Skyrizi has also been approved to treat Crohn's Disease, an added bonus and another multi-billion dollar market. A hold rating indicates that analysts believe investors should maintain any existing positions they have in ABBV, but not buy additional shares or sell existing shares. When looking for ABBV stock forecasts, its important to bear in mind that analysts forecasts can be wrong. 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. Under the terms of the resolution, AbbVie will grant Alvotech a non-exclusive licence to its Humira-related patents in the US, which will begin on 1 July 2023. Read our dividend analysis for ABBV. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. The company is focused on research and has a number of collaborations and partnerships to that end. Skyrizi - which inhibits the activities of IL-23 - a naturally occurring cytokine that is involved in inflammatory and immune responses - and Rinvoq - a member of the janus kinase inhibitor drug class - fit this profile. First of all, as shown in the table above I forecast product sales out to 2030. Capital Com is an execution-only service provider. That was below AbbVie stock analysts' view for $14.16. Please disable your ad-blocker and refresh. In the last four years, Johnson & Johnson's Free Cash Flow has fallen from $18.53B to $17.00B - a 8.28% decrease. Moreover, with surging demand, rising investments in research and development, and increasing e-pharmacy channels, the industry is well-positioned for significant growth New research suggests Depakote ingredient could have a new clinical function. That figure suggests a forward Price to Earnings ("P/E") ratio of ~10x, which is well below the US Big Pharma sector average of ~23x, although it should be noted that the GAAP/non-adjusted EPS may be only significantly lower than the adjusted figure, based on adjusted EPS of $6.52 across H1'22, and GAAP EPS of $3.03 over the same period. Net earnings also saw a steep rise to $4.49bn from $3.55bn, while net revenue jumped to $13.54bn from 13.01bn. In 2022, the company will most likely boast 12 "blockbuster" (>$1bn per annum) selling assets, driving ~$48bn of revenues between them, with Humira being the only drug that faces a near term patent expiry, whilst AbbVie is promising at least 6 or 7 major new product launches by 2026. Top institutional shareholders include Geode Capital Management LLC (1.91%), Morgan Stanley (1.79%), Moneta Group Investment Advisors LLC (1.65%), Price T Rowe Associates Inc. MD (1.15%), Norges Bank (1.06%) and Legal & General Group Plc (0.66%). Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Abbvie Inc quote is equal to 152.710 USD at 2023-02-27. If you rely on the information on this page then you do so entirely on your own risk. Based on earnings estimates, ABBV will have a dividend payout ratio of 54.11% next year. Revance Therapeutics gapped up 54.34% on January 9, and built upon those gains in February. Abbvie has a strong pipeline of projects ahead, and has recently received US FDA approval of its ulcerative colitis drug Rinvoq. With a 5-year investment, the revenue is expected to be around +88.28%. The dividend payout ratio is 89.56%. I have no business relationship with any company whose stock is mentioned in this article. The company reported $3.60 EPS for the quarter, topping the consensus estimate of $3.54 by $0.06. The company is a member of the Fortune 100 and one of the Fortune 100s Best Companies To Work For. The company's lead asset - all-time best selling immunology drug Humira - finally loses patent protection this year and sales will enter a period of terminal decline. The company had recorded a $4.7 billion increase in the contingent consideration liability related to Skyrizi last year. 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. (AbbVie data). Please log in to your account or sign up in order to add this asset to your watchlist. Receive regular, detailed analysis focused on biotech and healthcare stocks. I wrote this article myself, and it expresses my own opinions. As such, forecasting stock prices is more of an art than a science. I have no business relationship with any company whose stock is mentioned in this article. You should never invest money you cannot afford to lose. AbbVie Stock Forecast 03-06-2023. ABBV currently yields 4.1% and has raised its dividend every year since 2013. CNN Sans & 2016 Cable News Network. I'll also share some a forward income statement and discounted cash flow analysis that suggests the present value of AbbVie shares ought to trade as high as $176, implying that shares are presently discounted by as much as 18% to their true worth. See AbbVie Inc. (ABBV) stock analyst estimates, including earnings and revenue, EPS, upgrades and downgrades. Neuroscience is one of AbbVie's most intriguing divisions and perhaps the hardest to model. This would represent an increase of 1.78%. Past performance is no guarantee of future results. Data from two Phase 3 induction studies and one maintenance study supported the approval. With the Hughes Optioneering Strategy, youll soon learn that the safest option