Abbott Laboratories (ABT) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Healthcare · Medical Devices
Is Abbott Laboratories a safe investment right now?
Abbott Laboratories's Altman Z-Score of 4.6 places it in the safe zone. Our fair value estimate is $85.67 (Fairly Valued). Moat rating: 3.4/5 stars.
Could Abbott Laboratories go bankrupt? Altman Z-Score analysis
Z-Score of 4.6 is above 3.0, indicating the company is financially healthy by this metric.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives ABT's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.1096 | 1.2 | 0.13 |
| B · Retained Earnings / Total Assets | RE / TA | 0.5741 | 1.4 | 0.8 |
| C · EBIT / Total Assets | EBIT / TA | 0.1033 | 3.3 | 0.34 |
| D · Market Cap / Total Liabilities | MCap / TL | 4.6946 | 0.6 | 2.82 |
| E · Revenue / Total Assets | Rev / TA | 0.5112 | 1.0 | 0.51 |
How has ABT's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 4.35 | Safe |
| 2023 | 4.52 | Safe |
| 2024 | 4.63 | Safe |
| 2025 | 4.6 | Safe |
Source: Calculated from ABT's latest 10-K filing on SEC EDGAR.
What is Abbott Laboratories actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $3.93 | Proprietary blend of reported actuals (1Q actual) + analyst consensus, weighted by α |
| Last Year EPS | $3.72 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $5.48 | 25 analysts consensus |
| Trailing P/E | 25.7x | Current market pricing |
| Fair P/E (β discount) | 21.8x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Growing | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $119.48 (25 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does Abbott Laboratories have a durable competitive advantage?
Moat rating: 3.4/5.
What makes up ABT's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 4/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 3/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is ABT's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 16.6% | — |
| 2023 | 13.7% | Declining |
| 2024 | 12.2% | Declining |
| 2025 | 13.8% | Rising |
Source: ROIC calculated from SEC EDGAR filings.
Is Abbott Laboratories's dividend safe?
Can Abbott Laboratories afford its dividend?
Payout ratio is 67.2%. FCF covers the dividend 2.4x. 44 consecutive years of payments.
Abbott Laboratories's key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $44.3B | $42.0B | $43.7B | Stable |
| Net Income | $6.5B | $13.4B | $6.9B | Declining |
| Free Cash Flow | $7.4B | $6.4B | $7.8B | Declining |
| Gross Margin | 56.4% | 55.4% | 56.1% | Stable |
Recent events that affect our ABT analysis
ABT earnings report scheduled
Upcoming report. Consensus EPS estimate: $1.28. Revenue estimate: $12.54B. Our current Fair Value: $85.67 — a significant beat or miss could shift this estimate.
ABT analyst consensus: 79% bullish (22 of 28 analysts)
6 Strong Buy, 16 Buy, 6 Hold, 0 Sell, 0 Strong Sell. Consensus target: $119.48 (30.3% upside). Compare with our independent Fair Value: $85.67.
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT beat EPS estimates by 0.3%
Reported EPS: $1.15 vs estimate $1.15. Earnings strength supports our Fair Value of $85.67 (6.6% below current price).
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.6300/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
ABT beat EPS estimates by 0.3%
Reported EPS: $1.50 vs estimate $1.49. Earnings strength supports our Fair Value of $85.67 (6.6% below current price).
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.6300/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ABT beat EPS estimates by 0.1%
Reported EPS: $1.30 vs estimate $1.30. Earnings strength supports our Fair Value of $85.67 (6.6% below current price).
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.5900/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
ABT filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ABT beat EPS estimates by 0.3%
Reported EPS: $1.26 vs estimate $1.26. Earnings strength supports our Fair Value of $85.67 (6.6% below current price).
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.5900/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT beat EPS estimates by 1.7%
Reported EPS: $1.09 vs estimate $1.07. Earnings strength supports our Fair Value of $85.67 (6.6% below current price).
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.5900/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
ABT filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
ABT missed EPS estimates by 0.2%
Reported EPS: $1.34 vs estimate $1.34. Our Fair Value of $85.67 may face downward pressure if the trend continues.
