Teva Pharmaceutical Industries
Teva Pharmaceutical Industries Limited, a pharmaceutical company, develops, manufactures, markets, and distributes generic medicines and a portfolio of specialty medicines worldwide. The last earnings update was 63 days ago. More info.
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- Teva Pharmaceutical Industries has significant price volatility in the past 3 months.
TEVA Share Price and Events
7 Day Returns
1 Year Returns
TEVA Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Teva Pharmaceutical Industries (TEVA) | 1.5% | -8.7% | -23.4% | -15.1% | -73.1% | -69.9% |
| US Pharmaceuticals | -3.4% | -5.1% | -1.1% | 6.9% | 6.3% | 13.3% |
| US Market | -0.1% | 3.7% | 10.2% | 7.6% | 38.1% | 46.4% |
1 Year Return vs Industry and Market
- TEVA underperformed the Pharmaceuticals industry which returned 6.9% over the past year.
- TEVA underperformed the Market in United States of America which returned 7.6% over the past year.
Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Teva Pharmaceutical Industries
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Teva Pharmaceutical Industries.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 23 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 11.1% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Pharmaceuticals Unlevered Beta | Simply Wall St/ S&P Global | 0.67 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.675 (1 + (1- 23%) (177.66%)) |
1.4 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.4 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.4 * 5.96%) |
11.08% |
Discounted Cash Flow Calculation for NYSE:TEVA using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Teva Pharmaceutical Industries is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 11.08%) |
|
|---|---|---|---|
| 2019 | 2,426.18 | Analyst x4 | 2,184.26 |
| 2020 | 3,506.01 | Analyst x7 | 2,841.69 |
| 2021 | 3,735.58 | Analyst x6 | 2,725.86 |
| 2022 | 3,777.52 | Analyst x5 | 2,481.61 |
| 2023 | 3,859.20 | Analyst x5 | 2,282.47 |
| 2024 | 3,948.63 | Est @ 2.32% | 2,102.50 |
| 2025 | 4,045.03 | Est @ 2.44% | 1,939.06 |
| 2026 | 4,147.28 | Est @ 2.53% | 1,789.84 |
| 2027 | 4,254.63 | Est @ 2.59% | 1,653.09 |
| 2028 | 4,366.56 | Est @ 2.63% | 1,527.41 |
| Present value of next 10 years cash flows | $21,527.78 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $4,366.56 × (1 + 2.73%) ÷ (11.08% – 2.73%) |
$53,750.49 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $53,750.49 ÷ (1 + 11.08%)10 |
$18,801.74 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $21,527.78 + $18,801.74 |
$40,329.52 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $40,329.52 / 1,091.60 |
$36.95 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $36.95 |
| Current discount | Discount to share price of
$14.91
= -1 x ($14.91 - $36.95) / $36.95 |
59.6% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Teva Pharmaceutical Industries's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Teva Pharmaceutical Industries's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Teva Pharmaceutical Industries's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Teva Pharmaceutical Industries's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $-2.35 |
| NYSE:TEVA Share Price ** | NYSE (2019-04-23) in USD | $14.91 |
| United States of America Pharmaceuticals Industry PE Ratio | Median Figure of 29 Publicly-Listed Pharmaceuticals Companies | 18.77x |
| United States of America Market PE Ratio | Median Figure of 3,080 Publicly-Listed Companies | 18.03x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Teva Pharmaceutical Industries.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:TEVA Share Price ÷ EPS (both in USD) = 14.91 ÷ -2.35 |
-6.35x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Teva Pharmaceutical Industries is loss making, we can't compare its value to the US Pharmaceuticals industry average.
- Teva Pharmaceutical Industries is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does
Teva Pharmaceutical Industries's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | -6.35x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 23 Analysts |
46.2%per year |
| United States of America Pharmaceuticals Industry PEG Ratio | Median Figure of 23 Publicly-Listed Pharmaceuticals Companies | 1.49x |
| United States of America Market PEG Ratio | Median Figure of 2,109 Publicly-Listed Companies | 1.55x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for Teva Pharmaceutical Industries, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Teva Pharmaceutical Industries's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $13.50 |
| NYSE:TEVA Share Price * | NYSE (2019-04-23) in USD | $14.91 |
| United States of America Pharmaceuticals Industry PB Ratio | Median Figure of 182 Publicly-Listed Pharmaceuticals Companies | 3.49x |
| United States of America Market PB Ratio | Median Figure of 5,185 Publicly-Listed Companies | 1.92x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:TEVA Share Price ÷ Book Value per Share (both in USD) = 14.91 ÷ 13.50 |
1.1x |
* Primary Listing of Teva Pharmaceutical Industries.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Teva Pharmaceutical Industries is good value based on assets compared to the US Pharmaceuticals industry average.
