PFE - AbbVie: $100 Next

Ahead of the merger awaiting European Union (“EU”) approval for AbbVie (ABBV) and Allergan (AGN), both firms reported strong quarterly results. Although AbbVie risks reporting additional costs post merger, strong revenue from the existing pipeline will protect, if not increase, the quarterly dividend. This will entice investors to continue holding shares.

AbbVie’s 15% weekly gain appears set to reward investors with further upside. Shares will probably trade north of $100 by the time the merger closes. So, why should investors continue accumulating the stock at over $95 a share?

There are three reasons