In a bid to boost shareholder value Abbott Laboratories (NYSE: ABT ) split itself in half a year ago. The company packaged its U.S. drug portfolio and pipeline into AbbVie (NYSE: ABBV ) , leaving it with its medical device and equipment products and responsibility for overseas drug sales.
The split insulates the more stable growth business of selling infant formula, lab tools, and stents from the more volatile, hit-and-miss business of drug development. It allows less risk adverse investors to own Abbott for its steady growth in established markets and more risk tolerant investors to take a chance on emerging drugs in AbbVie's pipeline including treatments for hepatitis C and cancer.
Source: Motley Fool
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1 Year After the Spin-Off, Abbott Laboratories Looks Like a Winner
Posted by D4L | Saturday, January 25, 2014 | ArticleLinks | 0 comments »________________________________________________________________
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