9.55 -0.01 (-0.16%)
Pre-Market: 7:17AM EST
|Bid||9.53 x 4000|
|Ask||9.54 x 4000|
|Day's Range||9.38 - 9.60|
|52 Week Range||6.07 - 20.21|
|Beta (3Y Monthly)||1.84|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Nov.25 -- Teva Pharmaceuticals Industries Ltd. and other generic drugmakers have held talks with the U.S. Justice Department about resolving a criminal anti-trust probe of alleged price fixing by the companies. Bloomberg’s Kailey Leinz reports on “Balance of Power.”
Low-priced pharmaceutical stocks are known troublemakers, and emblematic of the pharma niche is Teva (NYSE:TEVA). Over the course of its history, TEVA stock has taken shareholders on a ride from a few cents to the $70 level, only to retreat back below $10.Source: JHVEPhoto / Shutterstock.com However, a government crackdown on alleged opioid-dealing firms has cemented TEVA's reputation as an outlaw stock. But some folks persist in buying the shares and hoping for a recovery -- both in reputation and in price action.Just this year, traders have watched as Teva stock slid from $20 to less than half of that. So, given its unpredictability, are Teva Pharmaceuticals shares a prime dip-buy opportunity? Or are they just a slow-motion train wreck?InvestorPlace - Stock Market News, Stock Advice & Trading Tips A Teva SubpoenaWhen I coach up-and-coming traders, one basic principle I tell them is to not fight the government. That's a battle you won't win.In other words: if there's a company on your watch list with government issues, pick a less worrisome candidate.First off, you've got the U.S. government's crackdown as federal authorities named a half-dozen opioid-dealing pharmaceutical companies in an investigation -- and of course, Teva's on the hit list. Emboldened by this, state and city governments following suit (literally) and initiating their own legal actions would not surprise me. * 7 Energy Stocks That Are Still Worth Buying In 2020 News of the federal probe sent TEVA stock shares tumbling nearly 8% in a single trading session, reminding traders that the government can and will smash errant pharma firms. And as the criminal probe drags on, public perception of Teva and other pharmaceutical companies will likely continue to suffer. A Price-fixing ImbroglioSticking to the "you can't battle the government and win" theme, we can now turn our attention to the far-reaching price-fixing scandal.At this point, 44 states suing 20 generic-drug manufacturers (including Teva, naturally) were named in what Connecticut Attorney General William Tong has dubbed "the largest cartel case in the history of the United States." And while 20 firms were identified, Teva has the starring role and the 524-page lawsuit reads like a tabloid:"The Defendants exploited their interactions at various and frequent industry trade shows, customer conferences and other similar events, to develop relationships and sow the seeds for their illegal agreements. These anticompetitive agreements are further refined and coordinated at regular 'industry dinners,' 'girls' nights out,' lunches, parties, golf outings, frequent telephone calls, e-mails and text messages."The damage to Teva is over, and it could take years before the company and its shareholders recover.And frankly, my sympathy for the company runs thin. Generic drug makers should help lower prices, not raise them, and Teva's illicit activity impacts all of us. Quoting the lawsuit again:"The anticompetitive conduct -- schemes to fix and maintain prices, allocate markets and otherwise thwart competition -- has caused, and continues to cause, significant harm to the United States healthcare system, which is ongoing."The lawsuit also notes that "Defendant Teva is a consistent participant in the conspiracies identified in this Complaint, but the conduct is pervasive and industry-wide," indicating a deep-rooted issue that merits federal-level intervention.Reform in this area would hopefully benefit the public, but could pose a potential problem for shareholders. Teva Stock? See ya!I won't go so far as to consider the company's legal issues an existential threat. However, they ought to deter any thoughtful investor from taking a long position in Teva stock. Maybe the share price will recover or maybe it won't. But until the company appeases regulators and restores its reputation, I'd say Teva is nothing but trouble.As of this writing, David Moadel did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Energy Stocks That Are Still Worth Buying In 2020 * 7 Strong Stocks to Buy That Won Q3 Earnings * 5 Safety Stocks to Buy Without Trade War Exposure The post Teva Stock Is Nothing but Trouble after Legal Issues appeared first on InvestorPlace.
