AbbVie (ABBV.N): 2Q26 EPS call takeaways: Volume demand supports guidance raise, but pipeline depth still needs work

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31 Jul 2026 12:28:30 ET │ 11 pages

AbbVie (ABBV.N)

2Q26 EPS call takeaways: Volume demand supports guidance raise, but

pipeline depth still needs work

CITI'S TAKE

AbbVie delivered another strong quarter (revs: +$218M vs. VA cons; nonGAAP diluted EPS: +$0.04/sh), though ABBV shares are seeing intra-day

weakness (-2%; DRG: -2%; S&P500: -0.2%) despite a $300M raised 2026

revenue guidance as the magnitude of Skyrizi/Rinvoq outperformance

continues to compress sequentially. Competition from J&J’s Tremfya and

Icotyde remains central to the Skyrizi debate, though SC induction should

further fuel IBD momentum, primarily in 2027. Broader IL-23 class

expansion in psoriasis is also supportive, with most Icotyde share coming

from existing orals, including Bristol’s Sotyktu and Amgen’s Otezla.

Outside of I&I, neuroscience helped drive the quarterly upside, with

Vraylar gaining share and Vyalev on track for blockbuster sales in 2026.

Still, continued BD is likely needed to supplement the early- and latestage pipeline and sustain Street interest despite the upcoming

tavapadon launch and α4β7 + Skyrizi and lutikizumab data. Maintain

Neutral and $260 TP.

Guidance raise reflects demand, while Apogee dilutes EPS — 2026 revenue

guidance increased $300M to $67.6B, including $100M each from Skyrizi,

neuroscience, and combined Rinvoq and Venclexta momentum. Skyrizi and Rinvoq

still face LSD% pricing pressure, confirming that the update is demand-driven. NonGAAP diluted EPS guidance declined $0.04/sh at midpoint, as $0.14/sh of expected

Apogee dilution more than offset $0.10/sh of underlying outperformance.

Neutral

Price (30 Jul 26 16:00)

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Geoff Meacham, Ph.D.AC

Jarwei Fang

Nishant Gandhi, Ph.D.

Mary Kate Davis

Skyrizi competition looks manageable for now — Skyrizi NBRx growth has

accelerated since Icotyde’s launch, with most Icotyde share coming from existing

oral therapies rather than biologics. Growth is now balanced between psoriasis and

IBD, where UC and Crohn’s continue expanding the IL-23 class. SC induction could

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