Key Takeaways
Abbott Laboratories ( ABT ) shares surged Wednesday after the medical device maker said it plans to invest $500 million in U.S. operations and topped Wall Street’s expectations with its first-quarter results.
The company said Wednesday that two new manufacturing and R&D facilities in Texas and Illinois are set to open this year. Abbott expects to hire up to 200 people in Illinois and 100 in Texas for the projects, a spokesperson said.
Shares of Abbott were up close to 4% in recent trading, making the stock one of the S&P 500 's top daily performers. They've added about one-quarter of their value over the past 12 months.
Abbott reported first-quarter revenue of $10.4 billion, up 4% year-over-year and roughly in line with the analyst consensus from Visible Alpha. Adjusted net income of $1.92 billion, or $1.09 per share, compared with $1.73 billion, or 98 cents per share, a year earlier, topping Wall Street’s estimates. Medical device sales jumped 10% to $4.9 billion, also beating expectations.
Looking ahead, Abbott maintained its full-year adjusted earnings per share (EPS) estimate of $5.05 to $5.25, versus the analyst consensus of $5.16. CEO Robert Ford said Abbott Labs had considered raising its EPS outlook prior to the Trump administration's recent announcements on tariffs , according to a transcript of the company’s earnings call provided by AlphaSense.
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