WallStSmart

Robinhood Markets Inc (HOOD)vsNovartis AG ADR (NVS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 1167% more annual revenue ($56.67B vs $4.47B). HOOD leads profitability with a 42.1% profit margin vs 24.7%. NVS trades at a lower P/E of 20.7x. HOOD earns a higher WallStSmart Score of 56/100 (C).

HOOD

Buy

56

out of 100

Grade: C

Growth: 6.7Profit: 8.5Value: 5.7Quality: 5.0
Piotroski: 2/9Altman Z: 0.41

NVS

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 9.0Value: 4.7Quality: 6.5
Piotroski: 4/9Altman Z: 1.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HOODSignificantly Overvalued (-439.5%)

Margin of Safety

-439.5%

Fair Value

$13.94

Current Price

$72.54

$58.60 premium

UndervaluedFair: $13.94Overvalued
NVSSignificantly Overvalued (-243.7%)

Margin of Safety

-243.7%

Fair Value

$48.62

Current Price

$150.75

$102.13 premium

UndervaluedFair: $48.62Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HOOD5 strengths · Avg: 9.2/10
Profit MarginProfitability
42.1%10/10

Keeps 42 of every $100 in revenue as profit

Operating MarginProfitability
46.5%10/10

Strong operational efficiency at 46.5%

Market CapQuality
$62.19B9/10

Large-cap with strong market position

Return on EquityProfitability
22.0%9/10

Every $100 of equity generates 22 in profit

Revenue GrowthGrowth
26.5%8/10

Revenue surging 26.5% year-over-year

NVS5 strengths · Avg: 9.0/10
Market CapQuality
$286.27B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
30.8%10/10

Every $100 of equity generates 31 in profit

Profit MarginProfitability
24.7%9/10

Keeps 25 of every $100 in revenue as profit

Operating MarginProfitability
27.8%8/10

Strong operational efficiency at 27.8%

Free Cash FlowQuality
$1.64B8/10

Generating 1.6B in free cash flow

Areas to Watch

HOOD4 concerns · Avg: 3.0/10
P/E RatioValuation
33.7x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.683/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-34.5%2/10

Earnings declined 34.5%

NVS4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

PEG RatioValuation
2.542/10

Expensive relative to growth rate

EPS GrowthGrowth
-11.6%2/10

Earnings declined 11.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : HOOD

The strongest argument for HOOD centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 42.1% and operating margin at 46.5%. Revenue growth of 26.5% demonstrates continued momentum.

Bull Case : NVS

The strongest argument for NVS centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 24.7% and operating margin at 27.8%.

Bear Case : HOOD

The primary concerns for HOOD are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.68 is elevated, increasing financial risk.

Bear Case : NVS

The primary concerns for NVS are Revenue Growth, Altman Z-Score, PEG Ratio.

Key Dynamics to Monitor

HOOD profiles as a growth stock while NVS is a value play — different risk/reward profiles.

HOOD carries more volatility with a beta of 2.48 — expect wider price swings.

HOOD is growing revenue faster at 26.5% — sustainability is the question.

NVS generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

HOOD scores higher overall (56/100 vs 51/100), backed by strong 42.1% margins and 26.5% revenue growth. 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.

Robinhood Markets Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Robinhood Markets Inc (HOOD) is a leading fintech innovator that has revolutionized retail investing by offering a commission-free trading platform since 2013. With its intuitive mobile application, the company enables a diverse range of market participants to access stocks, ETFs, options, and cryptocurrencies, fostering financial literacy and inclusivity. Robinhood's commitment to transparency and product innovation, including features like fractional shares and cash management services, solidifies its role as a significant player in the digital brokerage industry, appealing to a new generation of investors looking for accessible and efficient ways to navigate financial markets.

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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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