Edward

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Although we have been seeing a decreased inventory turn over this year due to the oversupply and under demand of COVID testing kits, this winter we expect our sales and demand to increase, boosting our profits and inventory turnover.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s Working Capital Turnover (WCT) as of 9/30/23 is 4.15 which is greater than the WCT from exactly one year ago of 3.92.

With a higher working capital ratio, we have a greater ability to pay our liabilities which includes short term loans.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Our stock price has increased 10.73% this past month to $105.19.

The higher stock price shows that Abbott’s value is increasing, which may assist in raising capital and borrowing money from banks!

We look forward to increasing our stock price higher!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s cash on hand was $7.047B (-28.87% YOY) in the quarter ending September 30, 2023.

Although that is a decrease from years prior, we believe that we will stand strong fiscally over any unforeseen challenges in the coming months.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s inventory for the quarter ending September 30, 2023 was $6.650B which was an increase if 15.97% year over year.

Although we have bought more goods than what’s being sold, we are predicting sales in the coming months to increase leading to profit!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Our current Cash Conversion Cycle (CCC) is 109.99 which is lower than Pfizer’s CCC of 118.27.

This shows that we are doing a better job on converting our inventory into cash, exemplifying our efficient operations.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 If you invest into Abbott, when will you get your dividend?

Dividends are paid quarterly:

Feb. 15
May 15
Aug. 15
Nov. 15

These dividends are paid to shareholders of record who own the stock about 30 days before these pay dates.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott has increased its respective dividend payout for 51 consecutive years.

We plan on continuing this trend as Abbott is growing in its innovation for a healthier tomorrow!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 We stand proud with our dividend policy as we have declared 399 consecutive quarterly dividends since 1924!

As long as Abbott is striving, our dividends will be providing!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s journey as a publicly traded company began in 1929 when we made our debut on the Chicago Stock Exchange. Our Initial Public Offering (IPO) included 20,000 shares at $32 per share.

To this day we are committed to healthcare and return on investments!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 The Weighted Average Cost of Capital (WACC) is an important tool that investors use.

WACC is the average rate at which a business pays to finance their assets. A lower WACC is more attractive to investors, as it shows a potential higher return on investment.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s WACC at 8.10% is less than Stryker Corp’ WACC of 9.24%.

A lower WACC is more attractive to investors as it shows it is more likely to earn a higher rate of return compared to a higher WACC.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 While our 1 year return stand at -6.52%, our 5 year return paints a different picture with +34.90%. This underscores our focus on delivering sustainable, long term value to our investors.

There are ups and downs, but our commitment for growth is unwavering!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 The biotech sector is currently experiencing a trend of declining stock prices.

While our stock stands 2.85% below last month, we remain resolute in the commitment of innovation as we continue to launch new ideas that benefit our patients and investors.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott’s standard deviation is 1.25 compared to Pfizer’s 1.4. This shows our stability in comparison to other companies, making Abbott a safer investment.

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott acquired St. Jude Medical for an all time high of $25B.

By acquiring St. Jude Medical, we place ourselves at the forefront for chronic pain management and cardiovascular devices. We look forward to increasing our earnings multiples of times!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Our NWC has grown to $3.284B as of June 23’!

With this, we’re equipped to seize growth opportunities, invest in innovation, and pass through economic fluctuations!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Capital budgeting is crucial for us. It’s the process where we evaluate, prioritize, and decide on long term investments.

Why is this important?
It shapes our economic future and fuels innovation. Also, enhances value for our patients and shareholders!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 In Dec 22’ we proudly unveiled our metabolic powder nutritional products manufacturing facility in Green, Ohio. This project is a $500M investment, to be completed by 2026. We will multiply our earnings through the state of the art and efficient facility!

[Edward @Fall23ABTCFO]

@ProfLowell #FIN2209 Abbott started at $90.91 per share today, closing at $92.18. This marks a gain of $1.27 per share and a positive of 1.39%!