Novartis AG ADR (NVS)vsSouthern Company (SO)
NVS
Novartis AG ADR
$146.03
+0.44%
HEALTHCARE · Cap: $277.42B
SO
Southern Company
$91.80
-0.68%
UTILITIES · Cap: $103.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 87% more annual revenue ($56.58B vs $30.18B). NVS leads profitability with a 23.9% profit margin vs 14.5%. NVS appears more attractively valued with a PEG of 2.59. SO earns a higher WallStSmart Score of 56/100 (C).
NVS
Buy51
out of 100
Grade: C-
SO
Buy56
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
$73.33
Current Price
$91.80
$18.47 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
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 25.8%
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
Earnings declined 0.8%
Negative free cash flow — burning cash
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 : SO
The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, PEG Ratio, Revenue Growth.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
NVS profiles as a declining stock while SO is a value play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.49 — expect wider price swings.
SO is growing revenue faster at 8.0% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
SO scores higher overall (56/100 vs 51/100). 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 →Southern Company
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.
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