Teva AI Stock Analysis
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Teva (TEVA) AI Stock Analysis
Teva
(NYSE:TEVA)
TEVA scores in the low-60s primarily because improving profitability and strong free cash flow are tempered by elevated leverage and a pressured/volatile revenue profile. Technicals add moderate support (price above major averages with positive MACD), but valuation is a clear drag given the high P/E. The latest earnings call and recent refinancing actions are supportive, pointing to strengthening innovators and balance-sheet progress, though near-term generics weakness and transitional items remain key risks.
Teva Key Performance Indicators (KPIs)
Revenue by GeographyReveals where sales are concentrated globally and which regions are growing or shrinking, helping investors assess geographic diversification, currency exposure, and where regulatory or market pressures could most impact overall revenue.
Europe is the steady revenue anchor, showing recurring Q4 strength and renewed sequential gains into early 2026 that suggest durable demand or pricing stability; by contrast, International Markets experienced a pronounced but short-lived jump in 2024 and has since reverted toward earlier levels, implying that much of that growth was cyclical or one‑off (tenders, timing or product events). For investors, Europe reduces top‑line volatility while International remains a source of intermittent upside that needs clear, repeatable catalysts to be relied upon.
The FlyTeva (TEVA) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $163.71B
- Dividend Yield
- ―
- Average Volume (3M)
- 6.62M
- Price to Earnings (P/E)
- 104.8
- Beta (1Y)
- -0.44
- Revenue Growth
- 2.99%
- EPS Growth
- -28.63%
- Country
- US
- Employees
- 33,346
- Sector
- General
- Sector Strength
- 55
- Industry
- Drug Manufacturers - Specialty & Generic
Teva Business Overview & Revenue Model
Company Description
Teva Pharmaceutical Industries Limited operates as a prominent global pharmaceutical firm, involved in the research, development, manufacturing, marketing, and distribution of generic, specialized, and biopharmaceutical products throughout North Amer...
How the Company Makes Money
Teva makes money mainly by selling prescription and, in some markets, over-the-counter medicines, with revenues largely derived from (1) generic medicines and (2) specialty (branded) medicines, alongside other smaller sources. 1) Generic medicines (p...
Teva Earnings Call Summary
The call was strongly positive overall. Teva reported robust growth across its innovative portfolio, raised product and company-wide guidance, expanded its biosimilar business, improved margins and cash generation, strengthened its balance sheet, and highlighted multiple pipeline catalysts. The main negatives were the 2% revenue decline caused by lower generic REVLIMID revenue, the discontinued emrusolmin study, near-term IRA-related pressure on AUSTEDO, the delayed WELTRUZA revenue ramp, and biosimilar litigation and tariff uncertainty. Management nevertheless characterized these issues as manageable within its broader pivot-to-growth strategy.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Teva raised 2026 full year revenue guidance to $16.7 billion-$17 billion, expects global generics revenue to be flat to slightly up in local currency compared to 2025, excluding the impact of generics revenue and the divested Japan business, and increased product guidance to $2.55 billion-$2.65 billion for AUSTEDO, $930 million-$960 million for AJOVY, and $290 million-$310 million for UZEDY; non-GAAP gross margin is expected to be 54.5%-55.5%, operating income $3.8 billion-$3.9 billion, operating margin 22.6%-23.1%, or 27.8%-28.2% excluding IPR&D, adjusted EBITDA $4.23 billion-$4.43 billion, or $5.1 billion-$5.3 billion excluding IPR&D, finance expenses approximately $800 million, tax rate 20%-23%, diluted EPS $1.92-$2.11, and free cash flow $2.1 billion-$2.4 billion. Teva expects no major revenue contribution from WELTRUZA in Q4 2026, revenue expectations for WELTRUZA in the latter half of next year, and no revenue of any particular value in the first half of next year; it expects mid-single digit growth on revenue CAGR from 2023-2027, a 30% operating margin by 2027, 57%-58% gross margin in 2027 while keeping the 27%-28% OpEx, net debt to EBITDA 2x by the end of 2027, approximately $2.7 billion free cash flow in 2027, and $800 million of biosimilar sales in 2026.
Teva Financial Statement Overview
Summary
Financials show a cash-flow-led improvement, but with notable balance-sheet and top-line risks. Income statement is mid-range (return to profitability and improved margins, but sharp TTM revenue decline and historical volatility). Balance sheet is weak (still-high leverage despite improvement), while cash flow is stronger (solid and growing free cash flow, though debt coverage remains modest).
