Abbott Laboratories' (ABT) end-markets remain healthy despite a lower 2026 organic revenue guidance amid fiscal Q1 challenges and mixed performance, RBC Capital Markets said in a Thursday research note.

The company faced Q1 headwinds, including a weaker respiratory season, underperformance in the continuous glucose monitoring segment, challenging US structural heart business trends, and roadblocks in the nutrition sector, analysts wrote.

The brokerage said it expects 2026 EPS of $5.48 on revenue of $50.54 billion.

The company has visibility to accelerate growth in H2, driven by emerging signs of nutrition business recovery, electrophysiology unit growth, improvements in the core lab diagnostics unit, robust performance in established pharmaceuticals, and the integration of Exact Sciences in the cancer diagnostics business, according to the note.

The brokerage reiterated its outperform rating on the stock and adjusted its price target to $130 from $135.

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