AMRX vs TEVA: Which Is the Better Buy in 2026?
Last updated August 2026
Short answer
TEVA is the larger of the two ($40.80B market cap): the incumbent the market prices for continued execution (11.39x forward earnings, beta 0.86). AMRX is the smaller challenger ($5.85B), actually pricier on forward earnings (15.79x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
AMRX vs TEVA: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | AMRX | TEVA | What it tells you |
|---|---|---|---|
| Market cap | $5.85B | $40.80B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 15.79 | 11.39 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 38.17 | 58.35 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 1.26 | 0.86 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 92% of range | 89% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 177.86 | 5.26 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: TEVA is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how AMRX and TEVA affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. AMRX and TEVA share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined AMRX and TEVA exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Amneal Pharmaceuticals (AMRX) do?
Amneal Pharmaceuticals is a Bridgewater, New Jersey based biopharmaceutical company with a portfolio of roughly 300 complex generic, specialty, and biosimilar medicines that fill more than 160 million prescriptions a year, mostly in the United States. The business runs in three segments: Affordable Medicines (retail generics, injectables, and biosimilars, the largest at roughly 58% of revenue), Specialty (branded neurology and endocrinology treatments including Parkinson's disease and migraine, around 17% of revenue), and AvKARE (distribution to US federal, retail, and institutional customers, roughly 25% of revenue).
What does Teva Pharmaceutical Industries (TEVA) do?
Teva Pharmaceutical Industries is a global pharmaceutical company and one of the largest generic-drug manufacturers in the world, headquartered in Israel and listed in the US as an ADR. Its business has two broad pillars: a large, mature generics and biosimilars operation that supplies affordable versions of off-patent medicines across many markets, and a growing innovative (branded specialty) portfolio concentrated in neuroscience and respiratory conditions. Key branded products include AUSTEDO for movement disorders such as tardive dyskinesia and Huntington's chorea, UZEDY, a long-acting injectable for schizophrenia, and AJOVY for migraine prevention. Teva also runs an active pharmaceutical ingredients business and a biosimilars program targeting hundreds of millions in revenue by 2027.
AMRX vs TEVA: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- AMRX drivers: Specialty and biosimilar mix shift; Kashiv BioSciences acquisition.
- TEVA drivers: Innovative neuroscience growth engine; Pivot to Growth and deleveraging.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Amneal carries meaningful leverage, with net debt of roughly $2.5 billion and a net-debt-to-EBITDA ratio near 3.8x, which amplifies both upside and downside and limits financial flexibility. For TEVA, teva carries meaningful risks despite the improving story.
AMRX or TEVA: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick AMRX if you believe its drivers more; TEVA if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the AMRX and TEVA guides.
AMRX vs TEVA: the full fundamentals
AMRX. Amneal reaffirmed 2026 guidance of roughly $3.05 to $3.15 billion in net revenue and about $740 to $770 million in adjusted EBITDA. The stock has traded on a relatively rich earnings multiple versus generics peers, reflecting expectations for its specialty and biosimilar growth. Enterprise value of roughly $7.7 billion sits well above market cap because of the substantial debt load.
TEVA. These figures are approximate, qualitative, and tied to the asOf date; verify live numbers before acting. Teva trades largely on the credibility of its turnaround, so the market weighs innovative-product momentum and debt reduction more than any single quarter's headline number. Because reported (GAAP) results can be distorted by litigation charges, impairments, and amortization, investors often focus on adjusted metrics; compare both, and confirm current leverage and guidance directly from company filings.
Headline figures (approximate, July 2026): AMRX shows revenue (ttm) ~$3.0B, q1 2026 net revenue ~$723M (up ~4% YoY), q1 2026 adjusted ebitda ~$202M (up ~19% YoY), 2026 revenue guidance ~$3.05B to $3.15B; TEVA shows quarterly revenue (q1 2026) Roughly $4 billion, ahead of expectations, adjusted (non-gaap) eps (q1 2026) Modest and up low-single-digits year over year, beating consensus, innovative portfolio growth Strong, up roughly 40% year over year, led by AUSTEDO, profitability targets Management targets around a 30% operating margin under Pivot to Growth.
The bottom line: AMRX vs TEVA
AMRX and TEVA are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined AMRX and TEVA exposure against your real portfolio. It is not an investment adviser.
Wondering how AMRX or TEVA fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Amneal Pharmaceuticals with AI
Connect the broker you already use and ask Walnut's AI how AMRX fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between AMRX and TEVA?
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Amneal Pharmaceuticals is a Bridgewater, New Jersey based biopharmaceutical company with a portfolio of roughly 300 complex generic, specialty, and biosimilar medicines that fill more than 160 million prescriptions a year, mostly in the United States. Teva Pharmaceutical Industries is a global pharmaceutical company and one of the largest generic-drug manufacturers in the world, headquartered in Israel and listed in the US as an ADR. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is AMRX or TEVA the better stock?
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Neither is universally better. TEVA is the larger incumbent; AMRX is the smaller challenger and looks pricier on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, AMRX or TEVA?
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On forward P/E (as of August 2026), AMRX trades at 15.79x and TEVA at 11.39x, so TEVA is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both AMRX and TEVA?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of AMRX vs TEVA?
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AMRX: Amneal carries meaningful leverage, with net debt of roughly $2.5 billion and a net-debt-to-EBITDA ratio near 3.8x, which amplifies both upside and downside and limits financial flexibility. Core generics face persistent pricing pressure, patent litigation from branded rivals, and thin margins that have compressed across the industry. Biosimilars are capital-intensive and face steep list-price erosion once competitors launch, plus shifting FDA guidance and IRA-related dynamics that complicate returns. The Kashiv acquisition adds integration and execution risk, and much of the equity value assumes the specialty and biosimilar transition keeps compounding. Any slowdown in approvals, launches, or margin gains would pressure both the growth thesis and the deleveraging path. TEVA: Teva carries meaningful risks despite the improving story. Its debt load, though reduced, remains large, so higher interest costs or a stumble in cash generation could slow deleveraging. The generics business faces ongoing price erosion and intense competition, and much depends on a concentrated set of branded products: any safety issue, competitive launch, or slower uptake for AUSTEDO, UZEDY, or AJOVY would hurt the growth thesis. As an Israel-based ADR, the stock carries currency and geopolitical exposure. Teva also has a history of large litigation and regulatory matters, including opioid-related settlements paid out over many years, which absorb cash. Pipeline bets like ecopipam still require regulatory approval and successful commercialization, and acquisitions add integration risk. Drug-pricing policy and reform in the US and other markets could pressure both the generic and branded businesses.
Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell AMRX or TEVA; figures are approximate and dated (as of August 2026). Verify current data before investing.