Income Statement
62PositiveBalance Sheet
48NeutralCash Flow
71Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 17.41B | 18.68B | 16.54B | 15.85B | 14.93B | 15.88B |
| Gross Profit | 9.31B | 9.63B | 8.06B | 7.65B | 6.97B | 7.59B |
| EBITDA | 3.39B | 3.34B | 777.00M | 1.56B | -925.00M | 2.88B |
| Net Income | 522.04M | 1.53B | -1.64B | -559.00M | -2.35B | 417.00M |
Balance Sheet | ||||||
| Total Assets | 40.45B | 40.76B | 39.33B | 43.48B | 44.01B | 47.67B |
| Cash, Cash Equivalents and Short-Term Investments | 4.13B | 3.56B | 3.30B | 3.23B | 2.80B | 2.17B |
| Total Debt | 17.16B | 17.39B | 18.08B | 20.15B | 21.56B | 23.46B |
| Total Liabilities | 32.38B | 32.84B | 33.61B | 35.35B | 35.31B | 36.42B |
| Stockholders Equity | 8.06B | 7.91B | 5.37B | 7.51B | 7.90B | 10.28B |
Cash Flow | ||||||
| Free Cash Flow | 2.61B | 2.56B | 749.00M | 842.00M | 1.04B | 236.00M |
| Operating Cash Flow | 3.14B | 3.10B | 1.25B | 1.37B | 1.59B | 798.00M |
| Investing Cash Flow | -1.17B | -557.47M | 792.00M | 968.00M | 656.00M | 1.52B |
| Financing Cash Flow | 105.87M | -2.29B | -1.79B | -1.91B | -1.49B | -2.17B |
Teva Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TEVA, the sentiment is Positive. The current price of 44.50 is above the 20-day moving average (MA) of 41.59, above the 50-day MA of 40.22, and above the 200-day MA of 32.92, indicating a bullish trend. The MACD of 1.04 indicates Negative momentum. The RSI at 69.77 is Neutral, neither overbought nor oversold. The STOCH value of 92.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TEVA.
Teva Risk Analysis
Teva disclosed 42 risk factors in its most recent earnings report. Teva reported the most risks in the "Legal & Regulatory" category.
Latest Risks Added
3 New RisksTeva Peers Comparison
Overall Rating
ALKS67Neutral
RDY66Neutral- TEVA61Neutral
AMRX58Neutral
VTRS58Neutral
PRGO52Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| ALKS | 67Neutral | $7.89B | 15676.67 | -0.02% | ― | 15.27% | -100.08% |
| RDY | 66Neutral | $12.26B | 41.07 | 7.37% | 0.57% | -10.52% | -55.45% |
| TEVA | 61Neutral | $50.67B | 104.78 | 9.18% | ― | 2.99% | -28.63% |
| AMRX | 58Neutral | $7.56B | 49.72 | 131.71% | ― | 8.88% | 2272.07% |
| VTRS | 58Neutral | $23.70B | -39.28 | -4.24% | 2.31% | 4.80% | 82.97% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| PRGO | 52Neutral | $2.25B | -1.27 | -68.13% | 7.14% | -4.45% | -3289.03% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TEVA | Teva Pharmaceutical Industries Limited | 44.50 | 18.50 | 71.15% | |
| ALKS | Alkermes plc | 47.03 | 17.70 | 60.35% | |
| RDY | Dr. Reddy's Laboratories Ltd | 14.74 | 0.86 | 6.17% | |
| VTRS | Viatris, Inc. | 20.82 | 10.53 | 102.23% | |
| PRGO | Perrigo Company | 16.24 | 3.85 | 31.06% | |
| AMRX | Amneal Pharma | 21.38 | 9.80 | 84.63% |
Teva Corporate Events
Teva Pharmaceutical Announces New Senior Notes Offering
PositiveOn September 16, 2026, Teva’s Dutch finance units issued €1.5 billion of senior euro notes and $3.2 billion of senior U.S. dollar notes, all guaranteed on a senior unsecured basis by Teva Pharmaceutical Industries. The new notes carry maturities betw...
Teva Pharmaceutical Announces Major Senior Notes Financing
PositiveOn September 10, 2026, Teva announced it had successfully priced approximately $4.9 billion equivalent in unsecured senior notes issued through three Dutch financing subsidiaries. The euro- and dollar-denominated tranches, carrying coupons between 4....
Teva Advances NYSE Listing With ADS Exchange Plan
NeutralOn August 31, 2026, Teva Pharmaceutical Industries Ltd. executed an amendment to its Second Amended and Restated Deposit Agreement with Citibank, N.A. and updated the form of American depositary receipt, as part of its previously disclosed plan to li...
Teva Recasts Segments to Support Pivot to Growth
NeutralTeva Pharmaceutical Industries said it has recast historical segment information in its Form 10-K for the year ended December 31, 2025, following a reclassification of Anda, its U.S. distribution business, effective January 1, 2026. Under its Pivot t...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Sep 16, 2026