​Teva Pharmaceutical Industries Limited (NYSE:TEVA) is one of the Best Performing Foreign Stocks to Buy Now. Wall Street is bullish on Teva Pharmaceutical since its fiscal Q4 2025 earnings were released on January 28. ​Recently, on February 10, Goldman Sachs analyst Matthew Dellatorre reiterated a Buy rating on the stock and raised the price target from $36 to $45. Earlier on January 28, Trust Financial also raised its price target from $36 to $38, while maintaining a Buy rating on the stock. ​Teva Phar ...

Financial Data and Key Metrics Changes - Revenues increased by 5% to $1.7 billion, EBITDA grew by 12% to $5.3 billion, EPS rose by 19% to $2.93, and free cash flow was up 16% to $2.4 billion [7][28] - Net debt to EBITDA ratio improved to 2.5x, with a target of 2x by 2027 [8][28] Business Line Data and Key Metrics Changes - Innovative portfolio showed strong growth: AUSTEDO grew by 34% to $2.26 billion, UZEDY increased by 63% to $191 million, and AJOVY rose by 30% to $673 million [9][10][14] - Generics business remained flat, with U.S. growth at 2%, international markets at 1%, and Europe declining by 2% [16][17] Market Data and Key Metrics Changes - The U.S. generics market faced challenges, particularly with the loss of generic Revlimid revenue, impacting overall growth [34] - The biosimilars portfolio is expected to grow by $400 million by 2027, with 10 assets currently in the market and six additional launches planned [18] Company Strategy and Development Direction - The company is focused on its "Pivot to Growth" strategy, emphasizing innovation and a shift from generics to biopharma [4][28] - A target of $700 million in net savings by 2027 is set, with $70 million achieved in 2025 [29][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term financial targets for 2030, with a focus on innovative products driving growth [28][41] - The company anticipates a gradual revenue increase in 2026, despite challenges from generic Revlimid [34][39] Other Important Information - The company is on track to achieve a non-GAAP operating margin target of 30% by 2027 [29][33] - Significant milestones in the pipeline are expected in 2026, including data releases for Duvakitug and Olanzapine LAI [43][44] Q&A Session Summary Question: Insights on AUSTEDO and UZEDY pricing dynamics - Management highlighted strong TRx growth for AUSTEDO and maintained a disciplined approach to pricing, expecting continued growth despite competitive pressures [50][51] - For UZEDY, management acknowledged the mix of Medicaid and Medicare affecting profitability but remains optimistic about continued momentum [53] Question: Disconnect between pipeline excitement and market perception - Management noted that the rapid development of the pipeline may have surprised investors, emphasizing the quality and potential of new products [57][59] Question: Funding R&D and balancing partnerships - Management stated that partnerships do not significantly impact economics, as new product launches enhance gross margins and EBITDA [65][66] Question: Expectations for TL1A maintenance data - Management expressed optimism about the upcoming maintenance data, citing the product's potency and selectivity as key advantages [70]

Financial Data and Key Metrics Changes - Revenues increased by 5% to $1.7 billion, EBITDA grew by 12% to $5.3 billion, EPS rose by 19% to $2.93, and free cash flow was up 16% to $2.4 billion [7][28][30] - Net debt to EBITDA ratio improved to 2.5 times, with a target of 2 times by 2027 [8][28] Business Line Data and Key Metrics Changes - Innovative portfolio showed strong growth: AUSTEDO grew by 34% to $2.26 billion, UZEDY increased by 63% to $191 million, and AJOVY rose by 30% to $673 million [9][10][12] - Generics business remained flat, with U.S. growth at 2%, international markets at 1%, and Europe declining by 2% [16][30] Market Data and Key Metrics Changes - The U.S. generics market faced challenges, particularly with the loss of revenue from generic Revlimid, expected to impact 2026 [34][37] - The biosimilars portfolio is expanding, with 10 assets currently in the market and plans to launch 6 additional by 2027 [18][30] Company Strategy and Development Direction - The company is focused on its "Pivot to Growth" strategy, emphasizing innovative products and a shift from generics to biopharma [4][28] - A target of $700 million in net savings by 2027 is set, with $70 million achieved in 2025 [29][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term financial targets for 2030, with a focus on innovative growth and margin expansion [28][41] - The company anticipates a gradual revenue increase in 2026, despite challenges in the generics segment [34][39] Other Important Information - The company received a $500 million milestone payment from Sanofi, positively impacting revenue and free cash flow [30] - Non-GAAP gross margin increased to 56.2%, with expectations for 54.5%-55.5% in 2026 [31][35] Q&A Session Summary Question: Insights on AUSTEDO and UZEDY pricing dynamics - Management highlighted strong TRX growth for AUSTEDO and maintained a disciplined approach to pricing, expecting continued growth despite competitive pressures [50][51] - For UZEDY, management acknowledged the mix of Medicaid and Medicare affecting profitability but remained optimistic about continued momentum [53][54] Question: Pipeline excitement versus market perception - Management noted that the rapid development of the pipeline may have surprised investors, emphasizing the quality and potential of new products [57][60] Question: Funding R&D and economic implications of partnerships - Management stated that partnerships do not significantly impact economics, as new product launches enhance gross margins and EBITDA [65][66] Question: Expectations for TL1A maintenance data - Management expressed optimism about the upcoming maintenance data, citing the potency and selectivity of the product [70][71]

