Pharmaceutical stocks have been on fire this year. The iShares U.S. Pharmaceuticals ETF (IHE +0.01%), which tracks 43 drugmakers, is up almost 29% year to date and 11% over the past month.
There are lots of great stocks in this sector. But one that investors should be watching closely right now is AbbVie (ABBV 1.15%). The company is focused on drugs that treat a range of diseases in the areas of immunology, rheumatology, gastroenterology, dermatology, and oncology, among others.
NYSE: ABBV
Key Data Points
The company released its quarterly results on Oct. 31, and they exceeded Wall Street's forecasts. Sales climbed 9.1% to $15.78 billion, which was significantly higher than the $15.59 billion expected. The company posted earnings of $1.86 per share, 11 cents above the $1.77 expected.
AbbVie has a strong stable of top-performing drugs. Sales of Skyrizi, an immunology drug that treats conditions like psoriasis and arthritis, rose a whopping 46.8% to $4.7 billion during the quarter. Sales of Rinvoq, a similar immunology drug, climbed 35.3% to $2.18 billion. And Humira, which is used to treat plaque psoriasis, brought revenue of $993 million, up 55.4% from a year ago.
Image source: Getty Images.
Management said it believes Rinvoq will hit $11 billion in annual revenue by 2027, and Skyrizi will reach the $20 billion mark. AbbVie's current stable of best-selling drugs is impressive, while it continues to expand its pipeline with acquisitions. This is a hot stock in a hot sector well worth watching.
