Teva Pharmaceutical Industries Ltd. (TEVA) vs Zoetis Inc. (ZTS)

Teva Pharmaceutical Industries Ltd. and Zoetis Inc. are both Drug Manufacturers Specialty & Generic companies. Teva Pharmaceutical Industries Ltd. is the larger, with a market value of $46.9B against $29.2B — 1.6× the size. Zoetis Inc. trades at the lower P/E: 11.7× against 62.2×. Teva Pharmaceutical Industries Ltd. grew revenue faster over the last twelve months: 4.13% against 1.58%. Zoetis Inc. has the higher net margin (27.7% vs 4.08%) and the higher return on invested capital (19.6% vs 4.58%). Across the 22 metrics below, Zoetis Inc. leads on 16 and Teva Pharmaceutical Industries Ltd. on 6.

Valuation

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
P/E 62.21 11.69 20.14
P/S 2.64 3.12 2.25
P/B 5.89 9.43 1.90
Price to free cash flow 32.59 12.75 16.54
EV/EBITDA 23.38 9.55 12.29
EV/Sales 3.38 4.03 2.56
Earnings yield 1.61% 8.56% (2.99%)
Free cash flow yield 3.07% 7.84% 0.00%

Profitability

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
Gross margin 52.46% 71.67% 53.94%
Operating margin 8.77% 37.13% 0.00%
Net margin 4.08% 27.69% 0.00%
Free cash flow margin 8.09% 24.43% 0.00%
Return on equity 9.69% 64.91% (0.40%)
Return on assets 1.77% 17.84% (3.32%)
Return on invested capital 4.58% 19.60% 0.00%

Growth

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
Revenue growth (TTM) 4.13% 1.58% 10.01%
EPS growth (last fiscal year) 183.45% 10.05% —
Revenue growth, 5-year CAGR 0.71% 7.24% 6.74%
Net income growth, 5-year CAGR 0.00% 10.29% 0.00%

Health

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
Debt to equity 2.14 2.87 0.05
Current ratio 0.88 3.08 2.31
Net debt to EBITDA 4.19 1.65 0.85

Dividend

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
Dividend yield — 0.76% 1.70%
Payout ratio 0.00 0.29 0.00

Size

Metric TEVA ZTS Drug Manufacturers Specialty & Generic median
Market cap 46.87b 29.19b 337.35m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack