Teva Pharmaceutical Industries Ltd
NYSE:TEVA
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (8.7), the stock would be worth $24.32 (22% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 11.2 | $31.22 |
0%
|
| 3-Year Average | 8.7 | $24.32 |
-22%
|
| 5-Year Average | 8.8 | $24.41 |
-22%
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| Industry Average | 4.2 | $11.78 |
-62%
|
| Country Average | 16 | $44.61 |
+43%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
$154.1B
|
/ |
Jan 2026
$4.1B
|
= |
|
|
$154.1B
|
/ |
Dec 2026
$4.7B
|
= |
|
|
$154.1B
|
/ |
Dec 2027
$5.2B
|
= |
|
|
$154.1B
|
/ |
Dec 2028
$5.6B
|
= |
|
Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| IL |
|
Teva Pharmaceutical Industries Ltd
NYSE:TEVA
|
108.7B USD | 11.2 | 24.9 | |
| US |
|
Eli Lilly and Co
NYSE:LLY
|
870.6B USD | 30.4 | 42.2 | |
| US |
|
Johnson & Johnson
NYSE:JNJ
|
544.4B USD | 21.2 | 25.9 | |
| CH |
|
Roche Holding AG
SIX:ROG
|
248.4B CHF | 13.1 | 19.6 | |
| UK |
|
AstraZeneca PLC
LSE:AZN
|
225.4B GBP | 22.8 | 29.2 | |
| CH |
|
Novartis AG
SIX:NOVN
|
222.8B CHF | 15.9 | 20 | |
| US |
|
Merck & Co Inc
NYSE:MRK
|
279.4B USD | 11.6 | 15.3 | |
| IE |
E
|
Endo International PLC
LSE:0Y5F
|
244.4B USD | 970 | -83.6 | |
| DK |
|
Novo Nordisk A/S
CSE:NOVO B
|
1.1T DKK | 9.4 | 10.8 | |
| US |
|
Pfizer Inc
NYSE:PFE
|
152.4B USD | 10.1 | 19.6 | |
| US |
|
Bristol-Myers Squibb Co
NYSE:BMY
|
118.4B USD | 8.8 | 16.8 |
Market Distribution
| Min | 0 |
| 30th Percentile | 10.7 |
| Median | 16 |
| 70th Percentile | 23.8 |
| Max | 877.3 |
Other Multiples
Teva Pharmaceutical Industries Ltd
Glance View
Teva Pharmaceutical Industries Ltd., a titan in the global pharmaceutical landscape, has navigated the intricate world of pharmaceuticals with a blend of strategic vision and operational efficiency. Founded in 1901 and headquartered in Israel, Teva has become synonymous with the production of affordable generic medications, a key pillar of its business model. The company's narrative is one of adaptability and foresight, having positioned itself as a leader in the generic drug sector by leveraging economies of scale and a vast distribution network. By acquiring and integrating smaller pharmaceutical firms over the years, Teva has expanded its portfolio to include a vast array of treatments that address a broad spectrum of therapeutic areas. This strategic expansion has enabled the company to offer nearly the same efficacy as brand-name drugs at a fraction of the cost, thus capturing significant market share and delivering value to both patients and healthcare systems worldwide. Beyond its prowess in generics, Teva has carved a niche in the specialty medicines market, focusing on innovative therapies that address complex conditions such as multiple sclerosis, migraine, and movement disorders. This dual-track approach to growth allows Teva to balance the volume-driven nature of the generics market with the higher margins offered by specialty drugs. The synthesis of these two facets – comprehensive generic offerings and targeted specialty pharmaceuticals – underpins Teva's revenue streams. Through a combination of robust pipeline development, strategic partnerships, and a commitment to operational excellence, Teva navigates the challenges of a competitive industry marked by ever-evolving regulations and pricing pressures, striving to maintain its status as a reliable provider of healthcare solutions on a global scale.