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On Thursday, Abbott Laboratories (NYSE:ABT), a healthcare giant with a market capitalization of $224.6 billion, received a reaffirmation of confidence from BTIG analysts, as they maintained a Buy rating and a $140.00 price target on the company’s shares. According to InvestingPro data, analyst price targets for Abbott range from $111.34 to $160, with a strong consensus recommendation of 1.78 (Buy). The endorsement follows Abbott’s announcement of obtaining the CE Mark for its Volt PFA system ahead of schedule, a development that signifies regulatory approval for sale within the European Economic Area. Abbott, which InvestingPro identifies as a prominent player in the Healthcare Equipment & Supplies industry, has demonstrated strong financial health with a 55-year track record of consistent dividend payments and robust cash flows.
Abbott Labs shared the news that the Volt PFA system’s approval was backed by encouraging results from the Volt CE Mark study, with acute results having been presented earlier in the year at the AF Symposium in January. The system has already been used in initial commercial cases by physicians in Europe who were part of the clinical trial centers, and Abbott plans to increase Volt’s availability across additional European regions in the latter half of 2025.
The timing of the announcement is notable as it precedes the European Heart Rhythm Association (EHRA) annual meeting set for this weekend. A detailed discussion on the Volt CE Mark study outcomes is slated for Monday, March 31, during a late-breaking session at EHRA, to be led by Dr. Roland Tilz.
Furthermore, the Volt PFA system is under evaluation in the United States through the Volt-AF U.S. IDE trial, which completed its enrollment approximately four months ahead of its planned schedule. Abbott anticipates finishing the one-year follow-up phase later in the year and has projected to submit an application for FDA approval for the Volt PFA System within 2025, following the trial’s completion.
Abbott’s stock experienced an uptick in response to the announcement, with BTIG analysts expressing their satisfaction at the pace of advancement in Abbott’s PFA program as it seeks to align with its industry peers. The stock has shown impressive momentum with a 12.5% year-to-date return and maintains relatively low volatility with a beta of 0.69. For deeper insights into Abbott’s valuation and growth prospects, investors can access comprehensive analysis through InvestingPro’s detailed research reports, which cover over 1,400 top US stocks. They forecast that initial adoption in Europe will likely be followed by a wider acceptance once the one-year U.S. data becomes available and/or upon securing FDA approval. BTIG has kept its estimates for Abbott unchanged, reinforcing their Buy rating on the stock.
In other recent news, Abbott Laboratories has received CE Mark approval for its Volt PFA System, a device designed to treat atrial fibrillation, marking its commercial launch in the European Union. The system showed a 99.1% success rate in clinical studies and integrates with Abbott’s existing technologies to enhance procedural workflow. Additionally, the U.S. FDA has granted an investigational device exemption for Abbott’s Coronary Intravascular Lithotripsy System, allowing the start of the TECTONIC clinical trial aimed at treating severe arterial calcification in coronary artery disease patients.
Analysts at TD Cowen have reiterated a Buy rating for Abbott, maintaining a $135 price target, citing the company’s compliance with new U.S. infant formula safety initiatives. Similarly, BofA Securities has reaffirmed its Buy rating with a $150 price target, despite ongoing litigation, highlighting Abbott’s strong revenue growth and defensive market position. Abbott continues to maintain full production capacity for its infant formula, with no anticipated disruptions from recent government initiatives aimed at enhancing formula safety.
These developments underscore Abbott’s ongoing efforts to expand its medical technology portfolio and address key healthcare challenges. The company’s commitment to innovation and regulatory compliance is reflected in its recent approvals and analyst endorsements. Abbott’s proactive approach in clinical studies and maintaining strong operational performance positions it well in the healthcare sector.
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