Leerink Partners Decreases PT on Abbott Laboratories (ABT) to $136 From $143, Maintains a Hold Rating

Abbott Laboratories (NYSE:ABT) is one of the top low volatility healthcare stocks to buy now. Analyst Mike Kratky from Leerink Partners reiterated a Hold rating on Abbott Laboratories (NYSE:ABT) on July 21, decreasing the price target to $136.00 from $143.00.

An operating room with a doctor monitoring a patient’s vital signs during surgery with a medical device.

The analyst justified the Hold rating with the company’s performance, stating that Abbott Laboratories’ (NYSE:ABT) recent Q2 earnings report presented a mixed picture.

Management slashed their organic sales growth guidance, attributed primarily to several headwinds collectively affecting the Diagnostics segment outlook. These include changes in HIV funding, disruptions from value-based purchasing (VBP) in China, and weaker-than-expected COVID-19 sales.

Kratky also stated that positive aspects for Abbott Laboratories (NYSE:ABT) exist amid these challenges, especially in the company’s MedTech segment, which delivered solid growth. The non-MedTech segments are, however, continually facing complications, warranting a cautious outlook as these segments contribute significantly to the company’s revenue.

Abbott Laboratories (NYSE:ABT) discovers, develops, manufactures, and sells healthcare products. Its business segments include Diagnostic Products, Established Pharmaceutical Products, Medical Devices, and Nutritional Products. The company’s Abbott Molecular is a leader in oncology molecular diagnostics with its Vysis FISH assays.

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Disclosure: None. This article is originally published at Insider Monkey.