TacticScaleWhat Abbott Laboratories Does & How It Makes Money (ABT)
Updated October 2026 · reflects Abbott Laboratories's latest reported financials
Diversified healthcare company making medical devices, diagnostics, nutrition, and generic drugs. Abbott makes money by selling products in four segments: medical devices, diagnostic instruments and the test cartridges and kits they use, nutritional products, and established generic pharmaceuticals.
How Abbott Laboratories makes money
Abbott makes money by selling products in four segments: medical devices, diagnostic instruments and the test cartridges and kits they use, nutritional products, and established generic pharmaceuticals. Its customers include health care providers, laboratories, and consumers worldwide.
What Abbott Laboratories does
Abbott Laboratories is a diversified healthcare company founded in 1888 and based in Abbott Park, Illinois. It runs four segments: Medical Devices, Diagnostic Products, Nutritional Products, and Established Pharmaceutical Products. The device business covers cardiovascular treatment (rhythm management, electrophysiology, heart failure, vascular, and structural heart), diabetes care such as glucose monitoring systems, and neuromodulation. In diagnostics, Abbott sells laboratory systems for immunoassay, clinical chemistry, hematology, and transfusion testing, as well as molecular PCR systems, point-of-care cartridges, and rapid tests for conditions such as HIV, SARS-CoV-2, influenza, RSV, and strep A. It also sells pediatric and adult nutrition products, including infant formula, and generic medicines for gastrointestinal, cardiometabolic, hormonal, pain, and other conditions. Because it sells across so many product types, it does not depend on any single one.
Products & services
- Glucose and blood glucose monitoring systems
- Cardiovascular devices (rhythm management, electrophysiology, heart failure, vascular, structural heart)
- Laboratory and molecular diagnostic systems
- Point-of-care and rapid lateral flow tests
- Pediatric and adult nutrition and infant formula
- Neuromodulation devices
What is Abbott Laboratories worth?
On an owner-earnings DCF, Abbott Laboratories's most-likely value is about $119 versus a recent price near $100 (19% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$51) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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