About Abbott Laboratories
Abbott Laboratories (ABT) is a Healthcare company in the Pharmaceutical Preparations industry with a market capitalisation of $169.9B. The stock trades at 31.55x trailing earnings and yields 2.54%.
- Sector
- Healthcare
- Industry
- Pharmaceutical Preparations
- Market cap
- $169.9B
- P/E ratio
- 31.55
- EPS (TTM)
- $3.72
- Revenue (TTM)
- $44.3B
- Free cash flow
- $7.4B
- Profit margin
- 14.7%
- Dividend yield
- 2.54%
- Shares outstanding
- 1.7B
Financial health: Strong7.5/10
6 strengths, 1 concern. Weakest points: earnings growth.
- Debt to equity: 0.25 (Strong, benchmark < 0.5) — Debt of 0.25x equity is conservative against the 0.5x benchmark. It has improved over the last 4 years.
- Net debt vs cash flow: 0.5y (Strong, benchmark < 4 years) — Net debt of $4.0B is 0.5x annual free cash flow — under a year of cash flow to repay.
- Current ratio: 1.58 (Strong, benchmark > 1.5) — Short-term assets cover 1.58x short-term liabilities, against Graham's 1.5x floor. It has been broadly flat over the last 4 years.
- Return on equity: 12.5% (Watch, benchmark > 15%) — Earns 12.5% on shareholder equity, short of the > 15% mark.
- Gross margin: 56.3% (Strong, benchmark > 40%) — Keeps 56.3% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 14.7% (Strong, benchmark > 10%) — Turns 14.7% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $7.4B (Strong, benchmark positive) — Generated $7.4B of free cash flow after capital spending. It has been broadly flat over the last 4 years.
- Revenue growth: 5.7% (Watch, benchmark > 10%) — Revenue changed 5.7% year on year, short of the > 10% mark.
- Earnings growth: -51.3% (Concern, benchmark > 10%) — Earnings changed -51.3% year on year, well short of the > 10% mark.
- Payout ratio: 63.1% (Watch, benchmark < 60%) — Pays out 63.1% of earnings as dividends — above the level usually considered sustainable.