Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
Novartis AG is a Swiss multinational pharmaceutical company headquartered in Basel, specializing in innovative medicines across multiple therapeutic areas including cardiovascular, immunology, neuroscience, oncology, and renal and metabolic diseases. The company operates through two primary divisions: Innovative Medicines, which develops and markets cutting-edge pharmaceutical treatments, and Sandoz, a leading generics business. Novartis medicines reach millions of patients worldwide through a diverse portfolio of prescription drugs and specialty pharmaceuticals. The company serves patients, healthcare professionals, and societies globally, combining research and development capabilities with advanced manufacturing and distribution infrastructure. Novartis maintains a strong presence across major markets, with research facilities and operations in multiple countries. The company's commitment centers on developing treatments for serious and life-threatening conditions while ensuring broad patient access to medical innovations through its global network.
$126.28
+$0.28 (+0.22%)
EOD Jun 26, 2026 · Twelve Data
Margins and capital returns are both well above average: 31.13% operating margin, ROIC at 21.45%. Consistent with durable pricing power, though that alone doesn't make it a buy.
Revenue up 41.0% YoY with margins expanding 3.0pp.
Even for strong businesses, today's 22x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
22.4x earnings, 18.7x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$56.58B
▲ +41.0% YoY
Net Income (TTM)
$13.51B
▲ +50.6% YoY
Op. Margin
30.43%
▲ +3.0pp YoY
ROIC
21.45%
▲ +6.4pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$15.96B
▲ +42.1% YoY
Op. Cash Flow (TTM)
$21.86B
▲ +39.8% YoY
Net Debt
$23.84B
Cash & Equiv.
$11.53B
3Y CAGR: +9.3%
3Y CAGR: +8.3%
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At a P/E of 22.4 and a price-to-free-cash-flow of 18.7, Novartis (NOVN.XSWX) trades around a two-stage DCF intrinsic value of about $160.72 per share, so at $126.28 the stock looks around fair value (27.3% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Novartis scores 82/100 on Intrinsiqq's quality scorecard (a high-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 2.6%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $160.72 per share for NOVN.XSWX, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $120.54. At today's $126.28, that puts the stock about 27.3% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Novartis scores 82 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a high-quality business on these measures. Recent fundamentals include a 30.4% operating margin and a 21.5% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, Novartis pays a regular dividend of about $4.08 per share per year (typically in quarterly installments), a yield of roughly 2.6% at the current price. That is a payout ratio of about 57.9% of earnings, so the dividend is well covered. Novartis has grown the dividend at roughly 1.5% a year over the past few years. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For NOVN.XSWX's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. NOVN.XSWX currently trades around its estimated intrinsic value and scores 82/100 on quality (high-quality). It also yields about 2.6%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.