Duodopa to treat Parkinson's disease; Ubrelvy to treat migraine; Qulipta for episodic and chronic migraine; and Vyalev for the treatment of motor fluctuations, as well as Botox Therapeutic to treat chronic migraine, overactive bladder, spasticity, cervical dystonia, and other conditions. In addition, the company offers Ozurdex for visual impairment; Lumigan/Ganfort and Alphagan/Combigan for the reduction of elevated intraocular pressure in patients with open angle glaucoma or ocular hypertension; and other eye care products, including Refresh/Optive, Xen, Durysta, and Restasis. Further, it provides Mavyret to treat chronic hepatitis C virus genotype 1-6 infection; Creon, a pancreatic enzyme therapy; and Linzess/Constella to treat irritable bowel syndrome with constipation and chronic idiopathic constipation. The company was incorporated in 2012 and is headquartered in North Chicago, Illinois.
AbbVie Inc. (ABBV) is a Healthcare company in the Drug Manufacturers - General industry with a market capitalisation of $454.4B. The stock trades at 72.43x trailing earnings and yields 2.69%.
- Sector
- Healthcare
- Industry
- Drug Manufacturers - General
- Market cap
- $454.4B
- P/E ratio
- 72.43
- Forward P/E
- 15.79
- EPS (TTM)
- $3.55
- Revenue (TTM)
- $64.4B
- Free cash flow
- $16.9B
- Profit margin
- 9.8%
- Dividend yield
- 2.69%
- Beta
- 0.28
- Shares outstanding
- 1.8B
Financial health: Fair6.4/10
6 strengths, 3 concerns. Weakest points: current ratio, return on equity, payout ratio.
- Debt to equity: -20.49 (Strong, benchmark < 0.5) — Debt of -20.49x equity is conservative against the 0.5x benchmark. It has improved over the last 4 years.
- Net debt vs cash flow: 3.5y (Watch, benchmark < 4 years) — Net debt of $61.7B is 3.5x annual free cash flow — about 3 years of cash flow to repay.
- Current ratio: 0.67 (Concern, benchmark > 1.5) — Short-term assets cover only 0.67x short-term liabilities — below 1.0, meaning bills due this year exceed the assets on hand to pay them. It has deteriorated over the last 4 years.
- Return on equity: -129.2% (Concern, benchmark > 15%) — Earns -129.2% on shareholder equity, well short of the > 15% mark.
- Gross margin: 72.8% (Strong, benchmark > 40%) — Keeps 72.8% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 9.8% (Watch, benchmark > 10%) — Turns 9.8% of revenue into profit, short of the > 10% mark.
- Free cash flow: $17.8B (Strong, benchmark positive) — Generated $17.8B of free cash flow after capital spending. It has deteriorated over the last 4 years.
- Revenue growth: 10.2% (Strong, benchmark > 10%) — Revenue changed 10.2% year on year, comfortably past the > 10% mark.
- Earnings growth: 290.4% (Strong, benchmark > 10%) — Earnings changed 290.4% year on year, comfortably past the > 10% mark.
- PEG ratio: 0.53 (Strong, benchmark < 1) — At 0.53, the price looks cheap relative to expected growth — Lynch treated 1.0 as fair value.
- Payout ratio: 190.4% (Concern, benchmark < 60%) — Pays out 190.4% of earnings as dividends — above the level usually considered sustainable.