Latest Ratios: P/E Ratio 107.4x · EV/EBITDA 18.2x · ROE 6214.7%. (2010–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $449.9B | $405.3B | $315.1B | $274.8B | $287.3B | $240.6B | $179.3B | $131.4B | $142.5B | $155.0B | $102.1B |
| Enterprise Value | $513.8B | $469.2B | $377.4B | $322.1B | $342.3B | $308.4B | $257.9B | $158.6B | $175.5B | $183.1B | $133.9B |
| P/E Ratio → | 107.45 | 96.41 | 74.35 | 56.97 | 24.38 | 20.99 | 39.39 | 16.77 | 25.05 | 29.31 | 17.25 |
| P/S Ratio | 7.36 | 6.63 | 5.59 | 5.06 | 4.95 | 4.28 | 3.91 | 3.95 | 4.35 | 5.49 | 3.98 |
| P/B Ratio | — | — | 93.66 | 26.43 | 16.62 | 15.59 | 13.69 | — | — | 30.42 | 22.03 |
| P/FCF | 25.25 | 22.75 | 17.67 | 12.45 | 11.85 | 10.94 | 10.68 | 10.29 | 11.14 | 16.44 | 15.56 |
| P/OCF | 23.64 | 21.30 | 16.75 | 12.03 | 11.52 | 10.56 | 10.19 | 9.86 | 10.61 | 15.56 | 14.51 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 7.67 | 6.70 | 5.93 | 5.90 | 5.49 | 5.63 | 4.77 | 5.36 | 6.49 | 5.22 |
| EV / EBITDA | 18.20 | 16.62 | 21.54 | 15.01 | 12.88 | 11.66 | 14.46 | 10.57 | 21.54 | 16.58 | 12.71 |
| EV / EBIT | 25.57 | 49.44 | 57.84 | 38.01 | 21.79 | 20.01 | 44.07 | 15.53 | 26.82 | 20.63 | 14.99 |
| EV / FCF | — | 26.33 | 21.16 | 14.60 | 14.12 | 14.03 | 15.36 | 12.41 | 13.73 | 19.41 | 20.40 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 70.2% | 70.2% | 70.0% | 62.4% | 70.0% | 69.0% | 66.4% | 77.6% | 76.4% | 75.0% | 77.2% |
| Operating Margin | 32.8% | 32.8% | 16.2% | 23.5% | 31.2% | 31.9% | 24.8% | 39.0% | 19.5% | 33.8% | 36.4% |
| Net Profit Margin | 6.9% | 6.9% | 7.6% | 9.0% | 20.4% | 20.5% | 10.1% | 23.7% | 17.4% | 18.8% | 23.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6214.7% | 6214.7% | 62.2% | 35.1% | 72.3% | 80.9% | 187.5% | — | — | 109.1% | 138.7% |
| ROA | 3.1% | 3.1% | 3.2% | 3.6% | 8.3% | 7.8% | 3.9% | 10.6% | 8.7% | 7.8% | 10.0% |
| ROIC | 23.9% | 23.9% | 11.1% | 14.7% | 17.5% | 15.4% | 15.4% | 44.7% | 16.6% | 20.6% | 22.0% |
| ROCE | 21.5% | 21.5% | 9.5% | 12.4% | 16.4% | 15.4% | 11.6% | 22.5% | 13.3% | 17.3% | 19.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 20.17 | 5.78 | 3.71 | 5.03 | 6.65 | — | — | 7.33 | 7.95 |
| Debt / EBITDA | 2.45 | 2.45 | 3.87 | 2.80 | 2.41 | 2.93 | 4.88 | 4.47 | 4.95 | 3.38 | 3.50 |
| Net Debt / Equity | — | — | 18.52 | 4.55 | 3.18 | 4.39 | 6.00 | — | — | 5.51 | 6.85 |
| Net Debt / EBITDA | 2.26 | 2.26 | 3.56 | 2.20 | 2.07 | 2.56 | 4.41 | 1.81 | 4.05 | 2.54 | 3.01 |
| Debt / FCF | — | 3.58 | 3.49 | 2.14 | 2.27 | 3.08 | 4.68 | 2.13 | 2.58 | 2.98 | 4.84 |
| Interest Coverage | 3.28 | 3.28 | 2.32 | 3.81 | 7.04 | 6.36 | 2.38 | 5.72 | 4.86 | 7.72 | 8.53 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.67 | 0.67 | 0.66 | 0.87 | 0.96 | 0.79 | 0.84 | 3.18 | 0.98 | 1.28 | 1.65 |
| Quick Ratio | 0.56 | 0.56 | 0.55 | 0.76 | 0.84 | 0.70 | 0.73 | 3.06 | 0.89 | 1.18 | 1.51 |
| Cash Ratio | 0.12 | 0.12 | 0.14 | 0.34 | 0.31 | 0.28 | 0.30 | 2.56 | 0.47 | 0.59 | 0.66 |
| Asset Turnover | — | 0.46 | 0.42 | 0.40 | 0.42 | 0.38 | 0.30 | 0.37 | 0.55 | 0.40 | 0.39 |
| Inventory Turnover | 3.68 | 3.68 | 4.04 | 4.98 | 4.87 | 5.58 | 4.65 | 4.10 | 4.81 | 4.39 | 4.04 |
| Days Sales Outstanding | — | 75.13 | 70.75 | 74.96 | 70.76 | 64.80 | 70.30 | 59.56 | 60.00 | 65.82 | 67.74 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.6% | 2.9% | 3.5% | 3.8% | 3.5% | 3.8% | 4.3% | 4.8% | 3.9% | 2.6% | 3.6% |
| Payout Ratio | 275.8% | 275.8% | 257.7% | 216.7% | 84.9% | 80.2% | 167.2% | 80.8% | 98.1% | 77.4% | 62.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.9% | 1.0% | 1.3% | 1.8% | 4.1% | 4.8% | 2.5% | 6.0% | 4.0% | 3.4% | 5.8% |
| FCF Yield | 4.0% | 4.4% | 5.7% | 8.0% | 8.4% | 9.1% | 9.4% | 9.7% | 9.0% | 6.1% | 6.4% |
| Buyback Yield | 0.2% | 0.2% | 0.5% | 0.7% | 0.5% | 0.4% | 0.5% | 0.5% | 8.4% | 0.9% | 5.9% |
| Total Shareholder Yield | 2.8% | 3.1% | 4.0% | 4.6% | 4.0% | 4.2% | 4.8% | 5.3% | 12.3% | 3.6% | 9.5% |
| Shares Outstanding | — | $1.8B | $1.8B | $1.8B | $1.8B | $1.8B | $1.7B | $1.5B | $1.5B | $1.6B | $1.6B |
High Leverage and Goodwill
