Goldman Sachs analyst Asad Haider maintained a Hold rating on AbbVie (ABBV – Research Report) yesterday and set a price target of $194.00.
Asad Haider has given his Hold rating due to a combination of factors affecting AbbVie’s current and future performance. The strong growth of Skyrizi and Rinvoq, which are central to AbbVie’s Immunology franchise, is now well-recognized, with forecasts surpassing management’s guidance. This situation places pressure on other segments of AbbVie’s portfolio to deliver unexpected positive results, where the outlook appears more challenging in the short term.
In addition, the Aesthetics division, which contributes significantly to the company’s revenue, is expected to face ongoing difficulties due to macroeconomic factors such as inflation and weak consumer confidence. These challenges are compounded by the potential for a recession, leading investors to focus more on these headwinds. Furthermore, the Neuroscience and Oncology sectors are experiencing pricing pressures and increased competition, with recent setbacks like the emraclidine disappointment impacting growth prospects. While there is potential in the cardiometabolic/obesity space through new ventures, the benefits from these initiatives are anticipated to materialize over a longer timeframe.
According to TipRanks, Haider is a 2-star analyst with an average return of 3.0% and a 33.33% success rate. Haider covers the Healthcare sector, focusing on stocks such as Bristol-Myers Squibb, Eli Lilly & Co, and Merck & Company.
In another report released on April 2, Bernstein also maintained a Hold rating on the stock with a $203.00 price target.