ABBOTT LABORATORIES (ABT) Stock Analysis

Analysis from 10-Q filed 2025-10-29. Data as of Q4 2025.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 9.8%. FCF margin 16.7%. D/E 0.2x. Source: 10-Q filed 2025-10-29.

Metric	Value	Context
ROIC	9.8%	Near cost of capital
FCF Margin	16.7%	Strong cash generation
Debt/Equity	0.2x	Conservative leverage

ROIC 9.8% — Top 50% of sector peers. FCF margin 16.7% — Top 5%.

Explore ABBOTT LABORATORIES: Earnings History | Filings | ROIC Analysis

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for ABT: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: ABBOTT LABORATORIES earns 9.8% ROIC, Top 50% in Healthcare

ROIC TTM 9.8%, sector median -2.5%, Top 50%. DuPont: NOPAT margin 14.0% × asset turnover 0.5x. Gross margin 56.4%. Operating margin 18.2%. Source: 10-Q filed 2025-10-29.

Metric	ABT	Rating	Context
Return on Invested Capital (ROIC)	9.8%	Adequate	Above sector median of -2.5%
Return on Equity (ROE)	13.0%	Adequate	Moderate equity returns
Gross Margin	56.4%	Excellent	Strong pricing power
Operating Margin	18.2%	Good	Efficient operations

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Cash Flow: ABBOTT LABORATORIES generates $7.4B FCF at 16.7% margin, positive NaN/8 quarters

FCF TTM $7.4B. FCF margin 16.7%, Top 5%. OCF/Net income 1.5x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-29.

Metric	ABT	Rating	Context
Free Cash Flow Margin	16.7%	Good	Excellent cash conversion
Free Cash Flow (TTM)	$7.4B	Good	Positive cash generation
OCF/Net Income	1.5x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: ABBOTT LABORATORIES at 0.2x leverage

Debt/Equity 0.2x. Total debt $12.9B, cash & investments $8.9B. Source: 10-Q filed 2025-10-29.

Metric	ABT	Rating	Context
Debt to Equity	0.2x	Excellent	Conservative capital structure
Net Cash Position	$-4.0B	Warning	Net debt position

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Valuation: ABBOTT LABORATORIES trades at 33.6x earnings

P/E 33.6x. EV/Sales 5.0x. FCF yield 3.4%. Dividend yield 1.9%. Source: 10-Q filed 2025-10-29.

Metric	ABT	Rating	Context
P/E Ratio	33.6x	Adequate	Premium valuation
EV/Sales	5.0x	Adequate	Growth premium priced in
FCF Yield	3.4%	Adequate	Lower cash yield
Dividend Yield	1.9%	Adequate	Growth focus over income

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Capital Allocation: ABBOTT LABORATORIES returns 2.3% shareholder yield

Total shareholder yield 2.3% (div 1.9% + buyback 0.4%). Capital returned $5.0B TTM. Source: 10-Q filed 2025-10-29.

Metric	ABT	Rating	Context
Total Shareholder Yield	2.3%	Adequate	Dividend + buyback yield combined
Buyback Yield	0.4%	Adequate	Minimal buyback activity
Total Capital Returned (TTM)	$5.0B	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	9.8%	Top 50%	-
Free Cash Flow Margin	16.7%	Top 5%	-
Gross Margin	56.4%	Bottom 50%	0.9x below
Operating Margin	18.2%	Top 25%	7.9x above
Return on Equity (ROE)	13.0%	Top 50%	-
P/E Ratio	33.6x	N/A	-

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Financial Scorecard

Metric	ABT	Rating	Sector Context
Return on Invested Capital (ROIC)	9.8%	Adequate	Top 50% of sector (median: -2.5%)
Free Cash Flow Margin	16.7%	Good	Top 5% of sector (median: 0.0%)
Gross Margin	56.4%	Excellent	Bottom 50% of sector (median: 64.7%)
Debt to Equity Ratio	24.8%	Excellent	Conservative capital structure
P/E Ratio (Price-to-Earnings)	33.6x	Adequate	Growth premium
Free Cash Flow Yield	3.4%	Adequate	Moderate yield

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Frequently Asked Questions

Q: What is ABBOTT LABORATORIES's Return on Invested Capital (ROIC)?

ABBOTT LABORATORIES (ABT) has a trailing twelve-month Return on Invested Capital (ROIC) of 9.8%. Sector median -2.5%. Source: 10-Q filed 2025-10-29.

Q: What is ABBOTT LABORATORIES's Free Cash Flow Margin?

ABBOTT LABORATORIES (ABT) has a free cash flow margin of 16.7%, generating $7.4 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-29.

Q: What is ABBOTT LABORATORIES's P/E ratio and how does it compare to peers?

ABBOTT LABORATORIES (ABT) trades at a P/E ratio of 33.6x, which is above the sector median of N/A. EV/Sales 5.0x. FCF yield 3.4%. Source: 10-Q filed 2025-10-29.

Q: Does ABBOTT LABORATORIES pay a dividend?

ABBOTT LABORATORIES (ABT) currently pays a dividend yield of 1.9%. Total shareholder yield (dividend + buybacks) 2.3%. Source: 10-Q filed 2025-10-29.

Q: What is ABBOTT LABORATORIES's revenue and earnings growth?

ABBOTT LABORATORIES (ABT) grew revenue by 5.7% year-over-year. EPS -51.2% YoY. Source: 10-Q filed 2025-10-29.

Q: Is ABBOTT LABORATORIES buying back stock?

ABBOTT LABORATORIES (ABT) repurchased $893.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.4%. Source: 10-Q filed 2025-10-29.

Q: How does ABBOTT LABORATORIES compare to competitors in Healthcare?

Compared to other companies in Healthcare, ABBOTT LABORATORIES (ABT) shows: ROIC 9.8%, sector median -2.5% (Top 50%). FCF margin 16.7%, sector median 0.0% (Top 5%). Gross margin 56.4%, 8.3pp below sector median. These rankings are based on MetricDuck's analysis of all Healthcare companies with available SEC filings.

Q: What warning signs should I watch for with ABBOTT LABORATORIES?

Quantitative warning flags for ABBOTT LABORATORIES (ABT): 1) ROIC declining -3.7% over 8 quarters. Source: 10-Q filed 2025-10-29.

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Data Source: Data sourced from 10-Q filed 2025-10-29. TTM metrics as of Q4 2025.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.