Teva Pharmaceutical Industries

NYSE:TEVA Stock Report

Mkt Cap: US$9.6b

We’ve recently updated our valuation analysis.

Teva Pharmaceutical Industries Valuation

Is TEVA undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TEVA?

Other financial metrics that can be useful for relative valuation.

TEVA key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2x
Enterprise Value/EBITDA7.1x
PEG Ration/a

Price to Sales Ratio vs Peers

How does TEVA's PS Ratio compare to its peers?

The above table shows the PS ratio for TEVA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.4x
OGN Organon
1x1.9%US$6.3b
JAZZ Jazz Pharmaceuticals
2.7x4.8%US$9.8b
VTRS Viatris
0.8x-1.1%US$13.6b
PRGO Perrigo
1x4.1%US$4.3b
TEVA Teva Pharmaceutical Industries
0.6x1.6%US$9.6b

Price-To-Sales vs Peers: TEVA is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (1.4x).


Price to Earnings Ratio vs Industry

How does TEVA's PE Ratio compare vs other companies in the US Pharmaceuticals Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a10.5%
n/an/an/a

Price-To-Sales vs Industry: TEVA is good value based on its Price-To-Sales Ratio (0.6x) compared to the US Pharmaceuticals industry average (2.9x)


Price to Sales Ratio vs Fair Ratio

What is TEVA's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TEVA PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio3.4x

Price-To-Sales vs Fair Ratio: TEVA is good value based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (3.4x).


Share Price vs Fair Value

What is the Fair Price of TEVA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TEVA ($8.67) is trading below our estimate of fair value ($39.92)

Significantly Below Fair Value: TEVA is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst TEVA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$8.67
US$9.70
+11.9%
17.3%US$13.00US$7.00n/a10
Nov ’23US$9.12
US$10.30
+12.9%
12.3%US$13.00US$8.00n/a10
Oct ’23US$8.07
US$10.56
+30.8%
14.9%US$13.00US$8.00n/a9
Sep ’23US$8.93
US$10.56
+18.2%
14.9%US$13.00US$8.00n/a9
Aug ’23US$9.48
US$10.22
+7.8%
12.9%US$13.00US$8.00n/a9
Jul ’23US$7.89
US$9.89
+25.3%
16.8%US$13.00US$7.00n/a9
Jun ’23US$9.33
US$10.00
+7.2%
14.7%US$13.00US$7.00n/a12
May ’23US$8.71
US$10.58
+21.5%
9.8%US$13.00US$9.00n/a12
Apr ’23US$9.39
US$10.31
+9.8%
8.0%US$12.00US$9.00n/a13
Mar ’23US$7.79
US$10.38
+33.3%
7.1%US$12.00US$9.00n/a13
Feb ’23US$8.71
US$10.47
+20.2%
10.0%US$13.00US$9.00n/a14
Jan ’23US$8.01
US$10.69
+33.4%
12.9%US$14.00US$9.00n/a14
Dec ’22US$8.18
US$11.47
+40.2%
23.5%US$20.00US$9.00n/a14
Nov ’22US$9.23
US$11.47
+24.3%
23.5%US$20.00US$9.00US$9.1214
Oct ’22US$9.70
US$12.04
+24.1%
20.8%US$20.00US$10.00US$8.0715
Sep ’22US$9.38
US$12.04
+28.4%
20.8%US$20.00US$10.00US$8.9315
Aug ’22US$9.65
US$12.21
+26.5%
20.8%US$20.00US$10.00US$9.4817
Jul ’22US$9.92
US$12.33
+24.3%
22.2%US$20.00US$9.00US$7.8920
Jun ’22US$10.50
US$12.33
+17.4%
22.2%US$20.00US$9.00US$9.3320
May ’22US$10.70
US$12.46
+16.4%
21.9%US$20.00US$9.00US$8.7121
Apr ’22US$11.48
US$12.60
+9.8%
21.7%US$20.00US$9.00US$9.3921
Mar ’22US$10.92
US$12.62
+15.6%
21.1%US$20.00US$9.00US$7.7922
Feb ’22US$12.01
US$12.30
+2.4%
22.5%US$20.00US$9.00US$8.7122
Jan ’22US$9.65
US$12.21
+26.5%
23.0%US$20.00US$9.00US$8.0122
Dec ’21US$9.41
US$12.16
+29.3%
23.5%US$20.00US$8.00US$8.1822
Nov ’21US$8.72
US$12.35
+41.6%
22.8%US$20.00US$8.00US$9.2322

Analyst Forecast: Target price is less than 20% higher than the current share price.


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