Abbott gets upgrade of sorts

From the confusing world of analysts' coverage of public companies comes this report from AP, where a Citi analyst ups Abbott's rating from Sell to Hold, but cuts his price target for the stock. Here's the story:

NEW YORK (AP) — A Citi Investment Research analyst upgraded shares of Abbott Laboratories Monday, and took a positive view of the drug and medical device maker's emerging markets strategy.

Matthew Dodds raised his rating on Abbott stock to "Hold" from "Sell."

Abbott said this month that it will license at least 24 products for sale in emerging markets and agreed Friday to buy the domestic unit of India's Piramal Healthcare for $3.72 billion.

Dodds said it makes sense for drug makers to build up their business in emerging markets as growth in developed markets slow down, although the new strategy is riskier.

The Piramal deal will make Abbott the number one seller of branded generic drugs in India.

Dodds also wrote that shares of the North Chicago company are no longer trading at a premium to shares of its rivals. He trimmed his price target to $47 per share from $50. Abbott shares traded around $47.50 Monday.

– Chris Freeman