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Exclusive Content Is Abbott's January Pullback a Good Time to Buy? Author: Thomas Hughes. Publication Date: 1/24/2026. 
In Brief - Abbott Laboratories’ January pullback looks driven more by sentiment than fundamentals, putting shares back near a prior accumulation zone.
- Quarterly results showed solid sales growth, improving margins, and faster adjusted earnings growth despite a revenue miss.
- A long dividend-growth track record and potential upside implied by analyst targets underpin the bullish rebound case.
Abbott Laboratories' (NYSE: ABT) January 2026 price pullback is making the stock look attractively valued. The move—driven more by market angst than by any fundamental weakness—appears to be a knee-jerk overreaction that has returned the shares to a buy zone.  AI is creating 1,600 new millionaires every single day. At the center of this frenzy sits Nvidia, now valued at $4.5 trillion. But most investors don't know Nvidia has three secret partners, smaller companies that play almost impossible-to-replicate roles in GPU development. Without them, Nvidia's business would be hamstrung. Because they're largely ignored, these companies trade at far more attractive valuations, giving you a way to capitalize on Nvidia's dominance without buying Nvidia itself. This is a pivotal moment for AI, but winning this trend requires playing smart, not reckless. See the full 2026 AI investment playbook and all three secret partners. The zone lines up with market action from 2022 to 2024, when Abbott was recovering from its post-COVID-19 revenue contraction and institutions were actively accumulating the stock. Abbott Laboratories Growth Accelerates The most that can be said about Abbott Laboratories' Q4 results and guidance is that some metrics missed market expectations. Still, revenue of $11.46 billion was up 4.5% year over year, margins improved, and adjusted earnings accelerated. Revenue growth came in several hundred basis points below expectations, but stronger margins helped offset that shortfall: adjusted earnings per share (EPS) rose 12%, slightly above consensus. By segment, the results highlighted the strength of Abbott's diversified healthcare portfolio. The Nutrition and Diagnostic segments contracted—Nutrition fell nearly 9%—but gains in Established Pharmaceuticals and Med Tech more than offset those declines. Established Pharmaceuticals grew 9%, driven by generics and emerging markets, while Med Tech expanded 12.3%, showing broad strength across subsegments. Margins were supported by a favorable product mix, strength in Med Tech, lower COVID-19-related sales and operational improvements. While margins fell a bit short of some analyst forecasts, they remained ahead of company projections. Looking ahead, management expects earnings to grow another 10% in 2026, outpacing revenue and supporting the company's capital-return plans. Abbott's capital returns are a key reason investors find the stock attractive. As a Dividend King, Abbott has raised its payout for more than 50 consecutive years and appears positioned to continue doing so. After the recent decline, the stock yields roughly 2.5%, and the payout ratio is under 50% of consensus earnings estimates—leaving ample cash-flow room for share buybacks, which can help offset dilution from share-based compensation. Analysts Point to Robust Rebound in Abbott Laboratories Stock Some analysts noted the revenue miss, but no major rating or price-target changes were issued the morning of the release. The prevailing view is that this is a fundamentally healthy company that can continue returning capital while investing in growth, with a notably strong forward outlook. MarketBeat's consensus share-price target implies roughly 30% upside, potentially pushing the stock to new all-time highs; even the low-end target suggests some appreciation. Key catalysts include an expanding Med Tech portfolio, AI integration across operations and products, margin expansion and strategic acquisitions. The planned acquisition of Exact Sciences is one example of a deal that would broaden Abbott's revenue and profit streams as well as its product pipeline. The recent sell-off has been steep and could deepen, but institutions that accumulated throughout 2025 are likely buyers at these discounted levels. Early technical support appears in the $105 to $110 range, though that level is not yet confirmed. The risk remains that ABT could dip to the lower end of the buy zone—potentially near $95—before staging a meaningful rebound.
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