TEVA PHARMACEUTICAL-SP ADR (TEVA) Stock Fundamental Analysis
USA - NYSE:TEVA - US8816242098 - ADR
20.05 USD
-0.01 (-0.05%)
20.05 USD
0 (0%)
TEVA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 196 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of TEVA while its profitability can be described as average. TEVA is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TEVA was profitable.
In the past year TEVA had a positive cash flow from operations.
TEVA had negative earnings in 4 of the past 5 years.
TEVA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.39%, TEVA is in the better half of the industry, outperforming 79.08% of the companies in the same industry.
Looking at the Return On Equity, with a value of -2.31%, TEVA is in the better half of the industry, outperforming 79.08% of the companies in the same industry.
TEVA's Return On Invested Capital of 10.49% is amongst the best of the industry. TEVA outperforms 87.76% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TEVA is significantly below the industry average of 15.28%.
The 3 year average ROIC (9.12%) for TEVA is below the current ROIC(10.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.39% | ||
| ROE | -2.31% | ||
| ROIC | 10.49% |
ROA(3y)-3.67%
ROA(5y)-3.6%
ROE(3y)-23.1%
ROE(5y)-21.01%
ROIC(3y)9.12%
ROIC(5y)8.26%
1.3 Margins
TEVA has a Operating Margin of 22.59%. This is amongst the best in the industry. TEVA outperforms 89.80% of its industry peers.
TEVA's Operating Margin has improved in the last couple of years.
TEVA's Gross Margin of 50.88% is fine compared to the rest of the industry. TEVA outperforms 63.78% of its industry peers.
In the last couple of years the Gross Margin of TEVA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.59% | ||
| PM (TTM) | N/A | ||
| GM | 50.88% |
OM growth 3Y0.25%
OM growth 5Y5.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.4%
GM growth 5Y2.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TEVA is still creating some value.
Compared to 1 year ago, TEVA has more shares outstanding
The number of shares outstanding for TEVA has been increased compared to 5 years ago.
Compared to 1 year ago, TEVA has an improved debt to assets ratio.
2.2 Solvency
TEVA has an Altman-Z score of 0.65. This is a bad value and indicates that TEVA is not financially healthy and even has some risk of bankruptcy.
TEVA has a Altman-Z score (0.65) which is in line with its industry peers.
TEVA has a debt to FCF ratio of 19.36. This is a negative value and a sign of low solvency as TEVA would need 19.36 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 19.36, TEVA is doing good in the industry, outperforming 76.53% of the companies in the same industry.
A Debt/Equity ratio of 2.46 is on the high side and indicates that TEVA has dependencies on debt financing.
TEVA's Debt to Equity ratio of 2.46 is on the low side compared to the rest of the industry. TEVA is outperformed by 76.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.46 | ||
| Debt/FCF | 19.36 | ||
| Altman-Z | 0.65 |
ROIC/WACC1.36
WACC7.69%
2.3 Liquidity
TEVA has a Current Ratio of 1.06. This is a normal value and indicates that TEVA is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.06, TEVA is not doing good in the industry: 79.59% of the companies in the same industry are doing better.
TEVA has a Quick Ratio of 1.06. This is a bad value and indicates that TEVA is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.77, TEVA is doing worse than 81.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
TEVA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.09%.
Measured over the past years, TEVA shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.18% on average per year.
The Revenue has been growing slightly by 2.07% in the past year.
TEVA shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.41% yearly.
EPS 1Y (TTM)-4.09%
EPS 3Y-1.18%
EPS 5YN/A
EPS Q2Q%8.2%
Revenue 1Y (TTM)2.07%
Revenue growth 3Y1.38%
Revenue growth 5Y-0.41%
Sales Q2Q%0.29%
3.2 Future
TEVA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.98% yearly.
Based on estimates for the next years, TEVA will show a small growth in Revenue. The Revenue will grow by 2.07% on average per year.
EPS Next Y5.48%
EPS Next 2Y4.97%
EPS Next 3Y6.98%
EPS Next 5YN/A
Revenue Next Year2.75%
Revenue Next 2Y1.77%
Revenue Next 3Y2.07%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.68, the valuation of TEVA can be described as very cheap.
94.39% of the companies in the same industry are more expensive than TEVA, based on the Price/Earnings ratio.
TEVA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.79.
Based on the Price/Forward Earnings ratio of 7.22, the valuation of TEVA can be described as very cheap.
Based on the Price/Forward Earnings ratio, TEVA is valued cheaper than 90.82% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TEVA to the average of the S&P500 Index (23.21), we can say TEVA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.68 | ||
| Fwd PE | 7.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TEVA indicates a rather cheap valuation: TEVA is cheaper than 91.84% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TEVA indicates a rather cheap valuation: TEVA is cheaper than 82.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.84 | ||
| EV/EBITDA | 7.96 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of TEVA may justify a higher PE ratio.
