David Risinger, an analyst from Leerink Partners, maintained the Hold rating on AbbVie (ABBV – Research Report). The associated price target was raised to $173.00.
David Risinger has given his Hold rating due to a combination of factors including AbbVie’s solid first-quarter performance and an increase in the 2024 EPS guidance. Despite these positive indicators, there are concerns surrounding the future sales of Humira, especially post-2025, as the market anticipates a greater push for biosimilar adoption and increasing competition. Moreover, investors are wary that biosimilar manufacturers could potentially reduce prices to gain a higher volume share. These market dynamics create uncertainty despite the robust growth of Skyrizi and Rinvoq and management’s confidence in AbbVie’s growth prospects.
Additionally, Risinger’s outlook considers upcoming pipeline developments that could influence AbbVie’s performance. Key updates are expected on treatments for multiple myeloma, Parkinson’s disease, schizophrenia, and a novel fast-acting botulinum toxin, which could provide best-in-class potential and support regulatory approvals. However, even with the strong performance of Skyrizi and Rinvoq, which are projected to significantly increase sales in the coming years, the current market concerns and potential challenges seem to have led to a cautious Hold rating with a maintained price target that reflects these mixed expectations.
In another report released on April 26, Bank of America Securities also reiterated a Hold rating on the stock with a $172.00 price target.
Based on the recent corporate insider activity of 51 insiders, corporate insider sentiment is neutral on the stock.
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AbbVie (ABBV) Company Description:
AbbVie, Inc. is a biopharmaceutical company focused on key therapeutic areas like immunology, oncology, neuroscience, eye care, virology, women’s health and gastroenterology. The company was founded on October 19, 2011 and is headquartered in North Chicago, IL.
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