Value checks
We assess Teva Pharmaceutical Industries's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Pharmaceuticals industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Pharmaceuticals industry average (and greater than 0)? (1 check) Teva Pharmaceutical Industries has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Teva Pharmaceutical Industries's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Teva Pharmaceutical Industries's earnings growth is expected to exceed the United States of America market average.
- Teva Pharmaceutical Industries's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:TEVA Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 23 Analysts | 46.2% |
| NYSE:TEVA Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 23 Analysts | -0.4% |
| United States of America Pharmaceuticals Industry Earnings Growth Rate | Market Cap Weighted Average | 18.6% |
| United States of America Pharmaceuticals Industry Revenue Growth Rate | Market Cap Weighted Average | 5.1% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.5% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 23 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 18,200 | 3,808 | 2,785 | 12 |
| 2022-12-31 | 17,969 | 3,689 | 2,605 | 12 |
| 2021-12-31 | 17,605 | 3,545 | 2,131 | 18 |
| 2020-12-31 | 17,343 | 3,343 | 1,789 | 23 |
| 2019-12-31 | 17,314 | 2,827 | 1,514 | 23 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 18,854 | 2,446 | -2,399 |
| 2018-09-30 | 19,693 | 4,220 | -11,059 |
| 2018-06-30 | 20,781 | 4,594 | -10,256 |
| 2018-03-31 | 21,800 | 4,867 | -16,050 |
| 2017-12-31 | 22,385 | 2,225 | -16,525 |
| 2017-09-30 | 23,479 | 2,791 | -5,963 |
| 2017-06-30 | 23,425 | 3,457 | -6,145 |
| 2017-03-31 | 22,743 | 3,985 | 78 |
| 2016-12-31 | 21,903 | 3,890 | 68 |
| 2016-09-30 | 20,292 | 5,415 | 1,591 |
| 2016-06-30 | 19,552 | 5,047 | 1,346 |
| 2016-03-31 | 19,480 | 5,564 | 1,697 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 23 Analyst Estimates (S&P Global) | See Below |
All data from Teva Pharmaceutical Industries Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 2.60 | 3.36 | 1.84 | 2.00 |
| 2022-12-31 | 2.51 | 3.14 | 1.88 | 2.00 |
| 2021-12-31 | 2.05 | 2.47 | 1.87 | 4.00 |
| 2020-12-31 | 1.62 | 2.09 | 0.82 | 7.00 |
| 2019-12-31 | 1.42 | 1.84 | 1.22 | 6.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | -2.35 |
| 2018-09-30 | -10.87 |
| 2018-06-30 | -10.08 |
| 2018-03-31 | -15.79 |
| 2017-12-31 | -16.26 |
| 2017-09-30 | -5.87 |
| 2017-06-30 | -6.11 |
| 2017-03-31 | 0.08 |
| 2016-12-31 | 0.07 |
| 2016-09-30 | 1.73 |
| 2016-06-30 | 1.52 |
| 2016-03-31 | 1.95 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Teva Pharmaceutical Industries is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks
We assess Teva Pharmaceutical Industries's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Teva Pharmaceutical Industries has a total score of 3/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Teva Pharmaceutical Industries performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Teva Pharmaceutical Industries does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
- Unable to compare Teva Pharmaceutical Industries's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Unable to compare Teva Pharmaceutical Industries's 1-year growth to the US Pharmaceuticals industry average as it is not currently profitable.
