WallStSmart

Novartis AG ADR (NVS)vsOrthofix Medical Inc (OFIX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 6780% more annual revenue ($56.58B vs $822.31M). NVS leads profitability with a 23.9% profit margin vs -11.2%. NVS appears more attractively valued with a PEG of 2.48. NVS earns a higher WallStSmart Score of 51/100 (C-).

NVS

Buy

51

out of 100

Grade: C-

Growth: 3.3Profit: 9.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.96

OFIX

Hold

40

out of 100

Grade: F

Growth: 6.0Profit: 2.0Value: 5.7Quality: 6.5
Piotroski: 4/9Altman Z: 1.35
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-52.5%)

Margin of Safety

-52.5%

Fair Value

$109.60

Current Price

$147.85

$38.25 premium

UndervaluedFair: $109.60Overvalued
OFIXUndervalued (+84.6%)

Margin of Safety

+84.6%

Fair Value

$87.88

Current Price

$11.49

$76.39 discount

UndervaluedFair: $87.88Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$282.11B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.9%10/10

Every $100 of equity generates 35 in profit

Operating MarginProfitability
30.5%10/10

Strong operational efficiency at 30.5%

Profit MarginProfitability
23.9%9/10

Keeps 24 of every $100 in revenue as profit

Free Cash FlowQuality
$2.87B8/10

Generating 2.9B in free cash flow

OFIX1 strengths · Avg: 10.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Areas to Watch

NVS4 concerns · Avg: 3.0/10
PEG RatioValuation
2.484/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Revenue GrowthGrowth
-0.7%2/10

Revenue declined 0.7%

EPS GrowthGrowth
-9.3%2/10

Earnings declined 9.3%

OFIX4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.0%4/10

2.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$461.26M3/10

Smaller company, higher risk/reward

PEG RatioValuation
7.942/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : OFIX

The strongest argument for OFIX centers on Price/Book.

Bear Case : NVS

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

Bear Case : OFIX

The primary concerns for OFIX are Revenue Growth, EPS Growth, Market Cap.

Key Dynamics to Monitor

NVS profiles as a declining stock while OFIX is a turnaround play — different risk/reward profiles.

OFIX carries more volatility with a beta of 0.82 — expect wider price swings.

OFIX is growing revenue faster at 2.0% — sustainability is the question.

NVS generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

NVS scores higher overall (51/100 vs 40/100), backed by strong 23.9% margins. OFIX offers better value entry with a 84.6% margin of safety. 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.

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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Orthofix Medical Inc

HEALTHCARE · MEDICAL DEVICES · USA

Orthofix Medical Inc. is a medical device and biological products company in the United States, Italy, Germany, the United Kingdom, Brazil, and internationally. The company is headquartered in Lewisville, Texas.

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