Core Viewpoint - The lawsuit against Cerevel Therapeutics Holdings, Inc. alleges that the company and its controlling shareholder, Bain Capital, engaged in misleading practices regarding a secondary stock offering and the subsequent acquisition by AbbVie, resulting in significant financial losses for shareholders [2]. Group 1: Allegations and Financial Impact - Cerevel's October 16, 2023 secondary stock offering documents allegedly omitted material facts about AbbVie's interest in acquiring Cerevel at a price significantly higher than the offering price of $22.81 per share, which artificially deflated Cerevel's stock price until the merger announcement [2]. - Bain Capital acquired shares during the October Offering at a depressed price while allegedly possessing nonpublic information about AbbVie's acquisition interest, leading to a windfall of over $120 million when AbbVie agreed to acquire Cerevel for $45 per share on December 6, 2023 [2]. - Cerevel's January 18, 2024 Proxy statement is claimed to have misled investors regarding the nature and timing of AbbVie's interest in the company [2]. Group 2: Class Action Details - The class period for the lawsuit includes shareholders who sold or disposed of Cerevel stock from October 11, 2023, to August 1, 2024, and those who held shares as of January 8, 2024, entitled to vote on the merger [1]. - The deadline for shareholders to register for the class action and seek lead plaintiff status is June 3, 2025, with no cost or obligation to participate [3].

Core Insights - The article discusses three dividend-paying stocks that are currently facing challenges regarding their dividend sustainability, highlighting the importance of dividend growth for long-term investment returns [1][19]. Company Summaries AbbVie - AbbVie is a pharmaceutical company with a market capitalization of $300 billion, known for drugs like Skyrizi and Botox [3]. - The stock has declined by 16% year-to-date and offers a quarterly dividend of $1.64 per share, resulting in an annual yield of 3.5% [3]. - AbbVie has a concerning payout ratio of 266%, indicating potential risks to its dividend payments [4]. - Sales of Humira, a key drug, have dropped by 51% to $1.1 billion in fiscal Q1 2025 compared to the previous year, contributing to a 69% decline in net income over the trailing 12 months [5]. - The company's net debt has increased by 24% over the past two years to $64.7 billion, raising doubts about the future of its dividend [6]. - However, AbbVie's next-generation drugs, Skyrizi and Rinvoq, generated $5.1 billion in fiscal Q1 2025, a 65% increase year-over-year, with expectations of continued growth [7]. Medtronic - Medtronic is a medical device company with a focus on cardiac devices and surgical tools, currently down 37% from its 2021 highs [8]. - The company has paid and raised its dividend for 47 consecutive years, with a current quarterly dividend of $0.70 per share, yielding 3.3% annually [9]. - Medtronic's payout ratio stands at 84.7%, with a reported net income of $1.29 billion in fiscal Q3 2024, reflecting a 2% decline year-over-year [10]. - Despite revenue reaching all-time highs, net income has not significantly grown in a decade, partly due to the company's extensive acquisition strategy [11]. - Medtronic holds $18.6 billion in net debt, with servicing costs of $757 million over the past year, although it has reduced debt by 8% from recent highs [12][13]. Pfizer - Pfizer is a well-known pharmaceutical company with a history of 176 years, recently recognized for its COVID-19 vaccine [15]. - The company offers a quarterly dividend of $0.43 per share, yielding 7.6%, but its stock has fallen 63% from pandemic highs [16]. - Pfizer's payout ratio is 121.5%, raising concerns about its ability to maintain dividend increases for the 17th consecutive year [16]. - The company reported an 8% decline in revenue for Q1 2025, with total revenue of $13.7 billion, down from $14.9 billion in Q1 2024, largely due to a 76% drop in sales of its COVID-19 product, Paxlovid [17]. - Pfizer has averaged over $10 billion in R&D spending annually, while also managing $44 billion in net debt, which it has reduced by 31% in less than a year [18].

Core Viewpoint - The article highlights three dividend stocks—Abbott Laboratories, AbbVie, and Johnson & Johnson—as excellent options for passive income, emphasizing their strong dividend histories and solid business fundamentals. Group 1: Abbott Laboratories - Abbott Laboratories has a long history of dividend payments, dating back to 1924, and has increased its dividend for over 50 consecutive years [4] - The company currently pays a quarterly dividend of $0.59, which has risen by 146% over the past decade, averaging a compound annual growth rate of 9.4% [5] - Abbott's diverse operations across nutrition, diagnostics, pharmaceuticals, and medical devices contribute to its stability, with over $40 billion in revenue for the past four years and strong free cash flow of $6.7 billion [6][7] Group 2: AbbVie - AbbVie, spun off from Abbott in 2013, has maintained a strong dividend increase streak for 53 consecutive years, with a forward dividend yield of 3.64% [8] - The company has strategically invested in R&D and acquisitions, notably Allergan in 2020, to offset the decline in sales from its key drug Humira, which lost U.S. patent exclusivity in 2023 [9][10] - AbbVie's new drugs, Rinvoq and Skyrizi, are projected to generate combined sales of $31 billion by 2027, surpassing Humira's peak sales [10] Group 3: Johnson & Johnson - Johnson & Johnson is a leading healthcare company with a strong pharmaceutical business and a solid financial foundation, evidenced by its AAA credit rating from S&P Global [12] - The company has increased its dividends for 62 consecutive years, positioning it among the elite Dividend Kings, and is expected to continue this trend despite facing legal and regulatory challenges [13] - The defensive nature of the healthcare industry suggests that Johnson & Johnson will remain resilient during economic downturns, making it a strong choice for income-seeking investors [11]

