Abbott Laboratories Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Abbott Laboratories (NYSE:ABT) will unveil its latest earnings on Wednesday, July 20, 2011. Abbott Laboratories is a pharmaceuticals health care company, whose main line of business is in the discovery, development, manufacture, and sale of a broad range of health care products. Its customers include wholesalers, hospitals and commercial laboratories.

Abbott Laboratories Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.11 per share, a rise of 9.9% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged and it has not changed during the last month. For the year, analysts are projecting profit of $4.61 per share, a rise of 10.6% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by one cent, reporting net income of 91 cents per share against a mean estimate of profit of 90 cents per share.

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Wall St. Revenue Expectations: On average, analysts predict $9.56 billion in revenue this quarter, a rise of 8.3% from the year ago quarter. Analysts are forecasting total revenue of $38.55 billion for the year, a rise of 9.6% from last year’s revenue of $35.17 billion.

Analyst Ratings: Analysts are bullish on this stock with 14 analysts rating it as a buy, one rating it as a sell and eight rating it as a hold.

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 15.1%, with the biggest boost coming in the second quarter of the last fiscal year when revenue rose 17.8% from the year earlier quarter.

The company has now seen net income fall in each of the last three quarters. In first quarter, net income fell 13.9% from the year earlier, while the figure fell 6.4% in the fourth quarter of the last fiscal year and 39.8% in the third quarter of the last fiscal year.

Competitors to Watch: Pfizer Inc. (NYSE:PFE), Johnson & Johnson (NYSE:JNJ), Novartis AG (NYSE:NVS), Roche Holding Ltd. (RHHBY), GlaxoSmithKline plc (NYSE:GSK), Bristol Myers Squibb Co. (NYSE:BMY), Merck & Co., Inc. (NYSE:MRK), Medtronic, Inc. (NYSE:MDT), Boston Scientific Corp. (NYSE:BSX), and Sanofi-Aventis SA (NYSE:SNY).

Stock Price Performance: During April 18, 2011 to July 14, 2011, the stock price had risen $2.34 (4.6%) from $50.82 to $53.16. The stock price saw one of its best stretches over the last year between March 25, 2011 and April 4, 2011 when shares rose for seven-straight days, rising 4.6% (+$2.18) over that span. It saw one of its worst periods between December 16, 2010 and December 27, 2010 when shares fell for seven-straight days, falling 2.4% (-$1.15) over that span. Shares are up $6.56 (+14.1%) year to date.

(Source: Xignite Financials)

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