Teva Pharmaceutical Industries Limited develops, manufactures, markets, and distributes generic medicines, specialty medicines, and biopharmaceutical products in North America, Europe, Israel, and internationally. It offers generic medicines in various dosage forms, such as tablets, capsules, injectables, inhalants, liquids, transdermal patches, ointments, and creams; sterile products, hormones, high-potency drugs, and cytotoxic substances in parenteral and solid dosage forms; and generic products with medical devices and combination products. The company focuses on the central nervous system (CNS), respiratory, and oncology areas. It provides active pharmaceutical ingredients, as well as contract manufacturing services; and operates an out-licensing platform that offers a portfolio of products to other pharmaceutical companies. The company also offers BENDEKA and TREANDA injections for the treatment of chronic lymphocytic leukemia and indolent b-cell non-hodgkin's lymphoma; GRANIX; TRISENOX; LONQUEX; and TEVAGRASTIM/RATIOGRASTIM. In addition, it provides COPAXONE for the treatment of relapsing forms of multiple sclerosis; AJOVY for the preventive treatment of migraine in adults; AUSTEDO for the treatment of neurodegenerative and movement disorders associated with Huntington's disease and tardive dyskinesia; UZEDY for the treatment of schizophrenia; ProAir RespiClick inhalation powder; QVAR for treatment for asthma; BRALTUS, a long-acting muscarinic antagonist; CINQAIR/CINQAERO injection; DuoResp Spiromax, an inhaled corticosteroid and long-acting beta-agonist bronchodilator; and AirDuo RespiClick fluticasone propionate and salmeterol inhalation powder. The company offers its OTC products under SUDOCREM, NasenDuo, DICLOX FORTE, OLFEN Max, and FLEGAMINA brand names. It has collaboration agreements with MedinCell; Sanofi; Alvotech; and Biolojic Design Ltd., as well as license agreement with MODAG GmbH. The company was founded in 1901 and is based in Tel Aviv, Israel.

Teva Pharmaceutical Industries Limited

Johnson & Johnson JNJ faces several challenges, like potential losses from expiring drug patents, ongoing legal battles related to its talc powder and broader macroeconomic uncertainties. Here, we discuss the various headwinds that J&J faces and see if the drug and medical devices giant is well-equipped to navigate them.
Stelara LOE and Medicare Part D Redesign Hurting J&J’s Sales
J&J lost U.S. patent exclusivity for its multibillion-dollar product Stelara in 2025. Several biosimilar versions of Stelara have been launched in the United States in 2025. According to patent settlements and license agreements, Amgen AMGN,Teva Pharmaceutical Industries TEVA/Alvotech, Samsung Bioepis/Sandoz and some other companies have already launched Stelara biosimilars this year.
The launch of generics by Amgen, Teva and other companies is significantly eroding Stelara’s sales and hurting J&J’s sales and profits in 2025. Stelara sales declined 42.7% in the second quarter of 2025. Stelara LOE negatively impacted the Innovative Medicine segment’s growth by 1170 basis points in the second quarter.
Stelara biosimilar competition is expected to accelerate throughout 2025 as the number of biosimilar entrants increases. Stelara sales are expected to come down from almost $11 billion in 2023 to around $2.7 billion in 2027, per our estimates.
In addition, sales in 2025 are being hurt by the impact of the Medicare Part D redesign under the Inflation Reduction Act (IRA). Among other measures, the IRA requires the U.S. Department of Health and Human Services (HHS) to effectively set prices for certain single-source drugs and biologics reimbursed under Medicare Part B and Part D.
In August 2023, the HHS selected J&J’s drugs, Xarelto, Stelara and Imbruvica as one of the first 10 medicines subject to government-set prices. J&J expects a negative impact of approximately $2 billion in sales due to the Medicare Part D redesign in 2025. The Part D redesign is mainly hurting sales of drugs like Stelara, Tremfya, Erleada and pulmonary hypertension drugs.
JNJ’s Talc Lawsuits, Tariffs and MedTech China are Overhangs
J&J faces more than 62,000 lawsuits for its talc-based products, primarily baby powders. The lawsuits allege that its talc products contain asbestos, which caused many women to develop ovarian cancer. In April, a bankruptcy court in Texas rejected J&J’s proposed bankruptcy plan to settle its talc lawsuits after a two-week trial in Houston. J&J will go back to the traditional tort system to fight the lawsuits individually, with its bankruptcy strategy to settle the lawsuits failing for the third time.
The uncertainty around tariffs and trade production measures has muted economic growth. President Trump has once again threatened to impose heavy tariffs, as high as 250%, on pharmaceutical imports. Trump’s repeated threats to impose tariffs on pharmaceutical imports are aimed at pushing American pharma companies to shift pharmaceutical production back to the United States, primarily from European and Asian countries. Trump has said that drugmakers have about one to one and a half years to bring production back to the United States before the new tariffs are imposed.
In the MedTech segment, though sales improved in the second quarter from first-quarter levels, J&J continues to face headwinds in China. Sales in China are being hurt by the impact of the volume-based procurement (VBP) program. VBP is a government-driven cost-containment effort in China.
Can J&J Navigate the Challenges?
The Stelara patent cliff and the potential impact of Part D redesign are the most significant headwinds in 2025. The uncertainty around the talc lawsuits and pharma tariffs also lingers. However, the company looks quite confident that it will be able to navigate these challenges. J&J recorded a strong operational performance in the first half of 2025, backed by double-digit growth in revenues from key brands and contributions from new launches.
J&J expects operational sales growth in both the Innovative Medicine and MedTech segments to be higher in the second half than in the first, with growth expected to accelerate from 2026 onward.
As regards the impact from tariffs, on the second-quarter conference call, J&J lowered the potential impact from tariffs from $400 million to $200 million. J&J has also committed to boosting manufacturing in the United States and has a plan to invest $55 billion over the next four years to ensure that all medicines consumed in the United States are manufactured domestically.
JNJ’s Price Performance, Valuation and Estimates
J&J’s shares have outperformed the industry year to date. The stock has risen 25.7% in the year-to-date period against a 0.3% decline of the industry.
Image Source: Zacks Investment Research
From a valuation standpoint, J&J is expensive. Going by the price/earnings ratio, the company’s shares currently trade at 16.0 forward earnings, higher than 14.56 for the industry. The stock is also trading above its five-year mean of 15.65.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for 2025 earnings has risen from $10.83 per share to $10.86 per share for 2025 and from $11.33 per share to $11.36 per share over the past 30 days.
Image Source: Zacks Investment Research
J&J has a Zacks Rank #2 (Buy) currently. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Can J&J Navigate Stelara, Talc Suits, Tariff & Other Headwinds?

Johnson & Johnson JNJ delivered strong second-quarter 2025 results, with both the top and bottom lines exceeding expectations.
Despite the loss of exclusivity (“LOE”) of its multi-billion-dollar product, Stelara, J&J’s Innovative Medicines unit once again outperformed expectations, with sales of all key drugs Darzalex, Erleada and Tremfya beating estimates. New drugs like Carvykti, Tecvayli, Talvey, Rybrevant and Spravato contributed significantly to growth. Importantly, its MedTech segment also outperformed expectations. Sales in the MedTech segment improved from the first-quarter levels, driven by strong momentum in Cardiovascular, Surgery and Vision segments despite continued headwinds in China.
J&J also raised its sales and EPS guidance for the year to reflect a strong operational performance coupled with currency tailwinds. The sales guidance was raised from a range of $91.0 billion-$91.8 billion to $93.2 billion-$93.4 billion. The sales range indicates growth in the range of 5.1%-5.6% versus the prior expectation of 2.6%-3.6%. The adjusted earnings per share guidance was raised from a range of $10.50-$10.70 to $10.80-$10.90, driven by top-line strength, favorable impact of foreign currency and lowered tariff impact. J&J halved its expectations for tariff-related costs this year from $400 million to $200 million. The tariff costs are exclusively related to its MedTech unit.
In response to the earnings beat and guidance raise, J&J’s shares rose more than 6% on July 16, reflecting investors' renewed optimism for the stock. However, a single quarter’s results are not so important for long-term investors, and the focus should rather be on the company’s strong fundamentals. Let’s understand the company’s strengths and weaknesses to better analyze how to play J&J stock in the post-earnings scenario.
