Novartis AG ADR (NVS)vsPenumbra Inc (PEN)
NVS
Novartis AG ADR
$148.38
-0.14%
HEALTHCARE · Cap: $289.19B
PEN
Penumbra Inc
$320.53
-0.03%
HEALTHCARE · Cap: $12.54B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 3790% more annual revenue ($56.58B vs $1.45B). NVS leads profitability with a 23.9% profit margin vs 11.8%. PEN appears more attractively valued with a PEG of 0.74. PEN earns a higher WallStSmart Score of 50/100 (C-).
NVS
Hold49
out of 100
Grade: D+
PEN
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-62.6%
Fair Value
$91.58
Current Price
$148.38
$56.80 premium
Margin of Safety
-11.2%
Fair Value
$304.08
Current Price
$320.53
$16.45 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 30.5%
Keeps 24 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
15.6% revenue growth
Areas to Watch
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Revenue declined 0.7%
Trading at 8.6x book value
Premium valuation, high expectations priced in
Earnings declined 18.0%
Comparative Analysis Report
WallStSmart ResearchBull 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 : PEN
The strongest argument for PEN centers on Altman Z-Score, Debt/Equity, PEG Ratio. Revenue growth of 15.6% demonstrates continued momentum. PEG of 0.74 suggests the stock is reasonably priced for its growth.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.
Bear Case : PEN
The primary concerns for PEN are Price/Book, P/E Ratio, EPS Growth. A P/E of 73.6x leaves little room for execution misses.
Key Dynamics to Monitor
NVS profiles as a declining stock while PEN is a growth play — different risk/reward profiles.
PEN carries more volatility with a beta of 0.70 — expect wider price swings.
PEN is growing revenue faster at 15.6% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
PEN scores higher overall (50/100 vs 49/100) and 15.6% revenue growth. 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.
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 →Penumbra Inc
HEALTHCARE · MEDICAL DEVICES · USA
Penumbra, Inc. designs, develops, manufactures, and markets medical devices in the United States, Europe, Canada, Australia, and internationally. The company is headquartered in Alameda, California.
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