Generic drug manufacturer Teva cut its full year revenue guidance by 5%, in part because of drug price deflation. Its stock price dropped 23% in response. Falling drug prices have been evident in U.S. import data for some time. Panjiva data shows average prices per kg fell 25% in the three months to May 31, led by a 40% drop in cardiovascular treatments. Teva’s performance was otherwise solid, with its exports of generics to the U.S. having risen 8% in volume terms in the second quarter, helping revenue growth of 20%.