Abbott Labs (ABT) Stock Forecast & Price Target

Abbott Laboratories has reported robust performance in its diabetes segment, achieving approximately $2 billion in continuous glucose monitoring (CGM) sales, reflecting a year-over-year organic growth of 12.2%. The company also expanded its margins significantly in 2025, with gross margins improving by 50 basis points and EBIT increasing by 100 basis points year-over-year, despite some sales weakness in the fourth quarter. Additionally, Abbott's established pharmaceuticals and nutrition sectors exhibited balanced growth globally, with particular strength in emerging markets, while the MedTech division's continued expansion and disciplined mergers and acquisitions further support a positive financial outlook.

Abbott Laboratories is facing a negative outlook due to its recent earnings per share (EPS) forecast of $1.12-1.18, which falls below consensus expectations of $1.20, driven by underperformance across nearly all segments in Q4 and a disappointing 2026 sales guide. The company has also experienced a significant decline in Nutrition sales, down 7.1% year-over-year, prompting a downward revision of total revenue forecasts despite slight increases in expectations for Devices, Diagnostics, and EPD. Additionally, while there are plans for new product releases and promotional price reductions, early 2026 is anticipated to remain weak for Nutrition, overshadowing potential growth in other areas.