Laboratory Corporation of America Holdings (LH)vsNovartis AG ADR (NVS)
LH
Laboratory Corporation of America Holdings
$307.15
-2.25%
HEALTHCARE · Cap: $23.24B
NVS
Novartis AG ADR
$159.85
-0.64%
HEALTHCARE · Cap: $290.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 301% more annual revenue ($56.69B vs $14.14B). NVS leads profitability with a 22.5% profit margin vs 6.7%. LH appears more attractively valued with a PEG of 1.20. LH earns a higher WallStSmart Score of 67/100 (B-).
LH
Strong Buy67
out of 100
Grade: B-
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.6%
Fair Value
$209.18
Current Price
$307.15
$97.97 premium
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
Reasonable price relative to book value
Earnings expanding 32.9% YoY
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
Moderate valuation
6.7% margin — thin
0.8% revenue growth
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : LH
The strongest argument for LH centers on Price/Book, EPS Growth. PEG of 1.20 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 22.5% and operating margin at 31.8%.
Bear Case : LH
The primary concerns for LH are P/E Ratio, Profit Margin.
Bear Case : NVS
The primary concerns for NVS are Revenue Growth, Altman Z-Score, Debt/Equity.
Key Dynamics to Monitor
LH carries more volatility with a beta of 0.86 — expect wider price swings.
LH is growing revenue faster at 5.8% — 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 (67/100 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.
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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