Abbott Laboratories (ABT) is a multinational medical device and healthcare company whose stock have traded nowhere for the past two years. The stagnation was the result of covid-19 and the GLP-1 agonist miracle weight-loss drugs, both of which had limited medical procedures. However, its recent earnings report suggests that it may be turning the corner as its medical device unit generated $4.44 billion in sales, higher than estimates of $4.3 billion. In addition, medical insurers have recently flagged higher medical costs, especially older adults, who had gone back to medical procedures they had delayed during the pandemic.1
On the technical side, the stock has regained its long-term channel.
What is more interesting is that the stock seems to be tracking a very bullish fractal. Should it continue to follow this historical pattern, we may see one more dip before the rally. Here is the fractal: