Abbott Laboratories (ABT)

[DewDiligence]

ABT 4Q16 results and 2017 guidance:

http://phx.corporate-ir.net/External.File?t=1&item=VHlwZT0yfFBhcmVudElEPTUyNDQ4ODZ8Q2hpbGRJRD02NTc2MDM=

Abbott is issuing full-year 2017 guidance for diluted earnings per share from continuing operations under Generally Accepted Accounting Principles (GAAP) of $0.92 to $1.02, including amortization and integration expenses related to the acquisition of St. Jude Medical.

Abbott forecasts net specified items for the full year 2017 of approximately $1.48 per share. Specified items include acquisition-related expenses, intangible amortization expense, charges associated with cost reduction initiatives and other expenses, partially offset by a gain on the sale of the Abbott Medical Optics business (AMO).

Excluding specified items, projected adjusted diluted earnings per share from continuing operations would be $2.40 to $2.50 for the full year 2017.

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Abbott is issuing first-quarter 2017 guidance for diluted earnings per share from continuing operations under GAAP of $0.19 to $0.21. Abbott forecasts specified items for the first quarter 2017 of $0.23 related to the same items discussed above for the full year 2017. Excluding specified items, projected adjusted diluted earnings per share from continuing operations would be $0.42 to $0.44 for the first quarter.

Based on yesterday’s closing price and the midpoint of the $2.40-2.50 guidance range, ABT is trading at a P/E of 16.5x projected 2017 non-GAAP EPS.