Novartis AG ADR (NVS)vsUnitedHealth Group Incorporated (UNH)
NVS
Novartis AG ADR
$137.16
-0.23%
HEALTHCARE · Cap: $260.70B
UNH
UnitedHealth Group Incorporated
$379.09
-2.37%
HEALTHCARE · Cap: $340.27B
Smart Verdict
WallStSmart Research — data-driven comparison
UnitedHealth Group Incorporated generates 695% more annual revenue ($450.53B vs $56.69B). NVS leads profitability with a 22.5% profit margin vs 3.1%. UNH appears more attractively valued with a PEG of 1.06. UNH earns a higher WallStSmart Score of 62/100 (C+).
NVS
Buy51
out of 100
Grade: C-
UNH
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-47.0%
Fair Value
$93.29
Current Price
$137.16
$43.87 premium
Margin of Safety
-16.1%
Fair Value
$326.53
Current Price
$379.09
$52.56 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Mega-cap, among the largest globally
Earnings expanding 61.5% YoY
Generating 10.3B in free cash flow
Areas to Watch
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
0.4% revenue growth
3.1% margin — thin
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 22.5% and operating margin at 34.6%.
Bull Case : UNH
The strongest argument for UNH centers on Market Cap, EPS Growth, Free Cash Flow. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Bear Case : UNH
The primary concerns for UNH are Revenue Growth, Profit Margin. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
UNH carries more volatility with a beta of 0.62 — expect wider price swings.
NVS is growing revenue faster at 0.8% — sustainability is the question.
UNH generates stronger free cash flow (10.3B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UNH 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.
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 →UnitedHealth Group Incorporated
HEALTHCARE · HEALTHCARE PLANS · USA
UnitedHealth Group Incorporated is an American for-profit multinational managed healthcare and insurance company based in Minnetonka, Minnesota. It offers health care products and insurance services. In 2020, it was the second-largest healthcare company (behind CVS Health) by revenue with $257.1 billion, and the largest insurance company by net premiums. UnitedHealthcare revenues comprise 80% of the Group's overall revenue.
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