Summary⚈ Two U.S. lawmakers sold AbbVie shares shortly before Trump’s drug price-cutting announcement, raising concerns about potential insider knowledge.⚈ Trump’s May 13 executive order targets up to 80% reductions in drug costs, directly impacting companies like AbbVie.⚈ The trades took place during broader market volatility tied to tariff-related fallout, adding to the controversy.Barely a month before President Donald Trump revealed his plans to cut prescription drug prices, two politicians suspiciously ...

Group 1: Market Overview - J.P. Morgan estimates a 60% chance of a recession in 2025 due to trade wars and tariffs, putting the current bull market at risk [1] - The recent market downturn was influenced by trade wars and uncertainty, leading to corrections in major indexes despite an initial post-election rise [2] Group 2: AbbVie Company Analysis - AbbVie has transformed from relying heavily on Humira, which accounted for 58% of sales in 2019 and peaked at $21 billion in 2022, to a more diversified portfolio [6][9] - The acquisition of Allergan for $63 billion in 2020 significantly reduced reliance on Humira and expanded AbbVie's product offerings [7][9] - AbbVie generated approximately $15 billion in revenue from Allergan products in 2024, showcasing the success of the acquisition [9] - In 2024, AbbVie acquired ImmunoGen and Cerevel Therapeutics for $10 billion and $9 billion, respectively, with the ImmunoGen deal showing promise through its ovarian cancer drug Elahere [10] - Sales from AbbVie's internally developed drugs Skyrizi and Rinvoq reached $17.7 billion in 2024, marking a 51% increase over 2023 [11] Group 3: Financial Performance - AbbVie's first-quarter 2025 earnings showed an 8% revenue growth to $13.3 billion, driven by Skyrizi, Rinvoq, and neuroscience gains [13] - The company raised its sales guidance for 2025 by $700 million to $60 billion, reflecting a 7% increase over 2024 [13] Group 4: Investment Considerations - AbbVie is viewed as a safe investment with a solid dividend yield of 3.5%, having increased its dividend annually since 2013 [14] - Analysts are predominantly bullish on AbbVie, with 17 buy or strong buy ratings and no sell ratings, indicating confidence in the stock's stability [15]

When investing in dividend stocks, paying attention to the right things is essential. A high yield can be attractive, but the most critical factor to consider is a company's underlying operations.Businesses that are solid enough to perform well over extended periods, while consistently raising their payouts, are precisely what income investors should gravitate toward. Here are two corporations which fit that description: AbbVie (ABBV -0.71%) and Gilead Sciences (GILD -1.33%).These two healthcare dividend pa ...

Financial Performance - AbbVie reported worldwide net revenues of $13.3 billion for the three months ended March 31, 2025, representing an 8% increase on a reported basis and a 10% increase on a constant currency basis compared to the same period in 2024[116]. - The company's operating earnings for the same period were $3.7 billion, with diluted earnings per share of $0.72 and cash flows from operations amounting to $1.6 billion[116]. - Total net revenues for the three months ended March 31, 2025, increased by 8.4% to $13,343 million compared to $12,310 million in the prior year[139]. - Gross margin for the same period was $9,341 million, representing a 14% increase from $8,216 million, with a gross margin percentage of 70%[139]. - Operating cash flows decreased to $1,635 million from $4,040 million in the prior year, primarily due to timing of working capital[147]. Product Performance - AbbVie's immunology product Skyrizi generated total revenues of $3.425 billion, a 70.5% increase compared to $2.008 billion in the same quarter of 2024[129]. - Rinvoq's total revenues reached $1.718 billion, reflecting a 57.2% increase from $1.093 billion year-over-year[129]. - Humira's total revenues decreased by 50.6% to $1.121 billion, down from $2.270 billion in the prior year, indicating a significant decline as the product faces increased competition[129]. - Net revenues for Skyrizi increased by 72% to $1,200 million, driven by strong market share uptake[131]. - Net revenues for Rinvoq increased by 60% to $1,000 million, also driven by strong market share uptake[131]. - Net revenues for Humira decreased by 50% to $1,500 million due to direct biosimilar competition following loss of exclusivity[132]. - Net revenues for Botox Therapeutic increased by 17% to $1,200 million, driven by market share growth[132]. Research and Development - AbbVie's pipeline includes approximately 90 compounds, with around 50 in mid- and late-stage development, focusing on immunology, neuroscience, oncology, aesthetics, and eye care[120]. - The company initiated a Phase 3 clinical trial for Qulipta in February 2025, targeting menstrual migraine prevention[122]. - AbbVie submitted a Biologics License Application for BoNT/E in April 2025, which, if approved, will be the first neurotoxin of its kind available to patients[123]. - AbbVie anticipates several regulatory submissions and data readouts from key clinical trials in the next 12 months, supporting its strategic objectives[115]. - Research and development expenses rose by 7% to $2,067 million, accounting for 15% of net revenues, down from 16% in the prior year[141]. Shareholder Returns and Financial Flexibility - The company is focused on generating substantial operating cash flows to support innovative research and development while returning cash to shareholders through dividends[115]. - The company declared a quarterly cash dividend of $1.64 per share, payable on May 15, 2025[151]. - AbbVie repurchased 3 million shares for $606 million during the three months ended March 31, 2025[152]. - AbbVie entered into a new $3.0 billion five-year revolving credit facility maturing in January 2030, in addition to an existing $5.0 billion facility maturing in March 2028[155]. - As of March 31, 2025, AbbVie had no outstanding amounts under its credit facilities and was in compliance with all covenants[155]. - Subsequent to March 31, 2025, AbbVie entered into a $4.0 billion 364-day term loan credit agreement, with no amounts borrowed as of the filing date[156]. - In December 2023, AbbVie secured a $9.0 billion bridge credit agreement and a $5.0 billion term loan credit agreement for acquisitions, which were terminated after a $15.0 billion issuance of senior notes[157]. - AbbVie believes it has sufficient financial flexibility to issue debt and attract long-term capital to support growth objectives[158]. - There were no changes in AbbVie's credit ratings during the three months ended March 31, 2025, which may impact future financing arrangements[159]. Risks and Accounting Policies - AbbVie cautions that forward-looking statements are subject to risks including competition, regulatory changes, and macroeconomic factors[161]. - The company has not made significant changes to its critical accounting policies during the three months ended March 31, 2025[160]. - For market risk disclosures, refer to Item 7A in AbbVie's Annual Report for the year ended December 31, 2024[162].