According to current market data, AbbVie trades at a forward P/E of 17.68, which suggests that investors are pricing in a successful transition to newer immunology assets despite the significant earnings volatility observed in recent quarters compared to more stable, lower-multiple peers like Bristol-Myers Squibb.
The elevated TTM P/E of 106.13 is clearly distorted by non-cash acquisition charges, making the forward multiple a more reliable indicator of market sentiment. This valuation premium appears to hinge on the market's belief that Skyrizi and Rinvoq will achieve higher peak sales than the legacy Humira franchise.
Based on reported figures, AbbVie's ROIC of 4.7% in 2026Q1 remains well below the levels seen in more mature, less acquisition-heavy peers, indicating that the firm's aggressive strategy of buying growth through M&A is currently diluting the overall return on invested capital for shareholders.
The persistent gap between ROIC and the cost of capital warrants further investigation into whether the recent ImmunoGen and Cerevel acquisitions will eventually generate sufficient returns to justify their high purchase prices. Investors should monitor if ROIC trends upward as these assets move toward full commercialization.
As reported in financial statements, AbbVie's cash conversion cycle remains deeply negative at -544 days in 2026Q1, which primarily reflects the company's massive accounts payable leverage and the unique timing of rebate payments inherent in the pharmaceutical industry's complex payer-provider contracting model.
While a negative CCC is typically a sign of operational efficiency, in AbbVie's case, it is heavily influenced by the scale of its rebate obligations to pharmacy benefit managers. This metric should be interpreted as a reflection of market power in formulary negotiations rather than purely operational inventory management.
According to recent SEC filings, AbbVie's interest coverage ratio of 2.45 in 2026Q1 highlights a narrowing margin of safety for debt service, which appears increasingly sensitive to the high leverage maintained following the Allergan acquisition and subsequent bolt-on deals in the oncology and neuroscience segments.
The debt-to-EBITDA ratio of 10.92 suggests that the company is operating with a high degree of financial risk, leaving little room for error if clinical trial outcomes underperform. Investors should monitor whether management prioritizes debt reduction over further M&A to improve this coverage profile.
Based on an analysis of financial reporting, the GAAP net margin is the most commonly misapplied metric for AbbVie, as it consistently obscures the firm's true cash-generating capacity by including massive non-cash amortization charges related to the company's aggressive and ongoing acquisition-led growth strategy.
Analysts should instead focus on free cash flow margins, which provide a more accurate picture of the company's ability to fund dividends and debt service. Relying on GAAP net income leads to an overly pessimistic view of the company's fundamental earning power and dividend sustainability.
Includes 30+ ratios · 16 years · Updated daily
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Quick answers to the most common questions about buying ABBV stock.
AbbVie Inc.'s current P/E ratio is 107.4x. The historical average is 36.4x. This places it at the 100th percentile of its historical range.
AbbVie Inc.'s current EV/EBITDA is 18.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.5x.
AbbVie Inc.'s return on equity (ROE) is 6214.7%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 88.4%.
Based on historical data, AbbVie Inc. is trading at a P/E of 107.4x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
AbbVie Inc.'s current dividend yield is 2.58% with a payout ratio of 275.8%.
AbbVie Inc. has 70.2% gross margin and 32.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
AbbVie Inc.'s Debt/EBITDA ratio is 2.4x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.