NOVARTIS AG-REG (1NOVN.MI) Fundamental Analysis & Valuation

BIT:1NOVN • CH0012005267

Current stock price

129.12 EUR
+1.56 (+1.22%)
Last:

This 1NOVN.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. 1NOVN.MI Profitability Analysis

1.1 Basic Checks

  • In the past year 1NOVN was profitable.
  • In the past year 1NOVN had a positive cash flow from operations.
  • In the past 5 years 1NOVN has always been profitable.
  • Each year in the past 5 years 1NOVN had a positive operating cash flow.
1NOVN.MI Yearly Net Income VS EBIT VS OCF VS FCF1NOVN.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

1.2 Ratios

  • The Return On Assets of 1NOVN (12.60%) is better than 78.43% of its industry peers.
  • Looking at the Return On Equity, with a value of 30.31%, 1NOVN is in the better half of the industry, outperforming 76.47% of the companies in the same industry.
  • With a decent Return On Invested Capital value of 19.32%, 1NOVN is doing good in the industry, outperforming 78.43% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for 1NOVN is above the industry average of 13.61%.
  • The last Return On Invested Capital (19.32%) for 1NOVN is above the 3 year average (17.15%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 12.6%
ROE 30.31%
ROIC 19.32%
ROA(3y)13.05%
ROA(5y)12.66%
ROE(3y)29.75%
ROE(5y)27.29%
ROIC(3y)17.15%
ROIC(5y)14%
1NOVN.MI Yearly ROA, ROE, ROIC1NOVN.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • 1NOVN has a Profit Margin of 24.83%. This is amongst the best in the industry. 1NOVN outperforms 84.31% of its industry peers.
  • 1NOVN's Profit Margin has improved in the last couple of years.
  • 1NOVN's Operating Margin of 33.18% is amongst the best of the industry. 1NOVN outperforms 82.35% of its industry peers.
  • 1NOVN's Operating Margin has improved in the last couple of years.
  • With a decent Gross Margin value of 75.82%, 1NOVN is doing good in the industry, outperforming 76.47% of the companies in the same industry.
  • In the last couple of years the Gross Margin of 1NOVN has remained more or less at the same level.
Industry RankSector Rank
OM 33.18%
PM (TTM) 24.83%
GM 75.82%
OM growth 3Y12.14%
OM growth 5Y6.09%
PM growth 3Y15.69%
PM growth 5Y8.94%
GM growth 3Y0.74%
GM growth 5Y1.28%
1NOVN.MI Yearly Profit, Operating, Gross Margins1NOVN.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

7

2. 1NOVN.MI Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1NOVN is creating value.
  • Compared to 1 year ago, 1NOVN has less shares outstanding
  • The number of shares outstanding for 1NOVN has been reduced compared to 5 years ago.
  • 1NOVN has a worse debt/assets ratio than last year.
1NOVN.MI Yearly Shares Outstanding1NOVN.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B
1NOVN.MI Yearly Total Debt VS Total Assets1NOVN.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50B 100B

2.2 Solvency

  • 1NOVN has an Altman-Z score of 4.54. This indicates that 1NOVN is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of 1NOVN (4.54) is better than 68.63% of its industry peers.
  • The Debt to FCF ratio of 1NOVN is 2.32, which is a good value as it means it would take 1NOVN, 2.32 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of 1NOVN (2.32) is better than 74.51% of its industry peers.
  • A Debt/Equity ratio of 0.64 indicates that 1NOVN is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.64, 1NOVN perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
  • Although 1NOVN's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.64
Debt/FCF 2.32
Altman-Z 4.54
ROIC/WACC4.08
WACC4.74%
1NOVN.MI Yearly LT Debt VS Equity VS FCF1NOVN.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

2.3 Liquidity

  • A Current Ratio of 1.12 indicates that 1NOVN should not have too much problems paying its short term obligations.
  • The Current ratio of 1NOVN (1.12) is worse than 60.78% of its industry peers.
  • A Quick Ratio of 0.89 indicates that 1NOVN may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.89, 1NOVN is in line with its industry, outperforming 41.18% of the companies in the same industry.
  • 1NOVN does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.12
Quick Ratio 0.89
1NOVN.MI Yearly Current Assets VS Current Liabilites1NOVN.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

