Abbott (ABT, $111.90) unveils $5, 15-minute coronavirus test

Abbott Laboratories unveiled a $5, 15-minute coronavirus test that was given an emergency approval from the U.S. government.

The healthcare and medical device company’s portable antigen test, is to be called BinaxNOW. Earlier this week, the the Food & Drug Administration gave an emergency nod to it.

Abbott hopes to have the capacity for 50 million tests per month by early October. 

The company also launched a free-to-use iPhone app, NAVICA, that would allow users who test negative for the COVID-19 virus to show the information to others.

"We intentionally designed the BinaxNOW test and NAVICA app so we could offer a comprehensive testing solution to help Americans feel more confident about their health and lives," said CEO Robert Ford.

According to Tickeron, ABT enters an Uptrend as Momentum Indicator exceeded the 0 level on August 21, 2020

This indicator signals that ABT's price has momentum to move higher, since its current price moved above its price 14 days ago. Traders may consider buying the ticker or exploring call options. In 49 of 79 cases where ABT's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 62%.

Current price $111.86 is above $101.75 the highest resistance line found by A.I. Throughout the month of 07/27/20 - 08/26/20, the price experienced a +3% Uptrend. During the week of 08/19/20 - 08/26/20, the stock enjoyed a +3% Uptrend growth.

Technical Analysis (Indicators)

Bullish Trend Analysis

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ABT advanced for three days, in 207 of 349 cases, the price rose further within the following month. The odds of a continued Uptrend are 59%.

The Aroon Indicator entered an Uptrend today. In 156 of 337 similar cases where ABT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 46%.

Bearish Trend Analysis

The RSI Indicator appears to be shifting from an Uptrend to a Downtrend. In 21 of 42 cases where ABT's RSI indicator exited the overbought zone, the price fell further within the following month. The odds of a continued Downtrend are 50%.

The Stochastic Indicator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.

The Moving Average Convergence Divergence (MACD) crossed below the signal line. In 18 of 49 cases where ABT's MACD histogram became negative, the price fell further within the following month. The odds of a continued Downtrend are 37%.

Fundamental Analysis (Ratings)

Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 73%. During the last month, the daily ratio of advancing to declining volumes was 1.6 to 1.

The Tickeron Valuation Rating of 6 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.97) is normal, around the industry mean (-2.16). P/E Ratio (59.47) is within average values for comparable stocks, (140.72). Projected Growth (PEG Ratio) (7.91) is also within normal values, averaging (7.24). ABT's Dividend Yield (1.52) is considerably higher than the industry average of (0.11). P/S Ratio (5.19) is also within normal values, averaging (98.62).

The Tickeron Profit vs. Risk Rating rating for this company is 12 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock better than average.

The Tickeron Price Growth Rating for this company is 21 (best 1 - 100 worst), indicating outstanding price growth. ABT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron PE Growth Rating for this company is 50 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron SMR rating for this company is 51 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.