WallStSmart

Bausch Health Companies Inc (BHC)vsNovartis AG ADR (NVS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 451% more annual revenue ($56.58B vs $10.27B). NVS leads profitability with a 23.9% profit margin vs 1.5%. BHC appears more attractively valued with a PEG of 0.01. BHC earns a higher WallStSmart Score of 70/100 (B).

BHC

Strong Buy

70

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 7.7Quality: 5.5
Piotroski: 4/9Altman Z: 0.21

NVS

Buy

51

out of 100

Grade: C-

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for BHC.

NVSSignificantly Overvalued (-52.5%)

Margin of Safety

-52.5%

Fair Value

$109.60

Current Price

$147.85

$38.25 premium

UndervaluedFair: $109.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BHC6 strengths · Avg: 9.3/10
PEG RatioValuation
0.0110/10

Growing faster than its price suggests

Return on EquityProfitability
43.6%10/10

Every $100 of equity generates 44 in profit

EPS GrowthGrowth
1368.0%10/10

Earnings expanding 1368.0% YoY

Debt/EquityHealth
-38.2810/10

Conservative balance sheet, low leverage

P/E RatioValuation
13.3x8/10

Attractively priced relative to earnings

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

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

Areas to Watch

BHC2 concerns · Avg: 2.5/10
Profit MarginProfitability
1.5%3/10

1.5% margin — thin

Altman Z-ScoreHealth
0.212/10

Distress zone — elevated risk

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%

Comparative Analysis Report

WallStSmart Research

Bull Case : BHC

The strongest argument for BHC centers on PEG Ratio, Return on Equity, EPS Growth. PEG of 0.01 suggests the stock is reasonably priced for its growth.

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 : BHC

The primary concerns for BHC are Profit Margin, Altman Z-Score. Thin 1.5% margins leave little buffer for downturns.

Bear Case : NVS

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

Key Dynamics to Monitor

BHC profiles as a value stock while NVS is a declining play — different risk/reward profiles.

NVS carries more volatility with a beta of 0.52 — expect wider price swings.

BHC is growing revenue faster at 9.3% — sustainability is the question.

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

Bottom Line

BHC scores higher overall (70/100 vs 51/100). Both earn "Strong 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.

Bausch Health Companies Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Bausch Health Companies Inc. develops, manufactures and markets a range of pharmaceutical, medical device and over-the-counter (OTC) products primarily in the therapeutic areas of eye health, gastroenterology and dermatology. The company is headquartered in Laval, Canada.

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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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