5

3. 1NOVN.MI Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 14.98% over the past year.
  • 1NOVN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.21% yearly.
  • Looking at the last year, 1NOVN shows a quite strong growth in Revenue. The Revenue has grown by 8.91% in the last year.
  • Measured over the past years, 1NOVN shows a small growth in Revenue. The Revenue has been growing by 2.45% on average per year.
EPS 1Y (TTM)14.98%
EPS 3Y13.63%
EPS 5Y9.21%
EPS Q2Q%2.53%
Revenue 1Y (TTM)8.91%
Revenue growth 3Y9.1%
Revenue growth 5Y2.45%
Sales Q2Q%1.39%

3.2 Future

  • The Earnings Per Share is expected to grow by 7.48% on average over the next years.
  • The Revenue is expected to grow by 4.99% on average over the next years.
EPS Next Y-0.14%
EPS Next 2Y4.63%
EPS Next 3Y6.15%
EPS Next 5Y7.48%
Revenue Next Year2.49%
Revenue Next 2Y3.87%
Revenue Next 3Y4.58%
Revenue Next 5Y4.99%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
1NOVN.MI Yearly Revenue VS Estimates1NOVN.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B
1NOVN.MI Yearly EPS VS Estimates1NOVN.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

5

4. 1NOVN.MI Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 16.97 indicates a correct valuation of 1NOVN.
  • Compared to the rest of the industry, the Price/Earnings ratio of 1NOVN indicates a somewhat cheap valuation: 1NOVN is cheaper than 60.78% of the companies listed in the same industry.
  • 1NOVN is valuated rather cheaply when we compare the Price/Earnings ratio to 27.89, which is the current average of the S&P500 Index.
  • Based on the Price/Forward Earnings ratio of 16.99, the valuation of 1NOVN can be described as correct.
  • 1NOVN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1NOVN is cheaper than 60.78% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 38.50. 1NOVN is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 16.97
Fwd PE 16.99
1NOVN.MI Price Earnings VS Forward Price Earnings1NOVN.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1NOVN.
  • 60.78% of the companies in the same industry are more expensive than 1NOVN, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 20.33
EV/EBITDA 13.89
1NOVN.MI Per share data1NOVN.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15 20

4.3 Compensation for Growth

  • 1NOVN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.84
EPS Next 2Y4.63%
EPS Next 3Y6.15%

6

5. 1NOVN.MI Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 3.15%, 1NOVN has a reasonable but not impressive dividend return.
  • 1NOVN's Dividend Yield is a higher than the industry average which is at 1.89.
  • Compared to an average S&P500 Dividend Yield of 1.82, 1NOVN pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.15%

5.2 History

  • The dividend of 1NOVN has a limited annual growth rate of 5.38%.
Dividend Growth(5Y)5.38%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • 1NOVN pays out 55.91% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • 1NOVN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP55.91%
EPS Next 2Y4.63%
EPS Next 3Y6.15%
1NOVN.MI Yearly Income VS Free CF VS Dividend1NOVN.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B
1NOVN.MI Dividend Payout.1NOVN.MI Dividend Payout, showing the Payout Ratio.1NOVN.MI Dividend Payout.PayoutRetained Earnings

1NOVN.MI Fundamentals: All Metrics, Ratios and Statistics

NOVARTIS AG-REG

BIT:1NOVN (4/17/2026, 7:00:00 PM)