ABT filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ABT paid $0.5900/share dividend
Dividend Safety Grade: A. Payout ratio: 67.2%.
Common questions about Abbott Laboratories
What is Abbott Laboratories stock price today?
Abbott Laboratories (ABT) stock price is $91.70 as of the latest market close, traded on the NYSE exchange.
What does Abbott Laboratories do?
Abbott Laboratories, together with its subsidiaries, discovers, develops, manufactures, and sells health care products worldwide. It operates in four segments: Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. It offers generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency, irritable bowel syndrome or biliary spasm, intrahepatic cholestasis or depressive symptoms, gynecological disorder, hormone replacement therapy, dyslipidemia, hypertension, hypothyroidism, hypertriglyceridemia, Ménière's disease and vestibular vertigo, pain, fever, inflammation, and migraine, as well as provides anti-infective clarithromycin, influenza vaccine, and products to regulate physiological rhythm of the colon.
What is Abbott Laboratories market cap?
Abbott Laboratories has a market capitalization of $159.35B, classifying it as a large-cap stock in the Healthcare sector.
What sector and industry is ABT in?
Abbott Laboratories operates in the Healthcare sector, specifically within the Medical Devices industry. It trades on the NYSE under the ticker symbol ABT.
Is ABT stock overvalued or undervalued?
Based on our valuation model, Abbott Laboratories trades 7.0% above our fair value estimate — potentially overvalued.
- FairValueLabs Fair Value: $85.67
- Current Price: $91.70
- Valuation Zone: Fairly Valued
What is ABT stock forecast and analyst target price?
Based on 25 Wall Street analysts, the consensus price target for Abbott Laboratories is $119.48, implying upside of 30.3% from the current price.
- Analyst High Target: $143.00
- Analyst Low Target: $106.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Abbott Laboratories revenue and earnings growing?
Here are the analyst consensus growth estimates for Abbott Laboratories:
- Revenue growth (current year est.): 13.6%
- EPS growth (current year est.): 6.4%
- Revenue growth (next year est.): 9.0%
- EPS growth (next year est.): 10.6%
What are Abbott Laboratories's key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $44.3B | Stable |
| Net Income | $6.5B | Declining |
| Free Cash Flow | $7.4B | Declining |
| Gross Margin | 56.4% | Stable |
What is ABT's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 25.7x
- Forward P/E (next 12 months est.): 15.1x
- FairValueLabs Fair P/E: 21.8x
How volatile is ABT stock?
Abbott Laboratories has a beta of 0.78, meaning it is less volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Abbott Laboratories have?
Abbott Laboratories's balance sheet shows:
- Total Cash: $8.94B
- Total Debt: $14.14B
- Net Cash Position: $-5.20B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
Does Abbott Laboratories pay a dividend, and is it safe?
Yes, Abbott Laboratories pays a regular dividend. Here are the key metrics:
- Dividend Yield: 2.6%
- Payout Ratio: 67.2%
- Consecutive Years Paid: 44
- 5-Year Dividend Growth: -6.9%
- FairValueLabs Safety Grade: A
Is Abbott Laboratories at risk of going bankrupt?
Abbott Laboratories's Altman Z-Score is 4.60, placing it in the safe zone (above 3.0) — bankruptcy risk is low. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does Abbott Laboratories have a durable competitive advantage?
Abbott Laboratories scores 3.4/5 stars (Narrow moat) in our moat analysis:
- ROIC Stability: 4/5
- Gross Margin Trend: 3/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
How do I buy ABT stock?
ABT shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol ABT
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is ABT a value stock or speculative?
FairValueLabs classifies Abbott Laboratories as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of Abbott Laboratories?
The current CEO of Abbott Laboratories is Mr. Robert B. Ford.
What is ABT's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $3.57
- Forward EPS (next 12 months est.): $6.06
- Analyst consensus EPS (this year): $5.48
- Analyst consensus EPS (next year): $6.06
Other Healthcare companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
ABT analysis methodology: How we calculate fair value, Z-Scores, and moat ratings