💼 Abbott Laboratories (ABT) delivered impressive Q3 2024 results, surpassing market expectations and raising its full-year EPS guidance to $4.64-$4.70, reflecting robust growth and resilience. The medical device segment, which experienced a remarkable 13.3% rise, was a key driver, thanks to innovations like FreeStyle Libre and the newly launched Lingo and Libre Rio CGM systems. With the global CGM market projected to expand at an 11.5% CAGR through 2030, Abbott’s focus on diabetes management is strategic.
📈 The pharmaceutical segment also posted a solid 7% increase, fueled by Abbott’s efforts in high-growth international markets, including India, Vietnam, and Brazil. The company expects to achieve 8% organic revenue growth in this area, underlining its strategic emphasis on emerging markets with high demand for healthcare solutions.
🏥 Abbott’s diagnostics division continued its upward trajectory, achieving a steady 7% growth, driven by increased instrument placements and the expansion of point-of-care testing services. While the nutrition business faced headwinds, a 5% revenue recovery is anticipated, even amid legal challenges related to the Similac baby formula.
🔬 Overall, Abbott’s organic revenue climbed 7.6%, excluding COVID-19-related sales, demonstrating its capacity to adapt and lead in an evolving healthcare landscape. Notably, medical devices represent over 40% of total revenue, underscoring Abbott’s strong position in this critical segment.
💰 With a fair value estimate of $135 per share, Abbott is viewed as a strong buy, propelled by ongoing innovation, strategic global expansion, and effective margin optimization. Its sustained focus on high-growth areas positions it well for long-term success in the competitive healthcare sector.
What do you think about it? Tag me on your favourite social media (Facebook / Instagram / LinkedIn / X).
P.S. I research and interview economists, NZ investors and profitable companies to find tools & tactics that you can use to achieve financial freedom.
➔ Join my private newsletter to be the first one to learn insider tips! Here are examples of what you’ll get. It’s FREE. You can unsubscribe at any time. I treat your email as my top secret.
IMPORTANT: This article is of general nature only and readers should obtain advice specific to their circumstances from professional advisers.