Core Viewpoint - A class action securities lawsuit has been filed against Cerevel Therapeutics Holdings, Inc. due to alleged securities fraud affecting investors during a specific time frame [1][2]. Group 1: Lawsuit Details - The lawsuit aims to recover losses for investors who sold or held shares of Cerevel from October 11, 2023, to August 1, 2024, and were impacted by the alleged fraud [2]. - The complaint alleges that Cerevel's October 16, 2023, secondary stock offering omitted critical information regarding AbbVie's interest in acquiring Cerevel at a significantly higher price than the offering price of $22.81 per share [3]. - Bain Capital, Cerevel's controlling shareholder, is accused of acquiring shares at an artificially low price while possessing nonpublic information about AbbVie's acquisition interest, leading to a substantial profit when AbbVie announced the acquisition at $45 per share [3]. Group 2: Financial Implications - The merger allowed Bain Capital to gain over $120 million from shares purchased at the depressed offering price [3]. - Cerevel's January 18, 2024, Proxy statement allegedly misled investors about the nature and timing of AbbVie's interest in the company [3]. Group 3: Next Steps for Investors - Investors who suffered losses during the relevant period have until June 3, 2025, to request appointment as lead plaintiff, although participation does not require this role [4]. - Class members may be entitled to compensation without incurring out-of-pocket costs or fees [4]. Group 4: Legal Representation - Levi & Korsinsky, LLP has a strong track record in securities litigation, having secured hundreds of millions for shareholders over the past 20 years [5].

Core Viewpoint - AbbVie has received FDA approval for Emrelis, a drug for lung cancer patients, contributing to a nearly 10% stock increase over the past six months, outperforming the S&P Healthcare index which declined by 8% [1] Group 1: Drug Performance and Growth - AbbVie's immunology portfolio, particularly Skyrizi and Rinvoq, has shown significant year-over-year growth of 71% and 57% respectively in Q1 2025, following a 50% growth in the previous year [2] - AbbVie's quarterly revenues grew by 8.4% to $13.3 billion from $12.3 billion a year ago, compared to a 4.9% improvement for the S&P 500 [8] Group 2: Financial Metrics and Valuation - AbbVie has a price-to-sales (P/S) ratio of 5.6, a price-to-free cash flow (P/FCF) ratio of 20.9, and a price-to-earnings (P/E) ratio of 77.6, all significantly higher than the S&P 500 [8] - The company has seen its top line grow at an average rate of 0.2% over the last three years, while the S&P 500 increased by 6.2% [8] - AbbVie's adjusted net income margin stands at 32%, with an adjusted P/E ratio of 18x based on trailing earnings of $10.27 per share, indicating a premium valuation justified by growth [12][13] Group 3: Financial Stability and Resilience - AbbVie's balance sheet is considered weak, with a debt figure of $70 billion against a market capitalization of $321 billion, resulting in a moderate debt-to-equity ratio of 21.8% [14] - The company has demonstrated strong resilience during downturns, outperforming the S&P 500 in recent market declines [10][15]

Core Viewpoint - A class action securities lawsuit has been filed against Cerevel Therapeutics Holdings, Inc. due to alleged securities fraud affecting investors during a specific time frame [1][2]. Group 1: Lawsuit Details - The lawsuit aims to recover losses for investors who sold or held shares of Cerevel between October 11, 2023, and August 1, 2024, and were affected by the alleged fraud [2]. - The complaint alleges that Cerevel's October 16, 2023, secondary stock offering omitted critical information regarding AbbVie's interest in acquiring Cerevel at a significantly higher price than the offering price of $22.81 per share [3]. - Bain Capital, Cerevel's controlling shareholder, allegedly acquired shares at an artificially low price while possessing nonpublic information about AbbVie's acquisition interest, leading to a substantial profit when AbbVie announced the acquisition at $45 per share [3]. Group 2: Next Steps for Investors - Investors who suffered losses during the relevant period have until June 3, 2025, to request appointment as lead plaintiff, although participation in any recovery does not require this [4]. - Class members may be entitled to compensation without incurring any out-of-pocket costs or fees [4]. Group 3: Firm Background - Levi & Korsinsky, LLP has a strong track record in securities litigation, having secured hundreds of millions for shareholders over the past 20 years and consistently ranking among the top securities litigation firms in the U.S. [5].

