SafetyMargin.ioSafetyMargin.io
BlogWatchlistCompare
Compare Stocks › ABBV vs EME

AbbVie Inc. (ABBV) vs EMCOR Group, Inc. (EME): Which Is the Better Buy in 2026?

As of 2026-11-01, ABBV is overvalued at $295, with a DCF intrinsic value of $172 and a margin of safety of -71%. EME is undervalued at $680, with an intrinsic value of $930 and a margin of safety of 27%. Of the two, EME has the wider margin of safety.

ABBV
AbbVie Inc.
$294.89
VS
EME
EMCOR Group, Inc.
$679.55

Rewards

ABBV
  • ★AbbVie Inc. has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • ★Gross margin of 73.7% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★AbbVie Inc. scores 82/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
EME
  • ★EMCOR Group, Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★EMCOR Group, Inc. scores 86/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
  • ★Free cash flow has grown at a 38.4% CAGR over the past 4 years, demonstrating strong earnings power growth.

Risks

ABBV
  • ⚠Buybacks have been poorly timed — 3 out of 4 years involved repurchases at relatively expensive valuations.
  • ⚠Insiders have sold $8.2M worth of stock in the past 3 months — significant insider liquidation.
  • ⚠Free cash flow has declined at a 9.8% CAGR over the past 4 years — a concerning trend.
EME
  • ⚠Gross margin of 19.6% is low, suggesting a competitive or commodity-like market with limited pricing power.

Key Valuation Metrics

Learn more →
ABBV
EME
Valuation
N/A
Free Cash Flow
$1.29B
N/A
FCF Yield
4.32%
50.67
Trailing P/E
19.65
18.24
Forward P/E
17.21
Quality & Moat
29.08%
ROIC
33.86%
N/A
ROE
40.55%
73.72%
Gross Margin
19.59%
0.60
PEG Ratio
1.45
Balance Sheet Safety
N/A
Net Debt / Equity
Net cash
N/A
Interest Coverage
N/A
2.03
Net Debt / EBITDA
-0.10
2.35%
Dividend Yield
0.24%
ABBV: 3Ties: 1EME: 4
ABBVEME

Historical Fundamentals

Learn more →
ABBV

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

EME

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

$1 Retained Earnings Test

Learn more →
ABBV
N/A
Net losses over 3 years — test not applicable
Company had negative cumulative retained earnings
Σ Retained
$-19.85B
Δ Market Cap
+$118.02B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
EME
$7.23
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$2.79B
Δ Market Cap
+$20.18B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

Learn more →
ABBV
71.5% Overvalued
Price is 71.5% above estimated fair value
Current Price: $294.89
Fair Value: $172.00
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
EME
27.0% Margin of Safety
Price is 27.0% below estimated fair value
Current Price: $679.55
Fair Value: $930.50
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

Learn more →
ABBV

Requires positive FCF to compute implied growth rate.

EME

What growth rate is the market pricing in at $680?

+9.0%
Market-Implied Owner Earnings Growth
Standard FCF implies +9.6%

The market implies +9.0% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding +9.6%, reflecting heavy growth investment expected to generate future returns.

Economic Moat Score

Learn more →
ABBV
82/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat with strength across all dimensions. Reinvestment Efficiency is the standout factor.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
EME
86/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by roic consistency. Margin Stability is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

Learn more →
ABBV
-2.86
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
EME
-2.30
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

Learn more →
ABBV
Insiders 0.1%Institutions 77.4%Retail & Other 22.5%
No. of Institutional Holders5,303
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
EME
Insiders 0.7%Institutions 97.3%Retail & Other 2.0%
No. of Institutional Holders1,709
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

Learn more →
ABBV
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
EME
1
Buys (3M)
1
Buys (12M)
Total value (12M): $2,300
MCEVOY MICHAEL KEVIN
Director
$2,300
@ $766.67 · 2026-09-01
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

