WallStSmart

Novartis AG ADR (NVS)vsSotera Health Co (SHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 4658% more annual revenue ($56.58B vs $1.19B). NVS leads profitability with a 23.9% profit margin vs 9.9%. SHC appears more attractively valued with a PEG of 1.68. SHC earns a higher WallStSmart Score of 68/100 (B-).

NVS

Buy

51

out of 100

Grade: C-

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

SHC

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 4.7Quality: 5.8
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-51.8%)

Margin of Safety

-51.8%

Fair Value

$110.12

Current Price

$146.03

$35.91 premium

UndervaluedFair: $110.12Overvalued
SHCUndervalued (+2.9%)

Margin of Safety

+2.9%

Fair Value

$17.89

Current Price

$15.78

$2.11 discount

UndervaluedFair: $17.89Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVS5 strengths · Avg: 9.4/10
Market CapQuality
$277.42B10/10

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

SHC3 strengths · Avg: 9.7/10
Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

EPS GrowthGrowth
175.4%10/10

Earnings expanding 175.4% YoY

Return on EquityProfitability
22.7%9/10

Every $100 of equity generates 23 in profit

Areas to Watch

NVS4 concerns · Avg: 2.5/10
Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

PEG RatioValuation
2.592/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.7%2/10

Revenue declined 0.7%

EPS GrowthGrowth
-9.3%2/10

Earnings declined 9.3%

SHC3 concerns · Avg: 3.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

P/E RatioValuation
38.2x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
4.141/10

Elevated debt levels

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 : SHC

The strongest argument for SHC centers on Operating Margin, EPS Growth, Return on Equity.

Bear Case : NVS

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

Bear Case : SHC

The primary concerns for SHC are PEG Ratio, P/E Ratio, Debt/Equity. Debt-to-equity of 4.14 is elevated, increasing financial risk.

Key Dynamics to Monitor

NVS profiles as a declining stock while SHC is a value play — different risk/reward profiles.

SHC carries more volatility with a beta of 1.82 — expect wider price swings.

SHC is growing revenue faster at 10.0% — sustainability is the question.

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

Bottom Line

SHC scores higher overall (68/100 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.

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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Sotera Health Co

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Sotera Health Company provides sterilization, laboratory testing, and advisory services to the medical device, pharmaceutical, and food industries in the Americas, Europe, and Asia. The company is headquartered in Broadview Heights, Ohio.

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