for new accounts is options themselves! Allergan plc was an Ireland-based pharmaceutical company focused on health-oriented aesthetic products and is the owner of Botox. One of the few pain points AbbVie experienced during a year of portfolio wide growth in 2022 was the decline in the revenue contribution from Imbruvica, approved to treat various types of lymphoma. The current consensus among 24 polled investment analysts is to Buy stock in Abbvie Inc. All Rights Reserved. We expect proof-of-concept data from roughly a dozen additional early stage oncology opportunities over the next couple of years. It now expects full-year profit in the range of $13.92-$14.12 a share. The company's average rating score is 2.44, and is based on 7 buy ratings, 9 hold ratings, and no sell ratings. Currently, AbbVie sees a significantly higher portion of every dollar end up as cash to do with what they please. 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. Skyrizi and Rinvoq will together achieve a higher peak sales figure than even Humira could manage, even while Humira is still making a substantial top line contribution, still accounting for as much of 7% of AbbVie's total sales in 2030. The official website for the company is www.abbvie.com. AbbVie's free cash flow yield is 10.5% compared to 4.3% for Johnson & Johnson . Today, AbbVie operates as a diversified multi-national pharmaceutical company with a patient-centric approach to research. That is interesting to me as I think it suggests management will need to commercialize more assets if it wants to hit that target. (my tables). The analysts 12-month consensus ABBV stock price target was $159.75. Sales of the drug reached $19.9bn in 2018 and were $19.2bn, $19.8bn and $20.6bn in 2019, 2020, and 2021 respectively. This means that . Rinvoq's progress has been a little more circumspect, but almost as impressive. Join the 500.000+ traders worldwide that chose to trade with Capital.com, Also you can contact us: Partnerships are with universities, medical facilities, research organizations and other pharmaceutical companies. I hope to see you there. 16 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for AbbVie in the last year. 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. I am not receiving compensation for it (other than from Seeking Alpha). 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, Investors needn't panic however - Humira's replacements are expected by AbbVie's CEO to generate even higher revenues per annum. Having so much debt in a prevailing inflationary environment is also unattractive. View ABBV analyst ratings or view top-rated stocks. When I began this post it was in my mind to give AbbVie stock a "Hold" rating owing to an underwhelming - on some levels - set of Q2'22 earnings, some concerns around high revenue generating products such as Imbruvica, Juvederm, and Restasis, the disappearance of the Women's Health division, the imminent LOE for Humira and the high levels of debt. About the AbbVie, Inc. stock forecast. Over the next nine years, experts believe that GSK's Free Cash Flow will grow at a rate of 1.98%. Investors do not seem to be taking the bait, however, as AbbVie's share price has slipped by >7% across the past month, and >5% across the past 5 days. What is the dividend yield for AbbVie? I look forward to seeing if Epcoritamab is approved this year, and although there is not a lot else in the near-term pipeline at this time, I also look forward to seeing how other projects may progress, e.g., opportunities in Parkinson's Disease, Alzheimer's and Cystic Fibrosis. View which stocks are hot on social media with MarketBeat's trending stocks report. My EPS figure increases slightly between 2022 and 2023, whilst AbbVie has suggested it will be down slightly before beginning to accelerate towards the end of the decade, as revenues correspondingly begin to climb sharply once the worst of the Humira LOE is over. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. There are still very few approved therapies, although that could change with Crispr Therapeutics (CRSP) / Vertex (VRTX) Sickle Cell Disease therapy leading the charge in 2023. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab. Within eye care, Restasis was a major disappointment, and the entire division seems to be struggling, with total revenues falling from ~$920m in Q2'21, to ~$720m in Q2'22. Find me at my marketplace channel, Haggerston BioHealth - model portfolio + 4 exclusive stock tips every week. 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's stock was trading at $161.61 on January 1st, 2023. Duodopa is approved for Parkinson's Disease but Gonzalez believes that the subcutaneous non-surgical delivery system of candidate ABBV951 can "significantly expand the patient population currently addressed by Duopa", and sees the drug as yet another future blockbuster. To date, the company had invested more than $50 billion into research through more than 250 partnerships. 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. There is an element of risk to that as clinical trial failures are common, even for a giant like AbbVie, and even CEO Gonzalez may be forced to backtrack on some of his blockbuster sales projections. 