The Best Dividend King to Buy With $150

Core Viewpoint - Abbott Laboratories' stock has recently declined following disappointing fourth-quarter results, but it remains attractive for dividend-seeking investors due to its strong core business segments [1]. Financial Performance - Abbott's fourth-quarter sales reached $11.5 billion, reflecting a 4.4% increase year-over-year, although this growth fell short of expectations [2]. - The company faced challenges in its nutrition and diagnostics segments, contributing to a sharp decline in stock price after the earnings release [2]. Business Segment Analysis - The core medical device business showed resilience, achieving a 12.3% sales growth in the quarter, driven by a 14.5% increase in revenue from the diabetes care unit [3]. - Abbott's leadership in the continuous glucose monitoring (CGM) market, particularly with the FreeStyle Libre franchise, positions it well for future growth [3][4]. Growth Opportunities - Recent product expansions, including over-the-counter offerings like Libre Rio and Lingo, have broadened Abbott's addressable market in diabetes care [4]. - The structural heart segment, featuring devices like MitraClip and TriClip, is expected to continue driving growth [5]. Strategic Acquisitions - Abbott's acquisition of Exact Sciences for approximately $21 billion is set to transform its diagnostics business and provide significant growth opportunities [5]. - Exact Sciences is known for its Cologuard test for colorectal cancer and has developed new diagnostic products for early cancer detection, tapping into a growing market [6].