(NVS) Novartis - Overview
Stock: Oncology, Immunology, Cardiovascular, Neuroscience, Hematology
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 3.68% |
| Yield on Cost 5y | 5.68% |
| Yield CAGR 5y | 4.28% |
| Payout Consistency | 96.5% |
| Payout Ratio | 44.5% |
| Risk 5d forecast | |
|---|---|
| Volatility | 20.5% |
| Relative Tail Risk | -1.86% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.85 |
| Alpha | 40.69 |
| Character TTM | |
|---|---|
| Beta | 0.242 |
| Beta Downside | 0.218 |
| Drawdowns 3y | |
|---|---|
| Max DD | 19.95% |
| CAGR/Max DD | 1.47 |
Description: NVS Novartis January 26, 2026
Novartis AG (NYSE:NVS) is a Swiss-based, globally integrated pharmaceutical company that discovers, develops, manufactures, and markets a broad portfolio of prescription medicines across therapeutic areas such as cardiovascular-renal-metabolic, immunology, neuroscience, oncology, and hematology. Its flagship products include Entresto (HFrEF), Cosentyx (psoriasis/arthritis), Kisqali (CDK4/6 inhibitor), Jakavi (myelofibrosis), and Leqvio (inclisiran, LDL-cholesterol lowering) among many others.
Key recent performance metrics (FY 2023): revenue $51.6 billion (up 5% YoY), net income $8.1 billion, and R&D expenditure $9.3 billion (≈18% of sales). Leqvio, launched in 2021, generated $1.2 billion in sales in 2023, reflecting strong uptake in the growing LDL-lowering market, which is projected to expand at a 5-6% CAGR through 2028. The company’s dividend yield sits near 3.5% and it has repurchased $3 billion of shares in the past year, indicating a focus on returning capital to shareholders.
Strategic drivers include an aging global population that fuels demand for chronic-disease therapies, continued pressure on drug pricing in the U.S. and Europe, and a competitive landscape where biologics and gene-therapy platforms (e.g., Zolgensma) are reshaping treatment paradigms. Novartis’s partnership with Alnylam on Leqvio exemplifies its strategy to leverage RNA-interference technology to expand its cardiovascular franchise.
For a deeper quantitative assessment, you might explore ValueRay’s detailed valuation models.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income: 13.98b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 0.03 > 1.0 |
| NWC/Revenue: 5.61% < 20% (prev 1.96%; Δ 3.66% < -1%) |
| CFO/TA 0.17 > 3% & CFO 19.13b > Net Income 13.98b |
| Net Debt (25.68b) to EBITDA (22.99b): 1.12 < 3 |
| Current Ratio: 1.12 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.93b) vs 12m ago -3.74% < -2% |
| Gross Margin: 75.83% > 18% (prev 0.75%; Δ 7508 % > 0.5%) |
| Asset Turnover: 52.04% > 50% (prev 50.59%; Δ 1.45% > 0%) |
| Interest Coverage Ratio: 15.35 > 6 (EBITDA TTM 22.99b / Interest Expense TTM 1.15b) |
Altman Z'' 3.23
| A: 0.03 (Total Current Assets 30.46b - Total Current Liabilities 27.28b) / Total Assets 115.57b |
| B: 0.39 (Retained Earnings 44.72b / Total Assets 115.57b) |
| C: 0.16 (EBIT TTM 17.63b / Avg Total Assets 108.91b) |
| D: 0.67 (Book Value of Equity 46.18b / Total Liabilities 69.02b) |
| Altman-Z'' Score: 3.23 = A |
Beneish M -2.97
| DSRI: 1.02 (Receivables 9.14b/8.21b, Revenue 56.67b/51.72b) |
| GMI: 0.99 (GM 75.83% / 75.20%) |
| AQI: 1.04 (AQ_t 0.63 / AQ_t-1 0.60) |
| SGI: 1.10 (Revenue 56.67b / 51.72b) |
| TATA: -0.04 (NI 13.98b - CFO 19.13b) / TA 115.57b) |
| Beneish M-Score: -2.97 (Cap -4..+1) = A |
What is the price of NVS shares?
Over the past week, the price has changed by +5.21%, over one month by +9.95%, over three months by +23.58% and over the past year by +51.48%.
