AbbVie (ABBV) Stock: Why Shares Are Falling Despite Earnings Beat and Strong 2026 Guidance

TLDR

• AbbVie reported Q4 adjusted earnings of $2.71 per share, beating analyst expectations of $2.65
• Revenue reached $16.6 billion in the quarter, surpassing the $16.4 billion estimate
• 2026 adjusted earnings guidance of $14.37 to $14.57 per share tops consensus view of $14.27
• Oncology revenue dropped 2.5% and aesthetics revenue fell 1.2% on an operational basis
• Humira sales plunged 26% to $1.2 billion as biosimilar competition intensifies after 2023 patent loss

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AbbVie shares dropped 3.6% on Wednesday despite the drugmaker posting solid quarterly results and upbeat guidance for the year ahead. The stock’s decline came even as the company topped Wall Street estimates across key metrics.

The pharmaceutical company reported adjusted earnings of $2.71 per share for the fourth quarter. That beat analyst expectations of $2.65 per share. Revenue came in at $16.6 billion, topping the $16.4 billion consensus estimate.

AbbVie Inc., ABBV

For 2026, AbbVie issued guidance that exceeded market expectations. The company expects adjusted earnings between $14.37 and $14.57 per share. Analysts had predicted $14.27 per share.

But investors focused on weakness in certain business segments. Oncology revenue hit $1.7 billion in the quarter, down 2.5% on an operational basis. The aesthetics portfolio, which includes Botox Cosmetic and Juvederm, generated $1.3 billion in revenue, falling 1.2% operationally.

Immunology Growth Led by Skyrizi and Rinvoq

The immunology portfolio delivered strong performance with $8.6 billion in revenue, up more than 18% from the prior year. Skyrizi recorded sales of $5.01 billion, growing 32.5% and beating estimates of $4.82 billion. Rinvoq sales grew 29.5% to $2.37 billion, though slightly missing estimates of $2.41 billion.

These newer immunology drugs are filling the gap left by Humira. The once-blockbuster drug saw revenue fall 26% to $1.2 billion in the quarter. However, this figure surprisingly beat analyst estimates of $983.8 million, marking the first time in nearly two years that Humira sales exceeded expectations.

Humira lost market exclusivity in 2023. The drug now faces fierce competition from biosimilars, which are near copies of biological drugs sold at lower prices. At its peak in 2022, Humira generated more than $21 billion in global sales.

Botox Cosmetic Shows First Growth Since Q3 2024

The aesthetics business showed signs of life. Botox Cosmetic sales reached $717 million, beating estimates of $696.2 million. This marked the first revenue growth since the third quarter of 2024.

Demand for the anti-wrinkle injection has been pressured by customer concerns about the economy and inflation. New competition from companies like Revance and Evolus has also eaten into market share.

AbbVie has been actively investing to drive future growth. The company has spent more than $20 billion on acquisitions recently. It plans to invest another $10 billion over the next decade, including building four new manufacturing plants in the United States.

The stock’s weakness came even as the broader market edged higher. Futures tracking the S&P 500 rose 0.1% in morning trading. Fellow drugmaker Eli Lilly gained 9% after reporting its own strong earnings results.

Shares briefly rose in premarket trading before reversing course. The decline suggests investors remain concerned about revenue pressures in oncology and aesthetics despite the company’s overall financial strength.

AbbVie’s Q4 adjusted earnings of $2.71 per share and revenue of $16.6 billion both exceeded Wall Street expectations, while 2026 guidance of $14.37 to $14.57 per share topped the $14.27 consensus estimate.

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