We are still in an overall bull market and many stocks that smart money investors were piling into surged through the end of November. Among them, Facebook and Microsoft ranked among the top 3 picks and these stocks gained 54% and 51% respectively. Hedge funds' top 3 stock picks returned 41.7% this year and beat […]
The companies both hit the dubious roster twice, but are joined by many of the biggest names in the drug industry Continue reading...
Pfizer stock has tumbled, below other pharmaceutical stocks. Recent news has been upbeat with a drug approval and acquisitions. But the question remains: Is Pfizer stock a buy right now?
Axsome (AXSM) announces data from a phase II study evaluating AXS-12 in narcolepsy patients, demonstrating statistically significant reduction in weekly cataplexy attacks.
J&J (JNJ) says that two third-party labs conducted 155 tests on samples of its baby powders. All these tests confirm that the talc does not contain asbestos, a known carcinogen.
The stock prices of opioid drugmakers and distributors fell this week after news of a possible federal criminal probe, eroding many of the gains made in the weeks since a global settlement resolving opioid litigation was first announced.
Shares of companies caught up in the opioid litigation have risen recently, but a Wall Street Journal report appears to have reminded investors that the trouble could continue.
Shares of some manufacturers and distributors of opioid drugs decline on Tuesday following reports that a criminal probe has been initiated by federal prosecutors.
Moody's Investors Service ("Moody's") has affirmed all the ratings of London-based women's health company IWH UK Finco Limited ('Theramex'), comprising the B2 corporate family rating (CFR), the B2-PD probability of default rating (PDR) and B2 instrument ratings on the existing senior secured facilities borrowed by IWH UK Midco Limited. "Today's outlook change to negative primarily reflects Theramex's significant free cash flow consumption since the closing of the LBO in January 2018, which was well in excess of our expectations because of higher than anticipated carve-out costs" says Frederic Duranson, a Moody's Assistant Vice President and lead analyst for Theramex. "Although we expect that Theramex will generate free cash flow in 2020, its liquidity position is substantially weaker than we had anticipated at the time of the LBO by CVC and debt funding to finance the acquisition of drug licenses will slow down its gross deleveraging" Mr Duranson adds.
Pharmaceutical companies are in trouble over their role in fueling the opioid crisis facing the U.S. What Happened Federal authorities have launched a criminal investigation against the companies — using ...
Shares of pharmaceuticals companies Teva, Amneal and Mallinckrodt slumped Tuesday on a report that federal prosecutors have opened a criminal investigation into the opioid epidemic.
The trading sessions are starting to get quiet as we near Thanksgiving. Let's look at a few top stock trades going into the last full trading session of the week. Top Stock Trades for Tomorrow No. 1: Disney (DIS)Source: Chart courtesy of StockCharts.comDisney (NYSE:DIS) stock has looked great ever since reporting earnings earlier this month. After hitting $150 a few weeks ago, shares recoiled and consolidated in a sideways pattern.This flag resolved higher on Tuesday, with Disney breaking out to new highs.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Strong Buy Stocks That Are Bargains Right Now What now? Well, as long as DIS can hold over $150, then it looks okay on the long side. Back below this mark and it may need more time to consolidate. Keep it simple. Top Stock Trades for Tomorrow No. 2: Palo Alto Networks (PANW)Source: Chart courtesy of StockCharts.comMany traders were looking for Palo Alto Networks (NASDAQ:PANW) to break out over $250 when it reported earnings. Instead, it broke down.Between $218 and $222, PANW has multiple major moving averages as potential support. Falling below them may bring up a test of long-term uptrend support, currently near $210.If Palo Alto can use the $218 to $222 area as support, bulls will need to see the stock reclaim $230. Over this mark and PANW can begin filling the gap up toward $250. Top Stock Trades for Tomorrow No. 3: Burlington Stores (BURL)Source: Chart courtesy of StockCharts.comMany retailers are struggling this earnings season, but Burlington Stores (NYSE:BURL) is not among them. Shares are up almost 9% after better-than-expected earnings.On top of the strong move, BURL stock erupted for a big-time breakout. That move came over $210. Going forward, this is now the must-hold level for bulls. Back below this mark, and BURL stock will need to be reassessed.From here, shares become a buy on the dips. Top Stock Trades for Tomorrow No. 4: Teva (TEVA)Source: Chart courtesy of StockCharts.comTeva (NYSE:TEVA) and others took it on the chin Tuesday as a criminal inquiry over the opioid epidemic weighs on investors.News aside, the technicals paint a simple picture of the 200-day moving average rejecting Teva stock. While uptrend support (blue line) is buoying the name for now, it may be hard for bulls to put much faith in this mark. A break could easily send shares back down to the $8 to $8.50 area.Falling below the 100-day at $7.86 could send shares back down to the $6.50 area. On a rebound, see if the stock can reclaim the 200-day moving average.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long DIS. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Strong Buy Stocks That Are Bargains Right Now * 7 Excellent Bank Stocks Worth an Investment * 4 Small-Cap, Big-Dividend Stocks The post 4 Top Stock Trades for Wednesday: DIS, PANW, BURL, TEVA appeared first on InvestorPlace.
