Teva Pharmaceutical Industries (NYSE:TEVA) Announces Quarterly Earnings Results

Key Points

• Teva beat Q1 estimates with adjusted EPS of $0.53 versus $0.52 consensus and revenue of $3.98B, updated FY‑2026 EPS guidance to $2.57–$2.77, and reported materially improved free cash flow with net debt/EBITDA around 2.42x.
• The company announced an acquisition to in‑license ecopipam (Tourette’s) for $700M upfront plus contingent milestone payments, expected to close late Q2/early Q3 and be accretive to non‑GAAP EPS starting in 2028.
• Management highlighted strong branded momentum (~41% growth across key brands, UZEDY +62%) and an active pipeline with multiple near‑term catalysts representing >$10 billion peak sales potential, while targeting a 30% non‑GAAP operating margin and <2x net debt/EBITDA by 2027.

Teva Pharmaceutical Industries (NYSE:TEVA - Get Free Report) issued its quarterly earnings data on Wednesday. The company reported $0.53 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.52 by $0.01, FiscalAI reports. Teva Pharmaceutical Industries had a return on equity of 46.28% and a net margin of 8.16%.The company had revenue of $3.98 billion during the quarter, compared to analysts' expectations of $3.85 billion. During the same quarter in the previous year, the company posted $0.52 earnings per share. The business's revenue was up 2.3% on a year-over-year basis. Teva Pharmaceutical Industries updated its FY 2026 guidance to 2.570-2.770 EPS.

Here are the key takeaways from Teva Pharmaceutical Industries' conference call:

• The company announced the acquisition of Amylyx to in-license ecopipam (Tourette’s) for $700 million upfront plus up to $200 million in milestones, expects ~80% product gross margin, closing late Q2/early Q3, and says the asset will be accretive to non-GAAP EPS starting in 2028 while not changing its 2027 leverage target.
• Teva’s innovative portfolio continues strong momentum with ~41% growth across key brands (Austedo ~+41%, UZEDY +62%, AJOVY +35%), Austedo guidance reiterated and management highlighting a multi-year path to >$2.5–3.0 billion peak sales.
• The pipeline is active with multiple near-term catalysts — positive duvakitug maintenance data already released, anti‑IL‑15 vitiligo readout in H1 and celiac in H2, DARI (asthma) Phase III events due by year‑end, emrusolmin futility analysis by year‑end, and olanzapine LAI regulatory progress — which management says represent >$10 billion of peak sales potential.
• Q1 results were mixed: revenue of ~$4.0 billion (down 1% reported, +7% ex‑Japan and generic Revlimid), adjusted EBITDA $1.1 billion (+2%), non‑GAAP EPS $0.53 (+2%), free cash flow materially improved (up ~76% to ~$200M), and net debt/EBITDA at ~2.42x.
• Transformation and capital-allocation priorities remain intact — on track for $700 million of cost savings by 2027 (about two‑thirds expected by end‑2026), recorded restructuring costs, board has authorized planning for a potential share buyback, and management reaffirms the goal of 30% non‑GAAP operating margin and <2x net debt/EBITDA by 2027.

Teva Pharmaceutical Industries Price Performance

Shares of NYSE:TEVA traded up $3.42 during trading on Wednesday, reaching $35.04. 16,430,305 shares of the company traded hands, compared to its average volume of 8,143,514. The firm has a market capitalization of $40.29 billion, a PE ratio of 29.23, a PEG ratio of 2.75 and a beta of 0.76. Teva Pharmaceutical Industries has a 52 week low of $14.99 and a 52 week high of $37.35. The company has a quick ratio of 0.80, a current ratio of 1.04 and a debt-to-equity ratio of 1.89. The company's 50 day moving average is $31.12 and its two-hundred day moving average is $29.24.

Insider Buying and Selling

In related news, EVP Richard Daniell sold 17,295 shares of the business's stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $31.67, for a total value of $547,732.65. Following the completion of the transaction, the executive vice president owned 85,755 shares of the company's stock, valued at $2,715,860.85. The trade was a 16.78% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Placid Jover sold 14,150 shares of the stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $31.67, for a total transaction of $448,130.50. Following the sale, the insider owned 6,774 shares in the company, valued at $214,532.58. The trade was a 67.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 920,901 shares of company stock valued at $30,056,789 in the last ninety days. Insiders own 0.54% of the company's stock.

