Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) and Nuvelution Pharma are officially in collaboration for the development of AUSTEDO (deutetrabenazine) tablets, designed to treat Tourette syndrome (TS) tics in pediatric patients in the United States. By partnering with Nuvelution, Teva can get the development of Austedo in TS rolling faster into motion- all with hopes to offer a truly sought after new treatment alternative to affected young patients as quickly as possible.
This novel agreement provides a creative risk-sharing funding framework for progressing a promising pipeline opportunity into an approved product, with a success-based investment return for Nuvelution. Under the terms of the agreement, Nuvelution will fund and manage clinical development, driving all operational aspects of the Phase III program, which is expected to commence later this year. Teva will lead the regulatory process and be responsible for commercialization. Upon FDA approval of AUSTEDO® in TS, Teva will pay Nuvelution a pre-agreed return on its invested capital.
“More than 130,000 children with Tourette syndrome in the US endure significant distress, stigmatization and isolation due to their motor and phonetic tics” said Michael Hayden, M.D., Ph.D., President of Global R&D and Chief Scientific Officer at Teva. “Nuvelution is the ideal partner to help us realize the potential of this medication in Tourette syndrome and to help bring it to patients as quickly as possible.”
“Following the successful development programs for AUSTEDO® in chorea associated with HD and Tardive Dyskinesia, we believe this partnership represents a win, win, win scenario for patients, Teva and Nuvelution, and our investors Clarus and Novo Holdings A/S,” said Sandy Zweifach, President and CEO of Nuvelution Pharma. Inc. “We are confident, and ready, to rapidly move this program through Phase III, focused on delivering a successful development conclusion.” (Original Source)
Shares of Teva are currently trading at $17.19, up $0.19 or 1.15%. TEVA has a 1-year high of $51.51 and a 1-year low of $15.22. The stock’s 50-day moving average is $18.56 and its 200-day moving average is $28.33.
On the ratings front, Teva has been the subject of a number of recent research reports. In a report released yesterday, RBC analyst Randall Stanicky maintained a Sell rating on TEVA, with a price target of $15, which reflects a potential downside of -12% from last closing price. Separately, on the same day, Cantor Fitzgerald’s Louise Chen assigned a Hold rating to the stock and has a price target of $17.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Randall Stanicky and Louise Chen have a yearly average loss of -12.1% and -9.9% respectively. Stanicky has a success rate of 27% and is ranked #4586 out of 4651 analysts, while Chen has a success rate of 39% and is ranked #4542.
Overall, 3 research analysts have rated the stock with a Sell rating, 12 research analysts have assigned a Hold rating and 2 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $22.27 which is 30.3% above where the stock opened today.
Teva Pharmaceutical Industries Ltd. engages in the provision of pharmaceutical services. It operates through the following two segments: Generic and Specialty Medicine. The Generic segment includes chemical and therapeutic equivalents of originator medicines in a variety of dosage forms, including tablets, capsules, injectables, inhalants, liquids, ointments and creams. The Specialty Medicine segment includes several franchises, most significantly core therapeutic areas of CNS medicines.