Novartis AG ADR (NVS)vsShopify Inc (SHOP)
NVS
Novartis AG ADR
$146.03
+0.44%
HEALTHCARE · Cap: $277.42B
SHOP
Shopify Inc
$110.41
-1.19%
TECHNOLOGY · Cap: $136.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 358% more annual revenue ($56.58B vs $12.37B). NVS leads profitability with a 23.9% profit margin vs 10.8%. SHOP appears more attractively valued with a PEG of 2.41. NVS earns a higher WallStSmart Score of 51/100 (C-).
NVS
Buy51
out of 100
Grade: C-
SHOP
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-51.8%
Fair Value
$110.12
Current Price
$146.03
$35.91 premium
Margin of Safety
+26.1%
Fair Value
$158.22
Current Price
$110.41
$47.81 discount
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
Revenue surging 34.3% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Grey zone — moderate risk
Expensive relative to growth rate
Revenue declined 0.7%
Earnings declined 9.3%
Expensive relative to growth rate
Trading at 10.7x book value
Weak financial health signals
Premium valuation, high expectations priced in
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 : SHOP
The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, PEG Ratio, Revenue Growth.
Bear Case : SHOP
The primary concerns for SHOP are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 103.4x leaves little room for execution misses.
Key Dynamics to Monitor
NVS profiles as a declining stock while SHOP is a growth play — different risk/reward profiles.
SHOP carries more volatility with a beta of 2.64 — expect wider price swings.
SHOP is growing revenue faster at 34.3% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
NVS scores higher overall (51/100 vs 50/100), backed by strong 23.9% margins. SHOP offers better value entry with a 26.1% margin of safety. Both earn "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.
Visit Website →Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
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