Novartis AG ADR (NVS)vsWest Pharmaceutical Services Inc (WST)
NVS
Novartis AG ADR
$148.38
+2.99%
HEALTHCARE · Cap: $289.19B
WST
West Pharmaceutical Services Inc
$329.71
-0.89%
HEALTHCARE · Cap: $23.23B
Smart Verdict
WallStSmart Research — data-driven comparison
Novartis AG ADR generates 1657% more annual revenue ($56.58B vs $3.22B). NVS leads profitability with a 23.9% profit margin vs 16.9%. WST appears more attractively valued with a PEG of 3.16. WST earns a higher WallStSmart Score of 65/100 (C+).
NVS
Hold49
out of 100
Grade: D+
WST
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-62.6%
Fair Value
$91.58
Current Price
$148.38
$56.80 premium
Margin of Safety
-55.4%
Fair Value
$158.40
Current Price
$329.71
$171.31 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
Earnings expanding 56.1% YoY
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Strong operational efficiency at 21.7%
Revenue surging 21.0% year-over-year
Areas to Watch
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
Revenue declined 0.7%
Expensive relative to growth rate
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 : WST
The strongest argument for WST centers on EPS Growth, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 16.9% and operating margin at 21.7%. Revenue growth of 21.0% demonstrates continued momentum.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, Debt/Equity, PEG Ratio.
Bear Case : WST
The primary concerns for WST are PEG Ratio, P/E Ratio. A P/E of 44.1x leaves little room for execution misses.
Key Dynamics to Monitor
NVS profiles as a declining stock while WST is a growth play — different risk/reward profiles.
WST carries more volatility with a beta of 1.18 — expect wider price swings.
WST is growing revenue faster at 21.0% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
WST scores higher overall (65/100 vs 49/100), backed by strong 16.9% margins and 21.0% revenue growth. 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.
Visit Website →West Pharmaceutical Services Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
West Pharmaceutical Services, Inc. is a designer and manufacturer of injectable pharmaceutical packaging and delivery systems. The company is headquartered in Exton, Pennsylvania.
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