■ Analysis · July 31, 2026
AbbVie's 53-Year Dividend Streak and Growth Outlook
AbbVie has raised dividends for 53 straight years, with revenue growth and a forward yield of 2.7%. Analysts project strong EPS growth through 2028.
Dividend Streak and Valuation
AbbVie (NYSE: ABBV) has increased its dividend for 53 consecutive years, including its time as part of Abbott Laboratories (NYSE: ABT) until 2013. This places it among the elite Dividend Kings, companies with at least five decades of payout growth. Despite its blue-chip status, AbbVie's stock has delivered a 125% price gain over the past five years, and a total return of 170% with dividends reinvested. At 18 times forward earnings, the shares remain attractively priced relative to historical averages.
Diversification Beyond Humira
In 2018, Humira accounted for 61% of AbbVie's revenue. To reduce that dependence, the company launched two immunology drugs, Skyrizi and Rinvoq, in 2019, and acquired Allergan in 2020 for $63 billion. These moves helped offset the loss of U.S. patent exclusivity for Humira in 2023. From 2021 to 2025, revenue grew from $56.1 billion to $61.2 billion, despite biosimilar competition. Adjusted EPS declined from $11.85 to $10.00 over the same period, due to lower Humira margins, upfront charges from acquisitions of ImmunoGen and Cerevel Therapeutics, and increased R&D spending.
Annual free cash flow fell from $22.0 billion in 2021 to $17.8 billion in 2025, but still comfortably covered dividend payments, which rose from $9.3 billion to $11.7 billion over that span.
Growth Drivers Ahead
Analysts project AbbVie's revenue and adjusted EPS to grow at compound annual rates of 9% and 21%, respectively, from 2025 to 2028. Key drivers include stabilizing Humira sales, rapid growth of Skyrizi and Rinvoq, and contributions from ImmunoGen's antibody-drug conjugates and Cerevel's neuroscience pipeline. Skyrizi and Rinvoq are already approved for inflammatory bowel disease, plaque psoriasis, and other conditions, with additional indications expected. AbbVie forecasts combined sales of over $31 billion for these two drugs by 2027, representing about 43% of projected revenue. Both drugs have patent protection well into the 2030s, providing a solid foundation for future growth.
AbbVie's forward yield of 2.7% is lower than the 10-year Treasury's 4.6% and Pfizer's (NYSE: PFE) 7% yield, but AbbVie has significantly outperformed Pfizer, which has lost over 40% of its value in five years. AbbVie's consistent dividend growth and strong cash flow support its ability to continue raising payouts.
What it means for income investors
AbbVie's long dividend history and projected earnings growth suggest a stable income stream. The company's payout is well covered by free cash flow, and its diversified portfolio reduces reliance on any single product.
Reporting based on: The Motley Fool. Figures verified against market data where available.