Teva Pharma Industries Ltd ADR (TEVA)vsZoetis Inc (ZTS)
TEVA
Teva Pharma Industries Ltd ADR
$35.73
-0.78%
HEALTHCARE · Cap: $41.93B
ZTS
Zoetis Inc
$82.83
-5.13%
HEALTHCARE · Cap: $36.86B
Smart Verdict
WallStSmart Research — data-driven comparison
Teva Pharma Industries Ltd ADR generates 83% more annual revenue ($17.35B vs $9.47B). ZTS leads profitability with a 28.2% profit margin vs 9.0%. TEVA appears more attractively valued with a PEG of 1.50. ZTS earns a higher WallStSmart Score of 64/100 (C+).
TEVA
Buy62
out of 100
Grade: C+
ZTS
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+46.3%
Fair Value
$63.92
Current Price
$35.73
$28.19 discount
Margin of Safety
+19.4%
Fair Value
$159.74
Current Price
$82.83
$76.91 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 72.2% YoY
Every $100 of equity generates 22 in profit
Every $100 of equity generates 66 in profit
Strong operational efficiency at 34.7%
Safe zone — low bankruptcy risk
Keeps 28 of every $100 in revenue as profit
Attractively priced relative to earnings
Areas to Watch
Moderate valuation
2.3% revenue growth
Negative free cash flow — burning cash
Distress zone — elevated risk
Expensive relative to growth rate
Trading at 10.6x book value
3.0% revenue growth
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : TEVA
The strongest argument for TEVA centers on EPS Growth, Return on Equity.
Bull Case : ZTS
The strongest argument for ZTS centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 28.2% and operating margin at 34.7%.
Bear Case : TEVA
The primary concerns for TEVA are P/E Ratio, Revenue Growth, Free Cash Flow.
Bear Case : ZTS
The primary concerns for ZTS are PEG Ratio, Price/Book, Revenue Growth. Debt-to-equity of 2.85 is elevated, increasing financial risk.
Key Dynamics to Monitor
ZTS carries more volatility with a beta of 0.86 — expect wider price swings.
ZTS is growing revenue faster at 3.0% — sustainability is the question.
ZTS generates stronger free cash flow (732M), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - SPECIALTY & GENERIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ZTS scores higher overall (64/100 vs 62/100), backed by strong 28.2% margins. TEVA offers better value entry with a 46.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Teva Pharma Industries Ltd ADR
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Teva Pharmaceutical Industries Limited, a pharmaceutical company, develops, manufactures, markets, and distributes generic drugs, specialty drugs, and biopharmaceuticals in North America, Europe, and internationally. The company is headquartered in Petach Tikva, Israel.
Zoetis Inc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Zoetis Inc. is an American drug company, the world's largest producer of medicine and vaccinations for pets and livestock.
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