Abbvie Inc (ABBV)

Abbvie (ABBV) stock dropped by 5.32% following the company's revision of its full-year and Q1 guidance, reflecting an unfavorable impact on earnings. This marked the biggest intraday decline in more than five months for the North Chicago-based pharma giant.

• Revised Guidance: AbbVie revised its full-year and Q1 2024 guidance for adjusted diluted earnings to $10.97–$11.17 and $2.18–$2.22 per share, respectively. This adjustment accounts for acquired in-process R&D and milestones expenses.
• Impact on Earnings: The company stated that $164 million in acquired IPR&D and milestones expense for Q1 2024 would have a $0.08 unfavorable impact on GAAP and non-GAAP diluted earnings per share for the quarter.
• Previous Guidance Adjustment: In February, AbbVie lowered its Q1 adjusted diluted EPS guidance to $2.26–$2.30, including a $0.42 per share dilutive impact related to its Immunogen acquisition and pending buyout deal with Cerevel Therapeutics (CERE). Despite this, the company reaffirmed its full-year adjusted diluted EPS guidance at $11.05–$11.25 for 2024.
• Analysts' View: The correction made to the story clarified AbbVie's full-year earnings outlook, highlighting the importance of accurate financial reporting and its impact on stock performance.