Investment research firm Bernstein SocGen has lowered its price target for Abbott Laboratories (NYSE: ABT) to $125 from the previous target of $154, while continuing to recommend an Outperform rating on the stock. The healthcare company, with a market capitalization nearing $189 billion, experienced a 10.8% drop in its share price over the past week, based on data from InvestingPro.
This downward revision in price target follows an unexpected shortfall in Abbott’s fourth-quarter sales and a suggested deceleration in its continuous glucose monitoring (CGM) business unit. Despite these developments, the current trading price of Abbott shares remains below its calculated Fair Value, with consensus analyst recommendations holding steady at a Buy stance and projecting a potential 26% appreciation.
Bernstein SocGen analyst Lee Hambright emphasized several pipeline advancements unveiled during Abbott’s recent presentation. Key highlights included the introduction of new pulsed field ablation (PFA) devices, an additional indication for transcatheter aortic valve replacement (TAVR), and extended insurance coverage for TriClip and CardioMEMS products. The company also revealed progress on next-generation solutions such as left atrial appendage closure (LAAC) devices, balloon TAVR technology, a combined glucose/ketones sensor, innovative coronary intravascular lithotripsy (IVL) devices, and expansion in biosimilars within the established pharmaceuticals division.
While maintaining its positive outlook, Bernstein SocGen expressed caution, indicating that the unexpected quarterly sales disappointment, the CGM segment slowdown, and uncertainties around the back-end weighted fiscal year 2026 sales guidance may result in sustained investor hesitation towards Abbott’s stock.
Supporting this viewpoint, Abbott Laboratories recently announced fourth-quarter revenues totaling $11.46 billion, reflecting a 3.0% organic increase from the previous year but falling short of Oppenheimer’s and consensus forecasts near $11.8 billion. The company reported GAAP earnings per share of $1.01, which was below the estimated range of $1.16 to $1.22.
Market analysts responded with adjustments to their price targets, although many preserved favorable ratings. Oppenheimer cut its target to $132 while sustaining an Outperform rating. Similarly, RBC Capital and Piper Sandler each settled targets at $135 with positive outlooks, and TD Cowen reduced its target to $137 amid moderated 2026 sales expectations. In contrast, Benchmark reaffirmed its Buy rating and maintained a $145 target despite the softer performance. The revenue miss was primarily attributed to weakness in Abbott’s Nutrition Products segment.