AeroVironment (AVAV) Drops 19.45% After US Government Stops SCAR Program Work
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 25 2026
0mins
Should l Buy ABT?
Source: Benzinga
- AeroVironment Decline: AeroVironment's stock plummeted 19.45% this week after the US government issued a stop work order on the SCAR program, which could significantly hinder its future revenue and project timelines.
- DraftKings Legal Challenge: DraftKings fell 14.4% this week as a Massachusetts judge allowed the state to block Kalshi from offering sports-related contracts, potentially limiting DraftKings' market share in the state.
- Abbott Sales Miss: Abbott Laboratories' stock dropped 12.23% this week after reporting fourth-quarter sales results that fell short of expectations, along with first-quarter adjusted EPS guidance below analyst estimates, which may undermine investor confidence.
- Flutter Entertainment Downgrade: Flutter Entertainment's stock decreased 13.07% this week as multiple analysts lowered their price forecasts, reflecting market concerns about its future growth prospects.
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Analyst Views on ABT
Wall Street analysts forecast ABT stock price to rise
19 Analyst Rating
17 Buy
2 Hold
0 Sell
Strong Buy
Current: 116.350
Low
136.00
Averages
148.11
High
169.00
Current: 116.350
Low
136.00
Averages
148.11
High
169.00
About ABT
Abbott Laboratories is a global healthcare company. The Company’s principal business is the discovery, development, manufacture, and sale of a broad and diversified line of healthcare products. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. Diagnostic Products segment is involved in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories and alternate-care testing sites. Nutritional Products segment is engaged in the worldwide sales of a broad line of adult and pediatric nutritional products. Medical Devices segment is involved in the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation and diabetes care products. It serves people in more than 160 countries.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Revenue Growth: Abbott Laboratories reported a 5.7% increase in revenue for 2025, reaching $44.3 billion, with adjusted earnings per share (EPS) rising 10% to $5.15, indicating recovery potential in its medical devices and pharmaceuticals sectors, although total revenue has yet to return to pre-pandemic peaks.
- Acquisition Deal: Abbott is finalizing its $23 billion acquisition of Exact Sciences, which saw an 18% revenue increase to $3.2 billion in 2025, expected to enhance Abbott's diagnostics segment and strengthen its foothold in the rapidly growing oncology diagnostics market.
- Market Challenges: Despite strong growth in Abbott's medical devices and pharmaceuticals, sales in its nutrition and diagnostics segments have stagnated due to legal issues and FDA recalls related to FreeStyle Libre 3, leading to diminished investor interest in the stock.
- Future Outlook: Abbott anticipates adjusted EPS for 2026 to be in the range of $5.55 to $5.80, a 10% increase, while the cancer diagnostics market is projected to grow from $109.6 billion in 2024 to $155 billion by 2030, showcasing the company's long-term growth potential in the healthcare sector.
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- Dividend Growth Record: Abbott Labs has raised its dividends for 54 consecutive years, with a 6.8% increase in 2023, reflecting its strong cash flow and profitability, which boosts investor confidence and solidifies its status as a 'Dividend King'.
- Acquisition-Driven Growth: Abbott is finalizing a $23 billion acquisition of Exact Sciences, which saw an 18% revenue increase to $3.2 billion in 2025, expected to enhance Abbott's diagnostics segment and strengthen its foothold in the rapidly growing cancer testing market.
- Core Business Recovery: While Abbott's total revenue rose 5.7% to $44.3 billion in 2025 and adjusted EPS increased 10% to $5.15, challenges from lawsuits and recalls related to FreeStyle Libre 3 have impacted some segments, affecting overall market performance.
- Optimistic Market Outlook: Abbott's Volt Pulsed Field Ablation system has received FDA approval, potentially treating 12 million U.S. patients over 65 with atrial fibrillation, with expectations for this number to double in the next two decades, indicating significant growth potential in cardiac care.
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