Abbott Laboratories (ABT) is poised to maintain its earnings momentum in 2025, considering the following factors:
- Positive Earnings Outlook: ABT has reported net income and diluted EPS growth in Q4 2024, and anticipates a 10% EPS growth by 20251. This indicates a positive earnings trajectory that could contribute to continued momentum.
- Recent Developments: The FDA approval of the Coronary Intravascular Lithotripsy (IVL) System and the company's robust dividend history suggest strategic growth initiatives and financial stability, which are conducive to maintaining earnings momentum1.
- Industry Position: As a leading player in the Health Care Equipment & Supplies industry, ABT is well-positioned to capitalize on the expected growth in the healthcare sector. The global medical supplies market is projected to reach $163.5 billion by 20272, and ABT's diversified product portfolio and market capitalization suggest resilience and growth potential.
- Momentum in Stock Performance: ABT's stock has shown strong momentum, with a 21.88% return year-to-date and a recent surge of 3.03%3. This positive stock performance can often be a indicator of investor confidence in a company's financial health and future prospects, which can perpetuate earnings momentum.
- Analyst Confidence: Recent analyst ratings and price target adjustments, such as those by Barclays and Bernstein, reflect optimism about ABT's performance in specific segments and its ability to navigate industry challenges45. This analyst confidence can bolster investor confidence and contribute to earnings momentum.
In conclusion, ABT's financial outlook, strategic developments, industry position, stock performance, and analyst confidence suggest that the company is likely to maintain its earnings momentum in 2025.