Financial Data and Key Metrics Changes - Total net revenues for 2024 were $56.3 billion, exceeding initial expectations by over $2 billion [4] - Adjusted earnings per share were $10.12, which was $0.49 above the initial guidance midpoint, excluding the impact of IPR&D expense [4] - The company demonstrated a rapid return to sales growth following the loss of exclusivity for HUMIRA, with expectations to exceed previous peak revenue in 2025 [4][5] Business Line Data and Key Metrics Changes - AbbVie's growth platform delivered full-year sales growth of over 18%, allowing the company to absorb the largest loss of exclusivity in the industry and continue investing for long-term growth [5] - Adjusted R&D investment increased by $3 billion, with approximately 20 early-stage deals signed and acquisitions of ImmunoGen and Cerevil completed [5] Market Data and Key Metrics Changes - The company is well-positioned to deliver high single-digit compound revenue growth through the end of the decade [5] Company Strategy and Development Direction - AbbVie is focused on assets that can add depth to its pipeline and drive growth over the next decade, with significant investments in R&D and business development [23] - The company has expanded its immunology portfolio and entered new therapeutic areas such as obesity, which represents a potential new source of long-term growth [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in AbbVie's ability to rapidly return to growth despite challenges related to HUMIRA's loss of exclusivity [21] - The company plans to invest over $10 billion in U.S. manufacturing capacity to support volume growth and expansion into new areas [29] Other Important Information - The board of directors opposed a shareholder proposal for a simple majority vote, stating that even if it passed, it would not eliminate the supermajority voting requirement [18] Q&A Session Summary Question: Will AbbVie continue to raise the dividend in coming years? - AbbVie generates substantial free cash flow, allowing it to support a strong and growing dividend, which was increased by 5.8% in Q1 2025 [21][22] Question: Is AbbVie considering additional M&A deals to support long-term growth? - AbbVie is focused on acquiring assets that can enhance its pipeline, including recent acquisitions in immunology and oncology [23][24] Question: Why did AbbVie decide to combine the CEO and Chair roles again? - The board believes that a combined leadership structure has proven effective and ensures appropriate oversight and independence [25] Question: How will sectoral tariffs on pharmaceuticals impact AbbVie? - It is premature to speculate on the impact of sectoral tariffs, but AbbVie plans to mitigate any potential effects through inventory management and cost efficiency initiatives [27][28] Question: How has the pipeline progressed in the past year? - AbbVie achieved several regulatory approvals and is advancing multiple pipeline programs that could be significant sources of long-term growth [32][33]

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 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 a depressed price while possessing nonpublic information about AbbVie's acquisition interest, leading to a windfall of over $120 million when AbbVie announced the acquisition at $45 per share on December 6, 2023 [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: 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 and consistently ranking among the top securities litigation firms in the U.S. [5].

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: Next Steps for Investors - Investors who suffered losses during the relevant period have until June 3, 2025, to request to be appointed as lead plaintiff in the lawsuit [4]. - Participation in the lawsuit does not require any out-of-pocket costs or fees for class members [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].

Core Viewpoint - The Gross Law Firm has initiated a class action lawsuit on behalf of shareholders of Cerevel Therapeutics Holdings, Inc. (NYSE: ABBV) due to alleged misleading statements and omissions related to a secondary stock offering and subsequent merger with AbbVie Inc. [1][2] Group 1: Allegations and Impact - Cerevel's October 16, 2023 secondary stock offering documents allegedly omitted material facts about AbbVie's interest in acquiring Cerevel at a significantly higher price than the offering price of $22.81 per share, which artificially deflated Cerevel's stock price until the merger announcement [2] - Bain Capital, Cerevel's controlling shareholder, reportedly acquired shares at the depressed price while possessing nonpublic information about AbbVie's acquisition interest, resulting in a windfall exceeding $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][2] - 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]

NEW YORK, May 07, 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=147133 ...

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 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, is accused of acquiring shares at an artificially low price while possessing nonpublic information about AbbVie's acquisition interest [3]. Group 2: Financial Implications - AbbVie announced its agreement to acquire Cerevel for $45 per share on December 6, 2023, resulting in Bain Capital receiving over $120 million in windfall profits 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 any 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].