NEW YORK, May 15, 2025 (GLOBE NEWSWIRE) -- The Gross Law Firm issues the following notice to shareholders of Cerevel Therapeutics Holdings, Inc. (NYSE: ABBV). Shareholders who purchased shares of ABBV during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery. CONTACT US HERE: https://securitiesclasslaw.com/securities/cerevel-therapeutics-holdings-inc-loss-submission-form/?id=148463 ...

Core Insights - AbbVie has received FDA accelerated approval for its antibody-drug conjugate, telisotuzumab vedotin (Emrelis), for treating certain patients with non-small cell lung cancer (NSCLC) [1][2] - Emrelis is the first FDA-approved therapy for adult patients with locally advanced or metastatic, non-squamous NSCLC with high c-Met protein overexpression who have received prior systemic therapy [2] - The approval is based on data from the phase II LUMINOSITY study, which demonstrated a 35% overall response rate in patients with high c-Met protein overexpression [5] Company Developments - Emrelis marks a significant milestone for AbbVie as it is the company's first internally developed solid tumor drug and its first solid tumor therapy approved for lung cancer [4] - AbbVie has expanded its oncology portfolio to five therapies, including Imbruvica, Venclexta, Epkinly, Elahere, and Emrelis [8] - The company is also developing another c-Met targeting ADC, Temab-A, for metastatic colorectal cancer and gastroesophageal cancer [10] Pipeline and Collaborations - AbbVie is conducting a phase III confirmatory study called TeliMET NSCLC-01 to convert the accelerated approval of Emrelis into a full approval [5] - The company has entered into a collaboration with ADARx Pharmaceuticals to develop small interfering RNA (siRNA) therapeutics across multiple disease areas [11] - AbbVie will make an upfront payment of $335 million to ADARx, with potential milestone payments reaching several billion dollars [13]

Core Viewpoint - The lawsuit against Cerevel Therapeutics Holdings, Inc. alleges that the company and its controlling shareholder, Bain Capital, engaged in misleading practices regarding a secondary stock offering and the subsequent acquisition by AbbVie, resulting in significant financial losses for shareholders [2]. Group 1: Allegations and Financial Impact - Cerevel's October 16, 2023 secondary stock offering documents allegedly omitted material facts about AbbVie's interest in acquiring Cerevel at a price significantly higher than the offering price of $22.81 per share, which artificially deflated Cerevel's stock price until the merger announcement [2]. - Bain Capital acquired shares during the October Offering at an artificially depressed price while allegedly possessing nonpublic information about AbbVie's acquisition interest, leading to a windfall of over $120 million when AbbVie agreed to acquire Cerevel for $45 per share on December 6, 2023 [2]. - Cerevel's January 18, 2024 Proxy statement is claimed to have misled investors regarding the nature and timing of AbbVie's interest in the company [2]. Group 2: Class Action Details - The class period for the lawsuit includes shareholders who sold or disposed of Cerevel stock from October 11, 2023, to August 1, 2024, and those who held shares as of January 8, 2024, entitled to vote on the merger [1]. - The deadline for shareholders to register for the class action is June 3, 2025, and there is no cost or obligation to participate [3]. - Registered shareholders will receive updates through portfolio monitoring software throughout the lifecycle of the case [3]. Group 3: Law Firm Background - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting the rights of investors affected by deceit, fraud, and illegal business practices [4]. - The firm aims to ensure companies adhere to responsible business practices and seeks recovery for investors who suffered losses due to misleading statements or omissions [4].

Core Viewpoint - Citi has upgraded the stock rating for Regeneron Pharmaceuticals (REGN.US) while downgrading AbbVie (ABBV.US) due to the differing impacts of recent U.S. government policies on these pharmaceutical giants [1][3] Group 1: Regulatory Changes - President Trump signed an executive order to implement a "Most Favored Nation" pricing model, linking U.S. drug prices to lower prices in other developed countries [2][3] - The executive order aims to eliminate subsidies for foreign healthcare and reduce drug prices for U.S. citizens by ensuring they pay the lowest prices available globally [2] Group 2: Company Ratings and Price Targets - Citi analyst Geoff Meacham upgraded Regeneron's stock rating from "Neutral" to "Buy," citing manageable policy risk exposure and strong product pipeline in melanoma treatments [3][4] - Regeneron's target price was raised from $600 to $700 per share, reflecting a favorable risk-reward ratio after a 55% decline from its 2024 peak [4] - AbbVie's stock rating was downgraded from "Buy" to "Neutral," with a target price reduced from $205 to $188 per share, due to increased policy risk exposure and a relatively weaker product pipeline [4][5] Group 3: Market Reactions - The announcement of the executive order initially negatively impacted global pharmaceutical stocks, particularly European companies [1][2] - Regeneron's stock closed at $571.36, while AbbVie's stock closed at $177.44, indicating market adjustments following the news [4][5]