Humana Inc (HUM)vsNovartis AG ADR (NVS)
HUM
Humana Inc
$365.41
-5.99%
HEALTHCARE · Cap: $47.74B
NVS
Novartis AG ADR
$159.85
-0.64%
HEALTHCARE · Cap: $290.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Humana Inc generates 142% more annual revenue ($137.20B vs $56.69B). NVS leads profitability with a 22.5% profit margin vs 0.0%. HUM appears more attractively valued with a PEG of 2.24. HUM earns a higher WallStSmart Score of 52/100 (C-).
HUM
Buy52
out of 100
Grade: C-
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+0.6%
Fair Value
$402.40
Current Price
$365.41
$36.99 discount
Margin of Safety
-68.7%
Fair Value
$92.54
Current Price
$159.85
$67.31 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Generating 1.1B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 31.8%
Keeps 23 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Areas to Watch
Expensive relative to growth rate
0.2% revenue growth
ROE of 6.1% — below average capital efficiency
0.0% margin — thin
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HUM
The strongest argument for HUM centers on Altman Z-Score, Price/Book, Free Cash Flow.
Bull 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 31.8%.
Bear Case : HUM
The primary concerns for HUM are PEG Ratio, Revenue Growth, Return on Equity. A P/E of 41.5x leaves little room for execution misses. Thin 0.0% margins leave little buffer for downturns.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
HUM carries more volatility with a beta of 0.72 — expect wider price swings.
NVS is growing revenue faster at 0.8% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Monitor HEALTHCARE PLANS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HUM scores higher overall (52/100 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.
Humana Inc
HEALTHCARE · HEALTHCARE PLANS · USA
Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.
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 HEALTHCARE PLANS Stocks
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