AbbVie (NYSE:ABBV) Trading Down 2.2% – Should You Sell?

AbbVie Inc. (NYSE:ABBV) dropped 2.2% during trading on Thursday . The stock traded as low as $253.51 and last traded at $257.5710. 6,300,044 shares traded hands during mid-day trading, a decline of 10% from the average session volume of 7,038,114 shares. The stock had previously closed at $263.30.

Key Stories Impacting AbbVie

Here are the key news stories impacting AbbVie this week:

• Positive Sentiment: RINVOQ gained two important European approvals. The European Commission authorized RINVOQ for severe alopecia areata in adults and adolescents aged 12 and older, supported by Phase 3 data showing significant scalp, eyebrow and eyelash regrowth. It was also approved for non-segmental vitiligo, making it the first and only systemic treatment approved for that condition in the European Union. The expanded indications could increase RINVOQ’s long-term revenue potential and help diversify AbbVie’s growth beyond its established products. RINVOQ alopecia areata approval RINVOQ vitiligo approval
• Positive Sentiment: AbbVie started a first-in-human Phase 1 trial of ABBV-859. The early-stage drug candidate adds to the company’s development pipeline, but the trial is an initial safety and dosing study, so any commercial benefit is years away and remains uncertain. ABBV-859 Phase 1 trial
• Positive Sentiment: Investor positioning and estimates remain supportive. Call-option activity was above typical levels, while Erste Group modestly raised its 2027 EPS forecast to $16.40. AbbVie’s 53-year dividend-growth record also continues to appeal to income-oriented investors. AbbVie call options activity
• Neutral Sentiment: Allergan Aesthetics announced the return of JUVÉDERM Day on August 19, offering promotions to Allē members. The event supports brand engagement but is unlikely to materially affect near-term AbbVie results. JUVÉDERM Day announcement
• Neutral Sentiment: Investors are preparing for AbbVie’s second-quarter results on July 31. The upcoming report could reset expectations for Skyrizi, RINVOQ and the company’s outlook. Goldman Sachs AbbVie earnings outlook
• Negative Sentiment: AbbVie’s proposed acquisition of Apogee Therapeutics faces a law-firm investigation into the deal price and sales process. Although the investigation targets Apogee’s transaction, any delay or increased scrutiny could create uncertainty around AbbVie’s planned $135.11-per-share cash acquisition and integration strategy. Apogee transaction investigation
• Negative Sentiment: Valuation is a key counterweight: commentary notes that ABBV’s substantial multiyear advance has left market-based multiples looking expensive, even though some intrinsic-value models indicate additional upside. Erste Group also trimmed its 2026 EPS estimate slightly to $14.05.

Analyst Ratings Changes

Several brokerages have issued reports on ABBV. Weiss Ratings reaffirmed a “hold (c)” rating on shares of AbbVie in a research note on Monday, June 8th. UBS Group increased their target price on shares of AbbVie from $230.00 to $260.00 and gave the company a “neutral” rating in a research report on Monday, July 13th. HSBC reissued a “buy” rating and issued a $300.00 price target on shares of AbbVie in a research note on Monday, July 6th. Sanford C. Bernstein reaffirmed a “market perform” rating on shares of AbbVie in a research note on Tuesday, June 23rd. Finally, Guggenheim increased their price objective on shares of AbbVie from $249.00 to $261.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $269.29.

AbbVie Stock Performance

The firm has a market capitalization of $455.07 billion, a price-to-earnings ratio of 126.88, a P/E/G ratio of 0.87 and a beta of 0.30. The business has a 50 day simple moving average of $237.54 and a 200-day simple moving average of $223.60.

AbbVie (NYSE:ABBV) last announced its quarterly earnings results on Wednesday, April 29th. The company reported $2.65 earnings per share for the quarter, beating the consensus estimate of $2.59 by $0.06. AbbVie had a net margin of 5.79% and a negative return on equity of 576.45%. The firm had revenue of $15 billion for the quarter, compared to analysts’ expectations of $14.72 billion. During the same quarter in the previous year, the company posted $2.46 EPS. The company’s revenue was up 12.4% compared to the same quarter last year. Equities analysts predict that AbbVie Inc. will post 14.14 earnings per share for the current fiscal year.

AbbVie Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Shareholders of record on Wednesday, July 15th will be paid a dividend of $1.73 per share. The ex-dividend date of this dividend is Wednesday, July 15th. This represents a $6.92 dividend on an annualized basis and a yield of 2.7%. AbbVie’s payout ratio is 340.89%.

Institutional Trading of AbbVie

Several hedge funds have recently made changes to their positions in the company. Litman Gregory Wealth Management LLC purchased a new stake in shares of AbbVie during the 4th quarter valued at approximately $28,000. Imprint Wealth LLC grew its position in AbbVie by 56.2% in the fourth quarter. Imprint Wealth LLC now owns 125 shares of the company’s stock worth $29,000 after acquiring an additional 45 shares during the period. IFC & Insurance Marketing Inc. acquired a new stake in AbbVie during the fourth quarter worth $31,000. Legacy Wealth Managment LLC ID increased its stake in AbbVie by 115.9% during the fourth quarter. Legacy Wealth Managment LLC ID now owns 136 shares of the company’s stock worth $31,000 after acquiring an additional 73 shares during the last quarter. Finally, WestEnd Advisors LLC raised its position in AbbVie by 160.4% in the fourth quarter. WestEnd Advisors LLC now owns 138 shares of the company’s stock valued at $32,000 after purchasing an additional 85 shares during the period. Hedge funds and other institutional investors own 70.23% of the company’s stock.

AbbVie Company Profile

AbbVie is a global, research-driven biopharmaceutical company that was created as a spin-off from Abbott Laboratories in 2013 and is headquartered in North Chicago, Illinois. The company focuses on discovering, developing and commercializing therapies for complex and often chronic medical conditions. Its operations span research and development, manufacturing, regulatory affairs and commercialization, with an emphasis on bringing specialty medicines to market across multiple therapeutic areas.

AbbVie’s product portfolio and pipeline cover several major therapeutic categories, including immunology, oncology, neuroscience, virology and women’s health.