Abbott Labs Path to Double-Digit Earnings Growth In 2025? This Analyst Is Optimistic

Group 1 - Abbott Laboratories reported third-quarter sales of $10.64 billion, a 4.9$10.55 billion [1] - The organic sales growth for the underlying base business was 8.2%, driven by double-digit growth in Medical Devices [1] - Abbott's adjusted diluted earnings per share (EPS) was $1.21, exceeding analyst estimates of$1.20 [1] Group 2 - For the full year 2024, Abbott projects adjusted EPS of $4.64-$4.70, compared to prior guidance of $4.61-$4.71 and consensus of $4.66 [1] - The company forecasts fourth-quarter adjusted EPS of$1.31-$1.37, above the consensus of$1.20 [1] - William Blair expects Abbott to return to a typical pattern of double-digit earnings growth in the fourth quarter, continuing into 2025 [1][2] Group 3 - Looking ahead to 2025, Abbott has developed a strong product pipeline that is expected to drive a high-single-digit growth rate, an acceleration from pre-COVID levels [2] - The investment landscape for Abbott remains attractive, especially in comparison to other large-cap MedTech peers with similar growth [2] - If macroeconomic headwinds lessen, there is potential for EPS upside, with 2024 viewed as a transitional year leading to low-double-digit earnings growth by 2025 [2] Group 4 - Abbott's stock is currently trading at 22.8 times the 2025 EPS estimate of $5.16, leading to an Outperform rating from William Blair [2] - The 200-day moving average for Abbott Laboratories is$110.38, which is below the current price of $117.31, indicating a bullish signal [3] - Traders generally view stocks above their moving average as bullish, while those below are seen as negative [4]