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Teva Pharmaceutical’s Promising Growth Prospects and Strategic Initiatives Drive Buy Rating

Teva Pharmaceutical’s Promising Growth Prospects and Strategic Initiatives Drive Buy Rating

In a report released today, Chris Schott from J.P. Morgan maintained a Buy rating on Teva Pharmaceutical, with a price target of $23.00.

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Chris Schott has given his Buy rating due to a combination of factors that highlight Teva Pharmaceutical’s promising future prospects. The company is expected to experience significant growth driven by its branded pharmaceuticals, particularly Austedo and the upcoming launch of olanzapine LAI in 2026. These products are anticipated to capture substantial market share, with Austedo showing strong growth and olanzapine LAI poised to convert a significant portion of the oral olanzapine market.
Moreover, Teva’s strategic initiatives, including a $700 million cost-cutting program, are expected to enhance its operating margins, aiming for a 30% target by 2027. The company’s financial position is also favorable, with shares trading at attractive valuations and increasing capital allocation flexibility. These factors, combined with the potential for long-term growth from its branded pharmaceutical business, underpin Schott’s optimistic outlook for Teva’s stock.

In another report released on June 27, UBS also maintained a Buy rating on the stock with a $23.00 price target.

Based on the recent corporate insider activity of 43 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of TEVA in relation to earlier this year.

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