Nothing in Abbott Laboratories (ABT)'s trading history since 1968 resembles Thursday morning. A three-cent earnings beat and a narrow guidance raise unlocked the largest single-day advance the stock has ever recorded. Shares jumped as much as 13.6% by 9:00 a.m. ET.
What Happened: The company reported second-quarter adjusted earnings of $1.31 per share, above the $1.28 consensus. Sales rose 13% to $12.59 billion, topping estimates near $12.5 billion. Comparable sales — which strip out currency swings and the Exact Sciences acquisition — grew 4.8%.
Abbott lifted its full-year adjusted earnings guidance to $5.45 to $5.60 per share, from $5.38 to $5.58, and reaffirmed comparable sales growth of 6.5% to 7.5%.
“Our second-quarter results reflect the momentum we are building,” said Robert B. Ford, chairman and chief executive officer.
Why It Matters: The bar was on the floor. Prior to Thursday's rally, Abbott shares were down 30% year-to-date, and on May 11 fell as low as $81.97, their weakest since April 2020. Even after the surge, the stock trades roughly 30% below its December 2021 peak of $141.16.