Earnings and Revenue History
All data from Teva Pharmaceutical Industries Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 18,854.00 | -2,399.00 | 4,214.00 | 1,213.00 |
| 2018-09-30 | 19,693.00 | -11,059.00 | 4,318.00 | 1,334.00 |
| 2018-06-30 | 20,781.00 | -10,256.00 | 4,481.00 | 1,554.00 |
| 2018-03-31 | 21,800.00 | -16,050.00 | 4,762.00 | 1,733.00 |
| 2017-12-31 | 22,385.00 | -16,525.00 | 4,846.00 | 1,778.00 |
| 2017-09-30 | 23,479.00 | -5,963.00 | 5,335.00 | 2,116.00 |
| 2017-06-30 | 23,425.00 | -6,145.00 | 5,370.00 | 2,248.00 |
| 2017-03-31 | 22,743.00 | 78.00 | 5,326.00 | 2,154.00 |
| 2016-12-31 | 21,903.00 | 68.00 | 4,973.00 | 2,077.00 |
| 2016-09-30 | 20,292.00 | 1,591.00 | 4,863.00 | 1,873.00 |
| 2016-06-30 | 19,552.00 | 1,346.00 | 4,709.00 | 1,571.00 |
| 2016-03-31 | 19,480.00 | 1,697.00 | 4,631.00 | 1,582.00 |
| 2015-12-31 | 19,652.00 | 1,573.00 | 4,838.00 | 1,525.00 |
| 2015-09-30 | 19,939.00 | 1,775.00 | 4,836.00 | 1,458.00 |
| 2015-06-30 | 20,174.00 | 2,548.00 | 4,983.00 | 1,509.00 |
| 2015-03-31 | 20,253.00 | 2,757.00 | 5,021.00 | 1,467.00 |
| 2014-12-31 | 20,272.00 | 3,055.00 | 5,078.00 | 1,488.00 |
| 2014-09-30 | 20,534.00 | 2,748.00 | 5,200.00 | 1,520.00 |
| 2014-06-30 | 20,535.00 | 2,583.00 | 5,225.00 | 1,456.00 |
| 2014-03-31 | 20,414.00 | 1,383.00 | 5,303.00 | 1,451.00 |
| 2013-12-31 | 20,314.00 | 1,269.00 | 5,319.00 | 1,427.00 |
| 2013-09-30 | 20,133.00 | 1,209.00 | 5,245.00 | 1,458.00 |
| 2013-06-30 | 20,046.00 | 419.00 | 5,183.00 | 1,434.00 |
| 2013-03-31 | 20,116.00 | 1,734.00 | 5,179.00 | 1,393.00 |
| 2012-12-31 | 20,317.00 | 1,963.00 | 5,117.00 | 1,356.00 |
| 2012-09-30 | 20,744.00 | 2,149.00 | 5,094.00 | 1,285.00 |
| 2012-06-30 | 20,116.00 | 3,144.00 | 4,806.00 | 1,203.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- It is difficult to establish if Teva Pharmaceutical Industries has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- It is difficult to establish if Teva Pharmaceutical Industries has efficiently used its assets last year compared to the US Pharmaceuticals industry average (Return on Assets) as it is loss-making.
- It is difficult to establish if Teva Pharmaceutical Industries improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Past performance checks
We assess Teva Pharmaceutical Industries's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Pharmaceuticals industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Teva Pharmaceutical Industries has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Teva Pharmaceutical Industries's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Teva Pharmaceutical Industries's finances.
The net worth of a company is the difference between its assets and liabilities.
- Teva Pharmaceutical Industries's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- Teva Pharmaceutical Industries's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Teva Pharmaceutical Industries Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 15,794.00 | 28,916.00 | 1,784.00 |
| 2018-09-30 | 19,134.00 | 29,489.00 | 1,875.00 |
| 2018-06-30 | 19,368.00 | 30,237.00 | 1,861.00 |
| 2018-03-31 | 20,102.00 | 30,752.00 | 1,418.00 |
| 2017-12-31 | 18,745.00 | 32,475.00 | 977.00 |
| 2017-09-30 | 30,295.00 | 34,702.00 | 680.00 |
| 2017-06-30 | 29,608.00 | 35,052.00 | 599.00 |
| 2017-03-31 | 35,745.00 | 34,636.00 | 900.00 |
| 2016-12-31 | 34,993.00 | 35,800.00 | 1,667.00 |
| 2016-09-30 | 37,028.00 | 36,855.00 | 1,557.00 |
| 2016-06-30 | 32,023.00 | 11,025.00 | 6,984.00 |
| 2016-03-31 | 30,591.00 | 10,211.00 | 5,969.00 |
| 2015-12-31 | 29,927.00 | 9,953.00 | 6,983.00 |
| 2015-09-30 | 22,900.00 | 11,664.00 | 928.00 |
| 2015-06-30 | 23,085.00 | 12,518.00 | 1,068.00 |
| 2015-03-31 | 22,677.00 | 11,017.00 | 3,396.00 |
| 2014-12-31 | 23,355.00 | 10,327.00 | 2,299.00 |
| 2014-09-30 | 23,670.00 | 10,650.00 | 1,473.00 |
| 2014-06-30 | 23,589.00 | 11,170.00 | 949.00 |
| 2014-03-31 | 23,030.00 | 11,796.00 | 901.00 |
| 2013-12-31 | 22,636.00 | 12,191.00 | 1,068.00 |
| 2013-09-30 | 22,388.00 | 12,598.00 | 1,149.00 |
| 2013-06-30 | 21,610.00 | 12,461.00 | 1,248.00 |
| 2013-03-31 | 22,814.00 | 12,658.00 | 1,394.00 |
| 2012-12-31 | 22,867.00 | 14,722.00 | 2,883.00 |
| 2012-09-30 | 23,072.00 | 13,790.00 | 1,432.00 |
| 2012-06-30 | 22,893.00 | 14,045.00 | 1,188.00 |
- Teva Pharmaceutical Industries's level of debt (183.1%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (53.8% vs 183.1% today).
