Why AbbVie Is a Strong Buy for Long-Term Investors in 2025

AbbVie Inc. (ABBV) has emerged as a strong performer in financial and technical terms, attracting investor attention due to its long-term growth potential. With consistent revenue generation and expansion of its immunology and neuroscience portfolios, the company demonstrates operational strength. At the same time, AbbVie’s stock has shown bullish technical patterns over the past decade, supported by breakouts and upward momentum. This article examines AbbVie’s financial results, product performance, dividend growth, and technical performance to assess whether it remains a compelling investment for investors in 2025.

Financial Performance of AbbVie

AbbVie delivered strong financial results in Q1 2025, with net revenues reaching $13.34 billion. The chart below shows the company has generated consistent revenues over the past five years. Net income for Q1 2025 was $1.286 billion, higher than in Q4 2024 but lower than in Q1 2024. Despite this, AbbVie’s consistent profitability signals strong future growth potential.

The chart below shows that the largest share of AbbVie’s revenue comes from the Immunology segment, which accounts for 53.1% of total revenue. Together, the Immunology and Neuroscience segments contribute over 70% of AbbVie’s Q1 2025 revenue. The Immunology portfolio generated $6.26 billion in global net revenues.

Moreover, the strong performance in Skyrizi ($3.43B) and Rinvoq ($1.72B) drove overall Immunology revenue. These two products accounted for 59.8% and 25% of the total Immunology revenue, respectively.

On the other hand, total revenue for Neuroscience reached $2.28 billion, supported by Vraylar, Botox Therapeutic, and Ubrelvy/Qulipta. Oncology revenues rose 5.8% to $1.63 billion, while the Aesthetics portfolio declined 11.7% to $1.10 billion, mainly due to lower Botox Cosmetic sales. AbbVie raised its full-year 2025 adjusted EPS guidance from $11.99–$12.19 to $12.09–$12.29. This outlook includes a $0.13 per share impact from IPR&D and milestone expenses already incurred in 2025. Overall, strong growth in core portfolios supported the company’s upward revision.

AbbVie is expected to report its Q2 2025 earnings on 31 July 2025, before the market opens. The company expects normalized EPS at $2.98 and GAAP EPS at $1.53. Revenue is projected to reach $14.97 billion.

Why Should I Buy AbbVie in 2025?

AbbVie offers strong reasons to consider as a long-term investment. The financial performance discussed above shows that the company continues to grow despite global challenges. Skyrizi sales jumped 70.5% to $3.4 billion, while Rinvoq rose 57.2% to $1.7 billion. Management now expects their combined annual sales to exceed $31 billion by 2027. These products are likely to drive revenue into the 2030s, demonstrating AbbVie’s ability to overcome patent cliffs and sustain growth.

Moreover, the company is investing in innovation. The recent $350 million licensing deal with Gubra A/S adds a promising weight management drug to its pipeline. With around 90 products in development and a strong track record of acquisitions, AbbVie positions itself for sustained success. AbbVie holds Dividend King status, making it a reliable choice for passive income and long-term portfolio growth.

The chart below shows AbbVie’s steady dividend growth from 2013 to 2025, reaching $1.64 per share. This consistent upward trend signals strong financial health and a reliable commitment to rewarding shareholders. Rising dividends enhance investor confidence, making AbbVie an attractive option for long-term income-focused investors.

The chart below compares the stock performance of AbbVie with Pfizer (PFE), Merck (MRK), and Johnson & Johnson (JNJ) since 2013. AbbVie stands out with a 446.9% price increase, far outperforming Johnson & Johnson (130.8%), Merck (92.2%), and Pfizer (2.1%). This strong upward trend reflects AbbVie’s consistent revenue growth, successful drug launches, and strategic acquisitions.

Despite AbbVie’s price growth over the past decade, the company remains an attractive long-term investment. Its expanding drug portfolio, led by Skyrizi and Rinvoq, along with a robust history of dividend growth, highlights its long-term potential. AbbVie has delivered superior returns, making it a compelling choice for investors seeking growth and income.

