AbbVie (ABBV) vs. Its Rivals Head to Head Survey

AbbVie (NYSE:ABBV) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it compare to its rivals? We will compare AbbVie to similar companies based on the strength of its earnings, institutional ownership, analyst recommendations, profitability, valuation, risk and dividends.

Analyst Recommendations

This is a breakdown of recent ratings for AbbVie and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AbbVie	0	6	22	1	2.83
AbbVie Competitors	9874	15295	45659	1600	2.54

AbbVie presently has a consensus price target of $297.46, indicating a potential upside of 0.77%. As a group, “Biotechnology” companies have a potential upside of 128.76%. Given AbbVie’s rivals higher possible upside, analysts clearly believe AbbVie has less favorable growth aspects than its rivals.

Dividends

AbbVie pays an annual dividend of $7.28 per share and has a dividend yield of 2.5%. AbbVie pays out 125.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Biotechnology” companies pay a dividend yield of 1.3% and pay out 40.5% of their earnings in the form of a dividend. AbbVie has raised its dividend for 53 consecutive years.

Valuation & Earnings

This table compares AbbVie and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
AbbVie	$66.01 billion	$4.23 billion	50.81
AbbVie Competitors	$700.38 million	$9.44 million	-18.76

AbbVie has higher revenue and earnings than its rivals. AbbVie is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares AbbVie and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AbbVie	15.67%	-450.55%	16.50%
AbbVie Competitors	-12,319.70%	-407.93%	-30.95%

Volatility & Risk

AbbVie has a beta of 0.2, meaning that its share price is 80% less volatile than the S&P 500. Comparatively, AbbVie’s rivals have a beta of -1.84, meaning that their average share price is 284% less volatile than the S&P 500.

Insider & Institutional Ownership

70.2% of AbbVie shares are owned by institutional investors. Comparatively, 47.8% of shares of all “Biotechnology” companies are owned by institutional investors. 0.1% of AbbVie shares are owned by insiders. Comparatively, 13.1% of shares of all “Biotechnology” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

AbbVie beats its rivals on 11 of the 15 factors compared.

About AbbVie

AbbVie is a biopharmaceutical company that discovers, develops and markets medicines for a range of serious health conditions. Its research and product portfolio spans immunology, oncology, neuroscience and other therapeutic areas. Key products include the immunology medicines Skyrizi and Rinvoq, cancer treatments such as Imbruvica and Venclexta, and neuroscience therapies including Botox and Vraylar. Through its Allergan acquisition, AbbVie also offers aesthetics products such as Botox Cosmetic and Juvéderm.