Abbott Laboratories (NYSE: ABT) Receives "Buy" Rating Amid Strong Growth Prospects

• Abbott Laboratories received a reiterated "Buy" rating from Citigroup, highlighting its strong market position in healthcare.
• The company's continuous glucose monitoring (CGM) business and the acquisition of Exact Sciences are key drivers for future revenue growth.
• Analysts consider Abbott Laboratories structurally undervalued, projecting a significant upside potential for its stock.

On June 17, 2026, analyst firm Citigroup (NYSE: C) reiterated its "Buy" rating for Abbott Laboratories (NYSE: ABT). Abbott Laboratories is a global healthcare company that develops and sells medical devices, diagnostics, and nutritional products. At the time of the rating, Abbott Laboratories' stock price was posted at $90.62, with a market capitalization of approximately $157.84 billion.

A key growth area for Abbott Laboratories is its continuous glucose monitoring (CGM) business, which saw sales increase by 7.5% to $2.00 billion in the first quarter. Despite a temporary slowdown, management expects a return to double-digit growth in the second quarter, as highlighted by Zacks. The company's Libre portfolio is a major contributor, used by over 8 million people.

Further growth is expected from the $23.00 billion acquisition of Exact Sciences (NASDAQ: EXAS) in 2025. This deal significantly expands Abbott Laboratories' cancer diagnostics portfolio with products like Cologuard. According to a JPMorgan Chase & Co. (NYSE: JPM) report, Abbott Laboratories now anticipates approximately $3.00 billion in incremental sales for 2026 as a result of this transaction.

Analysts also view Abbott Laboratories as structurally undervalued, supporting the positive rating. As highlighted by Seeking Alpha, the company trades at a 17.1% price-to-earnings (P/E) and 35.1% sales multiple discount compared to its peers. The P/E ratio compares a company's stock price to its earnings, with a lower ratio sometimes indicating an undervalued stock.

Due to these strong fundamentals, fair value estimates suggest a potential upside of 21.8% to 39.4% for the stock. In light of these factors, Abbott Laboratories has raised its fiscal year 2026 guidance for both sales and earnings per share, signaling confidence in its future performance.