WallStSmart

Novartis AG ADR (NVS)vsTransMedics Group Inc (TMDX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 9244% more annual revenue ($56.58B vs $605.49M). TMDX leads profitability with a 31.4% profit margin vs 23.9%. TMDX trades at a lower P/E of 20.2x. TMDX earns a higher WallStSmart Score of 64/100 (C+).

NVS

Buy

51

out of 100

Grade: C-

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

TMDX

Buy

64

out of 100

Grade: C+

Growth: 10.0Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 4/9Altman Z: 1.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-52.5%)

Margin of Safety

-52.5%

Fair Value

$109.60

Current Price

$147.85

$38.25 premium

UndervaluedFair: $109.60Overvalued
TMDXUndervalued (+56.8%)

Margin of Safety

+56.8%

Fair Value

$308.61

Current Price

$98.57

$210.04 discount

UndervaluedFair: $308.61Overvalued

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

TMDX4 strengths · Avg: 10.0/10
Return on EquityProfitability
54.2%10/10

Every $100 of equity generates 54 in profit

Profit MarginProfitability
31.4%10/10

Keeps 31 of every $100 in revenue as profit

Revenue GrowthGrowth
32.2%10/10

Revenue surging 32.2% year-over-year

EPS GrowthGrowth
1188.0%10/10

Earnings expanding 1188.0% YoY

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%

TMDX2 concerns · Avg: 2.5/10
Debt/EquityHealth
1.463/10

Elevated debt levels

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

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 : TMDX

The strongest argument for TMDX centers on Return on Equity, Profit Margin, Revenue Growth. Profitability is solid with margins at 31.4% and operating margin at 13.2%. Revenue growth of 32.2% demonstrates continued momentum.

Bear Case : NVS

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

Bear Case : TMDX

The primary concerns for TMDX are Debt/Equity, Altman Z-Score.

Key Dynamics to Monitor

NVS profiles as a declining stock while TMDX is a growth play — different risk/reward profiles.

TMDX carries more volatility with a beta of 2.08 — expect wider price swings.

TMDX is growing revenue faster at 32.2% — sustainability is the question.

NVS generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

TMDX scores higher overall (64/100 vs 51/100), backed by strong 31.4% margins and 32.2% revenue growth. 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.

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TransMedics Group Inc

HEALTHCARE · MEDICAL DEVICES · USA

TransMedics Group, Inc., a commercial-stage medical technology company, is dedicated to transforming organ transplant therapy for patients with end-stage organ failure in the United States and internationally. The company is headquartered in Andover, Massachusetts.

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