CASH RUNWAY ANALYSIS
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
- Whilst loss making Teva Pharmaceutical Industries has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
- Whilst loss making Teva Pharmaceutical Industries has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 21.3% per year.
Financial health checks
We assess Teva Pharmaceutical Industries's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Teva Pharmaceutical Industries has a total score of 2/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Teva Pharmaceutical Industries's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Teva Pharmaceutical Industries
shares you are expected to receive
$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate Teva Pharmaceutical Industries's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate Teva Pharmaceutical Industries's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 23 Analyst Estimates (S&P Global) | See Below |
| United States of America Pharmaceuticals Industry Average Dividend Yield | Market Cap Weighted Average of 9 Stocks | 2.8% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2008 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | ||
| 2022-12-31 | ||
| 2021-12-31 | 0.00 | 5.00 |
| 2020-12-31 | 0.00 | 6.00 |
| 2019-12-31 | 0.00 | 6.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-19 | 0.000 | 0.000 |
| 2019-02-13 | 0.000 | 0.000 |
| 2018-11-01 | 0.000 | 0.000 |
| 2018-08-02 | 0.000 | 0.000 |
| 2018-05-03 | 0.000 | 0.000 |
| 2018-02-12 | 0.000 | 0.000 |
| 2018-02-08 | 0.000 | 0.000 |
| 2017-11-02 | 0.340 | 2.063 |
| 2017-08-03 | 0.340 | 2.096 |
| 2017-05-11 | 1.700 | 5.502 |
| 2017-02-13 | 1.360 | 4.138 |
| 2016-11-15 | 1.700 | 4.778 |
| 2016-08-04 | 1.700 | 3.600 |
| 2016-02-11 | 1.700 | 3.153 |
| 2015-02-09 | 1.700 | 2.747 |
| 2015-02-05 | 1.700 | 2.975 |
| 2014-07-31 | 1.208 | 2.357 |
| 2014-05-02 | 1.388 | 2.657 |
| 2014-05-01 | 1.388 | 2.753 |
| 2014-02-10 | 1.311 | 2.662 |
| 2014-02-06 | 1.311 | 2.951 |
| 2013-02-12 | 1.081 | 2.739 |
| 2013-02-07 | 1.081 | 2.806 |
| 2012-08-02 | 1.000 | 2.525 |
| 2012-02-15 | 1.072 | 2.555 |
| 2011-11-02 | 0.876 | 2.078 |
| 2011-07-27 | 0.940 | 2.400 |
| 2011-05-11 | 0.928 | 1.905 |
| 2011-02-08 | 0.872 | 1.771 |
| 2010-11-02 | 0.772 | 1.480 |
| 2010-07-27 | 0.724 | 1.392 |
| 2010-05-04 | 0.752 | 1.389 |
| 2010-02-16 | 0.748 | 1.219 |
| 2009-11-03 | 0.636 | 1.155 |
| 2009-07-28 | 0.628 | 1.223 |
| 2009-05-05 | 0.576 | 1.213 |
| 2009-04-24 | 0.588 | 1.326 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as Teva Pharmaceutical Industries has not reported any payouts.
