Matrix Asset Advisors on Abbott Laboratories
Thesis
Matrix initiated a new partial position in Abbott Laboratories after a significant share-price pullback. The fund likes Abbott's diversified healthcare businesses, recurring revenues and strong balance sheet. It also highlights the company's 54 consecutive years of dividend increases. With the shares falling from a 52-week high of $139 to below $90, Abbott traded at less than 16x estimated 2026 earnings, approximately a 25% discount to both the broader market and its own historical valuation, while offering a 2.8% dividend yield at the purchase price.
“We believe that the company is an attractive investment for the portfolio because of its recurring revenues, strong balance sheet, 54 years of dividend increases”