Will AbbVie's Neuroscience Portfolio Continue to Aid Top-line Growth?

AbbVie ABBV has built a robust neuroscience franchise over the years. Though the segment was initially heralded by blockbuster medications like Botox Therapeutic and the depression drug Vraylar, the company has significantly expanded its offerings to include new migraine drugs Qulipta and Ubrelvy, and most recently, Vyalev (for Parkinson’s disease).The neuroscience segment, which has become a significant contributor to the company’s top-line growth, accounted for over 17% of AbbVie’s total sales in the first half of 2025. The franchise’s revenues grew nearly 21% year over year, driven by higher sales of Botox Therapeutic and Vraylar, coupled with the increasing uptake for Ubrelvy and Qulipta. This robust performance has helped offset the declining Duodopa sales.Earlier this year, the company commercially launched Vyalev in the United States. While this drug’s sales have been modest, we expect its contribution to total revenues to increase over time.AbbVie also continues to invest in new and promising therapies in the neuroscience space. It recently entered into a definitive agreement to acquire Gilgamesh Pharmaceuticals’ lead pipeline drug for a total deal value of nearly $1.2 billion. Once closed, the deal will add Gilgamesh’s novel psychedelic compound, which is being developed in a mid-stage study for major depressive disorder (MDD). This deal follows the $1.4 billion acquisition of Aliada Therapeutics, completed in December, which added an investigational antibody for Alzheimer’s disease (AD).With such strategic acquisitions expanding the company’s pipeline and the existing marketed drugs driving sales, AbbVie’s neuroscience business seems well-positioned to continue making meaningful contributions to top-line growth in the quarters ahead.Competition in the Neuroscience SpaceOther bigger players in the neurosciences space are Biogen BIIB and Johnson & Johnson JNJ.Due to the steeply declining revenues of its multiple sclerosis franchise, Biogen is diversifying into novel neuroscience therapies. BIIB, along with partner Eisai, is one of the two companies that market an FDA-approved treatment for AD, Leqembi. Biogen also markets Zurzuvae, the first and only FDA-approved oral treatment for postpartum depression (PPD).J&J markets several leading neuroscience products, led by the blockbuster antidepressant nasal spray Spravato and antipsychotic drug Invega Sustenna. Both remain key growth drivers for the company’s pharma unit. In April, J&J closed the acquisition of Intra-Cellular Therapies, which added antidepressant drug Caplyta to its neuroscience portfolio. While already approved for schizophrenia and bipolar depression, a regulatory filing is under FDA review for the drug in a third indication — MDD — with a regulatory decision expected later this year.ABBV’s Price Performance, Valuation and EstimatesShares of AbbVie have outperformed the industry year to date, as seen in the chart below.Image Source: Zacks Investment ResearchFrom a valuation standpoint, AbbVie is trading at a premium to the industry. Based on the price/earnings (P/E) ratio, the company’s shares currently trade at 15.59 times forward earnings, slightly higher than its industry’s average of 14.84. The stock is also trading above its five-year mean of 12.82.Image Source: Zacks Investment ResearchEPS estimates for 2025 and 2026 have increased slightly in the past 30 days.Image Source: Zacks Investment ResearchAbbVie currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Biogen Inc. (BIIB): Free Stock Analysis Report Johnson & Johnson (JNJ): Free Stock Analysis Report AbbVie Inc. (ABBV): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks