AbbVie $ABBV (+0,28%) has solved a major problem well: the discontinuation of Humira.
Humira was the best-selling drug in the world for many years.
Now copycat products are coming onto the market, which is why sales have fallen as expected.
But the management has mastered this transition well.
The new drugs Skyrizi and Rinvoq are growing strongly.
Not only do they compensate for the decline in Humira, but together they could even generate more sales in future than Humira used to.
What's more:
AbbVie is building a broader base with acquisitions, for example in cancer medicine and neurology. This makes the future more stable.
AbbVie is also strong when it comes to dividends. The company has regularly increased its dividend for many years and earns enough money to continue paying out.
Expected return:
If I assume that AbbVie is valued at a long-term P/E ratio of around 21 and that the company grows by 8.04% annually, then I expect a return of around 12.68% per year from the share price increase alone. This does not include the dividend. Including the dividend, I am looking at a total return of over 15% per year.
In short:
AbbVie is a defensive healthcare company that has passed its biggest stress test and could now be on the verge of new growth again
You can find more stock analysis here: https://youtu.be/Oj_POIWKyVo?si=X04YcJTxc1cKioN7