J&J’s Diversified Business Model
Johnson & Johnson’s biggest strength lies in its diversified business model as it is the only major health care company operating in both the medical devices and pharmaceutical sectors. In 2023,J&J separated its Consumer Health business into a newly listed company called Kenvue KVUE. The separation of Kenvue allowed J&J to focus on its core pharmaceutical and medical device business.
It has more than 275 subsidiaries, indicating that the business is extremely well-diversified. This diversification helps withstand economic cycles more effectively. J&J has 26 platforms with annual sales exceeding $1 billion. Its diversified business is allowing it to post top-line growth in 2025, despite LOE for a blockbuster drug like Stelara. Meanwhile, it has one of the largest R&D budgets among pharma companies.
JNJ’s Innovative Medicine Unit: A Bright Spot
J&J’s Innovative Medicine unit is showing a growth trend. The segment’s sales rose 2.4% in the second quarter of 2025 on an organic basis despite LOE for Stelara and the negative impact of the Part D redesign. J&J expects continued growth in the second half of 2025 to be driven by its key products such as Darzalex, Tremfya, Spravato and Erleada as well as new drugs like Carvykti, Tecvayli and Talvey and new indications for Tremfya and Rybrevant.
J&J expects to generate more than $57 billion in sales in the Innovative Medicines segment in 2025. It expects the Innovative Medicine business to grow 5% to 7% from 2025 to 2030. J&J mentioned on the second-quarter conference call that it expects its oncology sales to be more than $50 billion by 2030 — quite an optimistic target in our view.
Moreover, J&J believes 10 of its new Innovative Medicine products have the potential to deliver peak sales of $5 billion, including new cancer drugs like Talvey and Tecvayli, a newly acquired drug, Caplyta and pipeline candidates like nipocalimab, TAR-200 and icotrokinra (JNJ-2113).
Nipocalimab was approved under the name Imaavy in April for treating generalized myasthenia gravis. TAR-200 is under priority review with the FDA for treating non-muscle invasive bladder cancer and is expected to be approved this year. Caplyta was added with the Apil acquisition of Intra-Cellular Therapies.
J&J’s MedTech Segment Shows Improvement in Q2
J&J’s MedTech segment sales rose 6.1% on an operational basis in the second quarter, improving from the first-quarter levels, driven by the newly acquired cardiovascular businesses, Abiomed and Shockwave, as well as in Surgical Vision and wound closure in Surgery. Moreover, improvements in J&J’s electrophysiology business also drove sequential growth. In the MedTech segment, increased adoption of newly launched products in Cardiovascular, Surgery and Vision is likely to drive growth in the second half. Sales are expected to be higher in the second half than the first half as the business moves past tougher first-half comps and new products gain momentum throughout 2025.
However, the company continues to face headwinds in China. Sales in China are being hurt by the impact of the volume-based procurement (VBP) program. VBP is a government-driven cost containment effort in China. J&J expects continued impacts from VBP issues in China in 2025 as the program continues to expand across provinces and products.
Patent Expiration of J&J’s Blockbuster Drug Stelara & Other Headwinds
J&J lost U.S. patent exclusivity of Stelara in 2025. The drug generated sales of $10.36 billion in 2024. The launch of generics is significantly eroding the drug’s sales and hurting J&J’s sales and profits in 2025. Stelara sales declined 42.7% in the second quarter of 2025.
Several biosimilar versions of Stelara have been launched in the United States in 2025. According to patent settlements and license agreements, Amgen AMGN, Teva Pharmaceutical Industries TEVA, Samsung Bioepis/Sandoz and some other companies have already launched Stelara biosimilars this year. Stelara biosimilar competition is expected to accelerate throughout 2025 as the number of biosimilar entrants increases.
In addition, sales in 2025 are being hurt by the impact of the Medicare Part D redesign.
J&J’s Talc Suits & Pharma Tariffs Remain an Overhang
J&J faces more than 62,000 lawsuits for its talc-based products, primarily baby powders. The lawsuits allege that its talc products contain asbestos, which caused many women to develop ovarian cancer. J&J insists that its talc-based products are safe and do not cause cancer. The company permanently discontinued the sales of its talc-based Johnson’s Baby Powder.
In April, a bankruptcy court in Texas rejected J&J’s proposed bankruptcy plan to settle its talc lawsuits after a two-week trial in Houston. J&J will go back to the traditional tort system to fight the lawsuits individually with its bankruptcy strategy to settle the lawsuits failing for the third time.
The uncertainty around tariffs and trade production measures has muted economic growth. President Trump has once again threatened to impose heavy tariffs, as high as 200%, on pharmaceutical imports. Trump’s repeated threats to impose tariffs on pharmaceutical imports are aimed at pushing American pharma companies to shift pharmaceutical production back to the United States, primarily from European and Asian countries. Trump has said that drugmakers have about one to one and a half years to bring production back to the United States before the new tariffs are imposed.
J&J has already committed to boosting manufacturing in the United States and has a plan to invest $55 billion over the next four years to ensure that all medicines consumed in the United States are manufactured domestically.
J&J Stock Price, Valuation and Estimates
J&J’s shares have outperformed the industry year to date. The stock has risen 15.1% in the year-to-date period against a 0.5% decline for the industry. The stock has also outperformed the sector and the S&P 500 Index, as seen in the chart below.
JNJ Stock Outperforms Industry, Sector & S&P 500
Image Source: Zacks Investment Research
From a valuation standpoint, J&J is slightly expensive. In terms of the price/earnings ratio, the company’s shares currently trade at 14.74 forward earnings, slightly higher than 14.71 for the industry. The stock is, however, trading below its five-year mean of 15.70.
JNJ Stock Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for 2025 earnings has risen from $10.64 per share to $10.83 over the past seven days, while that for 2026 has risen from $11.09 to $11.33 over the same timeframe.
JNJ Estimate Movement
Image Source: Zacks Investment Research
Consider Investing in J&J’s Stock
J&J considers 2025 to be a “catalyst year,” positioning the company for growth in the second half of the decade. J&J expects operational sales growth in both the Innovative Medicine and MedTech segments to be higher in the second half than in the first. While newly launched products should drive growth in the Innovative Medicines segment in the second half, the MedTech segment may benefit from new products and easier comps. J&J expects growth to accelerate from 2026 onward.
J&J is also rapidly advancing its pipeline, attaining significant clinical and regulatory milestones that will help drive accelerating growth through the back half of the decade. J&J has also been on an acquisition spree, with the latest acquisition of Intra-Cellular Therapies strengthening its presence in the neurological and psychiatric drug market.
In April, J&J's board authorized a 4.8% increase in its quarterly dividend, marking the company’s 63rd consecutive year of dividend increase.
The Stelara patent cliff and the potential impact of Part D redesign will be significant headwinds in 2025. The uncertainty around the talc lawsuits and pharma tariffs lingers. However, the company looks quite confident that it will be able to navigate these challenges.
The stock’s price appreciation this year, attractive valuation and rising estimates should encourage investors to bet on this Zacks Rank #2 (Buy) stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Should J&J Stock Be in Your Portfolio After Q2 Beat & Guidance Raise?

Johnson & Johnson’s JNJ second-quarter 2025 earnings came in at $2.77 per share, which beat the Zacks Consensus Estimate of $2.66. Earnings, however, declined 1.8% from the year-ago period.
Adjusted earnings exclude intangible amortization expense and special items. Including these items, reported earnings were $2.29 per share, up 18.7% year over year.
Sales of this drug and medical devices giant came in at $23.74 billion, which also beat the Zacks Consensus Estimate of $22.80 billion. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)
Sales rose 5.8% from the year-ago quarter, reflecting an operational increase of 4.6% and a positive currency impact of 1.2%. Organically, excluding the impact of acquisitions/divestitures and currency, sales rose 3.0% on an operational basis.
Second-quarter sales in the domestic market rose 7.8% to $13.54 billion. Excluding the impact of all acquisitions and divestitures on an adjusted operational basis, domestic sales rose 5.0% in the quarter.
International sales rose 3.2% on a reported basis to $10.2 billion, reflecting an operational increase of 0.6% and a positive currency impact of 2.6%. Excluding the impact of all acquisitions and divestitures on an adjusted operational basis, international sales rose 0.4% in the quarter.
J&J’s Innovative Medicines Unit Outperforms, MedTech Misses
With the complete separation of the Consumer Health segment into a newly listed company called Kenvue KVUE in 2023, J&J has now become a two-sector company focused on the Pharmaceutical and MedTech fields. KVUE will report its second-quarter results in early August.
