Laboratory Corporation of America Holdings (LH)vsNovartis AG ADR (NVS)
LH
Laboratory Corporation of America Holdings
$257.14
-0.94%
HEALTHCARE · Cap: $21.19B
NVS
Novartis AG ADR
$147.85
+3.44%
HEALTHCARE · Cap: $280.79B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 306% more annual revenue ($56.67B vs $13.95B). NVS leads profitability with a 24.7% profit margin vs 6.3%. LH appears more attractively valued with a PEG of 1.06. LH earns a higher WallStSmart Score of 63/100 (C+).
LH
Buy63
out of 100
Grade: C+
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+7.8%
Fair Value
$314.31
Current Price
$257.14
$57.17 discount
Margin of Safety
-52.2%
Fair Value
$109.78
Current Price
$147.85
$38.07 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 31 in profit
Keeps 25 of every $100 in revenue as profit
Strong operational efficiency at 27.8%
Generating 2.9B in free cash flow
Areas to Watch
6.3% margin — thin
2.2% revenue growth
Grey zone — moderate risk
Expensive relative to growth rate
Earnings declined 11.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : LH
The strongest argument for LH centers on Price/Book. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bull Case : NVS
The strongest argument for NVS centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 24.7% and operating margin at 27.8%.
Bear Case : LH
The primary concerns for LH are Profit Margin.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, PEG Ratio.
Key Dynamics to Monitor
LH carries more volatility with a beta of 0.98 — expect wider price swings.
LH is growing revenue faster at 5.6% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Monitor DIAGNOSTICS & RESEARCH industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LH scores higher overall (63/100 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.
Laboratory Corporation of America Holdings
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Laboratory Corporation of America Holdings, more commonly known as Labcorp, is an American company headquartered in Burlington, North Carolina. It operates one of the largest clinical laboratory networks in the world, with a United States network of 36 primary laboratories.
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 DIAGNOSTICS & RESEARCH Stocks
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