Teva Pharmaceutical Industries Limited (TEVA.TA) stock analysis

In our weekly check, Teva Pharmaceutical Industries Limited is graded B (A to F). Of 23 checks on debt, profit, cash flow and trend: 15 pass, warnings: 5, red flags: 3.

About Teva Pharmaceutical Industries Limited

Teva Pharmaceutical Industries Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in Israel, listed on TLV as TEVA.TA.

What our checks show for TEVA.TA

Red flags

• Net debt is 4.3x a year of EBITDA (debt/equity 2.16). That limits room in a downturn and raises refinancing risk.
• The net margin is only 4.1%: little room if costs rise.
• The stock has fallen as much as 92% from a peak. Would you have held through that?

Warning signs

• Operating profit covers interest only 3 times: a weak year could make the payments hard.
• Analysts expect only about 1.6% a year of growth in revenue.
• Earnings per share fell 33.3% a year over the last 3 years.
• The price swings a lot: 36.2% annual volatility. Expect large ups and downs.
• The stock is still below its previous peak.

Strengths

• The net margin rose by 1.5 points over 5 years, to 4.1%.
• The gross margin is 52.5% and has risen by 4.6 points: pricing power is holding.
• Operating cash flow is 4.09x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 97.9% a year over the next years.
• Analysts expect the net margin to improve by 18.2 points from today's 4.1%.
• Free cash flow is 13.7% of revenue: cash for dividends, buybacks or growth.

Next earnings report: 2026-11-03

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Questions

What grade does Teva Pharmaceutical Industries Limited (TEVA.TA) have?

In our weekly check, Teva Pharmaceutical Industries Limited is graded B (A to F). Of 23 checks on debt, profit, cash flow and trend: 15 pass, warnings: 5, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of TEVA.TA stock?

This week's biggest flags for Teva Pharmaceutical Industries Limited: High debt, Thin margins, Deep past fall. In total 8 of 23 checks show a warning or a red flag.

What does Teva Pharmaceutical Industries Limited do?

Teva Pharmaceutical Industries Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in Israel, listed on TLV as TEVA.TA.

When does Teva Pharmaceutical Industries Limited report earnings next?

The next earnings report is expected on 2026-11-03. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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