Abbott Laboratories: A Future-Driven Pharma Brand With A Robust Pipeline

Summary:

• My initial rating of Abbott Laboratories is a buy, agreeing with today’s Wall Street consensus.
• The future growth indicators, diversified portfolio across many clinical segments, and leading roles in diabetic & cardiology care make this one a winner.
• A strong profit margin and positive earnings outlook should continue to support the dividend, which has a proven 10-year growth already.
• The firm has much lower debt/equity vs key pharma peers.
• An ongoing risk in this sector is the liability risk when it comes to medical products, and potential costly legal cases that may occur.

Portfolio Sector: Healthcare / Big Pharma

Today’s article explores the healthcare sector, specifically my initial coverage of big pharma brand Abbott Laboratories (NYSE:ABT), whose next earnings call is about a month away, so the goal is

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.