Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTAlex SiroisThu, June 25, 2026 at 8:20 PM GMT+2 4 min readQuick ReadABT fell 27% year to date, but FreeStyle Libre's 14% CGM growth and a forward P/E of 16 make it a buy.Despite intensifying competition from Dexcom and Medtronic, FreeDM2 clinical data unlocks Abbott's expansion into the far larger Type 2 basal-insulin market.Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Abbott Laboratories didn't make the cut. Grab the names FREE today.Abbott Laboratories (NYSE:ABT) at $90.53 is a Buy. The healthcare giant has been swept up in a sector-wide rotation out of defensive names, even as its diabetes franchise compounds and its medical devices unit posts double-digit growth.Chinnapong / iStock via Getty ImagesAbbott spans medical devices, diagnostics, established pharmaceuticals, and nutrition, with Robert B. Ford as CEO. FreeStyle Libre, the continuous glucose monitor, is its fastest-growing engine. Shares have compressed from $127.12 at the Q3 2025 filing to today's level, dragged lower by sector multiple compression and concerns over the $21 billion Exact Sciences acquisition that closed March 23, 2026.Why the Selloff Created an OpeningCGM sales hit $2.08 billion in Q1 2026, up 13.8% year over year. The FreeDM2 trial showed Type 2 patients on basal insulin using FreeStyle Libre achieved a 0.6% reduction in HbA1c and 2.5 more hours per day in healthy glucose range versus fingerstick monitoring. This clinical evidence unlocks expansion into basal-insulin users globally.Medical Devices grew 13.2% to $5.54 billion, with Electrophysiology, Heart Failure, and Rhythm Management all firing. Forward P/E sits at 16, compressed from a trailing P/E of 25. Abbott has posted four straight EPS beats, and management guided full-year adjusted EPS to $5.38 to $5.58.Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Abbott Laboratories didn't make the cut. Grab the names FREE today.What the Bears Are Pricing InOperating income fell 20.32% year over year in Q1, and net income dropped 18.72%. Nutrition shrank 6.0%, and Exact Sciences integration costs will dilute 2026 EPS by $0.20 per share. CGM competition from Dexcom (NASDAQ:DXCM) and Medtronic (NYSE:MDT) is intensifying, and the stock sits well below its 200-day moving average of $113.41, a technical signal that trend followers will avoid until momentum turns.The Patience ArgumentA Hold view says Exact Sciences dilution is real, FX headwinds persist, and the next CGM earnings report on July 20, 2026 will clarify whether the diabetes catalyst is reaccelerating or holding the line. Patient investors could wait for Q2 confirmation before adding.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info