New York, Jan 27, 2026, 12:35 ET — Regular session
- ABT dipped roughly 1.2% to $107.49 by midday, following Monday’s close at $108.77
- CEO Robert Ford revealed in an SEC filing that he acquired 18,800 shares
- Investors continue to weigh Abbott’s latest outlook as healthcare sentiment cools amid policy news
Shares of Abbott Laboratories dropped roughly 1.2% to $107.49 by midday Tuesday, erasing some of Monday’s gains. A Form 4 filing dated Jan. 26 revealed that Chairman and CEO Robert Ford purchased 18,800 shares on Jan. 23. (SEC)
The stock’s volatility is significant as Abbott continues to grapple with fallout from last week’s quarterly update, which highlighted challenges in its nutrition segment. Ford’s acquisition offers a rare short-term signal to calm jitters, but it doesn’t resolve the underlying concerns that sparked the selloff.
Tuesday’s action offered little support. The S&P 500 climbed to a new record, but the Dow slipped as health insurers fell after a proposal suggested near-flat Medicare Advantage payments for 2027 — the private Medicare alternative. The health-care sector dropped about 1.4%, according to MarketWatch data. By 11:31 a.m. ET, the Dow was down 0.63%, while the S&P 500 and Nasdaq gained 0.52% and 1.01%, Reuters reported, coinciding with the Federal Reserve’s start of a two-day policy meeting. (Reuters)
Abbott climbed 1.26% to $108.77 on Monday, ending a six-day skid and outpacing rivals Johnson & Johnson, Pfizer, and Merck. Volume surged to about 19 million shares, well above its 50-day average near 7.5 million, MarketWatch reported. (MarketWatch)
Ford’s Form 4 — the SEC filing that details insider trades — showed the purchase at an average price of $107.1259, with individual trades ranging from $106.735 to $107.485. After the deal, the filing reported 253,305 Abbott shares held outright and another 216,203 held indirectly via the Ford Family Trust.
Abbott’s stock remains driven largely by its guidance. On Jan. 22, the company projected first-quarter adjusted earnings between $1.12 and $1.18 per share, falling short of analysts’ consensus. After missing fourth-quarter revenue targets, the stock dropped roughly 7% that day. Nutrition sales tumbled 8.9% to $1.94 billion, while diagnostics revenue dipped 2.5% to $2.46 billion. Ford noted the company expects “a couple quarters where nutrition growth is challenged,” before bouncing back to positive growth in the latter half. (Reuters)
Beyond Abbott, policy concerns are dragging down health-care stocks. The Trump administration floated a 0.09% average hike in 2027 Medicare Advantage payment rates—well below analyst forecasts—prompting a sharp drop in insurer shares. Baird’s Michael Ha warned the move could trigger “significant benefit reductions or plan exits.” Final rates usually get locked in by early April. (Reuters)
But the CEO’s purchase doesn’t alter the downside risks if ongoing nutrition pricing pressure drags volumes lower for longer than management anticipates. Abbott also faces headline risk in India. A Reuters review revealed that Abbott Healthcare’s supply chain is under investigation for alleged abuse and diversion of the codeine-based cough syrup Phensedyl. Abbott said it cooperated with authorities and halted production and sales of the drug in December 2024. (Reuters)
Traders are focused on whether Abbott can maintain this week’s lows following Monday’s sharp, high-volume rebound. Meanwhile, longer-term investors await clear signs that nutrition steadies according to Ford’s timeline and that the diagnostics slowdown he mentioned eases as anticipated.
The next major event for the markets is the Fed’s statement on Wednesday, Jan. 28, wrapping up its policy meeting that starts Tuesday. A change in tone could quickly shake up rate-sensitive trades. Abbott is behaving like a stock still searching for a fresh narrative. (Kiplinger)
