Targeting $60 Billion Cancer Diagnostics Market: Abbott Acquires Exact Sciences

Abbott Laboratories (ABT) completed its acquisition of cancer diagnostics firm Exact Sciences on March 23, making it a wholly owned subsidiary. The deal adds flagship screening and precision diagnostics products such as Cologuard and Oncotype DX to Abbott’s portfolio as it pursues a leading position in the U.S. cancer screening and precision oncology diagnostics market.

In the first quarter of 2026, Abbott reported revenue of approximately $11.2 billion, up 7.8% year-over-year, and raised adjusted earnings per share (EPS) by 6% to $1.15. Reflecting the Exact Sciences acquisition, the company guided full-year 2026 revenue growth of 6.5–7.5% and adjusted EPS of $5.38–$5.58.

While the deal is expected to dilute adjusted EPS by roughly $0.20 in 2026, Abbott is balancing its growth strategy with shareholder returns: it has established a dedicated cancer diagnostics business unit, maintained its dividend streak for 409 consecutive quarters at $0.63 per share, and granted stock awards to its executives.

Following the guidance update, Abbott’s share price dipped on announcement day. The company projects that the Exact Sciences acquisition will add about $3 billion in revenue in 2026.

At an enterprise value of about $21 billion, the transaction is one of the largest M&A deals aimed at expanding Abbott’s footprint in the estimated $60 billion U.S. cancer screening and precision oncology diagnostics market.

Abbott is a diversified global healthcare company spanning diagnostics, medical devices, nutrition, and generics, with a particularly strong position in continuous glucose monitoring for diabetes care. In the rapidly growing cancer screening and precision oncology diagnostics sector—driven by aging demographics and rising demand for early detection—consolidation among major healthcare players is accelerating, and securing advanced technologies and data platforms has become a key competitive differentiator.