Alkermes Plc (ALKS)vsNovartis AG ADR (NVS)
ALKS
Alkermes Plc
$42.80
-1.34%
HEALTHCARE · Cap: $7.38B
NVS
Novartis AG ADR
$148.38
-0.55%
HEALTHCARE · Cap: $273.77B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 3521% more annual revenue ($56.58B vs $1.56B). NVS leads profitability with a 23.9% profit margin vs 9.8%. ALKS appears more attractively valued with a PEG of 1.96. NVS earns a higher WallStSmart Score of 49/100 (D+).
ALKS
Hold44
out of 100
Grade: D
NVS
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.3%
Fair Value
$73.21
Current Price
$42.80
$30.41 discount
Margin of Safety
-62.1%
Fair Value
$91.39
Current Price
$148.38
$56.99 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 28.2% year-over-year
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
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 67.0%
Negative free cash flow — burning cash
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Revenue declined 0.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : ALKS
The strongest argument for ALKS centers on Revenue Growth. Revenue growth of 28.2% demonstrates continued momentum.
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%.
Bear Case : ALKS
The primary concerns for ALKS are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 49.2x leaves little room for execution misses.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.
Key Dynamics to Monitor
ALKS profiles as a growth stock while NVS is a declining play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
ALKS is growing revenue faster at 28.2% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
NVS scores higher overall (49/100 vs 44/100), backed by strong 23.9% margins. ALKS offers better value entry with a 52.3% margin of safety. Both earn "Hold" 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.
Alkermes Plc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Alkermes plc, a biopharmaceutical company, researches, develops and markets pharmaceutical products to address the unmet medical needs of patients in various therapeutic areas in the United States, Ireland and internationally. The company is headquartered in Dublin, Ireland.
Visit Website →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 →Compare with Other DRUG MANUFACTURERS - SPECIALTY & GENERIC Stocks
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