Abbott Laboratories (ABT)vsGlaxoSmithKline PLC ADR (GSK)
ABT
Abbott Laboratories
$104.83
+0.74%
HEALTHCARE · Cap: $180.82B
GSK
GlaxoSmithKline PLC ADR
$54.71
+3.32%
HEALTHCARE · Cap: $104.12B
Smart Verdict
WallStSmart Research — data-driven comparison
Abbott Laboratories generates 36% more annual revenue ($44.33B vs $32.67B). GSK leads profitability with a 17.5% profit margin vs 14.7%. GSK appears more attractively valued with a PEG of 0.50. GSK earns a higher WallStSmart Score of 70/100 (B).
ABT
Buy51
out of 100
Grade: C-
GSK
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-315.5%
Fair Value
$25.23
Current Price
$104.83
$79.60 premium
Margin of Safety
+66.0%
Fair Value
$172.22
Current Price
$54.71
$117.51 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Strong operational efficiency at 21.6%
Generating 2.6B in free cash flow
Growing faster than its price suggests
Every $100 of equity generates 43 in profit
Earnings expanding 54.7% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Generating 1.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
Moderate valuation
4.4% revenue growth
Weak financial health signals
Trading at 10.1x book value
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ABT
The strongest argument for ABT centers on Market Cap, Operating Margin, Free Cash Flow.
Bull Case : GSK
The strongest argument for GSK centers on PEG Ratio, Return on Equity, EPS Growth. Profitability is solid with margins at 17.5% and operating margin at 18.9%. PEG of 0.50 suggests the stock is reasonably priced for its growth.
Bear Case : ABT
The primary concerns for ABT are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : GSK
The primary concerns for GSK are Price/Book, Debt/Equity, Altman Z-Score.
Key Dynamics to Monitor
ABT profiles as a value stock while GSK is a mature play — different risk/reward profiles.
ABT carries more volatility with a beta of 0.74 — expect wider price swings.
GSK is growing revenue faster at 6.2% — sustainability is the question.
ABT generates stronger free cash flow (2.6B), providing more financial flexibility.
Bottom Line
GSK scores higher overall (70/100 vs 51/100), backed by strong 17.5% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Abbott Laboratories
HEALTHCARE · MEDICAL DEVICES · USA
Abbott Laboratories is an American multinational medical devices and health care company with headquarters in Abbott Park, Illinois, United States. The company was founded by Chicago physician Wallace Calvin Abbott in 1888 to formulate known drugs; today, it sells medical devices, diagnostics, branded generic medicines and nutritional products. It split off its research-based pharmaceuticals business into AbbVie in 2013.
Visit Website →GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
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