Centene Corp (CNC)vsNovartis AG ADR (NVS)
CNC
Centene Corp
$61.82
-3.27%
HEALTHCARE · Cap: $32.81B
NVS
Novartis AG ADR
$159.85
-0.64%
HEALTHCARE · Cap: $290.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 215% more annual revenue ($178.33B vs $56.69B). NVS leads profitability with a 22.5% profit margin vs -3.6%. CNC appears more attractively valued with a PEG of 1.28. CNC earns a higher WallStSmart Score of 57/100 (C).
CNC
Buy57
out of 100
Grade: C
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+84.8%
Fair Value
$265.88
Current Price
$61.82
$204.06 discount
Margin of Safety
-68.7%
Fair Value
$92.54
Current Price
$159.85
$67.31 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 3.4B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 31.8%
Keeps 23 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Areas to Watch
ROE of -30.1% — below average capital efficiency
Currently unprofitable
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, Free Cash Flow. PEG of 1.28 suggests the stock is reasonably priced for its growth.
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 31.8%.
Bear Case : CNC
The primary concerns for CNC are Return on Equity, Profit Margin.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
CNC profiles as a turnaround stock while NVS is a value play — different risk/reward profiles.
CNC carries more volatility with a beta of 1.08 — expect wider price swings.
CNC is growing revenue faster at 5.1% — sustainability is the question.
CNC generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
CNC scores higher overall (57/100 vs 51/100). Both earn "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.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
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.
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