AbbVie Inc (NYSE:ABBV) shares are sliding on Thursday after the company cut its fourth‑quarter and full‑year 2025 guidance, was downgraded by Wolfe Research and pushed back on reports that it’s pursuing a major acquisition.
What Happened: AbbVie said it now expects to take a $1.3 billion charge for acquired IPR&D and milestone expenses in the fourth-quarter of 2025. That will reduce adjusted earnings by 71 cents per share.
The company now sees 2025 adjusted EPS at $9.90 to $9.94, and fourth‑quarter adjusted EPS at $2.61 to $2.65.
The company noted that its earlier Oct. 31 guidance did not include potential IPR&D or milestone expenses beyond the third-quarter, and added that its year‑end results are still being finalized. The company mentioned that results for the quarter ended Dec. 31, 2025 have not yet been finalized.
Wolfe Research analyst Alexandria Hammond also downgraded the stock from Outperform to Peer Perform, adding to the downward momentum.
On top of that, AbbVie denied reports that it was in advanced talks to buy Revolution Medicines Inc (NASDAQ:RVMD), a cancer‑drug developer valued around $16 billion. The Wall Street Journal reported Wednesday that AbbVie was pursuing a deal, sending Revolution Medicines shares up nearly 29% in after‑hours trading before AbbVie told Reuters it was not in discussions.
ABBV Price Action: AbbVie shares were down 3.97% at $224.17 at the time of publication on Thursday, according to Benzinga Pro.
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