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TEVA Q4 Earnings & Sales Beat Estimates, Stock Rises

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Teva Pharmaceutical Industries Ltd. (TEVA - Free Report) is a global pharmaceutical company with a strong presence in the generics market while also having some branded drugs in its portfolio.

Teva faces challenges in the form of generic erosion of key branded drug, Copaxone, new competition for other branded products, pricing erosion in the U.S. generics business, a sparse branded pipeline and a high debt load. However, its newest drugs Austedo and Ajovy could emerge as significant drivers of long-term sales growth. It is also seeing stabilization in U.S. and European generics business. However, the opioid litigation and price-fixing investigations are an overhang on the stock.

Teva’s earnings performance has been mixed, with the company beating expectations in two of the past four quarters and matching estimates in the other two. The four-quarter average earnings surprise is 9.16%. Estimate movement has been mixed lately.

Currently, TEVA has a Zacks Rank #3 (Hold), but that could definitely change following the company’s earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

We have highlighted some of the key stats from this just-revealed announcement below:

Earnings Beat: Teva’s fourth-quarter earnings of 68 cents per share beat the consensus estimate of 62 cents.

Revenues Beat: Teva posted revenues of $4.45 billion, which also beat the consensus estimate of $4.36 billion. Sales were flat on a reported basis but declined 1% on constant currency terms year over year

Key Statistics:  North America segment sales were $2.3 billion, down 3% year over year due to lower sales of branded drugs, Copaxone and Bendeka/Treanda which offset higher sales of generic products, Austedo And Ajovy.

The Europe segment recorded revenues of $1.24 billion, down 1% in constant currency terms year over year. In the International Markets segment, sales declined 5% in constant currency terms to $572 million.

2021 Outlook: Teva issued its financial guidance for 2021. It expects revenues to be in the range of $16.4 - $16.8 billion. Earnings are expected to be in the range of $2.50 - $2.70 per share.

Share Price Impact: Shares rose around 3.5% in pre-market trading.

Check back later for our full write up on this TEVA earnings report later!


Teva Pharmaceutical Industries Ltd. Price and Consensus Teva Pharmaceutical Industries Ltd. Price and Consensus

Teva Pharmaceutical Industries Ltd. price-consensus-chart | Teva Pharmaceutical Industries Ltd. Quote

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