J&J’s Innovative Medicines segment sales rose 4.9% year over year to $15.2 billion, reflecting a 3.8% operational increase and a positive currency impact of 1.1%. Excluding the impact of all acquisitions and divestitures and currency on an adjusted operational basis, worldwide sales rose 2.4%. Innovative Medicines sales beat the Zacks Consensus Estimate of $14.55 billion as well as our model estimate of $14.50 billion.
Higher sales of key products such as Darzalex, Tremfya and Erleada due to strong market growth and share gains drove the segment’s growth. Xarelto and Simponi/Simponi Aria sales also rose in the quarter. New drugs like Carvykti, Tecvayli, Talvey, Rybrevant and Spravato contributed significantly to growth. The sales growth was partially dampened by lower sales of Imbruvica and generic/biosimilar competition to drugs like Stelara and Zytiga.
JNJ’s Oncology Drugs’ Performance
Sales of blockbuster multiple myeloma medicine Darzalex rose 23.0% year over year to $3.54 billion in the quarter. Sales beat the Zacks Consensus Estimate of $3.45 billion and our model estimate of $3.44 billion.
Imbruvica sales declined 4.5% to $735.0 million. Rising competitive pressure in the United States due to new oral competition has been hurting Imbruvica's sales for the past few quarters. Imbruvica sales were, however, better than the Zacks Consensus Estimate of $697.0 million and our estimate of $694.8 million.
Erleada generated sales of $908.0 million in the quarter, up 23.4% year over year. Erleada sales beat the Zacks Consensus Estimate of $853.0 million as well as our model estimate of $903.9 million.
New drug Carvykti recorded sales of $439.0 million compared with $369 million in the previous quarter.Another new drug, Tecvayli, recorded sales of $166.0 million in the quarter, up 23.1% year over year,
Sales of Talvey were $106 million, up 55.0% year over year. Rybrevant/Lazcluze sales were $179 million compared with $69 million in the year-ago quarter.
Zytiga sales declined 11.6% to $145.0 million in the quarter due to generic competition.
JNJ’s Immunology Drugs’ Performance
Sales of the blockbuster psoriasis drug, Stelara, declined 42.7% to $1.65 billion in the quarterdue to the impact of biosimilar competition and Part D redesign. While U.S. sales of Stelara declined 41.9%, international sales declined 44.2% in the quarter. Stelara sales missed the Zacks Consensus Estimate as well as our model estimates of $1.88 billion.
Several biosimilar versions of J&J’s multi-billion-dollar immunology drug, Stelara, have been launched in the United States in 2025. According to patent settlements and license agreements, Amgen AMGN, Teva Pharmaceutical Industries TEVA, Samsung Bioepis/Sandoz and some other companies have already launched Stelara biosimilars this year.
Tremfya recorded sales of $1.19 billion in the quarter, up 31.0% year over year. Tremfya sales beat the Zacks Consensus Estimate of $1.08 billion as well as our model estimate of $1.09 billion.
Simponi/Simponi Aria sales rose 28.6% to $690.0 million. Sales of Remicade rose 15.9% in the quarter to $455.0 million.
JNJ’s Neuroscience, PAH and Other Drugs’ Performance
In neuroscience, Spravato recorded sales of $414.0 million, up 53.3% year over year. Caplyta, added from the Apil acquisition of Intra-Cellular Therapies, recorded sales of $211 million in the quarter. Invega Sustenna/Xeplion/Invega Trinza/Trevicta sales declined 5.9% to $992.0 million in the quarter.
Pulmonary arterial hypertension (PAH) drug Uptravi recorded sales of $476.0 million, up 11.7% year over year. Another PAH drug, Opsumit, recorded sales of $582.0 million, up 6.4% year over year.
Xarelto sales rose 5.6% in the quarter to $621.0 million. Prezista sales declined 9.4% to $396.0 million.
How Did JNJ’s MedTech Segment Perform in Q2?
MedTech segment sales came in at $8.54 billion, up 7.3% from the year-ago period, including an operational increase of 6.1% and a positive currency impact of 1.2%. MedTech segment sales beat the Zacks Consensus Estimate of $8.25 billion as well as our model estimate of $8.31 billion.
Excluding the impact of all acquisitions and divestitures, and currency, on an adjusted operational basis, worldwide sales rose 4.1%.
In the MedTech segment, over the past couple of quarters, gains from recent acquisitions of Shockwave and Abiomed, as well as continued uptake of new products, have been offset by continued headwinds in Asia Pacific, specifically in China and increased competitive pressure in U.S. electrophysiology for PFA ablation catheter. Sales in China are being hurt by the impact of the volume-based procurement (VBP) program. VBP is a government-driven cost containment effort in China.
JNJ Ups 2025 Sales and EPS Guidance Range
The company raised its sales expectations for 2025 by around $2.0 billion to reflect a strong operational performance coupled with currency tailwinds.
The sales guidance was raised from a range of $91.0 billion-$91.8 billion to $93.2 billion-$93.4 billion.
The sales range indicates growth in the range of 5.1%-5.6% versus the prior expectation of 2.6%-3.6%. Operational sales growth is expected in the range of 4.5%-5.0% (previously 3.3%-4.3%).
Adjusted operational sales (excluding currency impact, acquisitions/divestitures) growth is expected in the range of 3.2%-3.7% (previously 2.0%-3.0%).
The revenue figures exclude revenues from COVID-19 vaccine sales.
The adjusted earnings per share guidance was raised from a range of $10.50-$10.70 to $10.80-$10.90. On an operational, constant-currency basis, adjusted earnings per share are expected to increase in the range of 8.2%-9.2% (previously 5.2% to 7.2%).
Our Take on JNJ’s Q2 Results
J&J kicked off the earnings season for the drug and biotech sector with earnings and sales beats. Despite the loss of exclusivity (“LOE”) of Stelara, its Innovative Medicines unit once again outperformed expectations, with sales of all key drugs Darzalex, Erleada and Tremfya beating estimates. The new drugs also contributed significantly to sales. Stelara LOE hurt revenue growth by 1170 basis points in the second quarter.
MedTech unit’s sales also beat estimates. J&J raised its sales and EPS guidance for the year. J&J’s shares rose more than 2% in pre-market trading on Wednesday in response to the earnings beat and guidance raise.
So far this year, J&J’s stock has risen 9.1% compared with an increase of 1.9% for the industry.
Image Source: Zacks Investment Research
J&J’s Innovative Medicine unit is showing a growth trend. In 2025, J&J expects growth in the Innovative Medicine segment in the face of Stelara biosimilar entrants to be driven by its key products such as Darzalex, Tremfya, Spravato and Erleada, as well as new drugs like Carvykti, Tecvayli and Talvey, and new indications for Tremfya and Rybrevant.
J&J considers 2025 to be a “catalyst year,” positioning the company for growth in the second half of the decade. J&J expects operational sales growth in both the Innovative Medicine and MedTech segments to be higher in the second half of the year than in the first. While newly launched products should drive growth in the Innovative Medicines segment in the second half, the MedTech segment may benefit from new products and easier comps.
J&J is also making rapid progress with its pipeline and has been on an acquisition spree lately, which has strengthened its pipeline.
However, the softness in the MedTech unit, the Stelara patent cliff and the potential impact of Part D redesign will be significant headwinds in 2025. It remains to be seen how the company navigates them. The legal battle surrounding its talc lawsuits is a persistent headwind.
J&J’s Zacks Rank
J&J currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Johnson & Johnson Price, Consensus and EPS Surprise
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JNJ Begins Drug Sector Q2 Earnings With a Beat & Guidance Raise

The Johnson & Johnson JNJ stock has risen 4.4% in six months, adding more than $15 billion to its market value.
J&J faces several challenges, including slowing sales in the MedTech segment, loss of exclusivity of its blockbuster drug, Stelara, and uncertainty around the talc lawsuits, among others.
In addition, broader market uncertainties and a volatile macroeconomic environment have muted economic growth. However, J&J has some unique strengths, including continued strength in its Innovative Medicine unit, new drug launches, a robust pipeline, and steady revenue and EPS growth.
Let’s understand the company’s strengths and weaknesses to better analyze how to play J&J stock amid the recent price uptick.
J&J’s Diversified Business Model
Johnson & Johnson’s biggest strength lies in its diversified business model. It operates through pharmaceuticals and medical device divisions. It has more than 275 subsidiaries, indicating that the business is extremely well-diversified. This diversification helps withstand economic cycles more effectively. J&J has 26 platforms with annual sales exceeding $1 billion. Meanwhile, it has one of the largest R&D budgets among pharma companies.
