Abbott Fair Value
AB
The fair market value of ABT stock is 109.47 USD. Relative to the market price of 116.44 USD Abbott is overvalued by 6%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Abbott Valuation
Current ABT share ticker price is 116.44 USD.
The fair value level of 109.47 USD can be considered as an effective entry point for long-term investors to start investing in ABT stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 6% higher its fair value
Current price is 25% higher its minimum value
Current price is 21% lower its maximum value
Market price:
ABT stock is overvalued
It means the current price may concern as a Risky Entry Point
Abbott Laboratories Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
44.06
2
Median P/E over 5 years
34.21
3
Minimum P/E over 5 years
27.22
4
Earning per share (last 12 months)
3.2 USD
Maximum value
1
x
4
=
140.99 USD
Fair value
2
x
4
=
109.47 USD
Minimum value
3
x
4
=
87.1 USD
Abbott Laboratories price metrics
6.59
Annual return (geometric mean)
26.09
Risk (standard deviation) of returns
β
0.73
Beta (volatility compared to market)