Key insights
- TD Cowen lowered its price target for Abbott (ABT) to $115 due to lowered organic guidance and weakness in respiratory and Libre products. The stock fell 6% on the news. While shares trade near 10-year lows and appear undervalued, the revised outlook tempers bullish sentiment. Other firms have also adjusted price targets. Near-term recovery is expected in Nutrition and Diagnostics segments in 2H26.
Investing.com - TD Cowen lowered its price target on Abbott Laboratories shares (NYSE:ABT) to $115 from $137 while maintaining a Buy rating.
The firm cited lowered organic guidance from the company as well as weakness in respiratory and Libre products during the first quarter. Abbott shares fell 6% on the day of the announcement.
TD Cowen noted that shares are trading around 10-year lows at approximately 16 times the firm’s 2027 earnings per share estimate. The stock currently trades at $97.03, just above its 52-week low of $93.92, with a trailing P/E ratio of 27.01. According to InvestingPro analysis, Abbott appears undervalued at current levels, with the platform’s Fair Value suggesting meaningful upside potential.
The analyst firm stated it remains constructive on the stock despite disappointment with the revised outlook. TD Cowen said the valuation keeps it interested in the shares. InvestingPro Tips highlight that the stock is trading near its 52-week low and the RSI suggests oversold territory—two of over 10 additional ProTips available to subscribers. For deeper analysis, investors can access Abbott’s comprehensive Pro Research Report, available for 1,400+ US equities.
The firm sees potential near-term bright spots including a second-half 2026 recovery in Nutrition and Diagnostics segments and a gradual reacceleration of Libre.
In other recent news, Abbott Laboratories reported first-quarter 2026 revenue of $11.16 billion, surpassing both Stifel’s estimate of $11.017 billion and consensus expectations of $11.00 billion. This revenue figure also reflects a 3.7% year-over-year growth. However, GAAP earnings per share were $0.61, falling short of Oppenheimer’s estimate of $0.90 and Street expectations of $0.86. The company’s recent acquisition of Exact Sciences contributed approximately $96 million to the quarterly results.
Several firms have adjusted their price targets for Abbott Laboratories following these results. RBC Capital lowered its target to $130 from $135, citing mixed performance across major segments. Bernstein SocGen Group reduced its target to $110 from $125, highlighting growth concerns. Stifel and Benchmark both adjusted their targets to $120, with Stifel noting valuation factors and Benchmark emphasizing steady growth in Medical Devices. Despite these adjustments, many firms maintained positive ratings on the stock.
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