AbbVie (XSWX:ABBV) Effective Interest Rate on Debt %: 4.06% (As of Mar. 2026)


XSWX:ABBV AbbVie Inc XSWX:ABBV
65 GF Score
Price CHF206.75
GF Value CHF167.66
Valuation Modestly Overvalued
! 4 Warning Signs
View Full Analysis

What is AbbVie Effective Interest Rate on Debt %?

AbbVie XSWX:ABBV 65 Effective Interest Rate on Debt % is 4.06% as of Mar. 2026. GuruFocus rates XSWX:ABBV with a GF Score™ of 65/100 and a GF Value™ of CHF167.66 (Modestly Overvalued). The stock has 4 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. AbbVie's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was CHF2,258 Mil. AbbVie's average total debt for the quarter that ended in Mar. 2026 was CHF55,574 Mil. Therefore, AbbVie's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 4.06%.


AbbVie  (XSWX:ABBV) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


AbbVie Effective Interest Rate on Debt % Related Terms


AbbVie Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for AbbVie's Effective Interest Rate on Debt % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

AbbVie Effective Interest Rate on Debt % Chart

AbbVie Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.03 3.21 3.49 4.50 4.06

AbbVie Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Effective Interest Rate on Debt % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.07 4.04 4.20 4.19 4.06

XSWX:ABBV vs MRK, JNJ, AMGN: Effective Interest Rate on Debt % Comparison

For the Drug Manufacturers - General subindustry, AbbVie's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


AbbVie Effective Interest Rate on Debt % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, AbbVie's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where AbbVie's Effective Interest Rate on Debt % falls into.


XSWX:ABBV
65GF Score
AbbVie Inc XSWX:ABBV
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

AbbVie Effective Interest Rate on Debt % Calculation

AbbVie's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -2305.432/( (59865.59+53787.563)/ 2 )
=-1  *  -2305.432/56826.5765
=4.06 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=53799.144 + 6066.446
=59865.59

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=46970.083 + 6817.48
=53787.563

AbbVie's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Dec. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -2257.976/( (53787.563+57361.104)/ 2 )
=-1  *  -2257.976/55574.3335
=4.06 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=46970.083 + 6817.48
=53787.563

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=50806.044 + 6555.06
=57361.104

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Mar. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 4.06% mean?
AbbVie (XSWX:ABBV) has a Effective Interest Rate on Debt % of 4.06% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on AbbVie and its competitors.
Is AbbVie's Effective Interest Rate on Debt % too high?
AbbVie's current Effective Interest Rate on Debt % is 4.06%. Overall, AbbVie has a GF Score™ of 65/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does AbbVie's Effective Interest Rate on Debt % compare to MRK and JNJ?
AbbVie's Effective Interest Rate on Debt % of 4.06% can be compared against companies in the Drug Manufacturers industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Drug Manufacturers company?
A good Effective Interest Rate on Debt % depends on the Drug Manufacturers industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on AbbVie and its competitors. AbbVie's current Effective Interest Rate on Debt % is 4.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AbbVie stock overvalued right now?
Based on GuruFocus' analysis, AbbVie (XSWX:ABBV) is currently considered Modestly Overvalued. The stock's GF Value™ is CHF167.66, compared to a current price of CHF206.75 — trading 23.3% above its estimated fair value. The current Effective Interest Rate on Debt % is 4.06%. AbbVie's overall GF Score™ is 65/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For AbbVie (XSWX:ABBV), the current Effective Interest Rate on Debt % is 4.06% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is AbbVie (XSWX:ABBV) Overvalued in 2026?

Based on GuruFocus' analysis, AbbVie stock appears to be overvalued. The current stock price of CHF206.75 is trading 23.3% above its estimated GF Value™ of CHF167.66. GuruFocus considers AbbVie to be Modestly Overvalued.

Key valuation signals for XSWX:ABBV:

  • Effective Interest Rate on Debt %: 4.06%
  • GF Value™: CHF167.66 vs. price of CHF206.75 (23.3% above fair value)
  • GF Score™: 65/100 with 4 warning signs

No single metric tells the full story. See the XSWX:ABBV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


AbbVie Business Description

Address 1 North Waukegan Road, North Chicago, IL, USA, 60064-6400
AbbVie is a pharmaceutical firm with a strong exposure to immunology (with Humira, Skyrizi, and Rinvoq) and oncology (with Imbruvica and Venclexta). The company was spun off from Abbott in early 2013. The 2020 acquisition of Allergan added several new products and drugs in aesthetics, including Botox. The 2024 acquisitions of Cerevel (neuroscience) and ImmunoGen (oncology) help supplement AbbVie's portfolio.
65GF Score

Get the complete analysis for XSWX:ABBV

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF206.75
Price
CHF167.66
GF Value