5 Healthcare Stocks for an Income Portfolio

2. Abbott Laboratories (NYSE:ABT)

Number of Hedge Fund Holders: 64

Dividend Yield as of April 22: 1.57%

Abbott Laboratories (NYSE:ABT) is an American multinational company that specializes in branded generic medicines, medical devices, diagnostic assays, and nutritionals. Abbott Laboratories (NYSE:ABT)’s dividend yield on April 22 stood at 1.57%, and the company’s dividend payments have consistently increased for 50 years. 

Abbott Laboratories (NYSE:ABT) reported its financial results for the first quarter of 2022 on April 20, announcing earnings per share of $1.73, beating market consensus by $0.27. The $11.90 billion revenue jumped 13.76% year-over-year, outperforming analysts’ predictions by roughly $899 million. 

Abbott Laboratories (NYSE:ABT) declared on April 20 a $0.47 per share quarterly dividend, in line with previous. The dividend is payable on May 16, to shareholders of the company as of April 15. 

On April 21, Raymond James analyst Jayson Bedford maintained an Outperform rating on Abbott Laboratories (NYSE:ABT) but lowered the firm’s price target on the stock to $135 from $143. The analyst stated that Abbott Laboratories (NYSE:ABT)’s Q1 results were “solid” and demonstrate the robust nature of its portfolio. Three out of four business divisions grew by more than 10% organically, but the analyst reduced his FY23 estimates to account for the lingering Nutrition recall.

According to the Q4 database of Insider Monkey, 64 hedge funds were long Abbott Laboratories (NYSE:ABT), with combined stakes of $4.25 billion. Ric Dillon’s Diamond Hill Capital is a prominent stakeholder of the company, with more than 6 million shares worth $851.45 million. 

Here is what Richie Capital Group has to say about Abbott Laboratories (NYSE:ABT) in its Q4 2021 investor letter: 

“Abbott Labs (ABT – up 20.08%) – Abbott Labs continues to benefit from resurging demand for Covid testing kits. The company is planning to increase their monthly production of BinaxNOW athome rapid tests to 100M a month, a 43% increase from current levels.”