Novartis AG ADR (NVS)vsKoninklijke Philips NV ADR (PHG)
NVS
Novartis AG ADR
$147.85
+3.44%
HEALTHCARE · Cap: $282.11B
PHG
Koninklijke Philips NV ADR
$26.34
+2.97%
HEALTHCARE · Cap: $24.33B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 217% more annual revenue ($56.58B vs $17.83B). NVS leads profitability with a 23.9% profit margin vs 5.0%. PHG appears more attractively valued with a PEG of 0.36. NVS earns a higher WallStSmart Score of 51/100 (C-).
NVS
Buy51
out of 100
Grade: C-
PHG
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-52.5%
Fair Value
$109.60
Current Price
$147.85
$38.25 premium
Margin of Safety
+3.8%
Fair Value
$33.33
Current Price
$26.34
$6.99 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 30.5%
Keeps 24 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Growing faster than its price suggests
Reasonable price relative to book value
Generating 1.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Grey zone — moderate risk
Revenue declined 0.7%
Earnings declined 9.3%
1.1% revenue growth
ROE of 7.8% — below average capital efficiency
5.0% margin — thin
Earnings declined 0.5%
Comparative Analysis Report
WallStSmart ResearchBull 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 : PHG
The strongest argument for PHG centers on PEG Ratio, Price/Book, Free Cash Flow. PEG of 0.36 suggests the stock is reasonably priced for its growth.
Bear Case : NVS
The primary concerns for NVS are PEG Ratio, Altman Z-Score, Revenue Growth.
Bear Case : PHG
The primary concerns for PHG are Revenue Growth, Return on Equity, Profit Margin.
Key Dynamics to Monitor
NVS profiles as a declining stock while PHG is a value play — different risk/reward profiles.
PHG carries more volatility with a beta of 0.96 — expect wider price swings.
PHG is growing revenue faster at 1.1% — 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 49/100), backed by strong 23.9% margins. 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.
Visit Website →Koninklijke Philips NV ADR
HEALTHCARE · MEDICAL DEVICES · USA
Koninklijke Philips NV is a healthcare technology company in North America, Greater China and internationally. The company is headquartered in Amsterdam, the Netherlands.
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