AbbVie near 1-month low after earnings report 📉

AbbVie beats earnings forecasts but faces pressure from slowing oncology and aesthetics sales. The stock is down almost 4% today, falling to the lowest level since September 26.

• Earnings: Adjusted EPS came in at $1.86, above analysts’ forecast of $1.77 (FactSet).

• Revenue: Reached $15.7 billion, topping the expected $15.5 billion.

• Outlook: The company raised its full-year profit guidance, signaling confidence in core operations.

• Weak spots: Growth in oncology and aesthetics — including Botox and Juvederm — slowed and fell short of market expectations.

• The softness in aesthetics may be viewed as a barometer for consumer spending sentiment, suggesting cautious trends in discretionary healthcare demand.

• Oncology: down 0.3% to $1.68 billion

• Aesthetics (Botox, Juvederm): down 3.7% to $1.19 billion

AbbVie’s immunology and neuroscience segments delivered strong double-digit growth, with revenues rising 12% and 20%, respectively. Flagship drugs Skyrizi and Rinvoq continued to outperform, solidifying AbbVie’s leadership in autoimmune treatments. The once-dominant anti-inflammatory drug Humira saw revenues plunge 55% to $993 million, as cheaper biosimilars continue eroding its market share following loss of exclusivity in 2023. Other divisions struggled as well: The weakness in aesthetics — often seen as a proxy for consumer sentiment — raised investor concerns about demand trends in discretionary healthcare spending. AbbVie’s results highlight a company in successful transition — with its new drug portfolio offsetting Humira’s decline. However, softness in oncology and aesthetics weighed on sentiment, leading to the stock’s sharp pullback despite upbeat guidance and dividend growth. Company shares are down more than 10% from all-time high, and below EMA50 but still well above EMA200.

Source: xStation5