ABT red: Abbott to spin off Nutrition (~$8.5bn sales) by end-2027, cuts 2026 sales growth to ~6% on weak heart devices

[LondonNewsTrader]

Abbott gave us two stories in one morning: a break-up and a guide trim.

What came out
- Plan to separate the Nutrition business (Similac, Ensure etc.) into a standalone listed company by end-2027. It's about $8.5bn in annual sales
- Q3 adj EPS $1.42, in line. Revenue $13.01bn vs ~$12.99–13.00bn, +14.5% reported / +7.0% comparable (reported growth flattered by the Exact Sciences deal closed in March)
- Medical Devices $5.83bn vs ~$5.88bn expected (Reuters/LSEG). Weaker heart devices, with Amulet soft and the new Volt PFA system only launched late August
- FY26 comparable sales growth now about 6%, down from 6.5–7.5%. Adj EPS guide tightened to $5.50–5.55 (midpoint unchanged). Q4 adj EPS $1.62–1.67

Pre-market reaction varied by source, from about −1.4% to −4.5%. The spin-off is a long-dated catalyst, two years out, so I don't think it's what's driving today's tape. The devices miss and the lower top-line guide are what traders are reacting to. EP (electrophysiology) is the crowded growth story across medtech right now, so watch BSX and MDT for any read-across.

Practical note: big-cap medtech names like ABT tend to trend slowly after an earnings gap rather than whipsaw. I'd look for VWAP to act as the lid if sellers stay in control.

Sources: [Abbott Q3 release](https://abbott.mediaroom.com/2026-10-21 ... S-Guidance) | [Reuters via KRRO](https://krro.com/2026/10/21/abbott-lowe ... -weakness/) | [Investing.com](https://www.investing.com/news/earnings ... ff-4962674)

Does a 2027 spin-off matter at all for intraday flows, or is it purely the devices miss today? Anyone trading BSX against ABT on the EP read?