ABT vs. INSM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABT and INSM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ABT’s market capitalization of 233.90 billion USD is substantially larger than INSM’s 18.58 billion USD, indicating a significant difference in their market valuations.
With betas of 0.74 for ABT and 0.79 for INSM, both stocks show similar sensitivity to overall market movements.
| Symbol | ABT | INSM |
|---|---|---|
| Company Name | Abbott Laboratories | Insmed Incorporated |
| Country | US | US |
| Sector | Healthcare | Healthcare |
| Industry | Medical - Devices | Medical - Pharmaceuticals |
| CEO | Robert B. Ford | William H. Lewis |
| Price | 134.44 USD | 97.8 USD |
| Market Cap | 233.90 billion USD | 18.58 billion USD |
| Beta | 0.74 | 0.79 |
| Exchange | NYSE | NASDAQ |
| IPO Date | March 17, 1980 | June 1, 2000 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ABT and INSM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ABT
30.76%
Medical - Devices Industry
- Max
- 49.04%
- Q3
- 9.53%
- Median
- -7.46%
- Q1
- -32.83%
- Min
- -82.64%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Equity of 30.76% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
INSM
-446.98%
Medical - Pharmaceuticals Industry
- Max
- -11.51%
- Q3
- -11.51%
- Median
- -28.40%
- Q1
- -54.57%
- Min
- -54.57%
INSM has a negative Return on Equity of -446.98%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
ABT
19.13%
Medical - Devices Industry
- Max
- 21.88%
- Q3
- 6.63%
- Median
- -1.11%
- Q1
- -21.08%
- Min
- -51.95%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Invested Capital of 19.13% signifies a highly effective use of its capital to generate profits when compared to its peers.
INSM
-56.09%
Medical - Pharmaceuticals Industry
- Max
- 3.07%
- Q3
- 0.40%
- Median
- -9.25%
- Q1
- -9.31%
- Min
- -9.31%
INSM has a negative Return on Invested Capital of -56.09%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
Net Profit Margin
ABT
31.89%
Medical - Devices Industry
- Max
- 44.80%
- Q3
- 9.77%
- Median
- -5.53%
- Q1
- -29.37%
- Min
- -87.68%
A Net Profit Margin of 31.89% places ABT in the upper quartile for the Medical - Devices industry, signifying strong profitability and more effective cost management than most of its peers.
INSM
-265.93%
Medical - Pharmaceuticals Industry
- Max
- -3.80%
- Q3
- -5.21%
- Median
- -8.76%
- Q1
- -9.40%
- Min
- -9.40%
INSM has a negative Net Profit Margin of -265.93%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin
ABT
16.97%
Medical - Devices Industry
- Max
- 30.13%
- Q3
- 13.12%
- Median
- 3.47%
- Q1
- -24.42%
- Min
- -80.56%
An Operating Profit Margin of 16.97% places ABT in the upper quartile for the Medical - Devices industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
INSM
-230.21%
Medical - Pharmaceuticals Industry
- Max
- 4.55%
- Q3
- 0.04%
- Median
- -2.01%
- Q1
- -7.08%
- Min
- -7.08%
INSM has a negative Operating Profit Margin of -230.21%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | ABT | INSM |
|---|---|---|
| Return on Equity (TTM) | 30.76% | -446.98% |
| Return on Assets (TTM) | 16.58% | -56.21% |
| Return on Invested Capital (TTM) | 19.13% | -56.09% |
| Net Profit Margin (TTM) | 31.89% | -265.93% |
| Operating Profit Margin (TTM) | 16.97% | -230.21% |
| Gross Profit Margin (TTM) | 55.89% | 76.16% |
Financial Strength
Current Ratio
ABT
1.78
Medical - Devices Industry
- Max
- 12.68
- Q3
- 6.30
- Median
- 4.05
- Q1
- 1.85
- Min
- 0.01
ABT’s Current Ratio of 1.78 falls into the lower quartile for the Medical - Devices industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
INSM
5.86
Medical - Pharmaceuticals Industry
- Max
- 2.08
- Q3
- 2.08
- Median
- 1.96
- Q1
- 0.82
- Min
- 0.61
INSM’s Current Ratio of 5.86 is exceptionally high, placing it well outside the typical range for the Medical - Pharmaceuticals industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
Debt-to-Equity Ratio
ABT
0.27
Medical - Devices Industry
- Max
- 2.34
- Q3
- 1.09
- Median
- 0.37
- Q1
- 0.08
- Min
- 0.00
ABT’s Debt-to-Equity Ratio of 0.27 is typical for the Medical - Devices industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
INSM
11.53
Medical - Pharmaceuticals Industry
- Max
- 11.35
- Q3
- 6.06
- Median
- 3.76
- Q1
- 2.54
- Min
- 0.28
With a Debt-to-Equity Ratio of 11.53, INSM operates with exceptionally high leverage compared to the Medical - Pharmaceuticals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
ABT
15.39
Medical - Devices Industry
- Max
- 18.18
- Q3
- 7.53
- Median
- 0.85
- Q1
- -9.80
- Min
- -33.94
ABT’s Interest Coverage Ratio of 15.39 is in the upper quartile for the Medical - Devices industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
INSM
-10.72
Medical - Pharmaceuticals Industry
- Max
- 1.42
- Q3
- 0.39
- Median
- -3.07
- Q1
- -7.31
- Min
- -10.72
INSM has a negative Interest Coverage Ratio of -10.72. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | ABT | INSM |
|---|---|---|
| Current Ratio (TTM) | 1.78 | 5.86 |
| Quick Ratio (TTM) | 1.27 | 5.44 |
| Debt-to-Equity Ratio (TTM) | 0.27 | 11.53 |
| Debt-to-Asset Ratio (TTM) | 0.16 | 0.63 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.60 | -0.80 |
| Interest Coverage Ratio (TTM) | 15.39 | -10.72 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABT and INSM. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ABT
1.70%
Medical - Devices Industry
- Max
- 3.57%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.70%, ABT offers a more attractive income stream than most of its peers in the Medical - Devices industry, signaling a strong commitment to shareholder returns.