Learn more →
ABBV
1
Sells (3M)
4
Sells (12M)
Total value (12M): $18.92M
DONOGHOE NICHOLAS
Officer
$8.18M
@ $250.00 · 2026-08-14
PURDUE DAVID RYAN
Officer
$1.22M
@ $233.56 · 2026-03-04
SIATIS PERRY C.
General Counsel
$4.38M
@ $234.39 · 2026-03-02
SIATIS PERRY C.
General Counsel
$5.15M
@ $230.00 · 2026-02-25
SALEKI-GERHARDT AZITA
Chief Operating Officer
$8.41M
@ $198.42 · 2025-08-12
DONOGHOE NICHOLAS
Officer
$2.64M
@ $198.51 · 2025-08-05
STEWART JEFFREY RYAN
Officer
$12.36M
@ $210.08 · 2025-03-31
REENTS SCOTT T.
Chief Financial Officer
$3.75M
@ $212.34 · 2025-03-14
GONZALEZ RICHARD A
Director
$20.26M
@ $205.45 · 2025-03-03
RICHMOND TIMOTHY J
Officer
$4.47M
@ $210.45 · 2025-03-03
SIATIS PERRY C.
General Counsel
$5.82M
@ $208.69 · 2025-03-03
RICHMOND TIMOTHY J
Officer
$6.07M
@ $202.90 · 2025-02-26
BUCKBEE KEVIN K
Officer
$3.85M
@ $203.41 · 2025-02-26
SIATIS PERRY C.
General Counsel
$1.14M
@ $197.90 · 2025-02-20
BUCKBEE KEVIN K
Officer
$310,032
@ $172.24 · 2024-12-16
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
EME
0
Sells (3M)
9
Sells (12M)
Total value (12M): $40.82M
LOWE CAROL P
Director
$802,275
@ $844.50 · 2026-06-17
REID WILLIAM P
Director
$1.85M
@ $925.78 · 2026-05-11
ALTMEYER JOHN W
Director
$2.24M
@ $895.00 · 2026-05-01
SCHWARZWAELDER STEVEN
Director
$5.01M
@ $895.19 · 2026-04-30
NALBANDIAN JASON R.
Chief Financial Officer
$685,144
@ $856.43 · 2026-04-30
LIND ROBERT PETER
Officer
$603,632
@ $894.27 · 2026-04-30
GUZZI ANTHONY J
President
$26.26M
@ $729.48 · 2026-03-05
MAURICIO MAXINE LUM
General Counsel
$2.47M
@ $735.00 · 2026-03-02
WALKER-LEE ROBIN A
Director
$897,316
@ $677.22 · 2025-11-03
NALBANDIAN JASON R.
Chief Financial Officer
$364,155
@ $485.54 · 2025-06-06
LIND ROBERT PETER
Officer
$216,960
@ $485.37 · 2025-06-06
GUZZI ANTHONY J
Chief Executive Officer
$3.05M
@ $436.03 · 2025-05-05
WALKER-LEE ROBIN A
Director
$390,950
@ $412.83 · 2025-05-01
MAURICIO MAXINE LUM
General Counsel
$462,588
@ $370.07 · 2025-03-13
ALTMEYER JOHN W
Director
$809,900
@ $404.95 · 2025-02-28
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

Learn more →
ABBV
FearGreed
😏Greed(72/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
EME
FearGreed
😨Fear(36/100)

"Market is pessimistic — investigate whether fears are temporary or structural"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

Learn more →
ABBV
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (72)
EME
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Fear (36)
View ABBV Full AnalysisView EME Full Analysis

Frequently Asked Questions: ABBV vs EME

Is AbbVie Inc. or EMCOR Group, Inc. more undervalued in 2026?▼

Based on our discounted cash flow model, EME trades at a 27.0% margin of safety (intrinsic value $930 vs. price $680), compared to ABBV's -71.5% margin of safety (intrinsic $172 vs. $295).

Which stock has a wider economic moat, AbbVie Inc. or EMCOR Group, Inc.?▼

EME scores 86/100 (Wide moat), while ABBV scores 82/100 (Wide moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

Is AbbVie Inc. in financial distress?▼

ABBV's Altman Z-Score of 2.4 places it in the Grey zone, signaling elevated bankruptcy risk. EME scores 6.3 (Safe zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which stock has higher return on invested capital, AbbVie Inc. or EMCOR Group, Inc.?▼

EME earns 33.9% ROIC versus ABBV's 29.1%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

Which dividend is safer, AbbVie Inc.'s or EMCOR Group, Inc.'s?▼

EME's dividend earns a safety score of 94/100 (Very Safe), compared to ABBV's 39/100 (Unsafe). EME has raised its dividend for 3 consecutive years.

ABBV vs EME: Which Is the Better Buy in 2026? | SafetyMargin.io