J&J separated its Consumer Health business into a newly listed company called Kenvue KVUE in 2023. The separation of Kenvue has allowed J&J to focus on its core pharmaceutical and medical device business.
JNJ’s Innovative Medicine Unit: A Bright Spot
J&J’s Innovative Medicine unit is showing a growth trend. The segment’s sales rose 4.4% in the first quarter of 2025 on an organic basis despite the loss of exclusivity (LOE) for its multi-billion-dollar product, Stelara, and the negative impact of the Part D redesign. In 2025, J&J expects growth in the Innovative Medicine segment in the face of Stelara biosimilar entrants to be driven by its key products such as Darzalex, Tremfya, Spravato and Erleada, as well as new drugs like Carvykti, Tecvayli and Talvey, and new indications for Tremfya and Rybrevant.
J&J expects to generate more than $57 billion in sales in the Innovative Medicines segment in 2025. It anticipates the Innovative Medicine business to grow 5-7% from 2025 to 2030.
Moreover, J&J believes 10 of its new Innovative Medicine products, including new cancer drugs like Talvey and Tecvayli, and pipeline candidates, like nipocalimab and icotrokinra (JNJ-2113), have the potential to deliver peak non-risk-adjusted operational sales of $5 billion. Nipocalimab was approved under the name Imaavy in April for treating generalized myasthenia gravis. Nipocalimab is in mid and late-stage development for several rare autoantibody-driven diseases. J&J believes nipocalimab has the potential to create a pipeline in a product.
Patent Expiration of J&J’s Blockbuster Drug Stelara & Other Headwinds
J&J lost U.S. patent exclusivity of Stelara in 2025. The drug generated sales of $10.36 billion in 2024. The launch of generics is expected to significantly erode the drug’s sales and hurt J&J’s sales and profits in 2025. Stelara sales declined 33.7% in the first quarter of 2025.
A biosimilar version of Stelara was launched in certain European markets for some indications in July 2024. Several biosimilar versions of Stelara are expected to be launched in the United States in 2025. Amgen AMGN launched the first Stelara biosimilar, Wezlana, in January 2025, while Teva Pharmaceutical Industries TEVA launched Selarsdi in February 2025.
Both Amgen and Teva had entered into settlement agreements with J&J for their respective biosimilar launches. Stelara biosimilar competition is expected to accelerate throughout 2025 as the number of biosimilar entrants increases.
In addition, sales in 2025 are likely to be hurt by the impact of the Medicare Part D redesign, mainly sales of drugs like Stelara, Tremfya, Erleada and pulmonary arterial hypertension (PAH) drugs.
Slowing Sales in J&J’s MedTech Segment
Sales in J&J’s MedTech business are facing continued headwinds in the Asia Pacific, specifically in China. Sales in China are being hurt by the impact of the volume-based procurement (VBP) program and the anticorruption campaign. VBP is a government-driven cost-containment effort in China.
J&J does not expect any improvement in its business in the Asia Pacific region, specifically in China, in 2025. Competitive pressure is also hurting sales growth in some MedTech businesses, such as PFA ablation catheters in U.S. electrophysiology. JNJ expects continued impacts from VBP issues in China in 2025 as VBP expands across provinces and products.
J&J’s Talc Suits Remain an Overhang
J&J faces more than 62,000 lawsuits for its talc-based products, primarily baby powders. The lawsuits allege that its talc products contain asbestos, which caused many women to develop ovarian cancer. J&J insists that its talc-based products are safe and do not cause cancer. The company permanently discontinued the sales of its talc-based Johnson’s Baby Powder.
In April, a bankruptcy court in Texas rejected J&J’s proposed bankruptcy plan to settle its talc lawsuits after a two-week trial in Houston. J&J will go back to the traditional tort system to fight the lawsuits individually with its bankruptcy strategy to settle the lawsuits failing for the third time.
J&J Stock Price, Valuation and Estimates
J&J’s shares have outperformed the industry year to date. The stock has risen 5.3% in the year-to-date period against a 1.2% decline for the industry. The stock has also outperformed the sector and S&P 500 Index, as seen in the chart below.
JNJ Stock Outperforms Industry, Sector & S&P 500
Image Source: Zacks Investment Research
From a valuation standpoint, J&J is reasonably priced. Going by the price/earnings ratio, the company’s shares currently trade at 13.9 forward earnings, lower than 14.82 for the industry. The stock is also trading below its five-year mean of 15.75.
JNJ Stock Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for 2025 earnings has remained unchanged at $10.60 per share over the past 60 days, while that for 2026 has declined from $11.00 to $10.98 over the same timeframe.
JNJ Estimate Movement
Image Source: Zacks Investment Research
Stay Invested in J&J Stock
While J&J’s Innovative Medicines segment is showing a growth trend, the MedTech unit’s slowdown is a concern. The Stelara patent cliff and the potential impact of Part D redesign will be significant headwinds in 2025. It remains to be seen how the company navigates them. The legal battle surrounding its talc lawsuits has created a bearish sentiment around the stock.
However, J&J considers 2025 to be a “catalyst year,” positioning the company for growth in the second half of the decade. J&J expects operational sales growth in both the Innovative Medicine and MedTech segments to be higher in the second half than in the first. While newly launched products should drive growth in the Innovative Medicines segment in the second half, the MedTech segment may benefit from new products and easier comps. J&J expects growth to accelerate from 2026 onward.
The company has an interesting R&D pipeline that can generate innovative products and further drive its growth. J&J has been on an acquisition spree lately, with the latest acquisition of Intra-Cellular Therapies strengthening its presence in the neurological and psychiatric drug market.
In April, J&J's board authorized a 4.8% increase in its quarterly dividend, marking the company’s 63rd consecutive year of dividend increase.
Those who already own this Zacks Rank #3 (Hold) company’s shares may stay invested for some time to see how the company achieves growth in 2025 amid the various challenges. The stock price appreciation this year indicates the stock is on the path to recovery. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
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This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

J&J Adds More Than $15B in Six Months: How to Play JNJ Stock?

The PEARL study confirms fremanezumab's long-term effectiveness and safety in migraine prevention over two years.
Quiver AI Summary
Teva Pharmaceutical Industries Ltd. announced the final analysis of the PEARL Phase 4 study at the European Academy of Neurology Congress 2025, confirming that AJOVY (fremanezumab) is effective in preventing migraines over a two-year period. The study showed that over 66% of patients with episodic migraine and 51.6% with chronic migraine experienced a significant reduction in migraine days after six months of treatment, with high adherence rates of nearly 90%. The findings also highlighted the favourable safety profile of fremanezumab, which aligns with previous research, demonstrating its value in clinical practice. Researchers emphasized the importance of real-world studies in enhancing understanding and improving treatment of migraines, which are a leading cause of global disability.
Potential Positives
Final analysis of the PEARL study confirms the sustained effectiveness of fremanezumab in migraine prevention over a two-year period.
High injection adherence rates (~90%) and over 75% of participants completed the study duration, indicating strong patient engagement and treatment compliance.
The study's results support the safety and tolerability of fremanezumab, aligning with its previously established safety profile.
The findings underscore the significance of CGRP-pathway therapies for improving patient outcomes in a population heavily impacted by migraines, which is the second leading cause of disability worldwide.
Potential Negatives
None
FAQ
What were the main findings of the PEARL study?
The PEARL study confirmed the sustained effectiveness of fremanezumab in reducing migraine frequency, duration, and severity over two years.
What is AJOVY and how does it work?
AJOVY (fremanezumab) is a monoclonal antibody targeting the CGRP pathway, used for the prevention of chronic and episodic migraine.
How effective was fremanezumab in the study?
Over 66% of patients with episodic migraine and 51.6% with chronic migraine achieved a ≥50% reduction in Monthly Migraine Days.
What were the injection adherence rates during the study?
Injection adherence rates remained high at approximately 90% throughout the PEARL study duration.
What is the significance of the PEARL study results?
The results highlight the long-term effectiveness and safety profile of fremanezumab, supporting its use in migraine prevention.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$TEVA Insider Trading Activity
$TEVA insiders have traded $TEVA stock on the open market 19 times in the past 6 months. Of those trades, 0 have been purchases and 19 have been sales.