Shares of the companies embroiled in opioid litigation fell in afternoon trading afterThe Wall Street Journal reported the federal government had opened a criminal investigation into some opioid makers and distributors, citing sources. Six companies have disclosed in regulatory filings that they have received grand-jury subpoenas from the U.S. attorney's office in the Eastern District of New York, according to the report. Teva Pharmaceutical Industries Ltd. is down 8%, Mallinckrodt 5%, Amneal Pharmaceuticals Inc. 10%, and Johnson & Johnson 1%. Shares of cited wholesale drug distributors also declined, AmerisourceBergen by 3% and McKesson by 5%. In addition, shares of companies facing opioid litigation but not cited in the Journal story also dropped, with Endo International down 9% and Cardinal Health 4%. In recent weeks, the stocks of these companies have rallied as investors took the view that the possibility of global settlement that would resolve all pending and future litigation was a positive.
Shares of generic drugmakers jumped Monday as speculation mounts about a series of legal settlements potentially nearing a resolution.
Shares of generic drugmakers are up in morning trading, with Mallinckrodt leading the pack as its stock rallied 15%. Teva Pharmaceutical Industries Ltd. is up 5%, Mylan up 4% and Endo International 4%. Bloomberg reported Monday morning that sources have said Teva and other drugmakers, including Sun Pharmaceutical Industries, are in talks with the Department of Justice to resolve allegations of price-fixing in the generic drug market. Separately, SVB Leerink analysts said this week that if plans for Endo, Mallinckrodt and Teva to enter into a "global opioid settlement framework" with state attorneys general go through, likely in the fourth quarter of 2019 or the first quarter of 2020, it would be a positive for those companies. "We could also see read-through for other opioid-levered names like Endo and Mallinckrodt," the analysts wrote in a Nov. 24 note.
(Bloomberg) -- Teva Pharmaceutical Industries Ltd. and other generic drugmakers have held talks with the U.S. Justice Department in the past six months about resolving a long-running criminal antitrust probe of alleged price-fixing by the companies, according to people familiar with the matter.Among the possible outcomes that have been discussed are deferred prosecution agreements in which the companies would admit to certain allegations but would be shielded from indictment in exchange for cooperating with the investigation and paying fines.Talks are being held with drugmakers individually, and any one or all of the negotiations could fail to result in an agreement, according to the people, who asked to remain anonymous because the discussions are private. The timetable for reaching any accord isn’t clear. The government could still decide to indict any of the companies, a person familiar with the talks said.In addition to Israel-based Teva, a unit of Indian generics giant Sun Pharmaceutical Industries Ltd. has also been in talks with federal prosecutors.“We continue to cooperate with the DOJ’s investigation,” said Teva spokeswoman Kelley Dougherty. “As with any government investigation or litigation, we are willing to entertain possible resolution but only if it makes sense for the company, our shareholders and the patients that we serve. We will continue to defend ourselves vigorously in these matters.”The Justice Department declined to comment on the status of its probe. Sun spokeswoman Vinita Alexander declined to comment.Teva’s U.S.-traded shares jumped more than 7% in premarket trading in New York on Monday.Prosecutors have been investigating allegations that generic drugmakers conspired to prop up the prices of certain widely used medications for more than five years, and have hinted several times this year that charges could be imminent. Nine of every 10 prescription drugs dispensed in the U.S. are generics, and lawmakers say the alleged illegal coordination on pricing has cost federal health programs billions of dollars.At the same time, generics makers are grappling with extraordinarily forbidding economics. Profit margins in the business have always been thin. As more drugs come to market and drive prices even lower, new alliances among insurers and pharmacy-benefit managers have also eroded the companies’ pricing power.The case has also forced the government to wrestle with competing priorities: On the one hand, the Trump administration wants to make drugs as affordable as possible, and broaden access to a range of medicines. But