Compare Stocks › ABBV vs KR

AbbVie Inc. (ABBV) vs The Kroger Co. (KR): 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%. KR is overvalued at $67, with an intrinsic value of $0 and a margin of safety of -100%. Of the two, ABBV has the wider margin of safety.

ABBV

AbbVie Inc.

$294.89

The Kroger Co.

$66.76

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.

★Free cash flow has grown at a 34.5% CAGR over the past 4 years, demonstrating strong earnings power growth.
★Share count has been reduced by 14% over the past 4 years through buybacks, increasing each share's claim on earnings.
★FCF yield of 8.8% is historically attractive — the business generates significant cash relative to its price.

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.

⚠ROIC has declined by 5.2 percentage points over the past 4 years, which may signal competitive erosion.
⚠Gross margin of 23.9% is low, suggesting a competitive or commodity-like market with limited pricing power.
⚠Trailing P/E of 37.1x is 56% above the historical average of 23.8x — the stock trades at a premium to its own history.

Key Valuation Metrics

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ABBV

Valuation

N/A

Free Cash Flow

$3.46B

N/A

FCF Yield

8.77%

50.67

Trailing P/E

37.09

18.24

Forward P/E

12.20

Quality & Moat

29.08%

ROIC

11.71%

N/A

ROE

14.44%

73.72%

Gross Margin

23.90%

0.60

PEG Ratio

0.65

Balance Sheet Safety

N/A

Net Debt / Equity

3.85

N/A

Interest Coverage

N/A

2.03

Net Debt / EBITDA

2.80

2.35%

Dividend Yield

2.34%

ABBV: 4Ties: 2KR: 2

ABBVKR

Historical Fundamentals

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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.

$1 Retained Earnings Test

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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

$2.54

created per $1 retained over 3 years

Exceptional Value Creator

Σ Retained

$3.28B

Δ Market Cap

+$8.33B

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

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ABBV

71.5% Overvalued

Price is 71.5% above estimated fair value

Current Price: $294.89

Strongly undervalued

Fairly valued

Strongly overvalued

Fair Value: $172.00

Strongly undervalued

Undervalued

Fairly valued

Overvalued

Strongly overvalued

Insufficient Data

Enter initial FCF to calculate intrinsic value

Current Price: $66.76

Strongly undervalued

Strongly overvalued

Fair Value: $0.00

Strongly undervalued

Undervalued

Fairly valued

Overvalued

Strongly overvalued

Reverse DCF — Market-Implied Growth

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ABBV

Requires positive FCF to compute implied growth rate.

What growth rate is the market pricing in at $67?

+22.1%

Market-Implied Owner Earnings Growth

Standard FCF implies +6.2%

The market implies +22.1% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +6.2%, reflecting heavy growth investment.

Economic Moat Score

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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.

56/100

Narrow Moat

70+ Wide · 40-69 Narrow · <40 None

Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.

Forensic Accounting

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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.

-3.11

Unlikely Manipulator

Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Ownership Breakdown

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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.

Insiders 6.9%Institutions 85.5%Retail & Other 7.6%

No. of Institutional Holders1,799

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

Insider Buying Activity

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ABBV

Buys (3M)

Buys (12M)

No open market insider purchases found.

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

Buys (3M)

Buys (12M)

No open market insider purchases found.

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

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

Insider Selling Activity

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ABBV

Sells (3M)

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

Sells (3M)

Sells (12M)

Total value (12M): $6.19M

ADCOCK MARY ELLEN

Officer

$4.43M

@ $60.70 · 2026-09-18

COSSET YAEL

Officer

$1.76M

@ $58.80 · 2026-07-14

MOORE CLYDE R

Director

$272,834

@ $71.61 · 2025-07-16

MOORE CLYDE R

Director

$1.89M

@ $70.50 · 2025-07-11

ADCOCK MARY ELLEN

Officer

$2.44M

@ $71.16 · 2025-06-27

ARREAGA GABRIEL

Officer

$2.75M

@ $72.44 · 2025-06-25

MASSA TIMOTHY A

Officer

$622,710

@ $74.00 · 2025-06-23

COSSET YAEL

Officer

$5.23M

@ $73.49 · 2025-06-23

FIKE CARIN L

Officer and Treasurer

$1.22M

@ $73.79 · 2025-06-23

WHEATLEY CHRISTINE STRICK

Officer

$2.16M

@ $72.07 · 2025-04-23

MASSA TIMOTHY A

Officer

$1.65M

@ $73.00 · 2025-04-22

COSSET YAEL

Officer

$2.19M

@ $73.00 · 2025-04-22

ARREAGA GABRIEL

Officer

$995,866

@ $71.82 · 2025-04-21

NICHOLS BRIAN W

Officer

$72,030

@ $72.03 · 2025-04-21

FOLEY TODD A

Officer

$989,442

@ $70.67 · 2025-04-17

JABBAR VALERIE L

Officer

$2.16M

@ $69.08 · 2025-04-16

WHEATLEY CHRISTINE STRICK

Officer

$2.08M

@ $69.44 · 2025-04-04

KIMBALL KENNETH C.

Officer

$719,081

@ $65.37 · 2025-03-21

ARREAGA GABRIEL

Officer

$1.05M

@ $65.63 · 2025-03-19

NICHOLS BRIAN W

Officer

$94,933

@ $65.88 · 2025-03-17

COSSET YAEL

Chief Technology Officer

$1.17M

@ $66.19 · 2025-03-17

COSSET YAEL

Chief Technology Officer

$691,190

@ $65.76 · 2025-03-14

NICHOLS BRIAN W

Officer

$86,723

@ $66.71 · 2025-03-13

MASSA TIMOTHY A

Officer

$1.97M

@ $66.56 · 2025-03-13

ADCOCK MARY ELLEN

Officer

$6.90M

@ $66.39 · 2025-03-13

COSSET YAEL

Chief Investment Officer

$7.84M

@ $68.08 · 2025-03-10

FOLEY TODD A

Chief Financial Officer

$1.87M

@ $66.62 · 2025-03-07

FOLEY TODD A

Chief Financial Officer

$1.04M

@ $61.44 · 2024-12-19

AITKEN STUART W

Officer

$8.38M

@ $63.18 · 2024-12-12

COSSET YAEL

Chief Technology Officer

$1.17M

@ $58.39 · 2024-12-10

COSSET YAEL

Chief Technology Officer

$1.76M

@ $58.54 · 2024-12-09

MASSA TIMOTHY A

Officer

$1.56M

@ $60.12 · 2024-12-06

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

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ABBV

😏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.

😐Neutral(56/100)

"Market is pricing this stock without strong emotion in either direction"

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

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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)

⚪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: Neutral (56)

View ABBV Full Analysis View KR Full Analysis

Frequently Asked Questions: ABBV vs KR

Is AbbVie Inc. or The Kroger Co. more undervalued in 2026?▼

Based on our discounted cash flow model, ABBV trades at a -71.5% margin of safety (intrinsic value $172 vs. price $295), compared to KR's -100.0% margin of safety (intrinsic $0 vs. $67).

Which stock has a wider economic moat, AbbVie Inc. or The Kroger Co.?▼

ABBV scores 82/100 (Wide moat), while KR scores 56/100 (Narrow 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. KR scores 4.4 (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 The Kroger Co.?▼

ABBV earns 29.1% ROIC versus KR's 11.7%. 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 The Kroger Co.'s?▼

KR's dividend earns a safety score of 64/100 (Safe), compared to ABBV's 39/100 (Unsafe). KR has raised its dividend for 3 consecutive years.