AbbVie Inc. (NYSE:ABBV) is one of the 7 most undervalued pot stocks to buy according to analysts. On July 3, the company provided an update to its 2025 earnings guidance to account for a pre-tax acquired in-process research and development (IPR&D) and milestones expense of $823 million in the second quarter of 2025. This expense is expected to reduce both GAAP diluted earnings per share (EPS) and adjusted non-GAAP diluted EPS by $0.42 for the second quarter. Also, the company updated its full-year 2025 adjusted diluted EPS guidance to a range of $11.67 to $11.87, incorporating the $823 million IPR&D expense.
A healthcare professional wearing a health communications device discussing patient data with a colleague.
According to the update, the $823 million expense is related to acquired IPR&D, typically incurred through collaborations, licensing agreements, and asset acquisitions. AbbVie stated that such costs are not routinely forecasted due to the uncertainty surrounding their timing and occurrence. This IPR&D expense is part of AbbVie’s broader strategy to bolster its pipeline through acquisitions and collaborations.
AbbVie Inc. is a diversified healthcare company with a modest cannabis connection through its legacy drug, Marinol, a synthetic THC treatment for nausea and appetite loss. It also holds patents related to cannabis, including uses for cancer treatment, juvenile arthritis, and skin disorders.
READ NEXT: 15 Successful Spin-Off Companies and Their 2025 Returns and 12 Best Consumer Goods Stocks Billionaires Are Quietly Buying.
This article is originally published at Insider Monkey.