Here’s a breakdown of recent trading of $TEVA stock by insiders over the last 6 months:
MARK SABAG (See "Remarks") sold 337,915 shares for an estimated $6,097,304
RICHARD DANIELL (Exec. VP, European Commercial) has made 0 purchases and 10 sales selling 273,583 shares for an estimated $4,345,473.
ELIYAHU SHARON KALIF (EVP, Chief Financial Officer) sold 55,775 shares for an estimated $952,464
ERIC A HUGHES (See "Remarks") has made 0 purchases and 4 sales selling 48,151 shares for an estimated $767,057.
RICHARD D FRANCIS (President and CEO) has made 0 purchases and 2 sales selling 23,773 shares for an estimated $375,533.
MATTHEW SHIELDS (EVP, Global Operations) sold 6,206 shares for an estimated $105,627
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$TEVA Hedge Fund Activity
We have seen 258 institutional investors add shares of $TEVA stock to their portfolio, and 302 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
HAREL INSURANCE INVESTMENTS & FINANCIAL SERVICES LTD. added 22,044,407 shares (+197885.2%) to their portfolio in Q1 2025, for an estimated $338,822,535
RUBRIC CAPITAL MANAGEMENT LP added 8,550,000 shares (+50.3%) to their portfolio in Q1 2025, for an estimated $131,413,500
ARROWSTREET CAPITAL, LIMITED PARTNERSHIP removed 6,990,407 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $107,442,555
GOLDMAN SACHS GROUP INC added 6,859,718 shares (+195.1%) to their portfolio in Q1 2025, for an estimated $105,433,865
GLENVIEW CAPITAL MANAGEMENT, LLC added 6,322,317 shares (+74.8%) to their portfolio in Q1 2025, for an estimated $97,174,012
PHOENIX FINANCIAL LTD. added 6,252,030 shares (+29.5%) to their portfolio in Q1 2025, for an estimated $96,093,701
DUQUESNE FAMILY OFFICE LLC added 5,882,350 shares (+65.4%) to their portfolio in Q1 2025, for an estimated $90,411,719
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
Final analysis of PEARL real world migraine prevention study presented at 11th Congress of the European Academy of Neurology (EAN 2025) Congress in Helsinki
1
,
2
Fremanezumab demonstrated sustained effectiveness and a favourable safety and tolerability profile over the two-year study period
1
,
2
Injection
adherence remained high throughout the study
(~90%)
, while over 75% of patients completed the study duration
1
TEL AVIV, Israel, June 23, 2025 (GLOBE NEWSWIRE) -- Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) today announced that the final analysis of the pan-European PEARL Phase 4 migraine prevention study showed that AJOVY (fremanezumab), an anti-calcitonin gene-related peptide (CGRP) monoclonal antibody, delivered sustained effectiveness over a two-year period in reducing frequency, duration and severity of migraine attacks in patients with chronic and episodic migraine.
1
The final data was presented at the Congress of the European Academy of Neurology (EAN 2025) congress in Helsinki confirming that primary and secondary endpoints had been met.
1
Investigators concluded that the findings underscore the sustained effectiveness and the robust injection adherence rates to long-term fremanezumab treatment in migraine prevention.
1
“Over the last two years, we have observed the benefit of fremanezumab for sustained migraine prevention and its positive impact on patient outcomes,” says Messoud Ashina, Professor and Director of the Human Migraine Research Unit, the Danish Headache Center and Department of Neurology. “The PEARL study has provided valuable insight, not only
into the pivotal role that fremanezumab can play in migraine prevention, but also in the importance of real-world studies in helping build our knowledge and shape clinical practice.”
PEARL, a 24-month real-world observational study assessed the impact of fremanezumab for migraine prevention in 1,140 patients, predominantly female (87.25%) with 33.1% living with episodic migraine (EM), and 66.9% with chronic migraine (CM). The final study showed
that over 66% of patients with EM and 51.6% with CM who had achieved the primary endpoint of a ≥50% reduction in Monthly Migraine Days (MMD) during the first 6 months of treatment benefitted from sustained migraine prevention for over 24 months. Injection adherence rates remained high throughout (~90%) the study, with over 75% (854/1129) of participants completing the study duration.
1
The investigators also noted the favourable long-term safety and tolerability of fremanezumab that was consistent with its known safety profile from previous PEARL interim analyses and randomised controlled trials, supporting its continued clinical use for migraine prevention.
2
“The final analysis of the PEARL real-world study reaffirms the long-term effectiveness and safety profile of fremanezumab in the preventive treatment of chronic and episodic migraine,” said Pinar Kokturk, M.D., Vice President and Head of Medical Affairs Europe at Teva. “These data provide valuable real-world evidence supporting fremanezumab’s sustained clinical benefit, particularly in a population burdened by high disease impact and a need for preventive therapy. With migraine being the second leading cause of disability worldwide,
3
the recognition of CGRP-pathway therapies by health authorities is critical for improving patient outcomes.”
Editors’ Notes
PEARL (Pan-European Real-World study), a two-year prospective, observational Phase IV study is investigating the effectiveness of AJOVY® (fremanezumab) in 1140 patients with chronic or episodic migraine. Fremanezumab is a humanised monoclonal antibody (mAb) that selectively targets the calcitonin gene-related peptide (CGRP) pathway. Of the 1140 participants enrolled, 1129 were included in the effectiveness analysis (EM, 33.1%; CM, 66.9%; 87.2% female). Eligible participants were adults with EM or CM receiving fremanezumab for migraine prevention, who maintained a daily headache diary prior to and throughout the study period. The primary endpoint was the proportion of participants with >=50% reduction in monthly migraine days (MMD) during the 6-month period after fremanezumab initiation. Secondary endpoints across Months 1–24 included mean change from baseline in MMD, and treatment adherence (participants who took their prescribed dose within ±5 days of the scheduled monthly/quarterly dosing regimen, per injection) and persistence.
About AJOVY
®
(fremanezumab-vfrm) injection
AJOVY is indicated for prophylaxis of migraine in adults who have at least 4 migraine days per month. AJOVY is available as a 225 mg/1.5 mL single dose injection in a pre-filled syringe or, in some countries, in a pre-filled pen. Two dosing options are available: 225 mg once monthly administered as one subcutaneous injection (monthly
dosing), or 675 mg every three months (quarterly dosing), which is administered as three subcutaneous injections. AJOVY can be administered either by a health care professional or at home by a patient or caregiver. No starting dose is required to begin treatment.
Information for Europe about AJOVY can be found
here
.
About Teva
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) is a different kind of global biopharmaceutical leader, one that operates across the full spectrum of innovation to reliably deliver medicines to patients worldwide. For over 120 years, Teva’s commitment to bettering health has never wavered. Today, the company’s global network of capabilities enables its 37,000 employees across 57 markets to advance health by developing medicines for the future while championing the production of generics and biologics. We are dedicated to addressing patients’ needs, now and in the future. Moving forward together with science that treats, inspired by the people we serve. To learn more about how Teva is all in for better health, visit
www.tevapharm.com
.
Cautionary Note Regarding Forward-Looking Statements
This Press Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management’s current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. You can identify these forward-looking statements by the use of words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression in connection with any discussion of future operating or financial performance. Important factors that could cause or contribute to such differences include risks relating to: our ability to successfully develop and commercialize AJOVY (fremanezumab) for the prevention of chronic or episodic migraine; our ability to successfully compete in the marketplace, including our ability to develop and commercialize additional pharmaceutical products; our ability to successfully execute our Pivot to Growth strategy, including to expand our innovative and biosimilar medicines pipeline and profitably commercialize the innovative medicines and biosimilar portfolio, whether organically or through business development; and other factors discussed in our Quarterly Report on Form 10-Q for the first quarter of 2025 and in our Annual Report on Form 10-K for the year ended December 31, 2024, including in the sections captioned “Risk Factors.” Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.
Teva Media Inquiries:
TevaCommunicationsNorthAmerica@tevapharm.com
Teva Investor Relations Inquires:
TevaIR@Tevapharm.com
References
1. Ashina M. et al, Real-World Effectiveness of Fremanezumab in Migraine Prevention: Final Outcomes of the Pan-European PEARL Study (EPR-039), poster presented at the European Academy of Neurology (EAN) Congress; 21 – 24 June, 2025; Helsinki, Finland.
2. Ashina M et al, Real-World Safety and Tolerability of Fremanezumab in Migraine Prevention: Final Outcomes of the PEARL Study (EPO-063), poster presented at the European Academy of Neurology (EAN) Congress; 21 – 24 June, 2025; Helsinki, Finland.
