WallStSmart

Novartis AG ADR (NVS)vsOutset Medical Inc (OM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 48016% more annual revenue ($56.58B vs $117.59M). NVS leads profitability with a 23.9% profit margin vs -63.6%. NVS earns a higher WallStSmart Score of 49/100 (D+).

NVS

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 9.0Value: 3.3Quality: 4.5
Piotroski: 4/9Altman Z: 1.96

OM

Hold

37

out of 100

Grade: F

Growth: 3.3Profit: 2.0Value: 5.0Quality: 7.5
Piotroski: 6/9Altman Z: -5.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-62.1%)

Margin of Safety

-62.1%

Fair Value

$91.39

Current Price

$148.38

$56.99 premium

UndervaluedFair: $91.39Overvalued

Intrinsic value data unavailable for OM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$273.77B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
35.1%10/10

Every $100 of equity generates 35 in profit

Operating MarginProfitability
30.5%10/10

Strong operational efficiency at 30.5%

Profit MarginProfitability
23.9%9/10

Keeps 24 of every $100 in revenue as profit

Free Cash FlowQuality
$2.87B8/10

Generating 2.9B in free cash flow

OM2 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Areas to Watch

NVS4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Debt/EquityHealth
1.223/10

Elevated debt levels

PEG RatioValuation
3.932/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.7%2/10

Revenue declined 0.7%

OM4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$84.90M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-67.0%2/10

ROE of -67.0% — below average capital efficiency

Revenue GrowthGrowth
-6.3%2/10

Revenue declined 6.3%

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : OM

The strongest argument for OM centers on Price/Book, Debt/Equity.

Bear Case : NVS

The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.

Bear Case : OM

The primary concerns for OM are EPS Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

NVS profiles as a declining stock while OM is a turnaround play — different risk/reward profiles.

OM carries more volatility with a beta of 1.94 — expect wider price swings.

NVS is growing revenue faster at -0.7% — sustainability is the question.

NVS generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

NVS scores higher overall (49/100 vs 37/100), backed by strong 23.9% margins. Both earn "Hold" 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.

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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Outset Medical Inc

HEALTHCARE · MEDICAL DEVICES · USA

Outset Medical, Inc., a medical technology company, develops a hemodialysis system for dialysis. The company is headquartered in San Jose, California.

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