DCF Valuation
Base-case fair value
$43.40
Intrinsic $57.87 · 25% MOS
Current price: $88.41
Base-case summary
Our base-case DCF for Abbott Laboratories (ABT) projects 10 years of free cash flow growth at 2.0% for years 1–5 and 1.0% for years 6–10, anchored to a default 8% growth assumption, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $7.4B in trailing free cash flow, this produces an intrinsic value of $57.87 per share. A 25% safety margin gives a fair value of $43.40, suggesting the stock is currently 51% overvalued against the $88.41 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$7.4B
Cash & equivalents
$7.3B
Total debt
$34.0B
Shares outstanding
1.7B