Analyst Tim Anderson of Bank of America Securities reiterated a Hold rating on AbbVie (ABBV – Research Report), reducing the price target to $200.00.
Tim Anderson has given his Hold rating due to a combination of factors influencing AbbVie’s financial outlook. The analyst has made modest adjustments to the revenue and EPS forecasts for 2025 and beyond, with slight increases driven by sales of key products like Skyrizi and Rinvoq. However, these changes are relatively minor, and the overall projections remain largely consistent with previous estimates.
Additionally, the Hold rating reflects concerns about potential impacts from tariffs and drug pricing pressures, which have led to a compression in the P/E multiple across the sector. Despite AbbVie’s above-average growth projections, the current P/E ratio, which is slightly higher than the industry average, seems to already account for this growth. Consequently, the price objective has been adjusted to $200, down from $223, aligning with the updated EPS estimates and reflecting a more cautious outlook.
In another report released on April 8, Goldman Sachs also initiated coverage with a Hold rating on the stock with a $194.00 price target.
Based on the recent corporate insider activity of 49 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ABBV in relation to earlier this year.