INSM
0.00%
Medical - Pharmaceuticals Industry
- Max
- 11.18%
- Q3
- 4.37%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
INSM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
ABT
28.92%
Medical - Devices Industry
- Max
- 102.12%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ABT’s Dividend Payout Ratio of 28.92% is in the upper quartile for the Medical - Devices industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
INSM
0.00%
Medical - Pharmaceuticals Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
INSM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ABT | INSM |
|---|---|---|
| Dividend Yield (TTM) | 1.70% | 0.00% |
| Dividend Payout Ratio (TTM) | 28.92% | 0.00% |
Valuation
Price-to-Earnings Ratio
ABT
17.40
Medical - Devices Industry
- Max
- 90.56
- Q3
- 56.92
- Median
- 43.19
- Q1
- 21.79
- Min
- 5.55
In the lower quartile for the Medical - Devices industry, ABT’s P/E Ratio of 17.40 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
INSM
-17.46
Medical - Pharmaceuticals Industry
- Max
- --
- Q3
- --
- Median
- --
- Q1
- --
- Min
- --
INSM has a negative P/E Ratio of -17.46. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
Forward P/E to Growth Ratio
ABT
1.73
Medical - Devices Industry
- Max
- 6.56
- Q3
- 3.52
- Median
- 2.22
- Q1
- 0.55
- Min
- 0.03
ABT’s Forward PEG Ratio of 1.73 is within the middle range of its peers in the Medical - Devices industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
INSM
2.71
Medical - Pharmaceuticals Industry
- Max
- 2.76
- Q3
- 2.07
- Median
- 1.38
- Q1
- 0.69
- Min
- 0.00
A Forward PEG Ratio of 2.71 places INSM in the upper quartile for the Medical - Pharmaceuticals industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
Price-to-Sales Ratio
ABT
5.52
Medical - Devices Industry
- Max
- 15.74
- Q3
- 8.12
- Median
- 3.40
- Q1
- 2.37
- Min
- 0.42
ABT’s P/S Ratio of 5.52 aligns with the market consensus for the Medical - Devices industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
INSM
48.76
Medical - Pharmaceuticals Industry
- Max
- 5.74
- Q3
- 5.74
- Median
- 5.66
- Q1
- 2.83
- Min
- 0.07
With a P/S Ratio of 48.76, INSM trades at a valuation that eclipses even the highest in the Medical - Pharmaceuticals industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
ABT
4.81
Medical - Devices Industry
- Max
- 16.65
- Q3
- 8.03
- Median
- 3.73
- Q1
- 1.92
- Min
- 0.65
ABT’s P/B Ratio of 4.81 is within the conventional range for the Medical - Devices industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
INSM
178.38
Medical - Pharmaceuticals Industry
- Max
- 130.20
- Q3
- 55.61
- Median
- 10.51
- Q1
- 5.88
- Min
- 1.39
The P/B Ratio is often not a primary valuation metric for the Medical - Pharmaceuticals industry.
Valuation at a Glance
| Symbol | ABT | INSM |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 17.40 | -17.46 |
| Forward PEG Ratio (TTM) | 1.73 | 2.71 |
| Price-to-Sales Ratio (P/S, TTM) | 5.52 | 48.76 |
| Price-to-Book Ratio (P/B, TTM) | 4.81 | 178.38 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 35.14 | -23.54 |
| EV-to-EBITDA (TTM) | 21.49 | -20.76 |
| EV-to-Sales (TTM) | 5.68 | 50.70 |