UPDATE: Jefferies Initiates AbbVie at Buy on Growth Outlook, High Yield
Jefferies initiated coverage on AbbVie (NYSE: ABBV) with a Buy rating and a $44.00 price target.
Jefferies commented, "AbbVie is our top pick for 2013. We see the initial trading volatility post-spin as an opportune entry point into the shares as we soon expect income funds to work the dividend yield down to at least the 4.0% level. A more durable long-term performance from Humira, stronger pipeline delivery and operating margin expansion drive our cash EPS estimates up to 22% ahead of consensus."
AbbVie closed at $34.09 on Tuesday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.