One major pharmaceutical/biotech company that I like is AbbVie (ABBV), which was spun out of Abbot Laboratories (ABT) in 2013. It's an international giant, employing 30,000 people in 70 countries.
The company's best-selling drug is the anti-inflammatory Humira, which is used to treat such illnesses as rheumatoid arthritis, psoriasis, and Crohn's Disease. Its second biggest seller at $1.8 billion, is Imbruvica, which is used to treat leukemia patients.
Humira is both a blessing and a curse for AbbVie. Almost two-thirds of the company's total revenue is generated by that one product. In the meantime, AbbVie is developing an impressive pipeline of new products.
The stock yields a very attractive 3.9% at the current price. The dividend was increased by 12.3% at the start of this year. Since it became an independent company in 2013, AbbVie has increased its payout by 60%.
This is an impressive company, with the one negative being its current over-reliance on one product to drive its business. If you are willing to accept that risk, buy the stock for a combination of income and significant growth potential.
