I haven't included Epcoritamab sales in my forecasts this time, but I hope to adjust the table before Q3'22 results are announced. Among the many avenues of research and innovation are the advancement of precision medicine or pMedicine. With Skyrizi and Rinviq - two assets developed in-house - performing so well, however, perhaps we should give management the benefit of the doubt. Finally, eye-care - another division inherited from Allergan - has been performing well for AbbVie although I am not expecting particularly strong growth from the current product portfolio. As a result I have dropped Imbruvica revenues to just over $3.5bn in 2022 and modelled for a CAGR growth of just 1.5% between then and 2030. on the strength of its future rather than present portfolio. AbbVie Aesthetics / Neurology revenues forecasts to 2030 (my table and assumptions) . z o.o., AbbVie Productos Farmacuticos Limitada, AbbVie Products LLC, AbbVie Promoo L.da, AbbVie Pte. Finally I can present a target price for AbbVie stock in 2023 using DCF / EBITDA analysis. These products are not suitable for everyone and you should therefore consider your objectives, financial situation, needs and experience with these products before investing in them. ABBV has several positive factors pushing its price performance. Currently, AbbVie sees a significantly higher portion of every dollar end up as cash to do with what they please. losed Joint Stock Company FinTech Solutions, Fidelity NASDAQ Composite Index Tracking Stock Fund, Abbvie stock price analysis: Past year performance, Abbvie fundamental analysis: Q1 2022 earnings, Abbvie stock forecast: Company guidance and analysts predictions. ABBV Stock 12 Months Forecast. Other products such as Mavyret and Creon appear to have many more years of blockbuster sales ahead of them, although it is interesting to note that AbbVie no longer reports revenues from its Women's Health division, and scarcely mentions it. To date, the company had invested more than $50 billion into research through more than 250 partnerships. Among the more notable are ImmuVen, Pharamcyclics and Allergan plc. AbbVie is one of the largest global Pharmaceuticals, with a market cap of >$265bn. Real-time analyst ratings, insider transactions, earnings data, and more. Assuming there are 2 highly effective drugs for 1 disease, PMedicine seeks to identify which patients respond better to each. Johnson & Johnson is rushing toward a patent cliff but a new shelf offering registration suggests itis gearing up for acquisitions. I do much more than just articles at Haggerston BioHealth: Members get access to model portfolios, regular updates, a chat room, and more. That same month, the FDA extended the review period for Skyrizi (risankizumab), a treatment drug for moderate to severe Crohns disease in patients aged 16 and older. In summary, the total revenue increase of just 4% year-on-year in Q2'22 might disappoint a few investors, as might the downgraded guidance, although it is hard to argue that AbbVie is a bad investment when we consider that the Pharma also pays a dividend of $1.41 per quarter, yielding 4% per annum, drove operating earnings of $3.925bn on a GAAP basis, and trades at a >10% discount to my calculated target price. Wallet Investor suggested that the price could hit $300.386 in June 2027. It is in business to discover, develop, manufacture and market pharmaceuticals globally but in a way that best serves the needs of patients and the global community. Remember that past performance is not a guarantee of future results and you should never invest more money than you can afford to lose. On average, they expect the company's stock price to reach $161.12 in the next twelve months. Bringing RGX314 would be a coup for AbbVie although I am forecasting for only $2bn in peak revenues in 2030 as a hedge against the risk that this candidate does not make it to market on safety grounds. The company didn't offer a . AbbVie declared a quarterly dividend on Thursday, February 16th. Our momentum combined with ramping contributions from new products and new indications will drive accelerating revenue and EPS growth through the rest of the year., ABBV has done very well to add to its impressive gains from the past couple of years. Forecasts shouldnt be used as a substitute for your own research. Venclexta continues to pick up momentum with sales up 16% to >$500m in Q2'22, and I forecast the drug to exceed $3.2bn in revenues by the end of the decade. AbbVie trades on the New York Stock Exchange (NYSE) under the ticker symbol "ABBV.". This included an unfavourable impact of $0.08 a share related to acquired in-process research and development (IPR&D) and milestones expenses incurred during the March quarter. Sales are expected to recover in H2'22, however, and forecast year-on-year growth. Richard A. Gonzalez has an approval rating of 88% among the company's employees. Since its 2013 separation from Abbott Laboratories (ABT 1.78%), AbbVie's stock has grown more than 160%. psoriatic arthritis at a lower dose, again with a comparable safety profile, and has also won approval in a field where Humira has not, namely Atopic Dermatitis. It now expects full-year profit in the range of $13.92-$14.12 a share. Receive ABBV Stock News and Ratings via Email. While some of the gains are due to investor perception that it is a strong company, some view ABBV as a defensive stock, with most of the other stocks in the sector also doing well. In this post I model AbbVie product sales to 2030 - including pipeline assets - and use discounted cash flow analysis to calculate a present day share price target. Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. 8.05% These are mostly related to the US Food and Drug Administrations (FDA) approval of Abbvies drug Rinvoq for ulcerative colitis and positive top-line results from the Phase 3 induction study U-EXCEL. When looking for ABBV stock forecasts, its important to bear in mind that analysts forecasts can be wrong. AbbVie's Dividend and Valuation. AbbVie stock is one of the most well-known pharmaceutical companies. It revealed that patients with moderate to severe Crohns disease receiving Abbvies Rinvoq achieved steroid-free clinical remission in significantly higher numbers than patients receiving a placebo. 580 employees have rated AbbVie Chief Executive Officer Richard A. Gonzalez on Glassdoor.com. Having so much debt in a prevailing inflationary environment is also unattractive. Compare Top Brokerages Here. The company officially IPOd on January 2, 2013; contrary to criticisms, the move was solely to protect the parent company from expiring patents. How do I arrive at my share price target? Partnerships are with universities, medical facilities, research organizations and other pharmaceutical companies. According to CompaniesMarketCap, the biopharmas market capitalisation stood at $272.38bn, making it the worlds 30th most valuable company. AbbVie Stock Forecast 2023 $165.00 In the last five quarters, AbbVie's Price Target has risen from $122.84 to $162.12 - a 31.98% increase. What is ABBV's Earnings Per Share (EPS) forecast for 2023-2025? Forecast target price for 03-06-2023: $ 152.58. The CEO, speaking at a fireside chat during the conference, commented: we remain well-positioned to absorb the impact from the Humira LOE and quickly return to strong growth starting in 2025. About the AbbVie, Inc. stock forecast. And we remain confident in our ability to achieve total sales of more than $9 billion by 2029. Read the conference call transcript. Pharmaceuticals are often valued based on a philosophy of "jam tomorrow" as opposed to jam today i.e. AbbVie has received a consensus rating of Hold. Over the next nine years, experts believe that GSK's Free Cash Flow will grow at a rate of 1.98%. Multidrug Resistant Bacteria Treatment Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2030) Published: March 2, 2023 at 2:55 a.m. call (03) 8658 0539 support.au@capital.com. I suspect Eye Care is a division AbbVie can turn around given time, and I feel that with regards to oncology, where AbbVie has the strongest pipeline assets - lymphoma bispecific Epcoritamab may be approved to treat large B-cell lymphoma, and peak sales estimates range from $1.5 - $3bn, although AbbVie will not earn all of that since the product is co-developed with Genmab. The risks associated with aesthetics are that the industry can be severely buffeted by economic headwinds, as these products are more consumer focused and are often considered an unnecessary expenditure in times of hardship. Move your mouse over a quarter or year to see how estimates have changed over time. Although investing in AbbVie isn't riskless, it is advisable based on what we know about the company. To summarize, Humira may be going off-patent, but is more than capable of delivering double-digit billion revenues for another 3-4 years, and even in 2030, it could be amongst the top 20 best-selling drugs worldwide. All rights reserved. I believe AbbVie is likely 15 - 20% undervalued at current price. The surge in revenues can primarily be attributed to its Allergan. Identify stocks that meet your criteria using seven unique stock screeners. The material provided on this website is for information purposes only and should not be understood as an investment advice. Disclosure: I/we have a beneficial long position in the shares of ABBV, BMY either through stock ownership, options, or other derivatives. Nineteen analysts predict that AbbVie's share price will increase in the coming year, reaching $165.00. The company has a robust pipeline of new products that are in some stage of clinical trials. In my model I have then reduced revenues by 20% between 2024 - 2026, and then by 10% per annum between 2027 - 2030. Perhaps this is an example of how ruthless management can be when encountering falling sales, and a warning that not all company divisions are guaranteed to thrive. The company originated as the bio-pharma segment of Abbott Laboratories and was spun off in late 2012. AbbVie has 5 focus areas for its research and products. AbbVie's post-Humira LOE plans are not riskless, and its targets are ambitious, but nevertheless I see no harm in picking up shares in the Pharma at the current price, accepting a generous 4% dividend, and likely benefitting from share repurchases and a steadily growing share price until 2030. My detailed modeling suggests there is 15-20% upside to look forward to in the short term and that ABBV stock remains a solid long-term buy opportunity for investors. View ABBV analyst ratings or view top-rated stocks. The Immunology division looks strong, even factoring in the patent cliff faced by $20 billion-selling Humira. PMeds are designed not only to target the specific causes of diseases, often at the genetic level, but the patients that are most likely to benefit from them. Johnson & Johnson Free Cash Flow Forecast for 2023 - 2025 - 2030. First we can take a quick look at what a forward income statement for AbbVie might look like to 2030. The total revenue in 2021 was $56.20 billion with a 31% operating margin. Please disable your ad-blocker and refresh. On average, analysts forecast that ABBV's EPS will be $11.80 for 2023, with the lowest EPS . Although Wallet Investor did not provide targets for 2030, its longer-term Abbvie stock prediction expected the price to hit $300.386 in June 2027. I have no business relationship with any company whose stock is mentioned in this article. The average analyst rating for AbbVie stock from 34 stock analysts is "Buy". I hope to see you there. Get daily stock ideas from top-performing Wall Street analysts. View our ABBV earnings forecast. Zscaler, Inc Plummets, Is It Time To Buy The Dip? The majority of the biosimilar (more sophisticated versions of generic drugs) imitations of Humira that will contest for market share with the original will launch around the middle of 2023, including versions developed by Pfizer (PFE), Boehringer Ingelheim, Organon (OGN), Biocon, Coherus Biosciences (CHRS) and Sandoz, whilst Amgen's (AMGN) Amjevita is permitted to launch in January. Get short term trading ideas from the MarketBeat Idea Engine. Snowflake Reports Weak Guidance: Is the Growth Snowflake Melting? As such I have modelled similar, although I have included an additional revenue stream from new products which I expect to be minor in nature but ultimately contributing an additional $1.5bn to the top line. The drug is now approved in severe Rheumatoid Arthritis, active Psoriatic Arthritis, moderate to severe Atopic Dermatitis, Ulcerative Colitis, active Ankylosing Spondylitis, with Crohn's Disease the next approval on the list. The firm earned $15.12 billion during the quarter, compared to the consensus estimate of $15.30 billion. The company can be reached via phone at (847) 932-7900 or via fax at 302-655-5049. MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: You have already added five stocks to your watchlist. In the last four years, Johnson & Johnson's Free Cash Flow has fallen from $18.53B to $17.00B - a 8.28% decrease. Morningstar: 2019 Morningstar, Inc. All Rights Reserved. This indicates that the company will be able to sustain or increase its dividend. Aesthetics was propped up by growing sales of Botox - up 12% year-on-year to $678m, but let down by sales of Juvederm, which management put down to lockdown regulations in China, and the "suspension" of operations in Russia. The Abbvie stock forecast for 2025 had the price at $259.018. Our Product Disclosure Statement (PDS) and Target Market Determination provides important information about our products and who our products are more likely to be suited to Capital.com does not provide financial or investment advice and you should seek independent advice if you are unsure of the risks or whether our products are suitable for you. Read our dividend analysis for ABBV. I am modelling for AbbVie to grow revenues at a compound annual growth rate of ~5% between now and 2030 with growth accelerating in the latter half of the decade. When looking for ABBV stock forecasts, it's important to bear in mind that analysts' forecasts can be wrong. As I have mentioned in previous notes, however, the gains owe more to price hikes than sales volumes, and come 2023 and the LOE, even AbbVie admits the blow to revenues will be substantial. AbbVie stock forecast 2022 - 2025 - 2030 with analysis AbbVie stock stood at $162.110000610352 on 2022-03-31. forecast for 2023 is $159.42, forecast for 2024 is $156.65, forecast for 2025 is $139.68, forecast for 2026 is $124.48, View institutional ownership trends. Find me at my marketplace channel, Haggerston BioHealth - model portfolio + 4 exclusive stock tips every week. Always do your own research on a stocks price performance and predictions before making an investment. Forecast . All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. The above table shows quarterly and annual product revenues going back to FY20, whilst the last 4 columns show revenue growth percentage between FY20 and FY21, then revenue growth between Q2'21 and Q2'22, the sequential (quarter on quarter) growth, followed by product sales as a percentage of revenues. writing - trading down slightly from its all-time high of >$160 achieved in early December last year. There has been a raft of price-moving news