Teva Falls Hard, Loses Title as Israel's Biggest Firm

Teva just isn't 'the people's stock' it used to be.
By Kinsey Grant ,

Teva Pharmaceutical Industries Ltd (TEVA) - Get Report lost its position as Israel's biggest firm for the first time in 15 years Monday in another sign of decay for the ailing generic drug maker, Bloomberg reported.

Teva's market cap fell to $17.6 billion, leaving a gap for Tel Aviv-based Check Point Software Technologies Ltd (CHKP) - Get Report to slip in with its $17.7 billion market cap and gain the top spot in Israel's corporate hierarchy. Teva has lost more than $32 billion - or two-thirds - of its market value this year.

At the end of 2015, "the people's stock" was worth more than the combined value of the next 10 biggest public companies in Israel. But Teva has fallen from glory quickly, as botched acquisitions and generic drug pricing pressure contribute to a growing debt pile and shrinking profits.

Teva accounts for about 1.2% of Israel's total gross domestic product and is one of the nation's largest private employers. About 5% of its shareholders are Israeli.

Teva stock traded up 2.8% to $17.63 midday Tuesday. It's tumbled 51% since the start of the year, with about 47% of the decline happening this month.

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