A Perfect Storm Cut Teva Pharmaceutical Industries's Stock in Half in August
Shares of Teva Pharmaceutical Industries (NYSE: TEVA), an Israeli-based developer of branded and generic drugs, imploded in August and lost 51% of its market cap, according to data from S&P Global Market Intelligence. While a perfect storm of issues influenced Teva's terrible month, most of the blame can be pointed at the company's second-quarter earnings release.
For the quarter, Teva wound up reporting $5.69 billion in sales, which was notably higher than $5.04 billion reported in the year-ago period. However, the growth in sales came predominantly from its acquisition of Actavis, making it the largest producer of generic drugs in the world. In terms of adjusted profit, Teva's $1.02 in EPS fell short of Wall Street's expectations, and it was a sizable tumble from the $1.25 in adjusted EPS reported in Q2 2016. Further, the company lowered its full-year sales forecast by more than $1 billion at the midpoint, and it slashed its full-year EPS forecast to a range of $4.30 to $4.50, from a range of $4.90 to $5.30.
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Source: Fool.com
Teva Pharmaceutical Industries Ltd ADR Stock
With 19 Buy predictions and not the single Sell prediction the community is currently very high on Teva Pharmaceutical Industries Ltd ADR.
With a target price of 19 € there is a slightly positive potential of 11.11% for Teva Pharmaceutical Industries Ltd ADR compared to the current price of 17.1 €.
