Amgen Inc (AMGN)vsNovartis AG ADR (NVS)
AMGN
Amgen Inc
$377.35
-1.34%
HEALTHCARE · Cap: $204.01B
NVS
Novartis AG ADR
$137.16
-0.23%
HEALTHCARE · Cap: $260.70B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 49% more annual revenue ($56.69B vs $38.09B). AMGN leads profitability with a 23.0% profit margin vs 22.5%. AMGN appears more attractively valued with a PEG of 2.30. AMGN earns a higher WallStSmart Score of 71/100 (B).
AMGN
Strong Buy71
out of 100
Grade: B
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.2%
Fair Value
$285.44
Current Price
$377.35
$91.91 premium
Margin of Safety
-47.0%
Fair Value
$93.29
Current Price
$137.16
$43.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 75 in profit
Strong operational efficiency at 35.5%
Earnings expanding 64.9% YoY
Keeps 23 of every $100 in revenue as profit
Generating 3.5B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 31 in profit
Strong operational efficiency at 34.6%
Keeps 23 of every $100 in revenue as profit
Generating 5.6B in free cash flow
Areas to Watch
Expensive relative to growth rate
Trading at 17.5x book value
Distress zone — elevated risk
Elevated debt levels
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : AMGN
The strongest argument for AMGN centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 23.0% and operating margin at 35.5%.
Bull Case : NVS
The strongest argument for NVS centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 22.5% and operating margin at 34.6%.
Bear Case : AMGN
The primary concerns for AMGN are PEG Ratio, Price/Book, Altman Z-Score. Debt-to-equity of 4.90 is elevated, increasing financial risk.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
AMGN profiles as a mature stock while NVS is a value play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
AMGN is growing revenue faster at 9.5% — sustainability is the question.
NVS generates stronger free cash flow (5.6B), providing more financial flexibility.
Bottom Line
AMGN scores higher overall (71/100 vs 51/100), backed by strong 23.0% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Amgen Inc
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Amgen Inc. (formerly Applied Molecular Genetics Inc.) is an American multinational biopharmaceutical company headquartered in Thousand Oaks, California. Focused on molecular biology and biochemistry, its goal is to provide a healthcare business based on recombinant DNA technology.
Visit Website →Novartis AG ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Novartis AG researches, develops, manufactures and markets medical devices worldwide. The company is headquartered in Basel, Switzerland.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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