The share price of Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) jumped 5.63% on Friday to $10.69, giving a market cap of $11.87 billion. The share is trading at its highest level since June 2021.
Teva's sharp rise follows the decision by Bank of Israel analyst Jason Gerberry to raise his recommendation on the shares of the Israeli drugmaker from 'neutral' to 'buy' and lift the target price from $10 to $13, giving the share price a 21.5% upside.
Gerberry said, "We believe Teva is making material progress toward cleaning up its legal litigation overhangs which along with a solid 2023-24 new product cycle should be enough to shift the company back toward EBITDA growth."
Last month Teva announced that it had reached agreement on a settlement amounting to up to $4.35 billion of claims relating to its role in the opioids affair in the US. Despite cutting its full year revenue guidance from $15.4-16 billion to $15-15.6 billion in its second quarter results, as it expects exchange rate fluctuations to continue, although keeping earnings per share guidance for 2022 at $2.40-2.60, Teva's share price has risen 55% from $6.89 since July 14.
Published by Globes, Israel business news - en.globes.co.il - on August 7 2022.
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