Abbott Laboratories Q2 Earnings Preview: Revenue Expected to Grow 6.5% YOY

Abbott Laboratories is set to report Q2 earnings this Thursday. Analysts expect a 6.5% YoY revenue growth to $11.05 billion and adjusted earnings of $1.26 per share. The company met revenue expectations last quarter but missed organic revenue estimates. Abbott Laboratories has missed Wall Street's revenue estimates three times in the last two years. The company is down 2.2% in the last month and has an average analyst price target of $141.78.

Abbott Laboratories (ABT) is scheduled to report its second-quarter (Q2) 2025 earnings this Thursday, July 17, before the opening bell. Analysts are forecasting a 6.5% year-over-year (YoY) revenue growth to $11.05 billion, along with adjusted earnings per share (EPS) of $1.26. The company met revenue expectations in the previous quarter but missed organic revenue estimates [1].

Abbott Laboratories has a history of missing Wall Street's revenue estimates, having done so three times in the last two years. The company's stock has declined by 2.2% in the past month, while the Zacks S&P 500 composite has risen by 4%. Despite this, the stock has a Zacks Rank #2 (Buy), indicating that analysts expect it to outperform the overall market in the near term [1].

Analysts have provided various estimates for key Abbott metrics. For instance, the 'Net sales- Nutrition' is expected to reach $2.24 billion, indicating a 4.3% increase from the prior-year quarter. The 'Net sales- Medical Devices- Diabetes Care' segment is forecasted to grow by 17.5% YoY, reaching $1.94 billion. The 'Net sales- Diagnostics' is anticipated to increase by 1% to $2.22 billion, while the 'Net sales- Established Pharmaceuticals' segment is expected to grow by 6.1% to $1.37 billion [1].

The company's Diagnostics arm is expected to benefit from the adoption of its top-tier systems and high testing demand across various settings. The Medical Devices segment is likely to see growth driven by the Diabetes Care division, with continuous glucose monitor (CGM) systems sales surging 20% in the previous quarter. The Nutrition division is expected to show robust sales of adult nutrition brand Ensure and solid quarterly growth across the U.S. portfolio of infant formula and toddler brands [2].

Abbott Laboratories has an average analyst price target of $141.78, and its stock has an Earnings ESP (Earnings Surprise Prediction) of +0.96%, indicating a higher chance of beating estimates [2]. However, it is essential to note that the company's history of missing revenue estimates may impact investor sentiment.

References:
[1] https://www.nasdaq.com/articles/countdown-abbott-abt-q2-earnings-look-estimates-beyond-revenue-and-eps
[2] https://finance.yahoo.com/news/abt-report-q2-earnings-cgm-122900758.html