Why Sell Abbott Labs? Here Are 3 Reasons to Consider

Updated

In this video, Fool bureau chief Brenton Flynn offers three reasons why you might take a pass on Abbott Labs. The company reduced its dividend after spinning off AbbVie, which reduces its appeal to income investors. The loss of AbbVie means Abbott will have to work harder at improving its earnings since its branded pharmaceutical business isn't there to roll out a blockbuster drug.

Follow along in the video below as Brenton details these bearish arguments.


Wondering about that new position in your portfolio? For some Abbott Labs shareholders, the new year brought with it a new company called AbbVie. Formerly Abbott's branded pharmaceuticals business, shares of the new stock were distributed to investors on Jan. 2. To help investors better understand the situation, The Fool has created a brand new premium report on both stocks. Inside, we outline all of the must-know opportunities and risks facing both companies, so make sure to claim this report by clicking here now.

The article Why Sell Abbott Labs? Here Are 3 Reasons to Consider originally appeared on Fool.com.

Brenton Flynn has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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