3. Steiner, T.J., Stovner, L.J., Jensen, R.
et al.
Migraine remains second among the world’s causes of disability, and first among young women: findings from GBD2019.
J Headache Pain
21, 137 (2020).
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Teva Pharmaceutical Industries Presents Final Analysis of PEARL Study Demonstrating Sustained Effectiveness of AJOVY in Migraine Prevention at EAN 2025 Congress

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There's nothing more valuable on Wall Street than data, and investors rarely have to dig to find something that's pertinent to the U.S. economy, the stock market, or their specific portfolio holdings.
The issue is that between earnings season -- the six-week period where many of America's most-influential public businesses report their operating results each quarter -- and near-daily economic data releases, something important can easily fall through the cracks or slide under the radar of investors. A perfect example being the filing of Form 13Fs with the Securities and Exchange Commission last month.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
No later than 45 calendar days following the end to a quarter, institutional investors with at least $100 million in assets under management are required to file a 13F. This form concisely details which stocks, exchange-traded funds (ETFs), and select options the market's brightest money managers bought and sold in the latest quarter. In other words, it can help investors spot the stocks and trends captivating the attention of the world's best investors.
Though Warren Buffett is the most-followed of all asset managers, he's not the only billionaire known for their prescient calls and outsized investment returns. Duquesne Family Office's billionaire chief Stanley Druckenmiller is another money manager who investors wisely pay close attention to.
What's particularly noteworthy about Druckenmiller's investment activity of late is his exit from some of Wall Street's most high-flying names in the artificial intelligence (AI) space. Based on Duquesne's first-quarter 13F, Druckenmiller sent his entire stake in Palantir Technologies (NASDAQ: PLTR) packing while continuing to pile into a suddenly unstoppable drug stock for the third consecutive quarter.
Duquesne Family Office's billionaire chief bids adieu to Palantir
Stanley Druckenmiller initially made waves in the March-ended quarter last year when his fund's 13F showed he added nearly 770,000 shares of Palantir stock.
The lure of owning shares of Palantir is the company's irreplaceability. Its two AI and machine learning-driven operating platforms -- Gotham and Foundry -- aren't replicable at scale by any other companies, which leads to highly predictable sales and operating cash flow for Palantir. Gotham lands multiyear contracts with the U.S. government and its immediate allies, while Foundry is a subscription-based service that's generating high margins from enterprise clients looking to better understand their data and streamline their operations.
Palantir also brings what's been a sustainably high sales growth rate of 25% to 35% to the table and has been generating recurring profits.
But as noted, Duquesne's billionaire chief exited what was left of his fund's Palantir stake at some point during the March-ended quarter -- and there are four possible reasons behind this move.
First off, this could be nothing more than simple profit-taking. The 52 positions currently held by Druckenmiller's fund have been there for an average of nine months. This demonstrates he and his team aren't afraid to lock in gains when presented with a sizable move higher in a security.
Secondly, there had been rumblings during the first quarter of the Donald Trump administration reducing defense spending in the coming years. President Trump aims to improve the operating efficiency of the federal government, and one theory floated had been the possibility of lowering defense spending. Palantir's Gotham platform plays a critical role in data gathering/analysis, as well as military mission planning and execution.
A third possibility that may explain Druckenmiller's exit is the historical precedent of next-big-thing innovations enduring an early innings bubble-bursting event. While Druckenmiller believes in AI as a long-term winner, he's also opined that it's overhyped in the short run. Every next-big-thing trend for more than three decades has worked its way through a bubble-bursting event in its early expansion phase, and AI doesn't look as if it'll be the exception to this unwritten rule. If the AI bubble were to burst, sentiment would weigh heavily on Palantir stock.
Fourth, but perhaps most important of all, Palantir Technologies' valuation appears unsustainable. As of closing bell on June 12, Palantir was sporting an astronomical price-to-sales (P/S) ratio of 108! To put this into perspective, prior megacap companies on the leading edge of next-big-thing trends capped out at P/S ratios of between 30 and 43. Even if Palantir stock went sideways for four or five years, it would still be at a historical bubble valuation.
Billionaire Druckenmiller has piled into this drug stock for three straight quarters
On the other end of the spectrum is a pharmaceutical company that's effected a meaningful turnaround, which billionaire Stanley Druckenmiller has purchased shares of for three consecutive quarters. I'm talking about brand-name and generic-drug developer Teva Pharmaceutical Industries (NYSE: TEVA), whose shares are higher by 142% over the trailing-two-year period (as of the closing bell on June 12).
Druckenmiller's fund gobbled up 1,427,950 shares of Teva in the September-ended quarter, added 7,569,450 shares in the December-ended quarter, and picked up another 5,882,350 shares in the March-ended quarter.
From the midpoint of 2015 through late 2023, Teva stock lost close to 90% of its value due to a number of headwinds:
Its blockbuster multiple sclerosis drug Copaxone lost its sales exclusivity.
In hindsight, Teva grossly overpaid for its buyout of generic-drug company Actavis, which ballooned its outstanding debt.
Generic-drug pricing power weakened.
Teva faced numerous rounds of litigation, including lawsuits regarding its role in the opioid crisis.
While these have all been tangible headwinds, current and prior management worked to place these gray clouds in the back seat and have decisively returned Teva to growth.
Arguably the biggest advancement for Teva was resolving its opioid litigation. In early 2023, 48 states agreed to a $4.25 billion settlement, which includes up to $1.2 billion worth of a generic version of Narcan (the opioid overdose reversal drug) to be distributed to states by Teva. What's key is that this settlement is spread over 13 years, so it won't be a financial burden to the company.
Another major step forward for Teva has been its vastly improved balance sheet. Under turnaround specialist CEO Kare Schultz, the company sold off non-core assets and reduced its operating expenses by billons per year. This prudent focus on spending has continued under current CEO Richard Francis. After tipping the scales with more than $35 billion in net debt following the Actavis deal, Teva now has less than $15 billion in net debt.
The other critical action undertaken by Francis has been to shift Teva toward novel-drug development. Though it's still a major player in generic drugs, developing brand-name therapies comes with higher margins and faster growth rates. Tardive dyskinesia drug Austedo looks to push for $2 billion in sales this year, which is up from $963 million in full-year sales in 2022. In other words, Teva has found its Copaxone replacement, and has plenty of other novel therapies ramping up sales and/or in the pipeline.
The cherry on top is that Teva Pharmaceutical Industries remains historically cheap despite its stock more than doubling over the trailing-two-year period. Its forward price-to-earnings ratio of 6.5 is well below other major pharmaceutical stocks and not fully indicative of the company's growth potential or ongoing turnaround.
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Sean Williams has positions in Teva Pharmaceutical Industries. The Motley Fool has positions in and recommends Palantir Technologies. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.
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Billionaire Stanley Druckenmiller Dumped His Entire Stake in Palantir and Has Piled Into This Suddenly Unstoppable Drug Stock for 3 Straight Quarters

Study reveals over half of long-term care residents with tardive dyskinesia do not receive standard treatment, highlighting care gaps.
Quiver AI Summary
A recent study by Teva Pharmaceuticals revealed that over half of residents with tardive dyskinesia (TD) in long-term care facilities do not receive the recommended standard treatment, with a quarter remaining untreated. The findings indicate that many patients are misdiagnosed with extrapyramidal syndrome, which complicates their treatment. The study showed that less than 50% of TD diagnosed patients received the appropriate care, while most were given non-FDA approved treatments. The research highlights significant gaps in diagnosis and care for TD in these settings, emphasizing the need for improved awareness and timely intervention. Teva is dedicated to advancing research in this area to better meet the needs of patients with TD.
Potential Positives
Teva Pharmaceuticals highlights a critical gap in the diagnosis and treatment of tardive dyskinesia (TD) among residents in long-term care facilities, showcasing their commitment to address these unmet medical needs.
The company is advancing research to improve understanding and awareness of tardive dyskinesia, which positions them as a leader in the field of neurological treatments.
Findings from their study were presented at a notable conference (Psych Congress Elevate), enhancing Teva's visibility and credibility in the medical community.
Teva's long-standing commitment to advancing health and addressing patient needs positions the company favorably for future growth and innovation in the biopharmaceutical industry.
Potential Negatives
Less than half of patients diagnosed with tardive dyskinesia in long-term care settings received standard of care treatment, which raises concerns about the effectiveness and quality of care provided to these patients.