129.12

+1.56 (+1.22%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-04
Earnings (Next)04-28
Inst Owners43.85%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap262.74B
Revenue(TTM)56.33B
Net Income(TTM)13.98B
Analysts70.59
Price Target139.3 (7.88%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.15%
Yearly Dividend3.4
Dividend Growth(5Y)5.38%
DP55.91%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.14%
Min EPS beat(2)-2.1%
Max EPS beat(2)-0.17%
EPS beat(4)2
Avg EPS beat(4)1.23%
Min EPS beat(4)-2.1%
Max EPS beat(4)6.59%
EPS beat(8)6
Avg EPS beat(8)2.93%
EPS beat(12)9
Avg EPS beat(12)2.91%
EPS beat(16)11
Avg EPS beat(16)2.66%
Revenue beat(2)0
Avg Revenue beat(2)-3.85%
Min Revenue beat(2)-4.89%
Max Revenue beat(2)-2.82%
Revenue beat(4)0
Avg Revenue beat(4)-2.92%
Min Revenue beat(4)-4.89%
Max Revenue beat(4)-1.13%
Revenue beat(8)4
Avg Revenue beat(8)-0.49%
Revenue beat(12)5
Avg Revenue beat(12)-2.7%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)5.05%
PT rev (3m)18.77%
EPS NQ rev (1m)0.58%
EPS NQ rev (3m)-7.23%
EPS NY rev (1m)-0.83%
EPS NY rev (3m)-3.91%
Revenue NQ rev (1m)0.38%
Revenue NQ rev (3m)-2.73%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.21%
Valuation
Industry RankSector Rank
PE 16.97
Fwd PE 16.99
P/S 5.5
P/FCF 20.33
P/OCF 16.19
P/B 6.72
P/tB N/A
EV/EBITDA 13.89
EPS(TTM)7.61
EY5.89%
EPS(NY)7.6
Fwd EY5.89%
FCF(TTM)6.35
FCFY4.92%
OCF(TTM)7.98
OCFY6.18%
SpS23.47
BVpS19.22
TBVpS-3.69
PEG (NY)N/A
PEG (5Y)1.84
Graham Number57.3623 (-55.57%)
Profitability
Industry RankSector Rank
ROA 12.6%
ROE 30.31%
ROCE 22.34%
ROIC 19.32%
ROICexc 22.42%
ROICexgc 94.51%
OM 33.18%
PM (TTM) 24.83%
GM 75.82%
FCFM 27.06%
ROA(3y)13.05%
ROA(5y)12.66%
ROE(3y)29.75%
ROE(5y)27.29%
ROIC(3y)17.15%
ROIC(5y)14%
ROICexc(3y)20.47%
ROICexc(5y)17.14%
ROICexgc(3y)94.66%
ROICexgc(5y)84.88%
ROCE(3y)20.57%
ROCE(5y)16.8%
ROICexgc growth 3Y10.97%
ROICexgc growth 5Y16.26%
ROICexc growth 3Y23.26%
ROICexc growth 5Y13.82%
OM growth 3Y12.14%
OM growth 5Y6.09%
PM growth 3Y15.69%
PM growth 5Y8.94%
GM growth 3Y0.74%
GM growth 5Y1.28%
F-Score8
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0.64
Debt/FCF 2.32
Debt/EBITDA 1.23
Cap/Depr 73.24%
Cap/Sales 6.92%
Interest Coverage 19.05
Cash Conversion 79.71%
Profit Quality 109.01%
Current Ratio 1.12
Quick Ratio 0.89
Altman-Z 4.54
F-Score8
WACC4.74%
ROIC/WACC4.08
Cap/Depr(3y)63.14%
Cap/Depr(5y)55.05%
Cap/Sales(3y)6.73%
Cap/Sales(5y)6.62%
Profit Quality(3y)101.15%
Profit Quality(5y)104.02%
High Growth Momentum
Growth
EPS 1Y (TTM)14.98%
EPS 3Y13.63%
EPS 5Y9.21%
EPS Q2Q%2.53%
EPS Next Y-0.14%
EPS Next 2Y4.63%
EPS Next 3Y6.15%
EPS Next 5Y7.48%
Revenue 1Y (TTM)8.91%
Revenue growth 3Y9.1%
Revenue growth 5Y2.45%
Sales Q2Q%1.39%
Revenue Next Year2.49%
Revenue Next 2Y3.87%
Revenue Next 3Y4.58%
Revenue Next 5Y4.99%
EBIT growth 1Y14.46%
EBIT growth 3Y22.35%
EBIT growth 5Y8.7%
EBIT Next Year12.61%
EBIT Next 3Y8.86%
EBIT Next 5Y8.66%
FCF growth 1Y10.42%
FCF growth 3Y9.64%
FCF growth 5Y6.62%
OCF growth 1Y8.66%
OCF growth 3Y10.38%
OCF growth 5Y7%

NOVARTIS AG-REG / 1NOVN.MI Fundamental Analysis FAQ

What is the ChartMill fundamental rating of NOVARTIS AG-REG (1NOVN.MI) stock?

ChartMill assigns a fundamental rating of 7 / 10 to 1NOVN.MI.


What is the valuation status for 1NOVN stock?

ChartMill assigns a valuation rating of 5 / 10 to NOVARTIS AG-REG (1NOVN.MI). This can be considered as Fairly Valued.


What is the profitability of 1NOVN stock?

NOVARTIS AG-REG (1NOVN.MI) has a profitability rating of 8 / 10.


What is the financial health of NOVARTIS AG-REG (1NOVN.MI) stock?

The financial health rating of NOVARTIS AG-REG (1NOVN.MI) is 7 / 10.


Can you provide the dividend sustainability for 1NOVN stock?

The dividend rating of NOVARTIS AG-REG (1NOVN.MI) is 6 / 10 and the dividend payout ratio is 55.91%.