Wells Fargo raises Abbvie PT to $260, maintains Overweight rating.

Wells Fargo raises Abbvie PT to $260, maintains Overweight rating.

Wells Fargo has significantly boosted its price target for AbbVie Inc. (ABBV) to $260, maintaining an Overweight rating on the stock. This move comes in the wake of AbbVie's recent settlement with generic drug manufacturers, which extends the exclusivity of its blockbuster drug Rinvoq until April 2037 AbbVie Stock Touches Record High After Company Dismisses Generic Competition For Rinvoq Till 2037: Wells Fargo Terms It A ‘Big Win’^[1].

The settlement, announced on Thursday, effectively delays generic competition for Rinvoq by four years beyond its 2033 patent expiration. This extended exclusivity period provides AbbVie with a "really long runway" for the drug, according to Wells Fargo analysts. The analyst firm notes that this outcome is a "big win" for AbbVie, highlighting the significant growth potential for Rinvoq over the coming years AbbVie Stock Touches Record High After Company Dismisses Generic Competition For Rinvoq Till 2037: Wells Fargo Terms It A ‘Big Win’^[1].

The positive sentiment around AbbVie's stock has been reflected in the market, with shares hitting a new record high of over $221 on Thursday before paring back some gains. The stock traded 4% higher at the time of writing and has seen a substantial increase in retail sentiment on platforms like Stocktwits AbbVie Stock Touches Record High After Company Dismisses Generic Competition For Rinvoq Till 2037: Wells Fargo Terms It A ‘Big Win’^[1].

Additionally, other major financial institutions have raised their price targets on AbbVie following the settlement. BMO Capital, for instance, raised its price target to $240, while Raymond James reiterated an Outperform rating with a price target of $236.00 [^2, 3].

AbbVie's stock has been performing exceptionally well this year, rising by 24% and by about 14% over the past 12 months. The company's strong financial health and strategic moves to enhance its portfolio and pipeline, including the acquisition of Gilgamesh Pharmaceuticals' bretisilocin, have further bolstered investor confidence Abbvie stock price target raised to $240 from $215 at BMO Capital^[2].

In conclusion, the extended exclusivity for Rinvoq, along with AbbVie's robust financial performance and strategic initiatives, have driven analysts to raise their price targets and maintain an optimistic outlook on the stock.