Foreign investment houses continue to express pessimism over Teva Pharmaceutical Industries Ltd.'s (Nasdaq: TEVA; TASE: TEVA) future in 2007, following its third quarter financials report. Despite strong financials for the third quarter, the future does not look bright regarding future growth in 2007.
Following yesterday's announcements by Merrill Lynch and Standard & Poorעs (S&P) Equity Research Unit, Deutsche Bank Securities Inc. today dropped its target price for Teva from $44 to $37, which is 16% above yesterday's closing price.
JP Morgan Partners downgraded its rating to "Neutral" from "Buy" following an absence of visible growth engines for 2007 in their opinion.
Goldman Sachs dropped its target price to $40 from $42, for the same reason, and cut its profit per share forecast by $0.05 to $2.16 in 2007. Wachovia Securities decided to downgrade the share to "Market Perform" while noting that the company was faced with stiff competition in 2007, and mentioning the replacement of Israel Makov as CEO.
Published by Globes [online], Israel business news - www.globes.co.il - on November 9, 2006
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