TEVA

Teva Pharma Ind Shs Sponsored American Deposit Receipt Repr 1 Sh

Healthcare


Presented:11/19/2015
Price:$61.04
Cap:$52.62B
Current Price:$18.15
Cap:$20.56B

Presented

Date11/19/2015
Price$61.04
Market Cap$52.62B
Ent Value$57.45B
P/E Ratio31.05x
Book Value$26.69
Div Yield0%
Shares O/S862.00M
Ave Daily Vol4,937,347
Short Int0.68%

Current

Price$18.15
Market Cap$20.56B
Teva Pharmaceutical Industries Ltd. engages in the provision of pharmaceutical services. It operates through the following business divisions: Generic, Specialty Medicine, and Over-the-Counter (OTC). The Generic division involves the manufacture and sale of generic products such as tablets, capsules, ointments, creams, liquids, injectables, and inhalants. The Specialty Medicine division provides products for central nervous system (CNS), respiratory system, women's health, oncology, and others. The OTC division offers medicines in categories such as cough and cold, allergy, digestive wellness, vitamins, minerals and supplements, analgesics, and skin medications. Its products are manufactured under the Copaxone, Provigil, Azilect, Nuvigil, ProAir, Qvar, Treanda, Lonquex, Revascor, Milprosa, LeCette, Quartette, NexoBrid, and StemEx brand names. The company was founded in 1901 and is headquartered in Petach Tikva, Israel.

Publicly traded companies mentioned herein: Allergan (AGN), Mylan NV (MYL), Teva Pharmaceuticals Industries (TEVA)

Highlights

The presenter is long shares of Teva Pharmaceuticals (TEVA) and sees a favorable risk/ reward for shareholders with the stock trading at ~$61. Shares have performed poorly following the announcement of the $40.5 billion deal to purchase Allergan’s generics business, and he thinks both the dislocation in specialty pharmaceuticals due to the drama surrounding Valeant and fears about generic Copaxone are largely to blame. However, on a pro forma basis, he sees limited downside risk with the stock trading “at a trough 10x multiple” on his forecast of $6 - $6.50 of EPS in 2017.

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