- Unable to verify if Teva Pharmaceutical Industries's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess Teva Pharmaceutical Industries's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Teva Pharmaceutical Industries afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Teva Pharmaceutical Industries has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $17,027,741 |
| AGE | 57 |
| TENURE AS CEO | 1.4 years |
CEO Bio
Mr. Kåre Schultz has been the Chief Executive Officer, President and Director of Teva Pharmaceutical Industries Limited since November 1, 2017. Mr. Schultz is a seasoned veteran in the healthcare industry with a distinguished, nearly thirty year career in global pharmaceutical and healthcare companies. Mr. Schultz served as the Chief Executive Officer and President of H. Lundbeck A/S since May 20, 2015 until October 31, 2017. Prior to joining Lundbeck, Mr. Schultz worked for nearly three decades at Novo Nordisk, where he served in a number of leadership roles, including Vice President in Product Supply and Director of Product Planning and Customer Services in the Diabetes Care Division. Mr. Schultz served as the President and Chief Operating Officer of Novo Nordisk A/S since January 30, 2014 until April 2015 and since March 2002 until April 2015 respectively. Mr. Schultz served as Member of Executive Management and Member of the Senior Management Board at Novo Nordisk A/S. Mr. Schultz served as an Executive Vice President of Novo Nordisk A/S from November 2011 to January 2014. He joined Novo Nordisk A/S in 1989 as an Economist in Health Care, Economy and Planning and since November 2000, he served as its Chief of Staff. He joined Danish drug maker Novo Nordisk (CPH:NOVO-B) in 1989. In addition to his time at Novo Nordisk, Mr. Schultz has held positions at McKinsey and Anderson Consulting. In these roles, he developed a unique global perspective on the healthcare and pharmaceutical industries, expanded his deep financial acumen, demonstrated a commitment to strong compliance principles and enforcement and oversaw business operations and teams across Europe and North America and the Middle East. He served as the Chairman of Royal Unibrew A/S until January 1, 2018 and served as its Independent Director from 2010 to January 1, 2018. He served as the Chairman of Supervisory Board at Royal Unibrew A/S since October 11, 2010. Mr. Schultz has been a Director at LEGO A/S since 2007. He serves as a Director of Bitten og Mads Clausens Fond, the holding vehicle for Danfoss A/S. He holds an Master's degree in Economy from the University of Copenhagen in 1987.
CEO Compensation
- Insufficient data for Kåre to compare compensation growth.
- Kåre's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Teva Pharmaceutical Industries management team in years:
- The tenure for the Teva Pharmaceutical Industries management team is about average.
Management Team
Kåre Schultz
President
$17M
57
1.4 yrs
Mike McClellan
Executive VP & CFO
$2M
47
1.8 yrs
Mark Sabag
Executive Vice President of Global Human Resources
$3M
47
5.7 yrs
Carlo de Notaristefani
Executive Vice President of Global Operations
$4M
60
6.7 yrs
Hafrun Fridriksdottir
Executive Vice President of Global R&D
$4M
56
2.2 yrs
Deborah Griffin
Senior VP & Chief Accounting Officer
David Stark
Executive VP & Chief Legal Officer
49
2.4 yrs
Lori Queisser
Senior VP & Global Compliance Officer
3.8 yrs
Iris Beck-Codner
Executive Vice President of Global Brand & Communications
52
4.8 yrs
Sven Dethlefs
Executive Vice President of Global Marketing & Portfolio
49
1.4 yrs
Board of Directors Tenure
Average tenure and age of the Teva Pharmaceutical Industries board of directors in years:
- The average tenure for the Teva Pharmaceutical Industries board of directors is less than 3 years, this suggests a new board.
Board of Directors
Sol Barer
Chairman of the Board
$698K
71
2.2 yrs
Kåre Schultz
President
$17M
57
1.4 yrs
Amir Elstein
Independent Director
$321K
62
10.3 yrs
Jean-Michel Halfon
Independent Director
$328K
66
4.8 yrs
Rose Crane
Independent Director
$332K
58
3.6 yrs
Jerry Lieberman
Director
$338K
71
3.6 yrs
Roberto Mignone
Independent Director
$212K
46
1.8 yrs
Perry Nisen
Independent Director
$212K
62
1.8 yrs
Murray Goldberg
Independent Director
$216K
73
1.8 yrs
Chemi Peres
Independent Director
$214K
59
1.8 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess Teva Pharmaceutical Industries's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Teva Pharmaceutical Industries has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Those Who Purchased Teva Pharmaceutical Industries (NYSE:TEVA) Shares Three Years Ago Have A 71% Loss To Show For It
Long term Teva Pharmaceutical Industries Limited (NYSE:TEVA) shareholders know that all too well, since the share price is down considerably over three years. … Sadly for them, the share price is down 71% in that time. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).
