Abbvie shares are among those from the various large companies that you are able to trade in online or buy directly to add to your stock market portfolio. But of course before you invest in this asset you should ensure you have the necessary knowledge to achieve a comprehensive analysis of this asset. In fact, here we will provide a presentation of this company with details on its different activities as well as its principal adversaries on the market and recent strategic alliances. We will also examine the advantages and disadvantages of these shares and the factors to watch for a fundamental analysis.
Firstly, we would closely follow the development of new medications from Abbvie relating to medical requirements that are still not being satisfied by the treatments currently available on the market as well as the advances in the development of the same.
Obtaining the FDA authorisations and those of any other medical authority for the launch of any medical treatments worldwide are also significant events to follow.
In the same way, we would carefully monitor the strategic operations implemented by the Abbvie Group such as acquisitions that could enable this company to increase its revenue or compensate for any loss of revenue due to the expiry of its patents.
It is the same for strategic partnerships with other companies for the development of medications or synergies.
We would also pay careful attention to this company’s competition in this activity sector and notably that relating to bio-similars outside the United States on the expiry of its principal patents.
Finally, the major competitors of Abbvie, these are the principal American and international laboratories, should also be subject to particularly careful attention.
We shall now take a few minutes to examine the Abbvie Group with a full and detailed presentation of this group and explanations on its activities. This information will assist you in understanding how this group may develop over the coming years.
Abbvie Inc. is an American group that exercises its activities in the pharmaceutical sector. More precisely, this company is specialised in the sector of research and development of therapeutic treatments.
The products developed by Abbvie are mainly destined for the treatment of rheumatoid arthritis, psoriasis, Crohn’s disease, thyroid, Parkinson’s, HIV, cystic fibrosis complications, low testosterone levels and complications related to chronic renal illnesses.
It can also be advantageous to know the geographical distribution of the Abbvie Group’s revenue. This is as follows: 71.9% of its turnover is generated in the United States, 3.7% in Japan, 2.7% in Germany, 2.4% in Canada, 2.1% in France, 1.4% in Spain, 1.1% in the United Kingdom, 1.1% in Italy, 0.5% in Holland, 1.1% in Brazil and 12% from other countries around the world.
Now that you are more familiar with the Abbvie Group and its activities we offer you the opportunity to learn more in detail about the competitors to this group in its activity sector:
The American pharmaceutical group Pfizer is of course a major competitor of the Abbvie Company. It exercises its activities in over 150 countries and is the leader of this sector in terms of turnover. The Pfizer Group currently employs over 81,800 people around the world, 3,000 of which are in France alone. The group particularly owes its success to its development based on mergers with competitive companies.
Still related to the major competitors of the Abbvie Company we find the Roche Group, a Swiss pharmaceutical company and one of the world leaders in this sector. This group’s activities lie in two parallel sectors, pharmaceuticals and diagnostics. The group however focuses essentially on individualised medicines. Roche currently exercises its activities in 150 countries worldwide although its registered office is in Bale, Switzerland. It employs over 94,000 people.
Also known under its initials BMS, this American pharmaceutical company came about through the merger of the Bristol-Myers Company and the Squibb Corporation in 1989. It is one of the principal groups in the pharmaceutical sector worldwide and is therefore a major competitor of Abbvie.
Still on the subject of the competitors of the Abbvie Company, we find the German company Merck KGaA which is based in Darmstadt. This is also one of the largest companies in the pharmaceutical sector, as well as the chemicals sector, worldwide.
Finally, the last significant competitor to Abbvie we shall examine is the British giant AstraZeneca. This company was created through the merger of the Swedish Astra company and the British company Zeneca in 1999.
As we have just noted, the Abbvie Group has a number of serious competitors in this sector. Luckily this company regularly implements strategic partnerships with other companies that enable it to gain in terms of productivity or profitability. Here are two particular examples that will assist you in understanding the advantages:
Firstly, in 2020, the Abbvie group created a strategic partnership with the Chinese company I-MAB in the sector of differentiated immunological therapy. The American laboratory will thereby work with the Chinese pharmaceutical company for the development and sale of the I-MAB highly differentiated monoclonal antibody anti-CD47 which is an anti-cancer Lenzoparlimab medication.
Another strategic partnership that the group recently implemented was also in 2020 with the Danish biotechnological company Genmab. This partnership relating to the oncology sector had the objective of developing and selling three particular Genmab products including the experimental medication against cancer, Epcoritimab. With this agreement, Abbvie was to make an initial payment of 750 million dollars to Genmab potentially followed by other payments and remuneration in stages reaching a possible total of 3.15 billion dollars.
Finally, and to go further in detail, we shall now examine the advantages and disadvantages of the Abbvie Company and its share price. We shall in fact explain the strong and weak points of this company in detail.
First and foremost we will now summarise the principal advantages of the Abbvie Group against its competitors on the market:
Of course, the Abbvie Group does not only offer advantages, it also has certain weak points that you should be aware of and take into consideration for your analyses. Here are the major negative points:
The last results published by the American company Abbvie are for the 2019 financial year. These show a turnover of 33,266 million dollars. In the same year the net results are declared as 7,882 million dollars. At the beginning of the year 2020 the total stock market capital for this company stood at 110,942 million dollars.
The Abbvie company capital is owned to a significant extent by private shareholders of which the major ones are as follows: The Vanguard Group with a 8.07% shareholding, Capital Research & Management with 7.45%, SSgA Funds Management owns 4.55%, BlackRock Fund Advisors owns 2.50%, Fidelity Management & Research owns 1.70% of the shares, Geode Capital Management holds 1.50%, Northern Trust Investments holds 1.36%, Capital Research & Management International has a 1.26% shareholding, Orbis Investment Management owns 1.15% and Norges Bank Investment Management owns 0.95% of this company’s shares.
A comprehensive analysis of the Abbvie share price is achieved above all through the completion of several complementary analyses. It is therefore recommended that you implement a fundamental analysis of this asset, based on a study of the events, announcements and publications of this company and its activity sector as well as a technical analysis which is essentially based on an examination of the stock market charts with the trend and volatility indicators.
