Teva Drops Most in a Month in Tel Aviv on U.S. Lipitor Sales
Teva Pharmaceutical Industries Ltd. (TEVA), the world’s largest maker of generic drugs, declined the most in a month on concern the sales of a cholesterol-lowering pill in the U.S. are falling short of analysts’ estimates.
The generic version of the Lipitor drug that Ranbaxy Laboratories Ltd. (RBXY) started selling in the U.S. this month achieved a market share of 9 percent, according to Wolters Kluwer. Teva will receive a portion of the profit for the first six months, under the terms of an agreement between the two companies. The partnership was expected to capture as much as 20 percent of total sales, according to Clal Finance Brokerage Ltd. in Tel Aviv. Watson Pharmaceuticals Inc. (WPI)’s version of the same drug achieved a 47 percent share, the data showed.
The shares in the Petach-Tikva, Israel-based company dropped 2.3 percent, the most since Nov. 20, to 159.10 shekels, or the equivalent of $42.09, at the 4:30 p.m. close in Tel Aviv. Teva shares traded in the U.S. fell 2.4 percent to $41.71 yesterday. Teva has slid 14 percent in Tel Aviv this year.
“Teva’s weakness reflects investors’ disappointment from a lower-than-expected market share of the generic Lipitor since its launch,” said Jonathan Kreizman, an analyst in Tel Aviv at Clal Finance Brokerage.
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