Is AbbVie a Buy?
Drugmaker AbbVie (NYSE: ABBV) is one of the largest healthcare stocks in the world, with a market cap of over $250 billion. It pays a reasonably high dividend yield and has products in a wide range of therapeutic areas, including eye care, neuroscience, immunology, and oncology. It also owns Botox through its $63 billion acquisition of Allergan in 2020.
But shares of the company have been falling in recent months -- down 18% since hitting all-time highs last April. Is the healthcare company a good buy on this dip in price, or should investors be worried about it falling even further in value?
AbbVie last reported its earnings in July. For the period ending June 30, the company's net revenue of $14.6 billion rose 4.5% year over year. Fast-growing immunology products Skyrizi and Rinvoq generated sales growth in excess of 55% and are key parts of the company's future growth; management has previously forecast that combined, they will reach higher peak annual sales than top-selling drug Humira, which is losing patent protection next year. Humira remains key to AbbVie's business for now, generating $5.4 billion this past quarter, nearly three times the $1.8 billion Skyrizi and Rinvoq generated.
Source Fool.com