Is NVS a buy, sell or hold?
- StrongBuy: 0
- Buy: 2
- Hold: 9
- Sell: 0
- StrongSell: 2
What are the forecasts/targets for the NVS price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 142 | -9.2% |
| Analysts Target Price | 142 | -9.2% |
| ValueRay Target Price | 209.9 | 34.2% |
NVS Fundamental Data Overview February 07, 2026
P/E Forward = 16.6667
P/S = 5.251
P/B = 6.3251
P/EG = 1.243
Revenue TTM = 56.67b USD
EBIT TTM = 17.63b USD
EBITDA TTM = 22.99b USD
Long Term Debt = 27.93b USD (from longTermDebt, last quarter)
Short Term Debt = 6.13b USD (from shortTermDebt, last quarter)
Debt = 37.11b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 25.68b USD (from netDebt column, last quarter)
Enterprise Value = 323.28b USD (297.60b + Debt 37.11b - CCE 11.44b)
Interest Coverage Ratio = 15.35 (Ebit TTM 17.63b / Interest Expense TTM 1.15b)
EV/FCF = 20.67x (Enterprise Value 323.28b / FCF TTM 15.64b)
FCF Yield = 4.84% (FCF TTM 15.64b / Enterprise Value 323.28b)
FCF Margin = 27.60% (FCF TTM 15.64b / Revenue TTM 56.67b)
Net Margin = 24.67% (Net Income TTM 13.98b / Revenue TTM 56.67b)
Gross Margin = 75.83% ((Revenue TTM 56.67b - Cost of Revenue TTM 13.70b) / Revenue TTM)
Gross Margin QoQ = 73.95% (prev 75.35%)
Tobins Q-Ratio = 2.80 (Enterprise Value 323.28b / Total Assets 115.57b)
Interest Expense / Debt = 0.82% (Interest Expense 304.0m / Debt 37.11b)
Taxrate = 25.29% (813.9m / 3.22b)
NOPAT = 13.17b (EBIT 17.63b * (1 - 25.29%))
Current Ratio = 1.12 (Total Current Assets 30.46b / Total Current Liabilities 27.28b)
Debt / Equity = 0.80 (Debt 37.11b / totalStockholderEquity, last quarter 46.13b)
Debt / EBITDA = 1.12 (Net Debt 25.68b / EBITDA 22.99b)
Debt / FCF = 1.64 (Net Debt 25.68b / FCF TTM 15.64b)
Total Stockholder Equity = 42.70b (last 4 quarters mean from totalStockholderEquity)
RoA = 12.84% (Net Income 13.98b / Total Assets 115.57b)
RoE = 32.75% (Net Income TTM 13.98b / Total Stockholder Equity 42.70b)
RoCE = 24.96% (EBIT 17.63b / Capital Employed (Equity 42.70b + L.T.Debt 27.93b))
RoIC = 18.38% (NOPAT 13.17b / Invested Capital 71.68b)
WACC = 6.12% (E(297.60b)/V(334.71b) * Re(6.81%) + D(37.11b)/V(334.71b) * Rd(0.82%) * (1-Tc(0.25)))
Discount Rate = 6.81% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: -100.0 | Cagr: -3.35%
[DCF Debug] Terminal Value 86.56% ; FCFF base≈14.91b ; Y1≈16.74b ; Y5≈22.37b
Fair Price DCF = 307.9 (EV 613.17b - Net Debt 25.68b = Equity 587.49b / Shares 1.91b; r=6.12% [WACC]; 5y FCF grow 14.32% → 2.90% )
EPS Correlation: 89.23 | EPS CAGR: 9.19% | SUE: 0.27 | # QB: 0
Revenue Correlation: 65.75 | Revenue CAGR: 2.11% | SUE: -1.59 | # QB: 0
EPS next Quarter (2026-03-31): EPS=1.99 | Chg30d=N/A | Revisions Net=+0 | Analysts=1
EPS current Year (2026-12-31): EPS=8.99 | Chg30d=-0.224 | Revisions Net=+0 | Growth EPS=+0.1% | Growth Revenue=+0.6%
EPS next Year (2027-12-31): EPS=10.07 | Chg30d=-0.058 | Revisions Net=-1 | Growth EPS=+12.0% | Growth Revenue=+4.4%