Abbott Laboratories (NYSE:ABT) stock fell on Thursday after the company revised its 2026 earnings outlook below expectations.
Earnings Beat Fails To Offset Weak 2026 Outlook
The global healthcare company reported quarterly sales of $11.16 billion, slightly beating the consensus of $10.99 billion.
Abbott reported adjusted earnings of $1.15 per share, beating the Wall Street estimate of $1.14 and management guidance of $1.12-$1.18 per share.
Sales increased 7.8% on a reported basis, and 3.7% on a comparable basis (includes Exact Sciences).
Medical Devices And Diabetes Care Drive Growth
Medical Devices sales increased 13.2% on a reported basis to $5.54 billion and 8.5% on a comparable basis.
Sales growth in the quarter was led by double-digit growth in Electrophysiology, Heart Failure, and Rhythm Management.
In Diabetes Care, with sales of around $2.08 billion, sales of continuous glucose monitors grew 14.2% on a reported basis and 7.6% on a comparable basis.
Diagnostics Growth Mixed Amid Weak Respiratory Season
Diagnostics sales increased 6.1% on a reported basis to $2.18 billion, and increased 1.8% on a comparable basis.
Core Laboratory Diagnostics sales of $1.27 billion were driven by growth in the U.S., Europe, and Latin America. Sales of Core Laboratory diagnostic tests increased on both a year-over-year and sequential basis.
Rapid and Molecular Diagnostics results reflect lower demand for respiratory virus tests due to a weaker respiratory virus season compared to the prior year.
Nutrition sales decreased 6% (-7.7% on a comparable basis) to $2.02 billion, reflecting the impact of lower sales volumes compared to the prior year and the effect of strategic pricing actions implemented in the fourth quarter of 2025.
Established Pharmaceuticals sales increased 13.2% (+9% on a comparable basis) to $1.43 billion.
Abbott Lowered Guidance Weighs On Investor Sentiment
The global healthcare company on Thursday said it expects the second quarter of 2026 adjusted earnings of $1.25-$1.31, below the consensus of $1.37.
Abbott lowered its fiscal 2026 adjusted earnings from $5.55-$5.80 per share to $5.38-$5.58 per share compared to the Wall Street consensus of $5.62.
The updated guidance includes 20 cents per share of dilution related to the acquisition of Exact Sciences.
The company projects fiscal 2026 comparable sales growth of 6.5% to 7.5%.
Robert Ford, Chairman and CEO of Abbott, in an investor conference call, said, “We forecast the addition of Exact Sciences to add approximately $3 billion of incremental sales in 2026 and accelerate Abbott’s long-term sales growth rate.
Stock Hits 52-Week Low
ABT Price Action: Abbott Laboratories shares were down 4.76% at $96.72 at the time of publication on Thursday. The stock is trading at a new 52-week low, according to Benzinga Pro data.
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