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Teva Pharmaceutical (TEVA) is +10.5% in Tel Aviv following the favorable ruling on its Copaxone...

Teva Pharmaceutical (TEVA) is +10.5% in Tel Aviv following the favorable ruling on its Copaxone patent in a case against Momenta (MNTA) and Mylan (MYL). While industry watchers had assumed Teva would prevail, with ~35% of its EPS at risk, a hearty sigh of relief isn't surprising.
Comments (11)
  • doc47
    , contributor
    Comments (992) | Send Message
     
    Before everyone jumps in to buy or maybe not sell, Let's see if this event translates into any jump in price that lasts more than a few hours. TEVA has that very bad habit of discounting good news quickly and sinking like a stone on the slightest negative news. Personally, I'm looking to get out with a smaller loss (in @$48) by writing some decently priced covered calls.
    24 Jun 2012, 09:18 AM Reply Like
  • TMKrause
    , contributor
    Comments (54) | Send Message
     
    Doc, how long have you held TEVA? Besides its dissappointing performance, are there fundamentals that you dislike? Thanks and good luck!
    24 Jun 2012, 01:20 PM Reply Like
  • doc47
    , contributor
    Comments (992) | Send Message
     
    TMK: I thought my above statement was clear: It's a classic under-performer which goes down on bad news more than it goes up on good. In addition, they seem to be facing stiffer competition in the generic space and Europe is very scary for any company right now. I've held it for 2.5 years and have cut about a third of my losses by using the covered calls. Monday should be a good call selling opportunity. Good luck to all with TEVA!
    24 Jun 2012, 06:20 PM Reply Like
  • sid gold
    , contributor
    Comments (177) | Send Message
     
    TEVA is extremely cheap at current levels with a current yield of 2.1% and low multiple it is one of the most undervalued Generic Pharms
    24 Jun 2012, 09:28 AM Reply Like
  • Pinocchio1
    , contributor
    Comments (206) | Send Message
     
    The change earlier this year of CEOs is a big positive.
    24 Jun 2012, 01:46 PM Reply Like
  • Global Investing Editor
    , contributor
    Comments (259) | Send Message
     
    as a USA reader I wish Teva would supply a substitute USA Investor Relations person to handle sensitive news coming out on Friday instead of the whole Israeli staff hitting the beach. maybe the new USA-UK-South African TEVA CEO will make them take their jobs more seriously. The Tel Aviv stock exchange has been closed Fridays since it began to trade under the Turks who observed the Muslim Sabbath But now even when the sun sets very late on Friday in the start of summer (so the Jewish Sabbath begins well after the trading day is over in Israel) the beach still wins over keeping shareholders informed of material events like this copaxone patent confirmation.
    vivian@global-investin...
    24 Jun 2012, 05:49 PM Reply Like
  • Ed's perspective
    , contributor
    Comments (259) | Send Message
     
    TEVA has been a value ....
    and a disappointment.

     

    I used to think they had a competitive advantage with both scale and basic research; they were leaders. Now I struggle to see where they have maintained any advantages and others have met them with generic capacity of their own. This is begining to look like the auto industry to me ... too many players / capacity and margins erode.
    24 Jun 2012, 07:53 PM Reply Like
  • theoldfella
    , contributor
    Comment (1) | Send Message
     
    I will just listen, Thank you!!
    24 Jun 2012, 10:32 PM Reply Like
  • Poorwiseman
    , contributor
    Comments (2) | Send Message
     
    Can any company buy Teva or they are too big? Thanks
    24 Jun 2012, 11:54 PM Reply Like
  • Harry L
    , contributor
    Comments (342) | Send Message
     
    TEVA rose to prominence as one of the worlds largest generic drug suppliers. Small margins but consistent growth as patents expire.

     

    While I applaud their movement into development of new drugs like Copaxone, the percentage of their profit dependency on one product is out of balance with their original and predictible generic business plan.

     

    Since they do not have a large pipeline of new non-generics like the Pfizers and abbots of the world, it amplifies their dependence on one product and adds an out of balance element of risk to their earnings. Suggest purchase of protection for large purchases of this one.
    25 Jun 2012, 11:26 AM Reply Like
  • doc47
    , contributor
    Comments (992) | Send Message
     
    Say what you will, I was right about Monday morning being the best time to sell covered calls (or dumping the stock)! Hoping some one takes it away from me at $45 by the end of the year.
    1 Jul 2012, 09:28 AM Reply Like
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