Abbott Laboratories

Key catalysts

• Medical devices growth

  Broad growth across Abbott's medical-device portfolio, including diabetes care and structural heart, can remain the company's primary organic growth engine.

• Oncology diagnostics expansion

  The Exact Sciences acquisition establishes a meaningful oncology-diagnostics platform and adds long-term growth opportunities in cancer screening and precision diagnostics.

• Established pharmaceuticals growth

  Continued growth in key emerging markets can provide a diversified contribution from established branded generics.

Principal risks

• Nutrition weakness

  Nutrition sales declined in the quarter, and persistent weakness could offset strength in medical devices and established pharmaceuticals.

• Exact Sciences integration

  The large Exact Sciences transaction introduces integration, financing, dilution, and execution risks before projected strategic benefits are realized.

• Infant-formula litigation

  Ongoing preterm infant formula litigation creates uncertain legal costs and potential reputational pressure for the nutrition business.

For the quarter ended March 31, 2026, Abbott reported sales growth led by medical devices, established pharmaceuticals, and diagnostics, while nutrition declined; management updated its full-year outlook to include the completed Exact Sciences acquisition.

Valuation interpretation

• Sustained medical-device growth and successful oncology-diagnostics expansion can support a diversified health-care quality premium.
• Nutrition weakness and the scale of Exact Sciences integration warrant a discount until acquired growth and financial synergies become visible.