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Teva Pharmaceutical Industries Earnings Up Next

By Seth Jayson – Updated Apr 10, 2017 at 12:34PM

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Checking expectations

Teva Pharmaceutical Industries (NYSE: TEVA) is expected to report Q2 earnings on Aug. 1. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Teva Pharmaceutical Industries's revenues will wane -1.0% and EPS will wane -6.3%.

The average estimate for revenue is $4.94 billion. On the bottom line, the average EPS estimate is $1.20.

Revenue details
Last quarter, Teva Pharmaceutical Industries reported revenue of $4.90 billion. GAAP reported sales were 3.9% lower than the prior-year quarter's $5.10 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $1.12. GAAP EPS of $0.74 for Q1 were 24% lower than the prior-year quarter's $0.97 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 52.8%, 60 basis points better than the prior-year quarter. Operating margin was 19.5%, 260 basis points worse than the prior-year quarter. Net margin was 12.9%, 390 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $20.14 billion. The average EPS estimate is $5.02.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 2,417 members out of 2,490 rating the stock outperform, and 73 members rating it underperform. Among 521 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 515 give Teva Pharmaceutical Industries a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Teva Pharmaceutical Industries is outperform, with an average price target of $45.31.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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