Abbott Labs (ABT) Stock Forecast & Price Target

Abbott Laboratories demonstrated robust financial performance, reporting $2.0 billion in continuous glucose monitoring (CGM) sales, reflecting a year-over-year organic growth of 12.2%. The company also achieved a notable increase in segment sales of 10% year-over-year and expanded margins, adding 50 basis points to gross margins and 100 basis points to EBIT, thereby signaling strong operational efficiency. Additionally, Abbott's commitment to dividend growth, sustaining increases for over 50 consecutive years, underscores its stability and strong cash flow generation potential, contributing to a positive outlook for the stock.

Abbott Laboratories reported weak performance in Q4, with organic sales growth of only 3.8% year-over-year, significantly impacted by setbacks in its Nutrition and Diagnostics divisions, resulting in a notable decline in overall results. The company experienced a substantial decline in Covid-19 testing revenues, alongside ongoing macroeconomic pressures such as inflation and foreign exchange fluctuations, contributing to a weaker sales outlook for 2026. Lower-than-expected EPS projections, coupled with broad underperformance across all revenue segments and an 8% stock decline following Q4 results, signal a concerning trend for Abbott Laboratories.