AbbVie (ABBV) Stock Forecast & Price Target

AbbVie has demonstrated a robust financial outlook, with management raising their FY 2025 earnings per share (EPS) guidance to a range of $12.09 to $12.29 and increasing revenue expectations by approximately $700 million to around $59.7 billion. The company's recent quarter results exceeded sales and EPS forecasts, reflecting strong performance from key growth drivers such as Skyrizi and Rinvoq. Furthermore, strategic acquisitions, including Cerevel and ImmunoGen, bolster AbbVie's diversified product portfolio, enhancing its competitive positioning in the pharmaceutical market.

AbbVie is facing significant challenges that contribute to a negative outlook on its stock, including anticipated market pressure on its flagship product Humira in 2025 due to the increased competition from biosimilars, which may lead to greater erosion of market share than previously expected. Additionally, limited market penetration of key products such as Rinvoq and Skyrizi is hindering the company’s ability to meet long-term growth expectations, particularly in areas like inflammatory bowel disease. The firm's Aesthetics division, accounting for approximately 9.2% of sales in FY 2024, is also under threat from macroeconomic headwinds and competitive pressures, further exacerbating the risks posed by potential pipeline delays and increased costs from R&D and SG&A.