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This Week's Featured Story Is Abbott's January Pullback a Good Time to Buy? Reported by Thomas Hughes. First Published: 1/24/2026. 
Article Highlights - Abbott Laboratories’ January pullback looks driven more by sentiment than fundamentals, putting shares back near a prior accumulation zone.
- Quarterly results showed solid sales growth, improving margins, and faster adjusted earnings growth despite a revenue miss.
- A long dividend-growth track record and potential upside implied by analyst targets underpin the bullish rebound case.
Abbott Laboratories' (NYSE: ABT) January 2026 pullback has pushed the stock into what looks like an attractive valuation range. The move appears driven more by market angst than by fundamental weakness — a knee-jerk overreaction that may have returned the shares to a buy zone.  The zone lines up with market action from 2022 to 2024, when Abbott was rebounding from its post-COVID-19 revenue contraction and institutions were actively accumulating the stock. Abbott Laboratories Growth Accelerates The firm's Q4 results and guidance disappointed on a few metrics, but there was plenty to like: revenue of $11.46 billion, up 4.5% year-over-year; improved margins; and accelerated adjusted earnings growth. Revenue growth lagged by several hundred basis points, but margin strength helped offset that: adjusted earnings per share (EPS) rose 12%, slightly above consensus. Segment results highlighted the benefits of Abbott's diversified healthcare portfolio. Nutrition and Diagnostics contracted — Nutrition declined nearly 9% — but gains in Established Pharmaceuticals and Med Tech more than offset those declines. The pharma segment grew 9%, driven by generics and emerging markets, while Med Tech rose 12.3% with broad strength across sub-segments. Margins also improved, aided by a favorable product mix, strength in Med Tech, lower COVID-19-related sales and operational efficiency. While the margin beat fell short of some analyst forecasts, management expects earnings to grow another ~10% in 2026, outpacing revenue and supporting the company's capital return plans. Capital returns are central to the buying case. Abbott is a Dividend King, having increased its payout annually for more than 50 years, and currently yields roughly 2.5% after the pullback. The payout ratio is below 50% of consensus EPS, leaving room for continued dividends and share buybacks, which help offset dilution from share-based compensation. Analysts Point to Robust Rebound in Abbott Laboratories Stock Some analysts flagged the revenue miss, but no major rating or price-target changes were issued the morning of the release. The prevailing view is that this is a fundamentally healthy company that can continue returning capital while reinvesting in growth. The consensus price target reported by MarketBeat implies upside of as much as 30%, potentially sending the stock back toward all-time highs; even the low-end targets suggest some upside. Key catalysts include expansion of the Med Tech portfolio, integration of AI across operations and products, margin expansion and strategic acquisitions. The acquisition of Exact Sciences is cited as one example that would broaden revenue and profit streams and expand Abbott's product pipeline. That said, the price decline has been steep and could deepen. Institutions were net buyers throughout 2025 and appear likely to take advantage of discounted prices. Early technical support shows in the $105–$110 range, though it is not fully confirmed. The risk is that ABT could dip further toward the low end of the buy zone — potentially near $95 or lower — before a sustained rebound. For investors, the trade-off is clear: a company with durable cash flow, dividend resilience and multiple growth levers faces near-term execution and macro risks. For those comfortable with that risk, the pullback presents an entry point worth considering.
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