TEVA Valuation

Teva Pharmaceutical Industries Ltd

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16.290

+0.28(1.749%)1D

Overview
Forecast
Valuation
Earnings

TEVA Relative Valuation

TEVA's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TEVA is overvalued; if below, it's undervalued.

Historical Valuation

Teva Pharmaceutical Industries Ltd (TEVA) is now in the Overvalued zone, suggesting that its current forward PE ratio of 6.25 is considered Overvalued compared with the five-year average of 4.50. The fair price of Teva Pharmaceutical Industries Ltd (TEVA) is between 10.18 to 16.08 according to relative valuation methord. Compared to the current price of 16.29 USD , Teva Pharmaceutical Industries Ltd is Overvalued By 1.34%.

Relative Value

Fair Zone

10.18-16.08

Current Price：16.29

1.34%

Overvalued

6.25

Trailing

Forward

6.79

EV/EBITDA

Teva Pharmaceutical Industries Ltd. (TEVA) has a current EV/EBITDA of 6.79. The 5-year average EV/EBITDA is 6.90. The thresholds are as follows: Strongly Undervalued below 5.91, Undervalued between 5.91 and 6.40, Fairly Valued between 7.39 and 6.40, Overvalued between 7.39 and 7.89, and Strongly Overvalued above 7.89. The current Forward EV/EBITDA of 6.79 falls within the Historic Trend Line -Fairly Valued range.

7.49

EV/EBIT

Teva Pharmaceutical Industries Ltd. (TEVA) has a current EV/EBIT of 7.49. The 5-year average EV/EBIT is 7.77. The thresholds are as follows: Strongly Undervalued below 6.62, Undervalued between 6.62 and 7.20, Fairly Valued between 8.35 and 7.20, Overvalued between 8.35 and 8.93, and Strongly Overvalued above 8.93. The current Forward EV/EBIT of 7.49 falls within the Historic Trend Line -Fairly Valued range.

1.08

Teva Pharmaceutical Industries Ltd. (TEVA) has a current PS of 1.08. The 5-year average PS is 0.81. The thresholds are as follows: Strongly Undervalued below 0.32, Undervalued between 0.32 and 0.56, Fairly Valued between 1.05 and 0.56, Overvalued between 1.05 and 1.30, and Strongly Overvalued above 1.30. The current Forward PS of 1.08 falls within the Overvalued range.

5.02

P/OCF

Teva Pharmaceutical Industries Ltd. (TEVA) has a current P/OCF of 5.02. The 5-year average P/OCF is 11.62. The thresholds are as follows: Strongly Undervalued below -11.38, Undervalued between -11.38 and 0.12, Fairly Valued between 23.12 and 0.12, Overvalued between 23.12 and 34.61, and Strongly Overvalued above 34.61. The current Forward P/OCF of 5.02 falls within the Historic Trend Line -Fairly Valued range.

5.78

P/FCF

Teva Pharmaceutical Industries Ltd. (TEVA) has a current P/FCF of 5.78. The 5-year average P/FCF is 5.61. The thresholds are as follows: Strongly Undervalued below 1.11, Undervalued between 1.11 and 3.36, Fairly Valued between 7.86 and 3.36, Overvalued between 7.86 and 10.11, and Strongly Overvalued above 10.11. The current Forward P/FCF of 5.78 falls within the Historic Trend Line -Fairly Valued range.

Teva Pharmaceutical Industries Ltd (TEVA) has a current Price-to-Book (P/B) ratio of 2.74. Compared to its 3-year average P/B ratio of 2.15 , the current P/B ratio is approximately 27.07% higher. Relative to its 5-year average P/B ratio of 1.70, the current P/B ratio is about 60.81% higher. Teva Pharmaceutical Industries Ltd (TEVA) has a Forward Free Cash Flow (FCF) yield of approximately 4.85%. Compared to its 3-year average FCF yield of 6.34%, the current FCF yield is approximately -23.51% lower. Relative to its 5-year average FCF yield of 5.21% , the current FCF yield is about -6.97% lower.

2.74

P/B

Median3y

2.15

Median5y

1.70

4.85

FCF Yield

Median3y

6.34

Median5y

5.21

Competitors Valuation Multiple

The average P/S ratio for TEVA's competitors is 1.08, providing a benchmark for relative valuation. Teva Pharmaceutical Industries Ltd Corp (TEVA) exhibits a P/S ratio of 1.08, which is 0.00% above the industry average. Given its robust revenue growth of 0.29%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

TEVA.N

Teva Pharmaceutical Industries Ltd

Performance Decomposition

Market capitalization of TEVA decreased by 15.16% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -53.36 to -115.70.

The secondary factor is the Revenue Growth, contributed 0.29%to the performance.

Overall, the performance of TEVA in the past 1 year is driven by P/E Change. Which is more unsustainable.

0.29%

4.16B → 4.18B

Revenue Growth

-132.30%

-20.99 → 6.78

Margin Expansion

116.85%

-53.36 → -115.70

P/E Change

-15.16%