Abbott Labs (ABT) Stock Forecast & Price Target

Abbott Laboratories is well positioned for durable outperformance because its diversified mix of Medical Devices, Diagnostics, Nutrition, and Established Pharmaceuticals is already delivering broad-based momentum, with 2Q revenue of $12.59B and adjusted EPS of $1.31 both above estimates. Its outlook is strengthened by improving execution and gross margin expansion, as comparable sales grew 4.8% while management reaffirmed 6.5%-7.5% full-year comparable growth and raised adjusted EPS guidance to $5.45-$5.60. The positive catalyst pipeline is especially compelling, with FDA approval for TactiFlex Duo, strong FlexPulse data, and a framework for roughly 7% organic revenue growth and double-digit EPS growth in 2027 supported by global demand, where about 60% of sales come from outside the United States.

Abbott Laboratories is exposed to multiple fundamental headwinds that justify a negative outlook, including intense global competition, pricing pressure in Nutrition and Medical Devices, and regulatory timing risk for approvals and launches across emerging and developed markets. Its broad dependence on hundreds of product launches and about 60% of sales coming from outside the United States increases execution risk, while foreign exchange swings, tax-law changes, and economic or political uncertainty in emerging markets can further pressure results. The company also faces weakening consumer demand, lower elective procedures, supply chain disruptions, inflationary and FX headwinds, and a resurgence of Covid-19 that could offset testing-related strength.