PEG (NY)1.4
PEG (5Y)N/A
EPS Next 2Y4.97%
EPS Next 3Y6.98%
5. Dividend
5.1 Amount
No dividends for TEVA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.05
-0.01 (-0.05%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners12.48%
Inst Owner Change1.01%
Ins Owners0.43%
Ins Owner Change-3.97%
Market Cap23.00B
Analysts42.22
Price Target0.06 (-99.7%)
Short Float %4.92%
Short Ratio4.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.24%
Min EPS beat(2)4.65%
Max EPS beat(2)5.84%
EPS beat(4)4
Avg EPS beat(4)3.88%
Min EPS beat(4)2.01%
Max EPS beat(4)5.84%
EPS beat(8)6
Avg EPS beat(8)4.79%
EPS beat(12)7
Avg EPS beat(12)-0.36%
EPS beat(16)9
Avg EPS beat(16)-0.6%
Revenue beat(2)0
Avg Revenue beat(2)-4.72%
Min Revenue beat(2)-4.77%
Max Revenue beat(2)-4.68%
Revenue beat(4)2
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-4.77%
Max Revenue beat(4)2.63%
Revenue beat(8)5
Avg Revenue beat(8)0.64%
Revenue beat(12)6
Avg Revenue beat(12)-0.39%
Revenue beat(16)6
Avg Revenue beat(16)-1.7%
PT rev (1m)2.64%
PT rev (3m)6.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.37%
EPS NY rev (1m)0%
EPS NY rev (3m)2.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.77%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.68 | ||
| Fwd PE | 7.22 | ||
| P/S | 1.38 | ||
| P/FCF | 25.84 | ||
| P/OCF | 16.55 | ||
| P/B | 3.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.96 |
EPS(TTM)2.61
EY13.02%
EPS(NY)2.78
Fwd EY13.85%
FCF(TTM)0.78
FCFY3.87%
OCF(TTM)1.21
OCFY6.04%
SpS14.5
BVpS5.95
TBVpS-11.56
PEG (NY)1.4
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.39% | ||
| ROE | -2.31% | ||
| ROCE | 13.29% | ||
| ROIC | 10.49% | ||
| ROICexc | 11.36% | ||
| ROICexgc | 49.13% | ||
| OM | 22.59% | ||
| PM (TTM) | N/A | ||
| GM | 50.88% | ||
| FCFM | 5.35% |
ROA(3y)-3.67%
ROA(5y)-3.6%
ROE(3y)-23.1%
ROE(5y)-21.01%
ROIC(3y)9.12%
ROIC(5y)8.26%
ROICexc(3y)10.21%
ROICexc(5y)9.09%
ROICexgc(3y)56.98%
ROICexgc(5y)49.9%
ROCE(3y)11.55%
ROCE(5y)10.49%
ROICexcg growth 3Y25.78%
ROICexcg growth 5Y17.24%
ROICexc growth 3Y15.91%
ROICexc growth 5Y18.91%
OM growth 3Y0.25%
OM growth 5Y5.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.4%
GM growth 5Y2.35%
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.46 | ||
| Debt/FCF | 19.36 | ||
| Debt/EBITDA | 3.51 | ||
| Cap/Depr | 48.92% | ||
| Cap/Sales | 3.01% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 29.09% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 0.65 |
F-Score6
WACC7.69%
ROIC/WACC1.36
Cap/Depr(3y)44.85%
Cap/Depr(5y)42.78%
Cap/Sales(3y)3.33%
Cap/Sales(5y)3.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.09%
EPS 3Y-1.18%
EPS 5YN/A
EPS Q2Q%8.2%
EPS Next Y5.48%
EPS Next 2Y4.97%
EPS Next 3Y6.98%
EPS Next 5YN/A
Revenue 1Y (TTM)2.07%
Revenue growth 3Y1.38%
Revenue growth 5Y-0.41%
Sales Q2Q%0.29%
Revenue Next Year2.75%
Revenue Next 2Y1.77%
Revenue Next 3Y2.07%
Revenue Next 5YN/A
EBIT growth 1Y1.19%
EBIT growth 3Y1.63%
EBIT growth 5Y5.48%
EBIT Next Year17.17%
EBIT Next 3Y7.55%
EBIT Next 5YN/A
FCF growth 1Y-24.19%
FCF growth 3Y46.96%
FCF growth 5Y27.42%
OCF growth 1Y-18.04%
OCF growth 3Y16.04%
OCF growth 5Y10.76%