Why Teva Pharmaceutical Industries, Intrepid Potash, and Ensco Slumped Today
Monday was another good day for stocks, as major benchmarks continued their slow but steady ascent. Without much in the way of market-moving news on the geopolitical or macroeconomic fronts, investors largely focused on individual companies, especially in the wake of numerous earnings reports and other news items affecting key companies. Teva Pharmaceutical Industries (NYSE: TEVA), Intrepid Potash (NYSE: IPI), and Ensco (NYSE: ESV) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.
Shares of Teva Pharmaceutical Industries dropped 10% after the drug company got negative comments from a key Wall Street analysis company. Analysts at Morgan Stanley downgraded shares of Teva from equal weight to underweight, citing pressure on the company's generic-drug business and vulnerability to potential price cuts. With generic competition on the horizon for Teva's key best-selling proprietary multiple sclerosis drug, Teva faces attacks on multiple fronts. With a new price target on the stock of $16 per share, Teva could have further to fall before all is said and done.
Image source: Teva Pharmaceutical.
Source: Fool.com