WallStSmart

DaVita HealthCare Partners Inc (DVA)vsNovartis AG ADR (NVS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 309% more annual revenue ($56.58B vs $13.84B). NVS leads profitability with a 23.9% profit margin vs 5.7%. DVA appears more attractively valued with a PEG of 0.65. DVA earns a higher WallStSmart Score of 70/100 (B-).

DVA

Strong Buy

70

out of 100

Grade: B-

Growth: 7.3Profit: 6.5Value: 5.3Quality: 5.5
Piotroski: 3/9Altman Z: 1.22

NVS

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 9.0Value: 3.3Quality: 4.5
Piotroski: 4/9Altman Z: 1.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DVASignificantly Overvalued (-16.7%)

Margin of Safety

-16.7%

Fair Value

$123.62

Current Price

$209.68

$86.06 premium

UndervaluedFair: $123.62Overvalued
NVSSignificantly Overvalued (-62.6%)

Margin of Safety

-62.6%

Fair Value

$91.58

Current Price

$148.38

$56.80 premium

UndervaluedFair: $91.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DVA4 strengths · Avg: 9.0/10
Return on EquityProfitability
81.0%10/10

Every $100 of equity generates 81 in profit

Debt/EquityHealth
-17.5010/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.658/10

Growing faster than its price suggests

EPS GrowthGrowth
43.5%8/10

Earnings expanding 43.5% YoY

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$289.19B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
35.1%10/10

Every $100 of equity generates 35 in profit

Operating MarginProfitability
30.5%10/10

Strong operational efficiency at 30.5%

Profit MarginProfitability
23.9%9/10

Keeps 24 of every $100 in revenue as profit

Free Cash FlowQuality
$2.87B8/10

Generating 2.9B in free cash flow

Areas to Watch

DVA3 concerns · Avg: 2.7/10
Profit MarginProfitability
5.7%3/10

5.7% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.222/10

Distress zone — elevated risk

NVS4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Debt/EquityHealth
1.223/10

Elevated debt levels

PEG RatioValuation
4.112/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.7%2/10

Revenue declined 0.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : DVA

The strongest argument for DVA centers on Return on Equity, Debt/Equity, PEG Ratio. PEG of 0.65 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 23.9% and operating margin at 30.5%.

Bear Case : DVA

The primary concerns for DVA are Profit Margin, Piotroski F-Score, Altman Z-Score.

Bear Case : NVS

The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

DVA profiles as a value stock while NVS is a declining play — different risk/reward profiles.

DVA carries more volatility with a beta of 0.91 — expect wider price swings.

DVA is growing revenue faster at 6.0% — sustainability is the question.

NVS generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

DVA scores higher overall (70/100 vs 49/100). Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

DaVita HealthCare Partners Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

DaVita Inc. provides kidney dialysis services through a network of outpatient dialysis centers in the United States.

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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