UBS raised its price target for Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) yesterday by $3 to $15. Teva closed at $11.45 in New York yesterday, up 1.42% on the day, having risen sharply last week after releasing better than expected quarterly financials and reiterating its guidance. On the Tel Aviv Stock Exchange this morning, Teva's share price is up 5.06%, at NIS 40.90.
UBS retains its "Buy" recommendation for Teva, and its stance on Teva is one of the most bullish among the institutions that cover the stock.
Analyst Kevin Caliendo still sees Teva as having upside potential despite the recent jump in its share price, thanks to improved pricing for generic drugs, the achievement of market share for Teva's migraine treatment Ajovy and the launch of an auto-injectable version, new biosimilar launches, and a possible settlement in the legal proceedings over the opioids affair in the US.
Caliendo says that UBS's estimates for Teva are close to the consensus, but he believes that there is positive momentum in Teva's sales and operations, and points out that generic drug companies carry lower risk than original drug makers. He sees Teva's debt continuing to decline.
Published by Globes, Israel business news - en.globes.co.il - on May 12, 2020
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