Unsubscribe

Greetings, 

Every Monday afternoon, we send out a stock trade idea to some of MarketBeat’s best and most valued subscribers. 

We think you are one of those people…but you are not on our alert distribution list yet. 

This once a week alert is sent out via SMS so that you can see it right away. 

Last week’s alert was very popular with our subscribers, you won’t want to miss out on the next alert — and it doesn’t cost you a thing.

We’re going to send out another trade idea on Monday around noon, and I want to make sure that you’re able to see it.

Add your name to the distribution list here.

You’ll thank me on Tuesday morning.

Matthew Paulson
MarketBeat

---

This Month’s Bonus Article

AbbVie Call Options Spike 2,599%: Tracking the Big Bet

Author: Jeffrey Neal Johnson. Date Posted: 1/16/2026. 

At a Glance

• Institutional investors are showing high confidence, as evidenced by a significant increase in bullish market activity ahead of financial results.
• The strategic expansion into the metabolic health and obesity markets provides a long-term pathway to diversify the total revenue stream.
• A comprehensive, voluntary federal agreement helps ensure the organization can focus on research and domestic manufacturing with great certainty.

Unusual market activity is often the first sign that big changes are coming to a stock. Professional traders and large institutions frequently use the options market to place high-conviction bets before major news becomes public. On Jan. 15, 2026, AbbVie Inc. (NYSE: ABBV) experienced one of these events. Daily call option volume for the healthcare giant surged to 2,599% of its historical average. This jump in bullish activity suggests that the smart money is positioning for a significant move. With the stock trading near $216.66, traders appear to believe a breakthrough or a positive financial surprise is imminent.

Traders use call options to profit from a rising stock price. When volume spikes by more than 2,500%, it is rarely a coincidence. Institutional investors often have access to deep research and sophisticated models that help them anticipate market shifts. By examining the upcoming calendar, we can identify several key factors that likely triggered this sudden rush of capital into AbbVie.

Betting on a February Beat: The Q4 Earnings Window

The day the gold market broke (Ad)

On September 14th, 2023, something big happened that didn’t make the news. The price gap between London gold and Shanghai gold blew out to $120 an ounce. For years, that gap was a few dollars, maybe $5 or $10. A 20x jump in seconds isn’t a glitch, it’s the system breaking. Traders tried to buy gold in London to sell in Shanghai, but hit a wall. The London vaults were empty. Since that day, gold has hit 53 all-time highs. One stock is positioned to capture the bulk of this wealth transfer.See the full story on this opportunity now.

The most immediate reason for the surge in options is the upcoming fourth-quarter 2025 earnings report. AbbVie is estimated to release these results on Feb. 4, 2026. Institutional confidence is high because the company has established a pattern of outperformance over the past year. In every quarter of 2025, AbbVie beat analyst estimates and raised its full-year guidance. Currently, the company expects adjusted earnings per share (EPS) to land between $10.61 and $10.65 for the full year.

Investors are particularly impressed with how the company has managed its product transitions. For years, the market worried that the decline of the blockbuster drug Humira would hurt the bottom line. However, the latest data shows that the plan to replace that revenue is working:

• Humira sales fell 55.7% in the most recent quarter due to biosimilar competition.
• Skyrizi and Rinvoq saw combined sales growth of more than 40%.
• These newer drugs have helped stabilize AbbVie’s total revenue base.

If management provides a strong outlook for 2026 during the February call, it would help explain the massive call-option volume currently in play. Traders appear to be betting that AbbVie’s growth drugs will continue to outperform, producing another beat-and-raise scenario.

The $100 Billion Pledge

Strategic moves and a new regulatory agreement are also fueling bullish sentiment. On Jan. 12, 2026, AbbVie reached a voluntary agreement with the federal administration for three years. The pact removes many political risks that have weighed on drug companies. Under the agreement, AbbVie committed to a $100 billion investment in U.S. research, development, and manufacturing over the next 10 years. In exchange, the company secured a three-year exemption from new tariffs and federal drug-pricing mandates. That policy certainty gives institutions more confidence to build large positions.

This regulatory win comes as AbbVie enters the high-growth obesity market. On Jan. 15, 2026, the company announced it had completed its first human trial for GUB014295, a long-acting amylin analog designed to treat obesity. The obesity market is currently one of the fastest-growing sectors in healthcare, and entry into this space could drive multiple expansion for AbbVie.

AbbVie is also awaiting an FDA decision on its Parkinson’s disease candidate, Tavapadon, in the first half of 2026. These clinical and regulatory milestones are likely what options traders are trying to get ahead of.

Dividend King Status: 53 Years of Reliable Growth

While new growth projects could push the stock higher, AbbVie’s fundamentals provide a strong safety net. AbbVie’s analyst communitycurrently holds a Moderate Buy consensus on the stock. The average 12-month price target is $247.84, implying roughly 14% upside from today’s price. The stock’s forward price-to-earnings ratio (P/E) of 17.60 is considered attractive, particularly as the company adds more high-growth drugs to its portfolio.

Income-oriented investors also find reassurance in AbbVie’s status as a Dividend King. The company has increased its dividend for 53 consecutive years. The current quarterly dividend is $1.73 per share, yielding about 3.19% and amounting to an annual dividend near $6.93. Large institutions own roughly 70.23% of the company, indicating strong institutional support. That high level of ownership can act as a valuation floor, reducing the likelihood of a steep decline while investors wait for the next catalyst.

Positioning for a Breakout: The Road to $250

The sudden surge—roughly 2,600%—in call option volume is a clear sign that sophisticated investors are preparing for a breakout. This activity reflects a convergence of positive factors: a more stable regulatory backdrop, entry into the obesity market, and consistent earnings growth. AbbVie has moved beyond heavy reliance on legacy drugs and is positioning itself as a diversified leader in immunology and metabolic health.

For investors seeking a mix of reliable income and the potential for meaningful price appreciation, the current market signals are compelling. The smart money is moving toward AbbVie, suggesting that the upcoming February earnings report could mark the start of a new rally.

Thank you for subscribing to MarketBeat!

We empower everyday investors to make better investment decisions by providing real-time financial information and objective market analysis.

This email content is a paid sponsorship provided by MarketBeat Alerts, a third-party advertiser of MarketBeat. Why did I receive this message?. 

If you have questions about your account, please feel free to email MarketBeat’s South Dakota based support team at contact@marketbeat.com.

If you would like to unsubscribe or change which emails you receive, you can manage your mailing preferences or unsubscribe from these emails.

© 2006-2026 MarketBeat Media, LLC. All rights protected.
345 N Reid Place, Sixth Floor, Sioux Falls, S.D. 57103-7078. United States of America..

Daily Bonus Content: Free SMS Stock Alerts from MarketBeat (From MarketBeat Alerts)