Long-Term Perspective on AbbVie Technical Performance

Long-Term Price Structure for AbbVie

The technical performance of AbbVie has shown strong growth over the past decade. The stock has formed a series of bullish price patterns that support its long-term uptrend. Notably, inverted head-and-shoulders patterns emerged in 2015 and 2019, which triggered major rallies after breaking above the $100 level.

During 2022 and 2023, the price formed a triangle, indicating consolidation and price compression. The breakout from this triangle in January 2024 marked the initiation of a strong upward trend. Since November 2023, the stock has been trading within an ascending broadening wedge pattern, generating consistent buy signals.

Currently, the stock trades above $160, which now acts as a strong support zone. As long as this level is maintained, the price is likely to continue moving toward the upper resistance of the wedge. Additionally, the RSI on the monthly chart is turning higher from the midline, signaling renewed bullish momentum.

Strong Buy Signals Suggest Upside Potential for AbbVie

The bullish price action for AbbVie is further supported by the weekly chart below, which shows the formation of an inverted head-and-shoulders pattern. The price broke above the dotted neckline, triggering a strong rally that reached a high near the $174–$175 area in April 2022.

Since 2023, the formation of an ascending broadening wedge pattern has pushed the price higher. Strong buy signals emerged in November 2023 and in April 2025. These signals suggest that the stock is likely to move significantly higher, potentially surpassing the $250 level.

Short-term Development and Key Actions for Investors

The short-term price action for AbbVie shows that the stock is consolidating within a key buy zone. This zone is defined by the support level of the ascending broadening wedge pattern identified on the weekly and monthly charts. Consolidation near this support suggests that the stock is forming a bottom and preparing for the next rally.

A breakout above the $200 resistance area would confirm bullish momentum and initiate a strong move toward the $250 level. Key support levels lie at $180 and $160. The $160 area also marks the 38.2% Fibonacci retracement of the current bullish run. As long as the price remains above the $160 support level, the stock is likely to maintain its upward trajectory. Investors can continue to buy AbbVie before the Q2 2025 earnings to profit from the upcoming rally. Any price drop following the earnings release might be limited and could result in a strong rally.

Market Risks

AbbVie remains highly dependent on its immunology segment, with Skyrizi and Rinvoq contributing the majority of revenue growth. Any regulatory setbacks, safety concerns, or slower-than-expected uptake of these drugs could hurt future sales. Moreover, the loss of exclusivity or strong competition may also impact market share.

The company faces patent expiration risks in the coming years. While management has a strong track record of navigating patent cliffs, new drug approvals may not fully offset lost revenues. Delays in its drug pipeline or the failure of key candidates could slow growth.

On the other hand, the economic conditions and changes in healthcare policy pose additional uncertainty. Rising inflation and changes in Medicare pricing rules may impact profitability. Global supply chain issues and pricing pressures can also impact margins and earnings forecasts.

From a technical perspective, the stock price must remain above $160 to maintain a bullish trend. A break below $160 may lead the stock price to fall further.

Final Words

Based on the above discussion, AbbVie presents a strong case for long-term investment. The company has delivered solid financial performance, with rising revenues and a diversified product portfolio. Its flagship immunology drugs, Skyrizi and Rinvoq, continue to exceed expectations. AbbVie’s steady earnings, expanded guidance, and robust development pipeline indicate long-term resilience. Moreover, the dividend track record further enhances its appeal.

From a technical perspective, AbbVie’s price action remains strongly bullish. The stock has formed multiple bullish patterns over the past decade. The formation of an ascending broadening wedge above the inverted head-and-shoulders pattern signals continued strength. Moreover, the short-term price action shows consolidation near a key buy zone, suggesting readiness for another rally. A break above $200 could initiate the next upward leg, with targets near $250. As long as the price holds above $160, the broader uptrend remains intact. By combining fundamental strength with technical momentum, AbbVie stands out as a promising choice for income and growth investors.