How to buy Abbott Laboratories shares | $92.97
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Abbott Laboratories is a medical devices business with stocks listed in the US. Abbott Laboratories shares (ABT) are listed on the NYSE and all prices are listed in US Dollars. Its last market close was US$92.97 – an increase of 1.68% over the previous week.
How to buy shares in Abbott Laboratories
- Compare share trading platforms. To buy shares in a US company from Australia you'll need to find a trading platform that offers access to US stock markets. If you're just starting out, look for a platform with low brokerage and foreign exchange fees.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, credit card or debit card.
- Search for Abbott Laboratories. Find the share by name or ticker symbol: ABT. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Abbott Laboratories reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At last close price of US$92.97, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs. You may be able to buy a fractional share of Abbott Laboratories, depending on your broker.
- Check in on your investment. Congratulations, you own a part of Abbott Laboratories. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- Abbott Laboratories key stats
- Compare share trading platforms
- Is Abbott Laboratories stock a buy or sell?
- Abbott Laboratories performance over time
- Can I short Abbott Laboratories shares?
- Is Abbott Laboratories suitable for ethical investing?
- Are Abbott Laboratories shares over-valued?
- Abbott Laboratories's financials
- How volatile are Abbott Laboratories shares?
- Does Abbott Laboratories pay a dividend?
- Have Abbott Laboratories shares ever split?
- Other common questions
How has coronavirus impacted Abbott Laboratories's share price?
Since the stock market crash in March caused by coronavirus, Abbott Laboratories's share price has had significant positive movement.
Its last market close was US$92.97, which is 5.94% up on its pre-crash value of US$87.45 and 50.90% up on the lowest point reached during the March crash when the shares fell as low as US$61.61.
If you had bought US$1,000 worth of Abbott Laboratories shares at the start of February 2020, those shares would have been worth US$721.80 at the bottom of the March crash, and if you held on to them, then as of the last market close they'd be worth US$1,068.23.
Abbott Laboratories share priceUse our graph to track the performance of ABT stocks over time.
Abbott Laboratories shares at a glance
|Latest market close||USD$92.97|
|52-week range||USD$61.61 - USD$114.195|
|50-day moving average||USD$103.7021|
|200-day moving average||USD$92.6192|
|Dividend yield||USD$1.44 (1.35%)|
|Earnings per share (TTM)||USD$1.731|
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Is it a good time to buy Abbott Laboratories stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Abbott Laboratories price performance over time
|1 week (2020-09-14)||-12.04%|
|1 month (2020-08-21)||-9.21%|
|3 months (2020-06-19)||2.53%|
|6 months (2020-03-20)||36.72%|
|1 year (2019-09-20)||11.23%|
|2 years (2018-09-21)||34.64%|
|3 years (2017-09-21)||80.77%|
|5 years (2015-09-21)||114.71%|
Is Abbott Laboratories under- or over-valued?
Valuing Abbott Laboratories stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Abbott Laboratories's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Abbott Laboratories's P/E ratio
Abbott Laboratories's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 62x. In other words, Abbott Laboratories shares trade at around 62x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
Abbott Laboratories's PEG ratio
Abbott Laboratories's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 3.4436. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Abbott Laboratories's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Abbott Laboratories's EBITDA
Abbott Laboratories's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$7.6 billion (£5.8 billion).
The EBITDA is a measure of a Abbott Laboratories's overall financial performance and is widely used to measure a its profitability.
Abbott Laboratories financials
|Revenue TTM||US$31.4 billion|
|Operating margin TTM||14%|
|Gross profit TTM||US$18.7 billion|
|Return on assets TTM||4.01%|
|Return on equity TTM||9.86%|
|Market capitalisation||US$196.2 billion|
TTM: trailing 12 months
Shorting Abbott Laboratories shares
There are currently 10.4 million Abbott Laboratories shares held short by investors – that's known as Abbott Laboratories's "short interest". This figure is 18.2% down from 12.7 million last month.
There are a few different ways that this level of interest in shorting Abbott Laboratories shares can be evaluated.
Abbott Laboratories's "short interest ratio" (SIR)
Abbott Laboratories's "short interest ratio" (SIR) is the quantity of Abbott Laboratories shares currently shorted divided by the average quantity of Abbott Laboratories shares traded daily (recently around 5.7 million). Abbott Laboratories's SIR currently stands at 1.82. In other words for every 100,000 Abbott Laboratories shares traded daily on the market, roughly 1820 shares are currently held short.
