GlaxoSmithKline PLC ADR (GSK)vsNovartis AG ADR (NVS)
GSK
GlaxoSmithKline PLC ADR
$49.72
+1.47%
HEALTHCARE · Cap: $104.69B
NVS
Novartis AG ADR
$148.38
-2.52%
HEALTHCARE · Cap: $289.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 73% more annual revenue ($56.58B vs $32.78B). NVS leads profitability with a 23.9% profit margin vs 17.8%. NVS appears more attractively valued with a PEG of 4.11. GSK earns a higher WallStSmart Score of 58/100 (C).
GSK
Buy58
out of 100
Grade: C
NVS
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-26.5%
Fair Value
$46.24
Current Price
$49.72
$3.48 premium
Margin of Safety
-65.2%
Fair Value
$91.39
Current Price
$148.38
$56.99 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 36.3%
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Attractively priced relative to earnings
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 30.5%
Keeps 24 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Areas to Watch
1.5% revenue growth
Elevated debt levels
Expensive relative to growth rate
Distress zone — elevated risk
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Revenue declined 0.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : GSK
The strongest argument for GSK centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 17.8% and operating margin at 36.3%.
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 : GSK
The primary concerns for GSK are Revenue Growth, Debt/Equity, PEG Ratio.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.
Key Dynamics to Monitor
GSK profiles as a value stock while NVS is a declining play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
GSK is growing revenue faster at 1.5% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
GSK scores higher overall (58/100 vs 49/100), backed by strong 17.8% margins. Both earn "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.
GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
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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