Simply Wall St - – Full articleInvestors Are Undervaluing Teva Pharmaceutical Industries Limited (NYSE:TEVA) By 40.71%
How far off is Teva Pharmaceutical Industries Limited (NYSE:TEVA) from its intrinsic value? … by taking the foreast future cash flows of the company and discounting them back to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.
Simply Wall St - – Full articleWho Owns Most Of Teva Pharmaceutical Industries Limited (NYSE:TEVA)?
In this article, I will take a quick look at Teva Pharmaceutical Industries Limited’s (NYSE:TEVA) recent ownership structure – an unconventional investing subject, but an important one. … A company's ownership structure is often linked to its share performance in both the long- and short-term. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders.
Simply Wall St - – Full articleDoes Teva Pharmaceutical Industries Limited's (NYSE:TEVA) Debt Level Pose A Problem?
The size of Teva Pharmaceutical Industries Limited (NYSE:TEVA), a US$24.06b large-cap, often attracts investors seeking a reliable investment in the stock market. … I will provide an overview of Teva Pharmaceutical Industries’s financial liquidity and leverage to give you an idea of Teva Pharmaceutical Industries’s position to take advantage of potential acquisitions or comfortably endure future downturns … Note that this commentary is very high-level and solely focused on financial health, so I suggest you dig deeper yourself
Simply Wall St - – Full articleInvestors Are Undervaluing Teva Pharmaceutical Industries Limited (NYSE:TEVA) By 42.61%
Today, I will calculate the stock's intrinsic value. … by projecting its future cash flows and then discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model
Simply Wall St - – Full articleWhat Does Teva Pharmaceutical Industries Limited's (NYSE:TEVA) Share Price Indicate?
Let’s take a look at Teva Pharmaceutical Industries’s outlook and value based on the most recent financial data to see if the opportunity still exists. … What does the future of Teva Pharmaceutical Industries look like? … If you are no longer interested in Teva Pharmaceutical Industries, you can use our free platform to see my list of over 50 other stocks with a high growth potential.
Simply Wall St - – Full articleAn Intrinsic Calculation For Teva Pharmaceutical Industries Limited (NYSE:TEVA) Shows It's 42% Undervalued
5-year cash flow estimate 2018 2019 2020 2021 2022 Levered FCF ($, Millions) $2,787.20 $3,117.04 $3,114.45 $3,534.00 $3,587.10 Source Analyst x2 Analyst x5 Analyst x2 Analyst x1 Analyst x1 Present Value Discounted @ 12.68% $2,473.57 $2,455.02 $2,176.96 $2,192.26 $1,974.81 Present Value of 5-year Cash Flow (PVCF)= $11,273 We now need to calculate the Terminal Value, which accounts for all the future cash flows after the five years. … Terminal Value (TV) = FCF2022 × (1 + g) ÷ (r – g) = $3,587 × (1 + 2.5%) ÷ (12.7% – 2.5%) = $36,004 Present Value of Terminal Value (PVTV) = TV / (1 + r)5 = $36,004 / ( 1 + 12.7%)5 = $19,821 The total value is the sum of cash flows for the next five years and the discounted terminal value, which results in the Total Equity Value, which in this case is $31,094. … NYSE:TEVA Intrinsic Value Apr 27th 18 Important assumptions Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows.
Simply Wall St - – Full articleWhat Kind Of Risk Should You Expect For Teva Pharmaceutical Industries Limited (NYSE:TEVA)?
View our latest analysis for Teva Pharmaceutical Industries What does TEVA's beta value mean? … With a five-year beta of 0.65, Teva Pharmaceutical Industries appears to be a less volatile company compared to the rest of the market. … TEVA’s beta indicates it is a stock that investors may find valuable if they want to reduce the overall market risk exposure of their stock portfolio.
Simply Wall St - – Full articleWho Owns Teva Pharmaceutical Industries Limited (NYSE:TEVA)?
In this article, I will take a quick look at Teva Pharmaceutical Industries Limited’s (NYSE:TEVA) recent ownership structure – an unconventional investing subject, but an important one. … See our latest analysis for Teva Pharmaceutical Industries NYSE:TEVA Ownership_summary Mar 17th 18 Institutional Ownership In TEVA's case, institutional ownership stands at 62.52%, significant enough to cause considerable price moves in the case of large institutional transactions, especially when there is a low level of public shares available on the market to trade. … Private Company Ownership Another group of owners that a potential investor in TEVA should consider are private companies, with a stake of 0.33%.
