Street View: Abbott's nutrition spinoff to boost growth

By Reuters News

** Abbott Laboratories ABT.N cut its 2026 sales growth forecast on Wednesday and said it plans to separate its nutrition business into a publicly traded company, amid costly litigation over its baby formula products

** 29 analysts rate the stock "buy" on average; median PT $120 - data compiled by LSEG

THE BIG SPINOFF

** Leerink Partners ("market perform," PT: $106) says the planned nutrition spinoff should create a faster-growing, higher-margin Abbott focused on medical devices, diagnostics and established pharmaceuticals

** RBC Capital Markets ("outperform," PT: $125) says new product launches, favorable comparisons and the nutrition separation are expected to boost Abbott's growth and sharpen its financial profile in 2027

** Piper Sandler ("overweight," PT: $118) says ABT's plans to spin off its nutrition business by the end of 2027, a move that should help accelerate growth and improve margins once completed

** Morningstar (Fair Value: $103) says, "We think the remaining Abbott portfolio will be more focused, as the nutrition business has long been an anomaly within Abbott's portfolio"

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