5 Best Healthcare Stocks To Buy In 2022

2. AbbVie Inc. (NYSE:ABBV)

Number of Hedge Fund Holders: 81

AbbVie Inc. (NYSE:ABBV) is a biopharmaceutical company providing medical products and clinical trials focused on immunology, oncology, neuroscience, eye care, and virology. 

On February 2, AbbVie Inc. (NYSE:ABBV) reported earnings for the fourth quarter. The company posted an EPS of $3.31, beating estimates by $0.03. The $14.89 billion revenue missed estimates by roughly $73 million. 

Mizuho analyst Vamil Divan raised the price target on AbbVie Inc. (NYSE:ABBV) on February 4 to $166 from $154 and kept a Buy rating on the shares. The analyst said that AbbVie Inc. (NYSE:ABBV)’s “more diversified growth story” beat expectations in Q4. He continues to see AbbVie Inc. (NYSE:ABBV) as a Top Pick.

AbbVie (NYSE:ABBV) declared on October 29 a $1.41 per share quarterly dividend, which is an 8.5% increase from its prior dividend of $1.30. The dividend is payable on February 15, to shareholders of record on January 14. 

Warren Buffett’s Berkshire Hathaway held the biggest stake in AbbVie (NYSE:ABBV) in Q3 2021, with 14.3 million shares worth $1.5 billion. Overall, 81 hedge funds were bullish on AbbVie (NYSE:ABBV) in the third quarter of 2021, with stakes totaling $4.1 billion, as compared to 82 funds holding stakes in AbbVie (NYSE:ABBV) worth $5.3 billion in the preceding quarter.  

Here is what Miller Howard Investments has to say about AbbVie Inc. (NYSE:ABBV) in its Q3 2021 investor letter:

“While optimistic about a recovery, we continue to balance our cyclical holdings with dividend-payers in stable, less economically-sensitive industries. We hold three pharmaceutical companies, (which includes) AbbVie (ABBV). All three have strong cash flows and balance sheets, making their high dividends reasonably safe. The investment controversy surrounding these pharma companies is whether they can develop or acquire new products to replace their current blockbuster drugs. The low valuations on these stocks reflects what we believe to be undue pessimism by investors on the prospects for new drugs.”