for Abbvie, which may positively affect the stock price. Nevertheless, AbbVie is clearly under huge pressure to protect its dominance in the immunology markets, and the signs are it has been able to do just that thanks to the launches of 2 new drugs - Skyrizi and Rinvoq. In the next year, analysts predict that Revenue will reach C$253.83M - an increase of 3.50%. Outside of Humira, management does not have to worry about LOEs for any of its other portfolio products before the end of the decade, which is encouraging, however, based on my own projections of how AbbVie will generate its revenues between 2023 and 2030, if management wants to drive a CAGR in the high single digits after 2025, it will need some help from its pipeline - not an area of particular strength for AbbVie. A AbbVie Inc. (NYSE:ABBV) insider lowered their holding by 87% earlier this year, These 2 Dividend Stocks Could Be a Great Addition to Your Income Portfolio, AbbVie Can Write Diversified Growth Story Without Humira, Rest Of The Business Has Strength, Analyst Says, AbbVie (NYSE:ABBV) Receives New Coverage from Analysts at Guggenheim, AbbVie to Present at the Cowen 43rd Annual Health Care Conference, AbbVie Receives Positive CHMP Opinion for Upadacitinib (RINVOQ) for the Treatment of Adults with Moderate to Severe Crohn's Disease, AbbVie Highlights Robust Gastroenterology Portfolio with New Analyses and Data in Inflammatory Bowel Diseases at the 18th Congress of European Crohn's and Colitis Organisation (ECCO), 3 Stocks to Buy Right Now That Are Cash Cows, The painfully high price of Humira is patently wrong, AbbVie Inc. (NYSE:ABBV) SVP Sells $4,310,832.64 in Stock, StockNews.com Upgrades AbbVie (NYSE:ABBV) to "Strong-Buy", AbbVie Inc. (NYSE:ABBV) Director Sells $1,505,000.00 in Stock, Azita Saleki-Gerhardt Sells 25,000 Shares of AbbVie Inc. (NYSE:ABBV) Stock, AbbVie and Capsida Biotherapeutics Expand Strategic Collaboration to Develop Targeted Genetic Medicines for Eye Diseases with High Unmet Need, view top-rated stocks among Wall Street analysts, 1 NORTH WAUKEGAN ROAD, NORTH CHICAGO IL, 60064. First of all, as shown in the table above I forecast product sales out to 2030. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. View analysts price targets for ABBV or view top-rated stocks among Wall Street analysts. If you like what you have just read and want to receive at least 4 exclusive stock tips every week focused on Pharma, Biotech and Healthcare, then join me at my marketplace channel, Haggerston BioHealth. AbbVie is a leading dividend payer. As we can see above one of either Skyrizi or Rinvoq has now been approved for all of the same indications as Humira is, except for Hidradenitis Suppurativa, although Rinvoq is undergoing a Phase study in this indication. I am using a weighted average cost of capital of ~10%, which is broadly consistent with the figure I use when modelling for the other 7 members of what I term the "Big 8" US Pharmas - Johnson & Johnson, Eli Lilly, Pfizer, Merck & Co (MRK), Bristol Myers Squibb, Amgen, and Gilead Sciences (GILD) - which helps prove the accuracy of the calculation. One share of ABBV stock can currently be purchased for approximately $156.06. A Warner Bros. The acquisition expanded AbbVies neuroscience portfolio, adding first-in-class modulators of the synaptic vesicle protein 2A, including lead molecule SDI-118 currently in Phase 1b studies. AbbVie has fought off patent challenges against Humira for years longer than expected, and despite losing exclusivity in Europe in 2020, a series of price hikes and market dominance in the US in indications such as Rheumatoid Arthritis ("RA"), Psoriatic Arthritis ("PsA"), Crohn's Disease ("CD"), and Ulcerative Colitis ("UC") - have enabled the drug's sales revenues to keep growing. See what's happening in the market right now with MarketBeat's real-time news feed. See AbbVie Inc. stock price prediction for 1 year made by analysts and compare it to price changes over time to develop a better trading strategy. Nevertheless, after applying the discount factor, I calculate a share price target of $151 based on DCF analysis and a slightly higher figure of $168 based on EBITDA analysis. The company is a member of the Fortune 100 and one of the Fortune 100s Best Companies To Work For. Investors needn't panic however - Humira's replacements are expected by AbbVie's CEO to generate even higher revenues per annum. Skyrizi has shown superiority to Humira in fields such as plaque psoriasis by a statistically significant amount, with a comparable safety profile, whilst Rinvoq has shown superiority in e.g. Psoriatic arthritis is also adding significantly to Skyrizi's momentum, where we are now approved in 54 countries. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. 