ABTNEUTRAL

ABT P/E Ratio Analysis

28.5x

Higher than 50% of Healthcare sector peers

Updated 3029h ago·SEC filings & market data

Key Takeaway

The current P/E Ratio of 28.5x means that investors are paying $28.50 for every $1 of the company's earnings per share — a measure of how much the market is willing to pay for each dollar of profit.

Sector Performance

50th percentile

ABT

28.5x

Sector Median

28.5x

Sector Avg

35.3x

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Deep Analysis

Against its Healthcare sector, this ratio sits just above the median of 28.3x, placing ABT in the 56th percentile among peers, meaning it is slightly more expensive than more than half of comparable companies. The metric has been perfectly stable over the last eight quarters, with no change year-over-year or quarter-over-quarter (both +0.0%). A P/E near the sector median combined with a flat trend suggests limited relative mispricing and modest valuation risk, but also no obvious bargain opportunity. This stability aligns with the overall NEUTRAL verdict, as the metric neither signals an overvalued extreme nor a clear entry point for value-oriented investors.

Frequently Asked Questions

What does the P/E Ratio tell investors about ABT?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does ABT's P/E Ratio compare to its sector?

ABT's P/E Ratio of 28.5x compares to a Healthcare sector median of 28.5x, placing it in the 50th percentile.

Who are ABT's closest peers by P/E Ratio?

The closest Healthcare peers by P/E Ratio include: CCLD (28.3x), ALGN (29.1x), AZN (27.0x), AMGN (24.7x), CAH (32.8x).

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Learn More About P/E Ratio

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.