Teva Pharmaceutical Industries Ltd. (TEVA) saw its stock price surge 5.18% on Wednesday after reporting better-than-expected fourth quarter 2024 results and providing an optimistic outlook for 2025.
The key factors driving the stock's soar were:
1. Strong Q4 Revenue and Earnings Growth
Teva reported Q4 2024 revenue of $4.23 billion, up 7% year-over-year, driven by robust growth in its key innovative products AUSTEDO, UZEDY, and AJOVY, as well as growth in its generics business across all regions. The company's non-GAAP earnings per share of $0.71 beat analyst estimates, aided by higher operating income.
2. Continued Momentum in 2025 Guidance
For 2025, Teva forecasts revenue of $16.8 billion to $17.4 billion, representing growth of 2% to 5% compared to 2024. The company expects its innovative portfolio, including AUSTEDO, AJOVY, and UZEDY, to maintain strong momentum, offsetting slower growth in its generics business. Teva's non-GAAP earnings per share guidance of $2.35 to $2.65 also exceeded analyst expectations.
3. Promising Pipeline and Strategic Focus
Teva highlighted its promising pipeline, including the potential of its anti-TL1A drug duvakitug for multiple indications, as well as its dual-action rescue inhaler and olanzapine LAI programs. The company also reaffirmed its strategic focus on driving growth through its innovative products, launching complex generics and biosimilars, and improving operational efficiency.