Teva Pharmaceutical Industries Ltd.  (TEVA) - Get Report stock took a beating Thursday, sinking over 20% midday after the company cut its full-year profit guidance and slashed its dividend 75%.

Teva said weak U.S. markets and the ongoing political turmoil in Venezuela weighed on the company's second quarter performance. Forecasted per-share earnings for the year were lowered to between $4.30 and $4.50 from between $4.90 and $5.30.

Stock of Teva's industry peers were in the green on the news of the Israeli company's poor performance.

  • Drug Price Inflation and a Patent Cliff Could Trigger a Wave of Deals in Generic Drugs Space

Others with exposure to the generics industry were also down. Impax Laboratories Inc. (IPXL) , was down 5.7% or $1.02 per share and Lannett Co. (LCI) - Get Report was lower by 6.1% or $1.15 per share to $17.60.

Amerisource Bergen Corp (ABC) - Get Report stock slid over 10% to $81.48 after the company joined Teva in reporting lackluster revenue last quarter brought down by generic drug price deflation. 

Momenta Pharmaceuticals Inc. (MNTA) - Get Report  was up 0.31% to $16.05.

Takeover candidates Impax Laboratories, Lannett and Momenta have all been identified as potential take-out targets by TheStreet as the industry continues to feel pressure, especially in the face of a changing political landscape for healthcare and drug regulation.

Shares of larger companies involved in generics such as Novartis AG (NVS) - Get Report  , Sanofi SA  (SNY) - Get Report  and AstraZeneca plc  (AZN) - Get Report  were relatively unchanged.

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