GlaxoSmithKline PLC ADR (GSK)vsNovartis AG ADR (NVS)
GSK
GlaxoSmithKline PLC ADR
$49.13
-0.77%
HEALTHCARE · Cap: $99.19B
NVS
Novartis AG ADR
$160.79
+0.45%
HEALTHCARE · Cap: $303.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 71% more annual revenue ($57.36B vs $33.54B). NVS leads profitability with a 17.5% profit margin vs 13.0%. NVS appears more attractively valued with a PEG of 3.84. GSK earns a higher WallStSmart Score of 52/100 (C-).
GSK
Buy52
out of 100
Grade: C-
NVS
Hold48
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-24.2%
Fair Value
$47.08
Current Price
$49.13
$2.05 premium
Margin of Safety
-68.3%
Fair Value
$95.56
Current Price
$160.79
$65.23 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 32.1%
Large-cap with strong market position
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Generating 2.2B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 31 in profit
Strong operational efficiency at 34.3%
Generating 5.6B in free cash flow
Areas to Watch
4.0% revenue growth
Elevated debt levels
Expensive relative to growth rate
Earnings declined 22.8%
Premium valuation, high expectations priced in
Trading at 8.2x book value
4.7% revenue growth
Grey zone — moderate risk
Comparative Analysis Report
WallStSmart ResearchBull Case : GSK
The strongest argument for GSK centers on Operating Margin, Market Cap, Return on Equity.
Bull Case : NVS
The strongest argument for NVS centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.5% and operating margin at 34.3%.
Bear Case : GSK
The primary concerns for GSK are Revenue Growth, Debt/Equity, PEG Ratio.
Bear Case : NVS
The primary concerns for NVS are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
NVS carries more volatility with a beta of 0.47 — expect wider price swings.
NVS is growing revenue faster at 4.7% — sustainability is the question.
NVS generates stronger free cash flow (5.6B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GSK scores higher overall (52/100 vs 48/100). 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.
GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
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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