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Will ABT Stock Rise Or Fall Post Earnings?

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Abbott Laboratories is set to announce its earnings on Wednesday, April 16, 2025. Analysts project earnings of $1.07 per share on revenues of $10.41 billion for Q1. This reflects an improvement over the same quarter last year, which saw earnings of $0.98 per share and revenue of $9.96 billion. The Freestyle Libre diabetes product is anticipated to be a significant contributor to this growth.

Abbott holds a market capitalization of $220 billion, supported by $42 billion in revenue and $6.8 billion in operating profits over the last twelve months, leading to a net income of $13 billion. While the stock’s post-earnings move will hinge on how results compare with expectations, historical trends over the past five years show that ABT shares have declined the day after earnings in 60% of cases, with a median drop of 2.4% and a maximum single-day loss of 6.5%.

This trend may offer insights for event-driven traders who may act ahead of earnings based on these probabilities or analyze correlations between short- and medium-term returns to consider trades a day after results are announced. For those seeking upside with less volatility than single stocks, the Trefis High-Quality portfolio provides an option — having outperformed the S&P 500 and delivered returns over 91% since inception.

See earnings reaction history of all stocks

Abbott Laboratories’ Historical Odds Of Positive Post-Earnings Return

Here are some insights into one-day (1D) post-earnings returns:

  • Across 20 earnings announcements over the past five years, 8 showed positive and 12 showed negative 1D returns — equating to a 40% rate of positive returns.
  • This positive return rate rises to 50% when only the last three years are considered.
  • The median gain across the 8 positive returns = 3.5%, while the median loss across the 12 negatives = -2.4%

Additional statistics summarizing observed 5-Day (5D) and 21-Day (21D) post-earnings returns are presented in the chart below.

Correlation Between 1D, 5D, and 21D Historical Returns

A lower-risk approach — though only effective with strong correlation — involves analyzing short- and medium-term return relationships post earnings, then acting based on the strongest pair. For instance, if the 1D to 5D correlation is highest, a trader could consider going “long” for 5 days after a positive 1D move. Below is correlation data using five- and three-year histories. Note that 1D_5D reflects correlation between 1-day post-earnings and the next 5-day returns.

Learn more about the Trefis RV strategy, which has outperformed its all-cap benchmark (S&P 500, S&P mid-cap, and Russell 2000 combined), offering strong returns. Alternatively, for exposure with lower volatility than a single stock like Abbott Laboratories, consider the High Quality portfolio, which has topped the S&P and returned over 91% since inception.

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