However Abbott Laboratories's short interest can also be evaluated against the total number of Abbott Laboratories shares, or, against the total number of tradable Abbott Laboratories shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Abbott Laboratories's short interest could be expressed as 0.01% of the outstanding shares (for every 100,000 Abbott Laboratories shares in existence, roughly 10 shares are currently held short) or 0.006% of the tradable shares (for every 100,000 tradable Abbott Laboratories shares, roughly 6 shares are currently held short).
Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against Abbott Laboratories.
Find out more about how you can short Abbott Laboratories stock.
Abbott Laboratories's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Abbott Laboratories.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Abbott Laboratories's total ESG risk score
Total ESG risk: 33.33
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Abbott Laboratories's overall score of 33.33 (as at 07/31/2020) is pretty weak – landing it in it in the 61st percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Abbott Laboratories is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Abbott Laboratories's environmental score
Environmental score: 3.98/100
Abbott Laboratories's environmental score of 3.98 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Abbott Laboratories is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Abbott Laboratories's social score
Social score: 20.71/100
Abbott Laboratories's social score of 20.71 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Abbott Laboratories is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Abbott Laboratories's governance score
Governance score: 14.13/100
Abbott Laboratories's governance score puts it squarely in the 5th percentile of companies rated in the same sector. That could suggest that Abbott Laboratories is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Abbott Laboratories's controversy score
Controversy score: 3/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Abbott Laboratories scored a 3 out of 5 for controversy – a middle-of-the-table result reflecting that Abbott Laboratories hasn't always managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
|Total ESG score||33.33|
|Total ESG percentile||60.7|
|Environmental score percentile||5|
|Social score percentile||5|
|Governance score percentile||5|
|Level of controversy||3|
Abbott Laboratories share dividends
Dividend payout ratio: 79.07% of net profits
Recently Abbott Laboratories has paid out, on average, around 79.07% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 1.35% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Abbott Laboratories shareholders could enjoy a 1.35% return on their shares, in the form of dividend payments. In Abbott Laboratories's case, that would currently equate to about $1.44 per share.
Abbott Laboratories's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
Abbott Laboratories's most recent dividend payout was on 16 August 2020. The latest dividend was paid out to all shareholders who bought their shares by 13 July 2020 (the "ex-dividend date").
Have Abbott Laboratories's shares ever split?
Abbott Laboratories's shares were split on a 10000:4798 basis on 1 January 2013. So if you had owned 4798 shares the day before before the split, the next day you'd have owned 10000 shares. This wouldn't directly have changed the overall worth of your Abbott Laboratories shares – just the quantity. However, indirectly, the new 52% lower share price could have impacted the market appetite for Abbott Laboratories shares which in turn could have impacted Abbott Laboratories's share price.
Abbott Laboratories share price volatility
Over the last 12 months, Abbott Laboratories's shares have ranged in value from as little as US$61.61 up to US$114.195. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Abbott Laboratories's is 0.9521. This would suggest that Abbott Laboratories's shares are less volatile than average (for this exchange).
Abbott Laboratories overview
Abbott Laboratories discovers, develops, manufactures, and sells health care products worldwide. Its Established Pharmaceutical Products segment offers generic pharmaceuticals for the treatment of pancreatic exocrine insufficiency; irritable bowel syndrome or biliary spasm; intrahepatic cholestasis or depressive symptom; gynecological disorder; hormone replacement therapy; dyslipidemia; hypertension; hypothyroidism; Ménière's disease and vestibular vertigo; pain, fever, and inflammation; migraine; and anti-infective clarithromycin, as well as provides influenza vaccines and products that regulate physiological rhythm of the colon. The company's Diagnostic Products segment offers laboratory systems in the areas of immunoassay, clinical chemistry, hematology, and transfusion; molecular diagnostics systems that automates the extraction, purification, and preparation of DNA and RNA from patient samples, as well as detects and measures infectious agents; cartridges for blood analysis; rapid diagnostics systems; molecular point-of-care testing for HIV, influenza A and B, RSV, and strep A; cardiometabolic test systems; drug and alcohol test systems, as well as remote patient monitoring and consumer self-test systems; and informatics and automation solutions for use in laboratories. Its Nutritional Products segment provides pediatric and adult nutritional products. The company's Medical Devices segment offers rhythm management, electrophysiology, heart failure, vascular, and structural heart devices for the treatment of cardiovascular diseases, as well as neuromodulation devices for the management of chronic pain and movement disorders. This segment also provides glucose and blood glucose monitoring systems. Abbott Laboratories has an agreement with Tandem Diabetes Care to develop and commercialize integrated diabetes solutions. The company was founded in 1888 and is headquartered in North Chicago, Illinois.
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