A quarter of residents with tardive dyskinesia were untreated, indicating a significant gap in addressing patient needs.
The study revealed that many residents are misdiagnosed with extrapyramidal syndrome, which could lead to inappropriate treatment options and illustrates potential deficiencies in patient assessment and care management.
FAQ
What is tardive dyskinesia (TD)?
Tardive dyskinesia is a chronic movement disorder characterized by uncontrollable, repetitive movements affecting the face, torso, and body.
What percentage of LTC residents receive standard care for TD?
Less than half of patients diagnosed with TD in long-term care settings receive the recommended standard of care treatment.
What common issues hinder TD treatment in long-term care?
LTC residents are often misdiagnosed with extrapyramidal syndrome, leading to incorrect treatment options for tardive dyskinesia.
What is Teva’s commitment regarding TD?
Teva is dedicated to advancing research to better understand and address the unmet needs of patients with tardive dyskinesia.
Where can I find more information about Teva Pharmaceuticals?
For more information about Teva, visit their website at www.tevapharm.com.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$TEVA Insider Trading Activity
$TEVA insiders have traded $TEVA stock on the open market 18 times in the past 6 months. Of those trades, 0 have been purchases and 18 have been sales.
Here’s a breakdown of recent trading of $TEVA stock by insiders over the last 6 months:
ROBERTO MIGNONE sold 286,000 shares for an estimated $6,294,030
MARK SABAG (See "Remarks") sold 337,915 shares for an estimated $6,097,304
RICHARD DANIELL (Exec. VP, European Commercial) has made 0 purchases and 10 sales selling 273,583 shares for an estimated $4,345,473.
ERIC A HUGHES (See "Remarks") has made 0 purchases and 4 sales selling 48,151 shares for an estimated $767,057.
RICHARD D FRANCIS (President and CEO) has made 0 purchases and 2 sales selling 23,773 shares for an estimated $375,533.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$TEVA Hedge Fund Activity
We have seen 258 institutional investors add shares of $TEVA stock to their portfolio, and 302 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
HAREL INSURANCE INVESTMENTS & FINANCIAL SERVICES LTD. added 22,044,407 shares (+197885.2%) to their portfolio in Q1 2025, for an estimated $338,822,535
RUBRIC CAPITAL MANAGEMENT LP added 8,550,000 shares (+50.3%) to their portfolio in Q1 2025, for an estimated $131,413,500
ARROWSTREET CAPITAL, LIMITED PARTNERSHIP removed 6,990,407 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $107,442,555
GOLDMAN SACHS GROUP INC added 6,859,718 shares (+195.1%) to their portfolio in Q1 2025, for an estimated $105,433,865
GLENVIEW CAPITAL MANAGEMENT, LLC added 6,322,317 shares (+74.8%) to their portfolio in Q1 2025, for an estimated $97,174,012
PHOENIX FINANCIAL LTD. added 6,252,030 shares (+29.5%) to their portfolio in Q1 2025, for an estimated $96,093,701
DUQUESNE FAMILY OFFICE LLC added 5,882,350 shares (+65.4%) to their portfolio in Q1 2025, for an estimated $90,411,719
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$TEVA Analyst Ratings
Wall Street analysts have issued reports on $TEVA in the last several months. We have seen 3 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
UBS issued a "Buy" rating on 12/18/2024
Barclays issued a "Overweight" rating on 12/18/2024
Bank of America Securities issued a "Buy" rating on 12/03/2024
To track analyst ratings and price targets for $TEVA, check out Quiver Quantitative's $TEVA forecast page.
$TEVA Price Targets
Multiple analysts have issued price targets for $TEVA recently. We have seen 2 analysts offer price targets for $TEVA in the last 6 months, with a median target of $28.0.
Here are some recent targets:
Ashwani Verma from UBS set a target price of $28.0 on 12/18/2024
Balaji Prasad from Barclays set a target price of $28.0 on 12/18/2024
Full Release
More than half of residents with tardive dyskinesia (TD) residing in long-term care (LTC) settings do not receive standard of care treatment, and one-quarter are left untreated
LTC residents are often given a broader diagnosis of extrapyramidal syndrome, which can lead to incorrect treatment options for TD
Teva is committed to continuing to advance research to better understand and help address unmet needs among patients living with TD in LTC settings as well as other settings
PARSIPPANY, N.J. and TEL AVIV, Israel, May 30, 2025 (GLOBE NEWSWIRE) -- Teva Pharmaceuticals, a U.S. affiliate of Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA), today announced results from a study of treatment patterns among patients with tardive dyskinesia (TD) residing in long-term care (LTC) facilities, highlighting a critical gap in TD diagnosis and treatment.
"These results underscore the need for accurate diagnosis and timely treatment initiation for patients living with tardive dyskinesia in a long-term care setting,” said Eric Hughes, MD, PhD, Executive Vice President, Global R&D and Chief Medical Officer at Teva. "At Teva, we are committed to better understand and raise awareness of the gaps in TD care in all patients.”
Key results from the study revealed:
Of the residents being treated with antipsychotic drugs (APDs), 5.6% had a diagnosis of extrapyramidal syndrome (EPS), – a broad term used to describe any drug-induced movement disorder with no wide-treating therapeutic option – while 1.1% had a specific diagnosis of TD.
The most common comorbidities observed in residents on APDs at risk for TD included dementia, chronic pulmonary disease and congestive heart failure. Moderate or severe liver disease was observed in <1% of residents on APDs.
Less than half of patients diagnosed with TD residing in LTC settings received the standard of care treatment recommended by the American Psychiatric Association – a vesicular monoamine transporter 2 inhibitor (VMAT2i). The majority were treated with a non-FDA approved treatment, primarily benztropine, and a quarter were not treated at all.
“Tardive dyskinesia remains a challenge to identify and is often mistaken for other conditions resulting in undertreatment or inappropriate treatment, often because of confusion about the symptoms a patient is having and also around appropriate treatment options,” said Amita Patel, MD, CMD, MHA, CPE. “These findings underscore the need to better understand and address the gaps in care that exist for residents in long-term care. Ultimately, it’s imperative that residents work with their healthcare providers to seek appropriate diagnoses and learn about potential treatments for TD.”
This study retrospectively analyzed a database of residents at risk for TD – those on an APD for ≥30 days and/or metoclopramide (Reglan
®
) for >12 weeks. Of the ~700,000 residents on an APD and ~35,000 on Reglan
®
, the most common underlying psychiatric diagnosis was a mood disorder (68% and 54%, respectively).
These findings illustrate that a substantial portion of individuals with TD residing in LTC facilities are at risk of not receiving an appropriate diagnosis or proper standard of care, highlighting the need for more intensive evaluation of residents in LTC for TD, to improve the accuracy of diagnoses and the provision of proper treatments. Full results from the study were presented at Psych Congress Elevate on May 30, 2025, with additional data expected later this year.
Use of Trademarks
Reglan
®
is a registered trademark of UCB.
About Tardive Dyskinesia (TD)
Tardive dyskinesia (TD) is a highly debilitating, chronic movement disorder that affects one in four people who take certain mental health treatments and is characterized by uncontrollable, abnormal, and repetitive movements of the face, torso, and/or other body parts, which may be disruptive and negatively impact individuals.
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About Teva
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) is a different kind of global biopharmaceutical leader, one that operates across the full spectrum of innovation to reliably deliver medicines to patients worldwide. For over 120 years, Teva’s commitment to bettering health has never wavered. Today, the company’s global network of capabilities enables its 37,000 employees across 57 markets to advance health by developing medicines for the future while championing the production of generics and biologics. We are dedicated to addressing patients’ needs, now and in the future. Moving forward together with science that treats, inspired by the people we serve. To learn more about how Teva is all in for better health, visit
www.tevapharm.com
.
Teva Cautionary Note Regarding Forward Looking Statements
This Press Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management’s current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. You can identify these forward-looking statements by the use of words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression in connection with any discussion of future operating or financial performance. Important factors that could cause or contribute to such differences include risks relating to: our ability to successfully compete in the marketplace, including our ability to develop and commercialize additional pharmaceutical products; our ability to successfully execute our Pivot to Growth strategy, including to expand our innovative and biosimilar medicines pipeline and profitably commercialize the innovative medicines and biosimilar portfolio, whether organically or through business development, to sustain and focus our portfolio of generic medicines, and to execute on our organizational transformation and to achieve expected cost savings; and other factors discussed in our Quarterly Report on Form 10-Q for the first quarter of 2025 and in our Annual Report on Form 10-K for the year ended December 31, 2024, including in the sections captioned “Risk Factors and “Forward Looking Statements.” Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.