a criminal conviction could lead to a drug company being barred from doing business with Medicare and Medicaid -- and drive up costs by narrowing the options of government drug purchasers.Those tectonics could make deferred prosecution pacts attractive to both sides. Under such an agreement, drugmakers could continue to do business with government, preserving billions in annual sales.For prosecutors, such an accord could avoid a conviction that would inadvertently limit competition and increase the prices of common medications. It would also help wrap up a case that has targeted the biggest names in the industry but has yet to produce charges against any major company, even as state officials have accused the drugmakers in civil cases of a sweeping conspiracy to raise prices.Numerous ObstaclesBloomberg has previously reported that the multiyear antitrust investigation, which has targeted more than a dozen companies, has faced numerous obstacles. Congress has recently pressured the department to disclose the status of the long-anticipated investigation.The Justice Department reached a deferred prosecution agreement with closely held generic drugmaker Heritage Pharmaceuticals Inc. in May, providing a potential roadmap for subsequent pacts. Previously, two executives from the drugmaker pleaded guilty to charges connected to the federal probe.Teva has met multiple times this summer and fall with prosecutors to discuss deferred prosecution agreements, according to people familiar with the matter. Chief Executive Officer Kare Schultz said on a Nov. 7 call with investors that the company had provided federal prosecutors with more than a million documents.“We have not found any evidence that we were in any way part of any structured collusion or price-fixing,” Schultz said on the call, “but we remain of course in dialogue with the Department of Justice.”Sun Pharmaceutical, India’s largest drugmaker, has been in discussions with federal prosecutors in recent months about the case against its subsidiary Taro Pharmaceutical Industries, according to people familiar with the talks. A Sun spokeswoman declined to comment, citing ongoing litigation.New WitnessesDeferred prosecution agreements have been used to resolve criminal allegations in high-profile probes of HSBC Holdings Plc and General Motors Co., though the Justice Department’s antitrust unit has used them only rarely. In July, the department’s antitrust division made changes to its criminal-enforcement policy that allow for deferred prosecution agreements to be considered.The Justice Department has struggled to secure cooperating witnesses in the generics probe, but former Teva employees and a former employee of Sandoz, the generic arm of Swiss drugmaker Novartis AG, have recently met with prosecutors to help them build their case, according to people familiar with the matter.Novartis spokesman Eric Althoff said that the company is cooperating with investigators.Makan Delrahim, head of the Justice Department’s antitrust unit, told the Senate in September that several additional cases are coming up in the investigation. His deputy, Richard Powers, who leads the antitrust criminal enforcement unit, said on Nov. 14 in San Francisco that the department would be making additional announcements about the probe.In addition to the Justice Department inquiry, Teva, Sun Pharma and other generic drugmakers are facing a similar but separate civil case brought by attorneys general for 48 states, the District of Columbia, and four U.S. territories.A settlement with federal prosecutors could help the states’ cases, as well as those of other civil litigants, said Robert Field, a professor of law, health management and policy at Drexel University. Were any drugmaker to concede facts as part of a settlement, it could expose them to additional civil liabilities.(Adds share-price movement in seventh paragraph)To contact the reporters on this story: Riley Griffin in New York at firstname.lastname@example.org;Emma Court in New York at email@example.com;David McLaughlin in Washington at firstname.lastname@example.orgTo contact the editors responsible for this story: Drew Armstrong at email@example.com, Timothy AnnettFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
One potential resolution: a deferred prosecution agreement, in which the companies would admit to some allegations and pay fines but would not be indicted.
A Florida-based foundation is paying $4 million to settle claims it worked with two of the Boston area’s biggest drugmakers to use kickback payments to boost sales of their drugs.