Markets are bipolar in their sentiment on AbbVie (ABBV). When it first announced the buyout of Allergan (AGN) in June, the stock began a four-month-long descent. By September, sentiment changed. Drug stocks staged a broad rally, taking AbbVie stock with it. Strong Q4 results, a dividend hike, and healthy demand for its $30 billion bond offering sent ABBV stock to $90. Yet, as the merger looms, AbbVie may underperform in the short term.
Allergan Acquisition Generates Significant Value
Generic competition for AbbVie's Humira forces the company to find other ways to