Edwards Lifesciences Corp (EW)vsNovartis AG ADR (NVS)
EW
Edwards Lifesciences Corp
$85.88
-1.70%
HEALTHCARE · Cap: $49.01B
NVS
Novartis AG ADR
$148.38
+2.99%
HEALTHCARE · Cap: $289.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 798% more annual revenue ($56.58B vs $6.30B). NVS leads profitability with a 23.9% profit margin vs 17.4%. EW appears more attractively valued with a PEG of 2.05. EW earns a higher WallStSmart Score of 61/100 (C+).
EW
Buy61
out of 100
Grade: C+
NVS
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+68.6%
Fair Value
$252.36
Current Price
$85.88
$166.48 discount
Margin of Safety
-62.6%
Fair Value
$91.58
Current Price
$148.38
$56.80 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 31.2%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
16.7% revenue growth
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
Weak financial health signals
Premium valuation, high expectations priced in
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 : EW
The strongest argument for EW centers on Operating Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 17.4% and operating margin at 31.2%. Revenue growth of 16.7% 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 : EW
The primary concerns for EW are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 46.0x 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
EW profiles as a growth stock while NVS is a declining play — different risk/reward profiles.
EW carries more volatility with a beta of 0.87 — expect wider price swings.
EW is growing revenue faster at 16.7% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
EW scores higher overall (61/100 vs 49/100), backed by strong 17.4% margins and 16.7% revenue growth. 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.
Edwards Lifesciences Corp
HEALTHCARE · MEDICAL DEVICES · USA
Edwards Lifesciences is an American medical technology company headquartered in Irvine, California, specializing in artificial heart valves and hemodynamic monitoring.
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 MEDICAL DEVICES Stocks
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