Abbott Laboratories (ABT) is overvalued and Stryker Corp (SYK) is overvalued.
Both trade above our estimate of their intrinsic value. SYK is the closer of the two: -35%, against -48% for ABT.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.3% (average of 3 methods) values the shares at $70.00; the price of $103.69 is 48% above that value, and 78% of that value comes from beyond year five.
Leak Score 57/100 on 10 of 12 signals
Discounting its cash flows at 8.7% (average of 3 methods) values the shares at $204.41; the price of $275.09 is 35% above that value, and 77% of that value comes from beyond year five.
Leak Score 65/100 on 10 of 12 signals
| Metric | ABT | SYK |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $103.69 | $275.09 |
| Intrinsic value | $70.00 | $204.41 |
| Margin of safety | -48% | -35% |
| Leak Score | 57/100 (10/12) | 65/100 (10/12) |
| Market cap | $179.4B | $105.5B |
| Revenue growth, 5 years | 5.1% | 11.8% |
| Operating margin | 16.4% | 24.3% |
| Net margin | 11.6% | 14.4% |
| Return on equity | 10.6% | 16.5% |
| Debt to equity | 0.64 | 0.64 |
| P/E | 33.5x | 28.5x |
| Forward P/E | 17.1x | 16.4x |
| P/B | 3.5x | 4.4x |
| Dividend yield | 2.5% | 1.3% |