David Einhorn Likes This Pharma Stock
We just covered 15 Under-the-Radar Picks from David Einhorn That Are Quietly Dominating 2026 and Teva Pharmaceutical Industries Limited (NYSE:TEVA) ranks 2nd on this list.
Institutional sentiment towards Teva Pharmaceutical Industries Limited (NYSE:TEVA) has shifted significantly following Q4 2025 earnings, which many funds used as a signal to accumulate shares. The firm reported an Adjusted EPS of $0.96, crushing the consensus estimate of $0.65. Revenue grew 11.4% year-over-year to $4.71 billion, driven by a massive surge in its innovative portfolio. For the first time, three key innovative brands collectively delivered over $1 billion in a single quarter. In March, Teva received FDA approval for PONLIMSI, a denosumab biosimilar, and filed for a biosimilar to Xolair. Hedge funds track these as high-margin catalysts that will drive revenue through 2027.
For illustration purposes only. Photo from Zimmer Biomet
Despite Teva Pharmaceutical Industries Limited (NYSE:TEVA) stock surging over 105% in the past year, many top-tier funds believe it remains fundamentally undervalued relative to its new growth profile. In April, major brokerages raised their price targets significantly. Goldman Sachs lifted the target to $45, Bank of America to $42, and Piper Sandler to $41. Filings for the fourth quarter of 2025 show that Greenlight Capital owns just over 3 million shares in the pharma firm, down close to 20% compared to filings for the third quarter of 2025. Teva develops, manufactures, markets, and distributes generic and other medicines, and biopharmaceutical products in the United States, Europe, Israel, and internationally.
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