Analyst Downgrades: Akorn, Inc., Mylan NV, and Teva Pharmaceutical Industries Ltd

Analysts downwardly revised their ratings and price targets on Akorn, Inc. (AKRX), Mylan NV (MYL), and Teva Pharmaceutical Industries Ltd (ADR) (TEVA)

by Alex Eppstein

Published on Oct 4, 2016 at 9:38 AM

Analysts are weighing in on pharmaceutical stocks Akorn, Inc. (NASDAQ:AKRX), Mylan NV (NASDAQ:MYL), and Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA). Here's a quick roundup of today's bearish brokerage notes on AKRX, MYL, and TEVA.

  • AKRX is off 0.6% at $27.31, after J.P. Morgan Securities trimmed its price target to $42 from $45 -- still in annual-high territory. Overall, it's been a rough year for the stock, down roughly 27%, and short sellers are counting on extended losses. During the most recent reporting period, short interest on Akorn, Inc. popped 10.3%, and now accounts for 12.2% of its float. At AKRX's average daily volume, it would take seven sessions to cover these bearish bets. 
  • J.P. Morgan Securities also weighed in bearishly on MYL, slashing its price target by $10 to $52. Out of the gate, though, the shares haven't budged, last seen at $38.20. Of course, Mylan NV has been facing fire for being a so-called "bad corporate actor," pressuring the shares to an annual low of $37.41 yesterday. Meanwhile, today's bearish note is just the latest show of skepticism from Wall Street, where price-target reductions have become a trend.
  • Another drugmaker J.P. Morgan Securities hit earlier was TEVA, slapping the shares with a price-target cut to $65 from $75. This, after the stock notched a two-year low of $45.44 on Monday. In early trading, however, Teva Pharmaceutical Industries Ltd is 0.5% higher at $45.91. If options traders have their druthers, the shares will mount a sustained comeback. Specifically, at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), speculators over the last two weeks have bought to open 5.04 calls for every put -- a ratio registering in the bullishly skewed 84th annual percentile. Then again, if a rebound fails to materialize, a capitulation among this optimistic crowd -- or an about-face from bullish analysts -- could exacerbate losses.
Find out where the Dow lands right after the closing bell. Sign up now for Schaeffer's Market Recap

A Schaeffer's exclusive!

The Expert's Guide

Access your FREE trading earning announcements before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

With This Lithium Stock, It Will Be Better to Be Too Early Than Too Late
Click to continue to advertiser's site.
American Airlines Drops on Jobs Update
American Airlines said it will reduce management and support staff by 30%
June Kicks Off With Slew of Economic Data
June begins with another round of retail earnings
With This Lithium Stock, It Will Be Better to Be Too Early Than Too Late
Click to continue to advertiser's site.