Simply Wall St - – Full articleTeva Pharmaceutical Industries Limited (NYSE:TEVA): When Will It Breakeven?
Teva Pharmaceutical Industries Limited's (NYSE:TEVA): Teva Pharmaceutical Industries Limited, a pharmaceutical company, develops, manufactures, markets, and distributes generic medicines and a portfolio of specialty medicines worldwide. … Check out our latest analysis for Teva Pharmaceutical Industries According to the industry analysts covering TEVA, breakeven is near. … NYSE:TEVA Past Future Earnings Mar 8th 18 Underlying developments driving TEVA’s growth isn’t the focus of this broad overview, but, keep in mind that typically a pharma company has lumpy cash flows which are contingent on the drug and stage of product development the business is in.
Simply Wall St - – Full articleCompany Info
Description
Teva Pharmaceutical Industries Limited, a pharmaceutical company, develops, manufactures, markets, and distributes generic medicines and a portfolio of specialty medicines worldwide. It operates through two segments, Generic Medicines and Specialty Medicines. The Generic Medicines segment offers sterile products, hormones, narcotics, high-potency drugs, and cytotoxic substances in various dosage forms, including tablets, capsules, injectables, inhalants, liquids, ointments, and creams. This segment also develops, manufactures, and sells active pharmaceutical ingredients. The Specialty Medicines segment provides specialty medicines for use in central nervous system and respiratory indications. Its products in the central nervous system area comprise Copaxone for the treatment of relapsing forms of MS; and AUSTEDO for the treatment of tardive dyskinesia and chorea associated with Huntington disease. This segment’s products in the respiratory market include ProAir, ProAir Respiclick, QVAR, Duoresp Spiromax, Qnasl, Braltus, Cinqair/Cinqaero, and Aerivio Spiromax for the treatment of asthma and chronic obstructive pulmonary disease, as well as Bendeka, Treanda, Granix, Trisenox, Lonquex, and Tevagrastim/Ratiograstim products in the oncology market. The company has collaboration arrangements with Otsuka Pharmaceutical Co. Ltd. and Regeneron Pharmaceuticals, Inc. Teva Pharmaceutical Industries Limited was founded in 1901 and is headquartered in Petach Tikva, Israel.
Details
| Name: | Teva Pharmaceutical Industries Limited |
| TEVA | |
| Exchange: | NYSE |
| Founded: | 1901 |
| $16,275,726,224 | |
| 1,091,598,003 | |
| Website: | http://www.tevapharm.com |
| Address: |
Teva Pharmaceutical Industries Limited 5 Basel Street, Petach Tikva, 4951033, Israel |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | TEVA | ADR(CNV 1 ORD ILS0.10) | New York Stock Exchange | US | USD | 16. Feb 1982 | |
| DB | TEV | ADR(CNV 1 ORD ILS0.10) | Deutsche Boerse AG | DE | EUR | 16. Feb 1982 | |
| LSE | 0LER | ADR(CNV 1 ORD ILS0.10) | London Stock Exchange | GB | USD | 16. Feb 1982 | |
| SWX | TEVA | ADR(CNV 1 ORD ILS0.10) | SIX Swiss Exchange | CH | CHF | 16. Feb 1982 | |
| WBAG | TEVA | ADR(CNV 1 ORD ILS0.10) | Wiener Boerse AG | AT | EUR | 16. Feb 1982 | |
| BMV | TEVA N | ADR(CNV 1 ORD ILS0.10) | Bolsa Mexicana de Valores | MX | MXN | 16. Feb 1982 | |
| TASE | TEVA | Ordinary Shares | The Tel-Aviv Stock Exchange | IL | ILS | 06. Jun 1994 | |
| OTCPK | TEVJ.F | Ordinary Shares | Pink Sheets LLC | US | USD | 06. Jun 1994 |
Number of employees
Current staff
Industry
| Pharmaceuticals | |
| Pharmaceuticals & Biotech |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/23 23:45 |
| End of day share price update: | 2019/04/23 00:00 |
| Last estimates confirmation: | 2019/04/23 |
| Last earnings filing: | 2019/02/19 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
