WallStSmart

Novartis AG ADR (NVS)vsVericel Corp Ord (VCEL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Novartis AG ADR generates 20415% more annual revenue ($56.67B vs $276.26M). NVS leads profitability with a 24.7% profit margin vs 6.0%. NVS trades at a lower P/E of 20.3x. NVS earns a higher WallStSmart Score of 51/100 (C-).

NVS

Buy

51

out of 100

Grade: C-

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

VCEL

Hold

48

out of 100

Grade: D+

Growth: 8.0Profit: 5.0Value: 3.0Quality: 5.8
Piotroski: 3/9Altman Z: 1.21
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVSSignificantly Overvalued (-52.2%)

Margin of Safety

-52.2%

Fair Value

$109.78

Current Price

$147.85

$38.07 premium

UndervaluedFair: $109.78Overvalued
VCELSignificantly Overvalued (-48.8%)

Margin of Safety

-48.8%

Fair Value

$23.27

Current Price

$33.43

$10.16 premium

UndervaluedFair: $23.27Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVS5 strengths · Avg: 9.0/10
Market CapQuality
$280.79B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
30.8%10/10

Every $100 of equity generates 31 in profit

Profit MarginProfitability
24.7%9/10

Keeps 25 of every $100 in revenue as profit

Operating MarginProfitability
27.8%8/10

Strong operational efficiency at 27.8%

Free Cash FlowQuality
$2.87B8/10

Generating 2.9B in free cash flow

VCEL2 strengths · Avg: 8.0/10
Operating MarginProfitability
24.1%8/10

Strong operational efficiency at 24.1%

Revenue GrowthGrowth
23.3%8/10

Revenue surging 23.3% year-over-year

Areas to Watch

NVS4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

Altman Z-ScoreHealth
1.964/10

Grey zone — moderate risk

PEG RatioValuation
2.532/10

Expensive relative to growth rate

EPS GrowthGrowth
-11.6%2/10

Earnings declined 11.6%

VCEL4 concerns · Avg: 3.0/10
Market CapQuality
$1.82B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.1%3/10

ROE of 5.1% — below average capital efficiency

Profit MarginProfitability
6.0%3/10

6.0% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : NVS

The strongest argument for NVS centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 24.7% and operating margin at 27.8%.

Bull Case : VCEL

The strongest argument for VCEL centers on Operating Margin, Revenue Growth. Revenue growth of 23.3% demonstrates continued momentum.

Bear Case : NVS

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

Bear Case : VCEL

The primary concerns for VCEL are Market Cap, Return on Equity, Profit Margin. A P/E of 111.4x leaves little room for execution misses.

Key Dynamics to Monitor

NVS profiles as a value stock while VCEL is a growth play — different risk/reward profiles.

VCEL carries more volatility with a beta of 1.21 — expect wider price swings.

VCEL is growing revenue faster at 23.3% — 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 48/100), backed by strong 24.7% margins. 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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Vericel Corp Ord

HEALTHCARE · BIOTECHNOLOGY · USA

Vericel Corporation, a commercial-stage biopharmaceutical company, researches, develops, manufactures, and distributes cell therapies for the sports medicine and severe burn care markets in the United States. The company is headquartered in Cambridge, Massachusetts.

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