Jim Cramer’s Latest Lightning Round: 12 Stocks to Watch

4. AbbVie Inc. (NYSE:ABBV)

Number of Hedge Fund Holders: 67

Cramer said that AbbVie Inc. (NYSE:ABBV) is cheap and the company is doing well. Here is what Mad Money’s host had to say:

“I think AbbVie is doing very, very well. It’s not an expensive stock. My favorite in this group right now though remains Abbott Labs, which had a monster quarter this morning.”

AbbVie (NYSE:ABBV) is a pharmaceutical company engaged in the discovery, development, manufacturing, and marketing of a diverse range of medications. Known for its strong portfolio, it includes well-known products such as its migraine treatment Qulipta, and the immunology therapies Skyrizi and Rinvoq, which have emerged as significant contributors to the company’s growth. While Humira, once its flagship treatment for autoimmune diseases, has experienced a decline following the loss of its U.S. patent exclusivity, the company has effectively positioned itself to navigate this transition.

In anticipation of the challenges posed by Humira’s patent expiration, the company made substantial investments in research and development, along with strategic acquisitions aimed at expanding its product lineup. In the second quarter, the company reported a revenue increase of 4.3% year-over-year, reaching $14.5 billion. The company’s immunology portfolio plays an important role in mitigating the impact of Humira’s declining sales. Moreover, it reported that Skyrizi and Rinvoq are experiencing rapid sales growth.

AbbVie (NYSE:ABBV) management has revised its sales projections for these two drugs, forecasting combined revenues exceeding $27 billion by 2027, which represents an increase of $6 billion from earlier estimates and the optimistic outlook extends well into the next decade.