About AbbVie Inc.
AbbVie Inc. (ABBV) is a Healthcare company in the Pharmaceutical Preparations industry with a market capitalisation of $465.5B. The stock trades at 74.24x trailing earnings and yields 2.6%.
- Sector
- Healthcare
- Industry
- Pharmaceutical Preparations
- Market cap
- $465.5B
- P/E ratio
- 74.24
- EPS (TTM)
- $2.36
- Revenue (TTM)
- $61.2B
- Free cash flow
- $17.8B
- Profit margin
- 6.9%
- Dividend yield
- 2.6%
- Shares outstanding
- 1.8B
Financial health: Weak4.5/10
3 strengths, 4 concerns. Weakest points: current ratio, return on equity, earnings growth and 1 more.
- 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: 71.5% (Strong, benchmark > 40%) — Keeps 71.5% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 6.9% (Watch, benchmark > 10%) — Turns 6.9% 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: 8.6% (Watch, benchmark > 10%) — Revenue changed 8.6% year on year, short of the > 10% mark.
- Earnings growth: -1.2% (Concern, benchmark > 10%) — Earnings changed -1.2% year on year, well short of the > 10% mark.
- Payout ratio: 275.8% (Concern, benchmark < 60%) — Pays out 275.8% of earnings as dividends — above the level usually considered sustainable.