Stock Profile and Earning Report

1/23/2019
Ticker: ABT Abbott Laboratories
Combo Rank (Nov 30, 18) 77.4% Health Care Equipment & Services Health Care Equipment

FS Core 75.8% MOMENTUM 8.2% GROWTH 21.3% Tuan Nguyen

Free Cash Flow Yield 3.77 3y BetaMo 1.22 SlsGro% LTM 20.96
Oper CF Yld 5 Yr 3.49 StdDev Wkly 52W 3.54 SlsGro% 17' 31.35
Entrpr Value/ EBIT 55.76 6 MO % Pchg 13.61 SlsGro% 16' 2.20
FCF / EV 3.35 6Mo/6Mo ago % Pchg 6.46 SlsGro% 15' 0.78
Accurals per NDR 5.92 1Mo Chg% 2.29 NetIncGro% 3yr avg 1.24
Est Rev 3 mo FY1 -0.16 OCF PS Gro% 3 yr avg 0.22
Up/Down No. Est FY1 -4.35 VALUE 87.7% EPS Growth qoq% -0.06
Up/Dn LTG Estimate 4.35 FCF/Yield 0.04 EBITDA qoq% 0.12
Return on Avg Invest Capital 1.52 P/OCF ps 20.33 NetIncMgn% yoy -66.4 Abbott Laboratory (NYSE: ABT)
CF Ret on Tot Invest Capital 11.72 P/E Est 4Q forward 23.14 FCF 4Qyoy% 0.23
Net Income Margin 2.63 Price/Sls ps 4.13 LTG% 12.08
Common Equity %Total Assets 40.52 EV/ EBITDA 17.40 Abbott Laboratories discovers, develops,
Cash Oper / Tot Ass per shr 3.03 Price / Book Value 4.20 BAL SHT STRESS 47.0% manufactures, and sells a broad and diversified
EBIT / TA per shr 2.77 Cash vs LTD 0.3915
Gross Inc/ Tot Ass 20.38 REVISIONS 49.1% FCF v LTD 0.2543 line of health care products and services. The
Sls Gro Hist 3 yr 9.33 Buy - Sell Ratio 0.67 FCF v Sls 0.16 Company's products include pharmaceuticals,
Q2 EstRev -0.03 OCF v Dividend Paid 3.1781
BB Core 66.9% Q1 EstRev 0.00 EBITDA v Int Exp 9.7 nutritional, diagnostics, and vascular products.
2 MO EPS Revision Rank 706 EstRev FY2 3Mo 0.00 LTD / Mkt Cap 0.2 Abbott markets its products worldwide through
3 MO EPS Revision Rank 652 EstRev FY1 3m ago 0.00 LTD / TA 0.3
6 MO EPS Revision Rank 613 Up-Dn / Total -1.00 Altman Z Score 3.0 affiliates and distributors.
Oper Cashflow/ Assets Rank 937 SlsGd 3m ago #N/A Cash / TA 0.11
CAPEX / NET SALES Rank 942 OCF Rev 3mo ago% 0.006
Gross Profit / Total Assets Rank 1251 Gd EPS 3m% 0.000 SHARE ACIVITY 83.2% Business Segments: Established
Ebit / Total Assets Rank 1393 PrTgt 3moago% 0.01 Share Buyback 1.10 Pharmaceutical Products, Diagnostic Products,
ROIC Rank 1161 Gd Shr Repur #N/A
BB EST LT EPS Growth Rank 531 EFFICIENCY 75.2% Shr Rep Act #N/A Nutritional Products and Vascular Products.
Cash Position Rank 469 GrossInc Mgn 51.12 InsSel Cum3m ago #N/A
Accruals Ratio Rank 398 NetInc Mgn 2.63 Business Brands: FreeStyle Libre, Mitraclip,
R&D / Assets Rank 347 ROE 1.34 INCOME 82.7%
EV / Free Cash Flow Rank 1182 EPS/BV 0.03 Div Yield 1.8837 Alinity
Free Cash Flow Yield Rank 1045 ROIC 0.69 LTDebt /EBITDA 2.84
Operating Cash Flow Yield Rank 1257 ROTA 0.52 LTD /EBIT 5.60
EV / EBITDA Rank 1497 Net Sales/TA 0.42 FCF/Div Cov 2.5234
CFO/Sls LTM 0.20 CFO/ Div Cov 3.1781
PULSE 79.5% FCF/TA 0.07 Cash & ST /Div 3.8857
Days Held 127.92 SlsLTM /Empl 0.31 Div Payout 230.88
SIR %Flt 1.07 GrossMgn LTM Mom 1.01 Altman Z Score 2.39
SIR DTC 2.35 NetMgn LTM Mom 0.60 EBITDA Oper/ Int Exp 9.688
EBIT Int Cov 4.9046

EARNING REPORT
Revenues of $7.765 billion (up 2.3% year over year) was barely shy of the $7.815 billion consensus, and adjusted earnings per share of $0.81 (up
9.5% year over year) matched the consensus. Additionally, fourth quarter organic sales growth of 6.4% was relatively in-line with expectations.

Management issued their 2019 financial outlook, and it included another year of double-digit earnings per share growth despite the difficult
macro/currency backdrop. Full year adjusted earnings per share is expected to be in the range of $3.15 to $3.25 (consensus $3.20), reflecting growth
of about 11% at the midpoint. Furthermore, organic sales are expected to increase in the range of 6.5% to 7.5% in 2019, in-line with the 7.0%
consensus.

EARNING COMMENTARIES

Nutrition sales of $1.777 billion (3.6% organic sales growth) came in slightly light to the $1.81 billion consensus. On the international side, White
noted on the conference call how in China there have been improvements in both the market and Abbott's own performance after the new food safety
regulations were put in place last year. Meanwhile in the United States, growth was driven by the Pediatric business and its above-market performing
Similac brand and the market-leading Pedialyte Brand.

In Diagnostics, sales of $1.961 billion (7.4% organic sales growth) in the quarter came in slightly ahead of the $1.938 billion consensus. Much of the
beat came from Rapid Diagnostics ($548 million sales vs. $513 million consensus), which is a derivative of the company's acquisition of Alere. Core
Laboratory also outperformed ($1.153 billion in sales vs. $1.142 billion expectation;9.4% organic sales growth), driven by the strength of Alinity in
Europe and in other International markets. As we look ahead to 2019, we expect big things to come from the opportunity Alinity has in the United
States.

At Established Pharmaceuticals, sales of $1.090 billion in the quarter (3.6% organic sales growth) was short of the $1.128 billion consensus. Impacting
the reported results was an unfavorable 8.4% effect of foreign exchange.

Medical Devices once again posted strong organic sales growth (9.0%), though sales of $2.920 billion slightly missed estimates of $2.925 billion.
Within Structural Heart, while current results are important, our attention is to when the MitraClip, which is a device for the minimally invasive repair
of the mitral valve, will receive an expanded indication approval by the FDA as mentioned above. Notably in Diabetes Care, the division that contains
Abbott's FreeStyle Libre continuous glucose monitor, sales were $530 million in the quarter, up 28.3% on a reported basis and 32.4% on an organic
basis.

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 Stock Profile and Earning Report
1/23/2019
Bottom line: A mixed quarter with some headwinds in international segments for Nutrition and Pharma segments. However, the most growth segment
in Diagnostic and Medical Devices delivered with more strength coming in 2019. Alinity is expected to come online soon, with Mitraclip to receive
FDA approval soon and the Libre 2 for dibetes is increasing its adoption, ABT is in for growth in 2019. Maintain partial BUY for ABT.

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