WallStSmart

Medtronic PLC (MDT)vsNovartis AG ADR (NVS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 56% more annual revenue ($56.69B vs $36.36B). NVS leads profitability with a 22.5% profit margin vs 13.2%. MDT appears more attractively valued with a PEG of 1.69. MDT earns a higher WallStSmart Score of 62/100 (C+).

MDT

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 5.3Quality: 6.5
Piotroski: 5/9Altman Z: 1.99

NVS

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 9.0Value: 3.3Quality: 4.5
Piotroski: 4/9Altman Z: 1.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MDTUndervalued (+6.2%)

Margin of Safety

+6.2%

Fair Value

$91.63

Current Price

$87.16

$4.47 discount

UndervaluedFair: $91.63Overvalued
NVSSignificantly Overvalued (-66.5%)

Margin of Safety

-66.5%

Fair Value

$92.73

Current Price

$156.33

$63.60 premium

UndervaluedFair: $92.73Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MDT4 strengths · Avg: 8.3/10
Market CapQuality
$109.30B9/10

Large-cap with strong market position

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.1%8/10

Strong operational efficiency at 22.1%

Free Cash FlowQuality
$2.08B8/10

Generating 2.1B in free cash flow

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$291.32B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
30.7%10/10

Every $100 of equity generates 31 in profit

Operating MarginProfitability
34.6%10/10

Strong operational efficiency at 34.6%

Profit MarginProfitability
22.5%9/10

Keeps 23 of every $100 in revenue as profit

Free Cash FlowQuality
$5.57B8/10

Generating 5.6B in free cash flow

Areas to Watch

MDT2 concerns · Avg: 4.0/10
PEG RatioValuation
1.694/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.994/10

Grey zone — moderate risk

NVS4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.8%4/10

0.8% revenue growth

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Debt/EquityHealth
1.183/10

Elevated debt levels

PEG RatioValuation
3.562/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : MDT

The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin.

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 : MDT

The primary concerns for MDT are PEG Ratio, Altman Z-Score.

Bear Case : NVS

The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.

Key Dynamics to Monitor

MDT carries more volatility with a beta of 0.57 — expect wider price swings.

MDT is growing revenue faster at 9.9% — sustainability is the question.

NVS generates stronger free cash flow (5.6B), providing more financial flexibility.

Monitor MEDICAL DEVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MDT scores higher overall (62/100 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.

Medtronic PLC

HEALTHCARE · MEDICAL DEVICES · USA

Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.

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.

Visit Website →

Want to dig deeper into these stocks?