Teva Pharmaceuticals (TEVA) seeing strong growth ahead

Posted Nov 16th 2007 10:22AM by Zack Miller
Filed under: Teva Pharm Indus ADR (TEVA)

Speaking at the Reuters Health Summit today, the U.S. head of Israeli generic drug manufacturer, Teva Pharmaceutical (NASDAQ: TEVA), said he could see its U.S. generic-drug market share balloon to more than 30% in the next five years.

Teva currently is the generic market leader with 20% market share. CEO of Teva North America, George Barrett, said that Teva has about 150 generic drugs awaiting U.S. approval that are versions of brand-name medicines worth a total of about $90 billion in annual sales.

Teva is looking for growth via acquisitions as well as organically. In spite of intense competition, Teva has established a tremendous pipeline of generics. BloggingStocks' Aaron Katsman wrote recently about the progress of Teva's clinical trial for an oral MS drug.

Most world health systems are looking to take cost out of the medical system and generics do just that. Teva has a strong history of drug development, regulatory experience, and marketing/distribution prowess. Through its pipeline and with new acquisitions on the horizon, the future looks good for Teva.

Zack Miller is the Managing Editor of IsraelNewsletter.com and a former equity analyst for a leading multinational hedge fund. Author's fund holds a position in TEVA as of 11/15/2007.