WallStSmart

Novartis AG ADR (NVS)vsPfizer Inc (PFE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Pfizer Inc generates 11% more annual revenue ($62.58B vs $56.58B). NVS leads profitability with a 23.9% profit margin vs 12.4%. NVS appears more attractively valued with a PEG of 2.48. NVS earns a higher WallStSmart Score of 51/100 (C-).

NVS

Buy

51

out of 100

Grade: C-

Growth: 3.3Profit: 9.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.96

PFE

Hold

49

out of 100

Grade: D+

Growth: 2.0Profit: 6.5Value: 5.3Quality: 4.8
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-52.2%)

Margin of Safety

-52.2%

Fair Value

$109.78

Current Price

$146.57

$36.79 premium

UndervaluedFair: $109.78Overvalued
PFEUndervalued (+29.1%)

Margin of Safety

+29.1%

Fair Value

$37.15

Current Price

$26.33

$10.82 discount

UndervaluedFair: $37.15Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$282.11B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.9%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

PFE4 strengths · Avg: 8.3/10
Market CapQuality
$149.38B9/10

Large-cap with strong market position

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.9%8/10

Strong operational efficiency at 23.9%

Free Cash FlowQuality
$4.50B8/10

Generating 4.5B in free cash flow

Areas to Watch

NVS4 concerns · Avg: 3.0/10
PEG RatioValuation
2.484/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

Revenue GrowthGrowth
-0.7%2/10

Revenue declined 0.7%

EPS GrowthGrowth
-9.3%2/10

Earnings declined 9.3%

PFE4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
13.772/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.2%2/10

Revenue declined 1.2%

EPS GrowthGrowth
-21.3%2/10

Earnings declined 21.3%

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 : PFE

The strongest argument for PFE centers on Market Cap, Price/Book, Operating Margin.

Bear Case : NVS

The primary concerns for NVS are PEG Ratio, Altman Z-Score, Revenue Growth.

Bear Case : PFE

The primary concerns for PFE are Piotroski F-Score, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

NVS carries more volatility with a beta of 0.52 — expect wider price swings.

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

PFE generates stronger free cash flow (4.5B), providing more financial flexibility.

Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NVS scores higher overall (51/100 vs 49/100), backed by strong 23.9% margins. PFE offers better value entry with a 29.1% margin of safety. 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.

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Pfizer Inc

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Pfizer Inc. is an American multinational pharmaceutical and biotechnology corporation headquartered on 42nd Street in Manhattan, New York City. The name of the company commemorates its co-founder, Charles Pfizer (1824-1906). Pfizer develops and produces medicines and vaccines for immunology, oncology, cardiology, endocrinology, and neurology. The company has several blockbuster drugs or products that each generate more than 1 billion USD in annual revenues.

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