Teva Pharmaceutical (TEVA)

Discussion in 'Stocks' started by vanzandt, Dec 24, 2018.

  1. vanzandt

    vanzandt

    This one got beat down on the generic price fixing scandal. They are the biggest generic drug maker in the world.
    They were further beat down last week.
    At $14.80 its trading at a forward multiple of about 5.

    I went back and looked at stocks that fared well in bear markets. Generic pharmas were some of the best performers by far.

    As a bonus, Buffet was buying huge at $22. He's one of the biggest owners. Now I realize his track record as of late is not that good, but if he liked it at $22 BEFORE the price fixing scandal hammered it (which he could not have anticipated).... and then the downdraft last week that just sucked it down with all the indexes.... at $14.80 if you are looking for a place to park some money for a bit, TEVA might be a good one. Its cheap.

    Con.... they have a lot of debt.
    Pro.... they have trimmed costs to service the debt and will generate positive FCF in 2019. (so they say)

    Might be worth a look for the 401K's.
     
    Last edited: Dec 24, 2018
  2. If the down draft keeps blowing you might get it for a lot less! :sneaky:
     
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  3. 1. Takes "awhile" to bend a 325 day average.

    2. IF you're going to drop names, perhaps you should spell them correctly. Brings out the goose-stepping grammar Nazi in me.

    85.jpg
     
  4. vanzandt

    vanzandt

    You're probably right, past performance is always indickative of of where a stock is going. Makes it easier for everyone to get rich. I'll reboot the spell-checker now.

    Indicative.

    Must have been Freudian. He was Austrian right?
    Jewish too I think. Probably not much of a goose-stepping Nazi.
    One of his more famous quotes... "there's a big difference between spelling and grammar".
    That one doesn't get much press though. He's credited with a much bigger picture.
     
  5. Doubtful Buffett would come up in a spellchecker.

    Teva got a pop on Mylan Lab's pricing. It's now back to business. Low margin/high turnover.

    You might ponder Warren's purchase of Apple, with fanfare, at the price point he entered, and at age 88. The long term.

    You might also "google" David Sokol.
     
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  6. vanzandt

    vanzandt

    Left fielder for the Braves back in the '80's right?
    He likes TEVA?
    j/k
    I do appreciate your thoughts on the stock though. Can never be too cautious. Thanks.
     
  7. Buffett bought 75 million shares of Apple in 2017. He bought an additional 165 million shares in the first quarter of 2018. The Apple X, in a saturated market, is what, $1,000 per unit?

    It's what we call value investing for the long term. APPLE.jpg
     
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  8. Nope, a front-runner. One of Buffett's fuck ups. Shall we discuss Munsingwear, US Air, or.........let sleeping dogs lie?
     
  9. vanzandt

    vanzandt

    I was just reading about it. The Lubrizol deal. Interesting.
     
  10. Biosimilars will be the future for Teva; generics in the US are not looking good as margins get weaker and weaker
     
    #10     Dec 27, 2018
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