References
Warikoo N, Schwartz T, Citrome L. Tardive dyskinesia. In: Schwartz TL, Megna J, Topel ME, eds. Antipsychotic Drugs. Hauppauge, NY: Nova Science Publishers. 2013:235-258.
Waln O, Jankovic J. An Update on Tardive Dyskinesia: From Phenomenology to Treatment. Tremor Other Hyperkinet Mov. 2013;3:1-11.
Tardive dyskinesia. National Alliance on Mental Illness website. https://www.nami.org/Learn-More/Treatment/Mental-Health-Medications/Tardive-Dyskinesia. Accessed May 4, 2023.
Teva Media Inquiries:
TevaCommunicationsNorthAmerica@tevapharm.com
Teva Investor Relations Inquires:
TevaIR@Tevapharm.com
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Teva Pharmaceuticals Highlights Critical Treatment Gaps for Tardive Dyskinesia in Long-Term Care Facilities

Teva Pharmaceuticals Reports Positive Real-World Outcomes for UZEDY® (risperidone) in Schizophrenia Treatment Compared to Second-Generation Oral Antipsychotics

In trading on Thursday, shares of Teva Pharmaceutical Industries Ltd (Symbol: TEVA) crossed below their 200 day moving average of $17.54, changing hands as low as $17.51 per share. Teva Pharmaceutical Industries Ltd shares are currently trading down about 3% on the day. The chart below shows the one year performance of TEVA shares, versus its 200 day moving average:
Looking at the chart above, TEVA's low point in its 52 week range is $12.465 per share, with $22.80 as the 52 week high point — that compares with a last trade of $17.52.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

TEVA Crosses Below Key Moving Average Level

The amount of data investors digest daily on Wall Street can sometimes feel overwhelming. Over the last six weeks, investors have navigated their way through earnings season, a Federal Reserve Open Market Committee meeting, and President Donald Trump's regularly changing tariff and trade policy. Suffice it to say, it can be easy for something important to fall through the cracks.
Arguably the most important data dump of the entire quarter occurred less than two weeks ago on May 15. This marked the deadline for institutional investors with at least $100 million in assets under management to file Form 13F with the Securities and Exchange Commission.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
A 13F is filing that allows professional and everyday investors to see which stocks Wall Street's smartest money managers purchased and sold in the latest quarter. Even though 13Fs have their flaws -- since they're filed 45 days after the end to a quarter, they may contain stale data for active hedge funds -- they still provide invaluable clues as to which stocks and trends have the full attention of the market's leading asset managers.
While Warren Buffett is the most-followed of all money managers, he's far from the only billionaire investor known for their outsized returns. Billionaire Stanley Druckenmiller of Duquesne Family Office is also revered for his ability to spot a good deal.
During the March-ended quarter, Druckenmiller was an active seller of stocks and quite the selective buyer. Duquesne's 13F shows he completely exited more than three dozen positions and reduced 18 more. In comparison, he opened just 12 new positions and added to 14 existing holdings.
Among these dozens of trades, two stand out. Specifically, Duquesne's billionaire chief completely exited his stake in one of Wall Street's hottest stock-split stocks and continued to pile into one of the stock market's most-promising drugmakers.
Stanley Druckenmiller just dumped one of Wall Street's preeminent stock-split stocks
Next to the evolution of artificial intelligence (AI), nothing has been a more intriguing trend for investors than companies announcing and completing stock splits.
A stock split allows a public company to alter its share price and outstanding share count while having no impact on its market cap or underlying operating performance. Most investors have been gravitating to businesses conducting forward splits, which are designed to reduce a company's share price to make it more nominally affordable for everyday investors who can't purchase fractional shares through their broker. Plus, companies whose share price has increased enough to warrant a forward split must be doing something right from an operating and innovation standpoint.
During the first quarter, Druckenmiller was a seller of one of Wall Street's most-esteemed stock-split stocks: cybersecurity colossus Palo Alto Networks (NASDAQ: PANW), which completed a 2-for-1 split in December. Duquesne's 13F shows the entirety of its 87,424-share position in Palo Alto was sold.
Simple profit-taking may explain this selling activity. All of Duquesne's stocks have an average holding period of less than nine months, which means its billionaire chief isn't shy about ringing the register.
However, valuation may have also played a role. Even with sustained double-digit earnings and sales growth, Palo Alto Networks is valued at an aggressive 60 times forecast earnings per share in 2025. Even amid a historically pricey stock market, Palo Alto is priced for perfection.
Thankfully, Palo Alto Networks has continued to deliver for its shareholders. Based on the company's fiscal third-quarter operating results (ended April 30), which were released last week, annual recurring revenue for its next-generation security solutions jumped 34% to $5.1 billion, and its total backlog of remaining performance obligations grew 19% to $13.5 billion from the prior-year period.
More than a half-decade ago, Palo Alto made the purposeful shift to a cloud-based (and now AI-supported) cybersecurity model. In the latest quarter, 80% of its net sales came from higher-margin subscriptions and support services, with only 20% from physical firewall products. Over time, more revenue has become recurring and tied to its high-margin subscription segment, which is a big reason why its stock has been steadily climbing.
The other factor working in Palo Alto Networks' favor is that cybersecurity has evolved into a basic necessity service. With businesses moving their data and that of their customers online and into the cloud at an accelerated pace, demand for cybersecurity solutions should be consistent in any economic climate.
Though it's possible Druckenmiller's sale proves prescient in the months to come, it's more likely Palo Alto Networks' stock continues its ascent when looking back in a few years' time.
This might be Druckenmiller's favorite stock right now
On the other end of the spectrum is a stock Duquesne's billionaire chief hasn't stopped buying for three consecutive quarters -- and it's not a tech company. Following purchases of 1,427,950 shares in the third quarter and 7,569,450 shares in the fourth quarter, Druckenmiller added another 5,882,350 shares of drug giant Teva Pharmaceutical Industries (NYSE: TEVA) in the March-ended quarter.
Prior to 2024, Teva's shareholders navigated their way through nine generally painful years that were marred by the loss of exclusivity for blockbuster multiple sclerosis drug Copaxone, weaker generic-drug pricing, the overpayment of generic-drug company Actavis, and a seemingly endless parade of litigation. This included claims the company had to face regarding the role it played in the U.S. opioid crisis. On a peak-to-trough basis, Teva shares lost about 90% of their value.
But after a long winter, the sun appears to be shining on this brand-name and generic drug producer, once again.
The biggest shift for Teva has involved directing more of its capital and focus toward novel-drug development. Though brand-name drugs have finite periods of sales exclusivity, they generate notably higher margins and growth potential. For instance, tardive dyskinesia drug Austedo delivered 39% constant-currency sales growth in the March-ended quarter and is on pace for $2 billion in annual sales at the midpoint of current forecasts.
Secondly, Teva's executives have placed great emphasis on lowering costs and improving the company's financial flexibility. What began with turnaround specialist Kare Schultz, and has been continued with current CEO Richard Francis, is a meaningful pare-down of Teva's net debt via the sale of noncore assets and reduced operating costs. Shortly following the Actavis acquisition in the summer of 2016, Teva was buried under more than $35 billion in net debt. As of the end of March 2025, this net debt figure stood at less than $15 billion.
Another pivotal moment for Teva Pharmaceutical was putting its opioid litigation woes firmly in the rearview mirror. In early 2023, 48 of the 50 U.S. states approved Teva's $4.25 billion opioid settlement, which is to be spread over 13 years and includes up to $1.2 billion of Teva's generic version of Narcan, the opioid overdose reversal drug, being given to states. With no major litigation overhanging the company, its persistently depressed valuation multiple should be free to (finally) expand.
Lastly, billionaire Stanley Druckenmiller was likely attracted to Teva's deep-discount valuation. While the stock market entered 2025 at one of its priciest valuations in history, based on the S&P 500's Shiller price-to-earnings ratio, shares of Teva are valued at just 6.6 times forecast earnings per share in 2025.
Though Teva is unlikely to reintroduce a dividend anytime soon, it's delivered year-over-year sales growth for nine consecutive quarters and its focus on brand-name therapies is beginning to resonate with Wall Street.
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Sean Williams has positions in Teva Pharmaceutical Industries. The Motley Fool recommends Palo Alto Networks. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Teva Pharmaceutical Industries Limited

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