Financial Data and Key Metrics Changes - Revenues increased by 5% to $1.7 billion, EBITDA grew by 12% to $5.3 billion, EPS rose by 19% to $2.93, and free cash flow was up 16% to $2.4 billion [5][6][26] - Net debt to EBITDA ratio improved to 2.5 times, with a target of 2 times by 2027 [6][26] Business Line Data and Key Metrics Changes - Innovative portfolio showed strong growth: AUSTEDO grew by 34% to $2.26 billion, UZEDY increased by 63% to $191 million, and AJOVY rose by 30% to $673 million [7][8][12] - Generics business remained flat, with U.S. growth at 2%, international markets at 1%, and Europe declining by 2% [15] Market Data and Key Metrics Changes - The U.S. generics market faced challenges, particularly with the loss of generic Revlimid revenue, impacting overall revenue guidance for 2026 [33] - The innovative products are expected to drive growth, with Otezla, AJOVY, and UZEDY showing strong momentum [28][33] Company Strategy and Development Direction - The company is focused on its "Pivot to Growth" strategy, aiming for $700 million in net savings by 2027 and a 30% non-GAAP operating margin [4][26][31] - The pipeline includes multiple products with significant market potential, with a focus on addressing unmet medical needs [18][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term financial targets for 2030, with a focus on innovative growth and transformation programs [26][40] - The company anticipates continued strong performance in its innovative portfolio, despite challenges in the generics market [33][34] Other Important Information - The company has made significant progress in its biosimilars portfolio, with plans to launch six additional assets by 2027 [15][16] - The innovative pipeline is expected to generate over $10 billion in peak sales potential [14] Q&A Session Summary Question: Insights on AUSTEDO and UZEDY pricing dynamics - Management highlighted strong TRX growth and maintained a disciplined approach to pricing, expecting continued growth despite competitive pressures [49][50][52] Question: Disconnect between pipeline excitement and market perception - Management noted that the rapid development of the innovative pipeline may have surprised investors, emphasizing the quality and potential of upcoming products [56][59] Question: Funding R&D and balancing partnerships - Management stated that partnerships do not significantly impact economics, as the innovative products are expected to enhance gross margins and EBITDA [65][66] Question: Expectations for TL1A maintenance data - Management expressed optimism about the upcoming maintenance data, citing the product's potency and selectivity as key factors for positive outcomes [70]

Teva Pharmaceutical Industries Ltd. This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management's current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. Important factors that could cause or contrib ...

Core Insights - Teva Pharmaceutical Industries Ltd. reported a revenue of $17.3 billion for FY 2025, marking a 4% increase YoY in U.S. dollars and 3% in local currency terms, driven by key innovative products [7][11] - The company achieved a significant milestone with its innovative brands, collectively generating approximately $1 billion in revenues during Q4 2025 for the first time [4][9] - Teva's "Pivot to Growth" strategy has been instrumental in driving three consecutive years of growth, with a focus on innovative medicines, generics, and biosimilars [4][6] Financial Performance - Q4 2025 revenues reached $4.7 billion, an 11% increase YoY in U.S. dollars and 9% in local currency terms [28] - FY 2025 GAAP diluted earnings per share (EPS) were $1.21, while non-GAAP diluted EPS stood at $2.93, reflecting strong operational performance [2][21] - Cash flow from operating activities for FY 2025 was $1,649 million, with free cash flow amounting to $2,396 million, indicating robust cash generation capabilities [25][26] Innovative Product Growth - Key innovative brands, including AUSTEDO, AJOVY, and UZEDY, contributed significantly to revenue growth, with AUSTEDO alone generating $725 million in Q4 2025, a 40% increase YoY [9][52] - AJOVY's revenues increased by 68% YoY to $105 million in Q4 2025, driven by expanded indications and volume growth [51] - UZEDY revenues reached $55 million in Q4 2025, reflecting a 28% increase YoY, showcasing Teva's commitment to advancing neuroscience [55] Cost Management and Operational Efficiency - Teva's gross profit for FY 2025 was $8.9 billion, an 11% increase from 2024, with a gross profit margin of 51.8% [13] - The company achieved $70 million in savings in 2025 as part of its transformation programs, with expectations to realize two-thirds of targeted savings by 2026 [10][17] - Operating income for FY 2025 was $2.2 billion, a significant turnaround from an operating loss in 2024, reflecting improved operational efficiency [17] Market Dynamics and Segment Performance - The U.S. segment generated $2.6 billion in Q4 2025, a 34% increase YoY, primarily due to innovative product growth and milestone payments [45] - The Europe segment reported revenues of $1.3 billion in Q4 2025, a 3% decrease YoY, impacted by lower sales of certain product rights and generic products [62] - The International Markets segment saw revenues decline by 20% YoY to $528 million, largely due to the divestment of the Japan business venture [75]

