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Investors Business Daily
Investors Business Daily

Teva Undercuts Its 50-Day Line On Flat Sales As Profit Misses Forecasts

Generic drugs behemoth Teva Pharmaceutical reported light profit and flat sales Wednesday, and TEVA stock tumbled.

During the March quarter, Teva earned an adjusted 40 cents per share on $3.66 billion in sales. Teva's earnings toppled 27% year over year and lagged expectations for 56 cents a share. Sales were flat, though topped forecasts for $3.62 billion, according to FactSet.

On today's stock market, Teva stock toppled 8.2% to 8.35. Shares skidded below their 50-day moving average, according to

Teva Stock: Austedo Misses, Ajovy Beats

Revenue from generic drugs proved a mixed bag for Teva during the first quarter. Overall, sales were flat at $2.16 billion. But that handily beat Teva stock analysts' expectations for $908 million. North America sales tumbled 8%, while sales in Europe and internationally rose a respective 6% and 3%.

Teva's single biggest moneymaker is Austedo, a treatment for involuntary movements in patients with Huntington's disease or tardive dyskinesia. Austedo only sells in North America. Sales rose 10% to $170 million. But Austedo widely missed expectations for $245.5 million in sales.

Meanwhile, broadly approved migraine treatment Ajovy put up $95 million in sales, rocketing 32% and beating calls for $88 million.

The struggles continued, however, for Teva's generics-facing multiple sclerosis drug, Copaxone. Sales tumbled 12.5% to $147 million, though were ahead of projections for $139 million.

For the year, the generic pharma giant kept its guidance for adjusted profit of $2.25-$2.55 per share and $14.8 billion to $15.4 billion in sales. Teva stock analysts called for earnings of $2.40 per share and $15.04 billion in sales.

Follow Allison Gatlin on Twitter at @IBD_AGatlin.

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