16 analysts have issued 12-month price targets for AbbVie's shares. In my opinion, based on the current portfolio, AbbVie shares look undervalued below $160, but the upside above that price is limited, unless management is able to commercialize more products between now and the end of the decade, in order to achieve what looks like a very ambitious goal in driving high-single-digit revenue growth in the second half of this decade. Sign-up to receive the latest news and ratings for AbbVie and its competitors with MarketBeat's FREE daily newsletter. The dividend payout ratio is 89.56%. Projections are based on making fundamental and technical studies of the ABBV stock price performance. AbbVie is a leader in ESG and sustainability. Negative dynamics for AbbVie shares will prevail with possible volatility of 1.976%. 164.71 0.00 0.00%. approvals of Humira, Skyrizi, Rinvoq (AbbVie JPM Healthcare conference presentation). CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. AbbVie made the bold decision to take on a heavy debt load and bid for Allergan, with the deal being completed in 2020. Allergan plc was an Ireland-based pharmaceutical company focused on health-oriented aesthetic products and is the owner of Botox. The lowest target is $136.35 and the highest is $210. Ltd., AbbVie Overseas S. r.l., AbbVie Oy, AbbVie Participaes Ltda., AbbVie Pharmaceutical Trading (Shanghai) Co. Ltd., AbbVie Pharmaceuticals B.V., AbbVie Pharmaceuticals GmbH, AbbVie Pharmaceuticals LLC, AbbVie Pharmaceuticals SCA., AbbVie Pharmaceuticals Societe Anonyme, AbbVie Polska Sp. In other words, no Humira, no problem! Past performance is no guarantee of future results. The company also successfully completed the acquisition of Syndesi Therapeutics SA in March. AbbVie's stock was trading at $161.61 on January 1st, 2023. The ex-dividend date of this dividend is Thursday, April 13th. In February, a Phase 3 induction study saw positive top-line results. We have also launched Skyrizi for PSA in rheumatology, where we're seeing strong utilization, which is driving accelerated share growth. View analysts price targets for ABBV or view top-rated stocks among Wall Street analysts. Although the company has admitted that 2023 earnings will likely be down in 2022 - guidance for last year is for earnings per share ("EPS') of $13.84 - $13.88 on an adjusted diluted basis, versus $12.7 in 2021 - Gonzalez and his team were making some bold promises to investors at this year's JP Morgan Healthcare conference. Without the additional patents - >130 in total - Humira would have lost its market exclusivity in 2016, but having eventually lost protection in Europe, which has resulted in a sales decline from $6.3bn in 2018, to ~$2.7bn in 2022, Humira will finally face generic competition in the US from the beginning of this year. Disclaimer. Other approved ADC's targeting the c-Met protein, a validated target in NSCLC, include Novartis Tabrecta, which has been pegged for peak sales of ~$1.5bn, which seems a realistic target for Teliso given how large the lung cancer market is - the largest of all oncology markets. That makes companies like AbbVie generally very attractive to investors although it should be noted that AbbVie carries a very high level of debt which stood at >$60bn as of Q322 - more or less the amount the company paid to acquire Allergan. Not only do these companies pay handsome dividends, they typically grow revenues every year and generate wide profit margins which leads to share price upside. Based on earnings estimates, AbbVie will have a dividend payout ratio of 54.11% next year. Noting the stellar earnings reported by the firm in the first quarter, Richard A. Gonzalez, chairman and CEO of AbbVie, said: An overview of the companys net revenue in Q1 shows a major portion of revenue came from its immunology portfolio, which brought in $6.14bn. Sales of the drug reached $19.9bn in 2018 and were $19.2bn, $19.8bn and $20.6bn in 2019, 2020, and 2021 respectively. (NYSE: ABBV) Abbvie's current Earnings Per Share (EPS) is $6.65. (844) 978-6257. The eye-disease markets are very large - Regeneron's Eylea is a >$7bn per annum selling drug and AMD markets are >$20bn in size. Epcoritamab alone will not be sufficient to get AbbVie where it wants to be - despite some analysts believing it will be the highest grossing Pharma revenue wise by 2026. outlook for a company that is still only 10 years old and is about to feel the impact of a loss of patent protection for its mega-blockbuster auto-immune drug Humira, which made $20.7bn of sales for the company in FY21, representing 37% of total revenues generated. You should never invest money you cannot afford to lose. I have been maintaining a revenue forecasting table for AbbVie's products which I have amended based on Q2'22 and H1'22 results, and the slightly downgraded guidance issued for 2022 - management now expects adjusted earnings per share ("EPS") of $13.78 - $13.98, representing growth of 17% at the midpoint. Capital Com Australia Pty Ltd (ABN 47 625 601 489) is a company registered in Australia and regulated by the Australian Securities and Investments Commission (ASIC) under AFSL 513393. The AbbVie of today has 5 thriving divisions - Immunology, Oncology, Neuroscience, Aesthetics, and Eye Care - with the latter 3 divisions acquired from Allergan as part of AbbVie's $63bn takeover of that company. The company provided earnings per share (EPS) guidance of $10.70- for the period.