Why Did AbbVie Plunge 3.68%? Trump's Drug Price Order Shakes Sector

On May 12, 2025, AbbVie's stock price dropped by 3.68% in pre-market trading, reflecting a broader decline in the pharmaceutical sector.

AbbVie reported its Q1 financial results for the 2025 fiscal year, showing revenue of $13.343 billion, an 8.39% increase from the same period last year. However, net income decreased by 6.05% to $1.289 billion, with basic earnings per share dropping to $0.72 from $0.77 the previous year. This mixed performance highlights the company's ongoing efforts to balance growth with profitability.

The decline in AbbVie's stock price can be attributed to the broader market sentiment, particularly the impact of President Trump's announcement of an executive order aimed at reducing drug prices by 30% to 80%. This regulatory pressure adds uncertainty to the pharmaceutical sector, affecting investor confidence in companies like AbbVie.