Share price of IL-based Abbott Laboratories ABT scaled a new 52-week high of $46.55 on Jun 2, eventually closing a bit lower at $46.50. The stock has a market cap of $80.69 billion.

Over the last one year, this Zacks Rank #2 (Buy) company has steadily outshined the Zacks categorized Medical - Products with respect to share price. The stock has climbed 18.7%, way higher than the broader industry’s gain of 10.5%. The share price trend has also outweighed the S&P 500’s gain of 15.8% over the same period.

Further, the company’s estimate revision trend for the current year is favorable. In the past 60 days, five estimates have moved up with no downward revision. The magnitude of estimate revision over the same time period inched up roughly 1% to $2.47 per share.

The company also has a trailing four-quarter average positive earnings surprise of 4.67%.

Abbott Laboratories Price and Consensus

Abbott Laboratories Price and Consensus | Abbott Laboratories Quote

Growth Catalysts

The latest 52-week high came on the back of extensive product expansion and diversification. Recently, Abbott Laboratories announced CE mark and first use of Confirm Rx Insertable Cardiac Monitor (ICM). It has been touted to be the world's first smartphone compatible ICM that will help physicians identify cardiac arrhythmias to help guide therapy. Management claims that post approval, adoption of the device has been strong and implants have taken place in 10 countries across Europe.

This apart, the company has received CE mark for its TactiCath Contact Force Ablation Catheter, which has been developed to help physicians treat atrial fibrillation, a condition in which the upper chambers of the heart beat very fast, more effectively.

Abbott Laboratories has also introduced two science-based nutrition drinks for patients undergoing surgery – EnsureSurgery Immunonutrition Shake and EnsurePre-Surgery Clear Nutrition Drink.

Meanwhile, we expect the company to benefit from the ongoing integration and synergy achievement at St. Jude Medical. The combined portfolio will deliver greater value to customers and payors with products like EnSite Precision, ConfirmRx, HeartMate 3, Portico Transcatheter Aortic Heart Valves and Proclaim DRG system. In terms of the integration of St. Jude Medical into AbbottLaboratories, the consolidated company has started to generate positive outcome.

Thus, the above-mentioned factors are expected to drive the company’s share price in the days ahead.

We are also looking forward to the company’s impending acquisition of Alere which has been extended to Sep 30, 2017. The buyout has attractive prospects for AbbottLaboratories’ Point-of-care testing within the in vitro diagnostics market.

Other Key Picks

Other top-ranked medical stocks include Align Technology, Inc. ALGN, Inogen, Inc. INGN and Accelerate Diagnostics, Inc. AXDX. Notably, Align Technologyand Inogen sport a Zacks Rank #1 (Strong Buy), while Accelerate Diagnostics carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Align Technologyhas an expected long-term adjusted earnings growth of almost 22.8%. The stock added roughly 45.7% over the last three months.

Inogen has a long-term expected earnings growth rate of 17.5%. The stock has a solid one-year return of around 79.7%.

Accelerate Diagnostics has an expected long-term adjusted earnings growth of 30%. The stock added roughly 14% over the last three months.

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