Core Viewpoint - Teva Pharmaceutical Industries Ltd. (TEVA) is expected to report a quarterly earnings per share (EPS) of $0.64, reflecting a year-over-year decline of 9.9%, while revenues are anticipated to reach $4.34 billion, showing a 2.6% increase compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate has been revised 2.2% lower over the last 30 days, indicating a reevaluation by analysts [2]. - Revisions to earnings estimates are significant indicators for predicting investor actions regarding the stock, with empirical research showing a strong correlation between earnings estimate trends and short-term stock price performance [3]. Revenue Projections - Analysts forecast 'Revenue- API sales to third parties' to reach $154.37 million, indicating a 6.5% increase year-over-year [5]. - 'Revenue- COPAXONE- Total' is expected to be $63.50 million, reflecting a substantial decline of 48% year-over-year [5]. - 'Geographic Revenue- United States' is projected at $2.15 billion, suggesting an 8.6% increase year-over-year [5]. - 'Geographic Revenue- Europe' is estimated to be $1.32 billion, indicating a decrease of 2.7% from the prior year [6]. - 'Geographic Revenue- International Markets' is expected to be $625.03 million, reflecting a decline of 5.4% year-over-year [6]. Specific Revenue Metrics - 'Geographic Revenue- Europe- Respiratory products' is estimated at $57.29 million, down 6.1% from the previous year [7]. - 'Geographic Revenue- International Markets- Generic products' is projected at $446.04 million, indicating a decline of 10.3% year-over-year [7]. - 'Geographic Revenue- International Markets- COPAXONE' is expected to reach $5.14 million, reflecting a significant drop of 42.9% from the prior year [8]. - 'Geographic Revenue- United States- AJOVY' is projected at $70.98 million, indicating a year-over-year increase of 12.7% [8]. - 'Geographic Revenue- Europe- Generic products' is expected to be $1.01 billion, reflecting a 2.9% increase year-over-year [9]. - 'Geographic Revenue- Europe- AJOVY' is projected at $74.75 million, indicating a substantial increase of 28.9% from the prior year [9]. - 'Geographic Revenue- Europe- Other' is estimated at $168.65 million, reflecting a decline of 17.7% from the previous year [9]. Stock Performance - Teva's shares have shown a return of -0.3% over the past month, compared to a +0.6% change in the Zacks S&P 500 composite [10].

Cautionary Note Regarding Forward-Looking Statements This presentation contains forward -looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management 's current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significant ly from that expressed or implied by such forward -looking statements. Important factors that c ...

Core Insights - Teva Pharmaceutical Industries Ltd. is set to present its ongoing transformation and growth trajectory through 2030 at the 44th Annual J.P. Morgan Healthcare Conference [1] - The presentation will highlight milestones achieved in 2025, transformative initiatives, and a forward-looking outlook for 2026 and beyond [1] Financial Performance Outlook - Expected revenues for 2025 are projected to be between $16.8 billion and $17.0 billion, with a lower point of the range contributing an additional $500 million from duvakitug milestones [3] - Operating margin is anticipated to be around 26.2% to 27.1%, with a mid to high point of the range contributing approximately 80%-85% [3] - Adjusted EBITDA is expected to be between $4.8 billion and $5.0 billion, with a midpoint of the range contributing around $400 million to $430 million [3] - The diluted EPS is projected to be between $2.55 and $2.65, with the higher point of the range being emphasized [3] - Free cash flow is expected to be between $1.6 billion and $1.9 billion, with a higher point of the range contributing approximately $500 million [3] - Net leverage is projected to be around 2.5x to 2.9x, with a midpoint of the range at approximately 2.5x [3] Future Growth Strategy - Teva is accelerating its "Pivot to Growth" strategy, focusing on becoming a leading innovative biopharmaceutical company, supported by its generics business [6] - Key innovative brands such as AUSTEDO, AJOVY, and UZEDY are driving growth and reshaping the financial outlook [6] - The clinical pipeline includes assets like olanzapine LAI, DARI, duvakitug, emrusolmin, and anti-IL-15, which are expected to support long-term growth [6] - For 2026, revenues are expected to be flat to slightly down compared to 2025, with low-single digit growth anticipated for 2027 and mid-single digit CAGR by 2030 [5] - Operating profit is expected to grow by 30% in 2027, with free cash flow projected to exceed $2.7 billion [5]

Company Overview - Teva has been implementing a pivot to growth strategy for the past three years, transitioning from a leading generics company to a world-leading biopharma company, demonstrating significant progress in business setup and financials [3]. Financial Performance - The product AUSTEDO, initially projected by analysts to achieve peak sales of approximately $1.4 billion, is expected to exceed $2 billion this year and reach peak sales of over $3 billion [4]. - Teva has successfully launched UZEDY, a long-acting schizophrenia product, and has driven continued growth of AJOVY, its migraine product, indicating strong performance in innovative product sales [4].