Institutional Investors Weigh In On Teva Pharmaceutical Industries

A number of large investors have recently bought and sold shares of the company. Rubric Capital Management LP grew its stake in Teva Pharmaceutical Industries by 1.8% during the second quarter. Rubric Capital Management LP now owns 26,000,000 shares of the company's stock worth $435,760,000 after buying an additional 450,000 shares in the last quarter. State Street Corp grew its stake in Teva Pharmaceutical Industries by 1.2% during the fourth quarter. State Street Corp now owns 17,348,809 shares of the company's stock worth $541,456,000 after buying an additional 198,558 shares in the last quarter. Duquesne Family Office LLC grew its stake in Teva Pharmaceutical Industries by 3.9% during the third quarter. Duquesne Family Office LLC now owns 16,593,935 shares of the company's stock worth $335,197,000 after buying an additional 625,000 shares in the last quarter. Glenview Capital Management LLC grew its stake in Teva Pharmaceutical Industries by 7.1% during the second quarter. Glenview Capital Management LLC now owns 15,824,223 shares of the company's stock worth $265,214,000 after buying an additional 1,045,582 shares in the last quarter. Finally, Viking Global Investors LP grew its stake in Teva Pharmaceutical Industries by 15.4% during the second quarter. Viking Global Investors LP now owns 11,681,333 shares of the company's stock worth $195,779,000 after buying an additional 1,555,855 shares in the last quarter. 54.05% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on TEVA shares. Truist Financial boosted their price target on Teva Pharmaceutical Industries from $38.00 to $42.00 and gave the company a "buy" rating in a research note on Wednesday, February 18th. Wall Street Zen raised Teva Pharmaceutical Industries from a "buy" rating to a "strong-buy" rating in a report on Saturday, January 31st. Weiss Ratings reissued a "sell (d-)" rating on shares of Teva Pharmaceutical Industries in a research report on Monday, April 20th. Jefferies Financial Group raised their price target on shares of Teva Pharmaceutical Industries from $29.00 to $40.00 and gave the stock a "buy" rating in a research report on Tuesday, January 6th. Finally, Bank of America boosted their price objective on shares of Teva Pharmaceutical Industries from $38.00 to $42.00 and gave the company a "buy" rating in a report on Thursday, April 9th. Nine analysts have rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Teva Pharmaceutical Industries has an average rating of "Moderate Buy" and an average target price of $38.78.

Key Stories Impacting Teva Pharmaceutical Industries

Here are the key news stories impacting Teva Pharmaceutical Industries this week:

• Positive Sentiment: Q1 earnings beat and revenue outperformance: TEVA reported $0.53 EPS vs. $0.52 consensus and Q1 revenue of ~$4.0B above estimates, driven by branded medicine strength — a key catalyst behind the stock move. Reuters: Teva beats Q1 profit estimates
• Positive Sentiment: Acquisition expands late‑stage neuroscience pipeline: Teva agreed to buy Emalex Biosciences for $700M up front (plus up to ~$2B in milestones) for ecopipam, an NDA‑ready D1 antagonist for pediatric Tourette syndrome — strengthens growth profile and commercialization upside. Yahoo: Teva to acquire Emalex
• Positive Sentiment: Heavy call-option buying: Unusual options flow saw ~17,205 calls traded (≈44% above average), indicating speculative or hedged bullish positioning that can amplify intraday upside.
• Positive Sentiment: Growth in key branded product UZEDY: Partner-reported U.S. net sales for UZEDY rose to $63M in Q1 (up 62% YoY), supporting Teva’s story of branded portfolio-led growth. Medincell/Teva: UZEDY Q1 sales
• Neutral Sentiment: FY‑2026 guidance roughly in line with street: Teva set EPS guidance of $2.570–2.770 and revenue $16.4–16.8B, which overlaps consensus — supports credibility but isn’t a clear beat. MarketBeat: Guidance and results
• Neutral Sentiment: Company communications and investor materials: Management released the earnings slide deck and call presentation; useful for assessing drivers and cadence but not an immediate price mover. Seeking Alpha: Q1 presentation
• Negative Sentiment: Revenue headwinds in local currency and generic pressures: While reported revenue rose ~2% YoY in USD, sales were down ~3% in local currency and lenalidomide generics weighed on performance — a reminder of exposure to pricing/generic dynamics. Yahoo/Globe: Q1 results detail
• Negative Sentiment: Acquisition costs and milestone exposure: The Emalex deal’s $700M cash outlay plus up-to-$2B contingent payments could pressure free cash flow near-term and hinge valuation on successful NDA/commercial execution. GlobeNewswire: Emalex acquisition release

About Teva Pharmaceutical Industries

Teva Pharmaceutical Industries Ltd. NYSE: TEVA is an Israeli multinational pharmaceutical company and one of the world's largest manufacturers of generic medicines. The company's core activities include the development, production and marketing of generic pharmaceuticals alongside a portfolio of specialty branded medicines. Teva supplies finished dosage forms and active pharmaceutical ingredients (APIs) to markets around the globe and operates manufacturing and research facilities in multiple countries.

Teva's product range covers oral solids, injectables, inhalation products and other dosage forms across therapeutic areas such as central nervous system disorders, respiratory, oncology, pain and infectious disease.

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