Abbott Laboratories Q3 Earnings Preview: Profit boost expected

Abbott Laboratories (NYSE:ABT) is scheduled to announce Q3 earnings results on Wednesday, October 16th, before market open.

Analysts expect a profit of $1.20 per share (+5.3% Y/Y) on revenue of $10.55B (+4.0% Y/Y).

According to Raymond James, “While the litigation tied to the NEC cases poses a headwind on sentiment, we believe the ultimate financial obligation will be manageable, and underlying fundamentals remain strong. We view ABT as a diversified healthcare player, with a consistent 7%+ top line, and low-double digit EPS growth profile, which is unique in this cap range.”

Over the last 2 years, ABT has beaten EPS estimates 100% of the time and has beaten revenue estimates 100% of the time.

Over the last 3 months, EPS estimates have seen 5 upward revisions and 10 downward. Revenue estimates have seen 4 upward revisions and 14 downward.

Wells Fargo says, “We expect ABT’s Q3 performance to come in largely in line w/ expectations with potential modest top-line boost from lower FX headwind (flow-through to EPS likely immaterial) (see our preview note). The company believes that procedure volume remains strong and is sustainable. ABT had not seen any impact so far from recent hurricanes but has noted possibility of procedure slowdown in the short term.”

The company has a Hold rating according to SA Quant ratings system.

Stock is up about 27% in the last 12 months.