Abbott Cuts 2026 Sales Growth Outlook to ~6% as Nutrition Spinoff Looms
ABT sits 20% above its 52-week low of $81.97.
Summary
Abbott trimmed its 2026 comparable sales growth outlook to about 6% from 6.5%-7.5%, and the stock slipped premarket. The cut lands alongside the previously announced plan to separate the $8.5B Global Nutrition unit into a standalone public company by the end of 2027, a deal the company said affects its 2026 and 2027 outlook; CEO Robert Ford said the decision follows a comprehensive strategic review, and the new company will go public through a planned tax-free distribution to Abbott shareholders, with Daniel Salvadori appointed as its CEO. Abbott expects to incur separation costs from the spinoff, which will be treated as specified items and excluded from adjusted earnings, and Ford expects the namesake company's sales growth to accelerate and margin profiles to expand following the separation. Q3 itself was solid: revenue of $13.0B grew ~14.5% and beat consensus by $20M, adjusted EPS of $1.42 topped estimates by a penny, and gross margin improved to ~57% from ~56%. Nutrition ($2.26B) and Diagnostics ($3.31B) beat forecasts, while MedTech ($5.83B) and Established Pharma ($1.61B) came in slightly light. The 2026 adjusted EPS range narrowed to $5.50-$5.55 from $5.45-$5.60, so the top line is the soft spot, not profitability.
At the time of this announcement, ABT was trading at $98.21 on NYSE in the Life Sciences sector, with a market capitalization of approximately $177.3B. The 52-week trading range was $81.97 to $132.03. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.