Stocks
BofA Boosts Price Targets on AbbVie and J&J, Citing Strong Growth Prospects
Bank of America (BofA) has raised its price target on AbbVie to $289 from $282, while maintaining a Buy rating. The firm also increased its target for Johnson & Johnson to $278 from $263, keeping a Neutral rating.
The move indicates stronger conviction in AbbVie stock, which trades at 16 times forward earnings compared to J&J's 21 times.
AbbVie's second-quarter revenue grew 10.2% to $16.99 billion, beating consensus estimates. Skyrizi and Rinvoq sales surged by 24%, offsetting the decline in Humira sales.
BofA analyst Tim Anderson believes AbbVie is well-positioned for growth due to a favorable loss of exclusivity profile and recent M&A activity strengthening its late-stage pipeline.