326 E 8th St #105, Sioux Falls, SD 57103 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. 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. 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. Thus, it is likely that ABBV will continue to find support on the dips in this type of market environment.. ABBV has several positive factors pushing its price performance. I write about Biotech, Pharma and Healthcare stocks and share investment tips. 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. The firm's revenue for the quarter was up 1.6% compared to the same quarter last year. 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. Shares of ABBV stock can be purchased through any online brokerage account. With Skyrizi and Rinviq - two assets developed in-house - performing so well, however, perhaps we should give management the benefit of the doubt. There is no mention of Women's Health in the Q2'22 earnings call or in the 10-Q submission to the SEC, or any of the drugs within it, yet the divisions have not (to the best of my knowledge) been sold, despite rumors it was put up for sale at ~$5bn. AbbVie is led by CEO and Chairman Rick Gonzalez - likely the only Pharma CEO who lacks a college degree - who has successfully defended Humira from generic drug competition by adopting a controversial strategy of continually applying for new patents related to minor changes in manufacturing methods or administration, often referred to as a "patent thicket". 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. 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. 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. 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. $163.64. Find me at my marketplace channel, Haggerston BioHealth - model portfolio + 4 exclusive stock tips every week. 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. Assuming there are 2 highly effective drugs for 1 disease, PMedicine seeks to identify which patients respond better to each. Always conduct your own due diligence before investing. Among the more notable are ImmuVen, Pharamcyclics and Allergan plc. As we can see, sales of Humira are still climbing, with losses in Europe - where revenues fell by 14% to $699m - offset by growth in the US, to $4.7bn, up 10% year-on-year. As with debt, if approval and revenue targets aren't met, it can quickly result in a loss of faith in the company. American biopharmaceutical company Abbvie (ABBV) has surged nearly 13% year to date (YTD), and 35% year-over-year (YOY), as of 30 June. The company may not generate as much excitement as some of the other members of the "Big 8" - most notably Eli Lilly and its weight loss franchise, but the path to revenue growth, expanding margins and a growing share price is clear. Date. What is AbbVie's stock price forecast for 2023? I wrote this article myself, and it expresses my own opinions. 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. As we can see the immunology division consists of only 3 assets yet by my calculation, will likely account for 50% of AbbVie's revenues in 2022 (to calculate 2022 sales revenues by product, since we do not yet have final figures, I have used 9m 2022 figures and assumed Q4 revenues will be the average of the previous 3 quarters). z o.o., AbbVie Spain S.L., AbbVie Stemcentrx LLC, AbbVie Trading S.R.L., AbbVie Trustee Company Limited, AbbVie Tbbi lalar Sanayi ve Ticaret Limited irketi, AbbVie UAB, AbbVie UK Biopharmaceuticals Ltd, AbbVie UK Holdco Limited, AbbVie UK Ltd, AbbVie US Holdings LLC, AbbVie US LLC, AbbVie Venezuela B.V., AbbVie Venezuela Holdings B.V., AbbVie Ventures LLC, AbbVie d.o.o., AbbVie s.r.o., Aeropharm Technology LLC, Allergan, BioDisplay Technologies Inc., Fournier Laboratories Ireland Ltd., Fremont Holding L.L.C., Fundacin AbbVie, IEP Pharmaceutical Devices LLC, ImmuVen, KOS Pharmaceuticals Inc., Knoll LLC, Knoll Pharmaceutical Company, Life Properties Inc., Mavupharma, Organics L.L.C., Pharmacyclics (Europe) Limited, Pharmacyclics (Shanghai) Management Consulting Services Limited, Pharmacyclics Cayman Ltd., Pharmacyclics Inc, Pharmacyclics LLC, Pharmacyclics Switzerland GmbH, Rowell Laboratories Inc., S.C. AbbVie S.R.L., Sapphire Merger Sub Inc., Stem CentRx, Stemcentrx Cayman Ltd., Suffolk Merger Sub Inc., and Unimed Pharmaceuticals LLC. RHHBY vs. ABBV: Which Stock Is the Better Value Option? Forecast . The other major plus is probably the performance of the neuroscience divisions, where as we can see, Botox (indicated for migraine treatment), atypical antipsychotic Vraylar, migraine therapy Ubrelvy and newly launched Qulipta, an oral CGRP inhibitor indicated for chronic migraine all delivered good sales growth. 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. Nineteen analysts predict that AbbVie's share price will increase in the coming year, reaching $165.00. Disclaimer. We have also launched Skyrizi for PSA in rheumatology, where we're seeing strong utilization, which is driving accelerated share growth.