Barclays has updated its outlook on Teva Pharmaceutical Industries Limited (NYSE: NYSE:TEVA), increasing the price target to $25.00 from the previous $22.00 while maintaining an Overweight rating on the stock.
The adjustment comes as Barclays introduces its Olanzapine Long-Acting Injection (LAI) Market Model, which forecasts significant sales potential for Teva's TEV-749.
TEV-749, a product in Teva's pipeline, is expected to generate over $1 billion in sales. The optimistic projection is partly due to the absence of monitoring requirements in the drug's label, a factor that Barclays believes could significantly influence its market penetration.
In addition to the promising outlook for TEV-749, Barclays has revised its estimates for UZEDY, another drug in Teva's portfolio. The firm now expects UZEDY to reach sales of $250 million by 2030, a substantial increase from the earlier estimate of $150 million.
In other recent news, Lexaria Bioscience (NASDAQ:LEXX) Corp. reported positive outcomes from its WEIGHT-A24-1 animal study, showing promising results for DehydraTECH-liraglutide and certain DehydraTECH-CBD formulations in promoting weight loss.
Teva Pharmaceutical Industries Ltd reported an 11% increase in its second-quarter revenue for 2024, reaching $4.2 billion, and launched the first generic version of Sandostatin® LAR Depot in the U.S. The company also settled U.S. disputes amounting to $450 million and reached an $80 million settlement with the city of Baltimore over opioid litigation. Analysts from UBS and BofA Securities have maintained their Buy rating on Teva's shares.
Exelixis (NASDAQ:EXEL) won a legal ruling that secures patent protection for its cancer drug, Cabometyx, until 2030, leading Morgan Stanley to raise its price target for Exelixis. Immuneering Corporation received orphan drug status from the FDA for its pancreatic cancer drug candidate, IMM-1-104, following promising initial Phase 2a trial results.
InvestingPro Insights
Barclays' optimistic outlook on Teva Pharmaceutical Industries Limited (NYSE:TEVA) aligns with several key metrics and insights from InvestingPro. The company's market cap stands at $20.82 billion, reflecting its significant presence in the pharmaceutical industry.
InvestingPro data shows that Teva's revenue for the last twelve months as of Q2 2024 was $16.29 billion, with a notable revenue growth of 8.48% over the same period. This growth trajectory supports Barclays' positive stance on the company's future performance, particularly with the potential success of TEV-749 and UZEDY.
Two InvestingPro Tips are particularly relevant to the article:
1. Net income is expected to grow this year, which aligns with Barclays' increased price target and positive sales forecasts for Teva's new products.
2. Teva is trading near its 52-week high, reflecting market confidence that mirrors Barclays' optimistic outlook.
These insights are just a sample of the valuable information available on InvestingPro. In fact, there are 10 additional tips for Teva on the platform, offering a more comprehensive analysis for investors interested in delving deeper into the company's prospects.
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