AbbVie's Potential Is 'Underappreciated,' Says Morgan Stanley Analyst

AbbVie's Potential Is 'Underappreciated,' Says Morgan Stanley Analyst

Despite the pandemic risk, one analyst at Morgan Stanley remains bullish on AbbVie Inc (NYSE: ABBV).The AbbVie Analyst David Risinger maintained an Overweight on AbbVie with a $95 price target. The AbbVie Thesis Risks to U.S. sales stemming from unemployment and the Humira patent cliff are likely to be pushbacks for AbbVie, Risinger said in a Wednesday note. (See his track record here.)AbbVie's U.S. commercial exposure is at 42% of global sales compared to Eli Lilly And Co's (NYSE: LLY) 30%, the analyst said. Notwithstanding the pushback, he said he sees AbbVie stock's valuation and yield as attractive. Though Risinger said he is cognizant of the patent cliff faced by AbbVie's rheumatoid arthritis drug Humira, he chooses to focus beyond that issue. Below-consensus sales of Humira in the 2023-24 period will be offset by higher excluding-Humira sales, the analyst said. Risinger sees the gentlest cliff for AbbVie. He estimates that 45%...

Powell Slams Door on Trump's Negative Rates ‘Gift’

(Bloomberg Opinion) -- Federal Reserve Chair Jerome Powell made two things clear during much-anticipated remarks on Wednesday. First, fiscal policy might need to do more to combat the lasting economic damage from the coronavirus pandemic. Second — in what markets were most eager to hear — he’s not about to steer the central bank down the path to negative interest rates.“The evidence on the effectiveness of negative rates is very mixed,” Powell said Wednesday in a webinar hosted by the Peterson Institute for International Economics. To hammer home the point: “This is not something that we’re looking at.”“It’s an unsettled area, I would call it,” he said. “I know that there are fans of the policy, but for now it’s not something that we’re considering. We think we have a good toolkit, and that’s the one we’ll be using.”What was left unsaid, of course, is that one such fan is President Donald Trump, who tweeted on Tuesday that...