GlaxoSmithKline PLC ADR (GSK)vsNovartis AG ADR (NVS)
GSK
GlaxoSmithKline PLC ADR
$50.22
-1.65%
HEALTHCARE · Cap: $96.40B
NVS
Novartis AG ADR
$140.92
-0.39%
HEALTHCARE · Cap: $260.70B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 71% more annual revenue ($56.69B vs $33.20B). NVS leads profitability with a 22.5% profit margin vs 14.5%. NVS appears more attractively valued with a PEG of 3.22. GSK earns a higher WallStSmart Score of 54/100 (C-).
GSK
Buy54
out of 100
Grade: C-
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-25.2%
Fair Value
$46.73
Current Price
$50.22
$3.49 premium
Margin of Safety
-47.0%
Fair Value
$93.29
Current Price
$140.92
$47.63 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 30.9%
Large-cap with strong market position
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Generating 2.2B 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
Elevated debt levels
Expensive relative to growth rate
Earnings declined 69.5%
Distress zone — elevated risk
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GSK
The strongest argument for GSK centers on Operating Margin, Market Cap, Return on Equity.
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 : GSK
The primary concerns for GSK are Debt/Equity, PEG Ratio, EPS Growth.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
GSK is growing revenue faster at 5.3% — sustainability is the question.
NVS generates stronger free cash flow (5.6B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GSK scores higher overall (54/100 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.
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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