HealthEquity Inc (HQY)vsNovartis AG ADR (NVS)
HQY
HealthEquity Inc
$96.26
+1.81%
HEALTHCARE · Cap: $7.72B
NVS
Novartis AG ADR
$137.16
-0.23%
HEALTHCARE · Cap: $260.70B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 4062% more annual revenue ($56.69B vs $1.36B). NVS leads profitability with a 22.5% profit margin vs 17.4%. HQY appears more attractively valued with a PEG of 1.40. HQY earns a higher WallStSmart Score of 62/100 (C+).
HQY
Buy62
out of 100
Grade: C+
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+58.5%
Fair Value
$185.20
Current Price
$96.26
$88.94 discount
Margin of Safety
-47.0%
Fair Value
$93.29
Current Price
$137.16
$43.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 28.4%
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
Premium valuation, high expectations priced in
Grey zone — moderate risk
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HQY
The strongest argument for HQY centers on Operating Margin. Profitability is solid with margins at 17.4% and operating margin at 28.4%. PEG of 1.40 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 34.6%.
Bear Case : HQY
The primary concerns for HQY are P/E Ratio, Altman Z-Score.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
HQY profiles as a mature stock while NVS is a value play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
HQY is growing revenue faster at 7.6% — sustainability is the question.
NVS generates stronger free cash flow (5.6B), providing more financial flexibility.
Bottom Line
HQY scores higher overall (62/100 vs 51/100), backed by strong 17.4% margins. 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.
HealthEquity Inc
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
HealthEquity, Inc. provides technology-enabled service platforms to consumers and employers in the United States. The company is headquartered in Draper, Utah.
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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