Novartis AG

OTCPK:NVSE.F Stock Report

Market Cap: US$271.2b

Novartis Valuation

Is NVSE.F undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of NVSE.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: NVSE.F ($144.88) is trading below our estimate of future cash flow value ($320.58)

Significantly Below Future Cash Flow Value: NVSE.F is trading below future cash flow value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NVSE.F?

Key metric: As NVSE.F is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NVSE.F. This is calculated by dividing NVSE.F's market cap by their current earnings.
What is NVSE.F's PE Ratio?
PE Ratio20x
EarningsUS$13.53b
Market CapUS$271.17b

Price to Earnings Ratio vs Peers

How does NVSE.F's PE Ratio compare to its peers?

The above table shows the PE ratio for NVSE.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.8x
MRK Merck
32.9x21.21%US$295.4b
JNJ Johnson & Johnson
27.3x8.34%US$570.5b
BMY Bristol-Myers Squibb
15.6x-1.83%US$115.3b
PFE Pfizer
19.5x-1.77%US$146.5b
NVSE.F Novartis
20x9.64%US$216.7b

Price-To-Earnings vs Peers: NVSE.F is good value based on its Price-To-Earnings Ratio (20x) compared to the peer average (23.9x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does NVSE.F's PE Ratio compare vs other companies in the US Pharmaceuticals Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NDOI Endo
0.3xn/aUS$1.76b
ORMP Oramed Pharmaceuticals
1.4xn/aUS$149.38m
SDEV Stablecoin Development
0.1xn/aUS$51.77m
OWPC One World Products
0.2xn/aUS$935.15k
NVSE.F 20.0xIndustry Avg. 15.2xNo. of Companies6PE01224364860+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NVSE.F is expensive based on its Price-To-Earnings Ratio (20x) compared to the US Pharmaceuticals industry average (15.2x).

Price to Earnings Ratio vs Fair Ratio

What is NVSE.F's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NVSE.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20x
Fair PE Ratio27.9x

Price-To-Earnings vs Fair Ratio: NVSE.F is good value based on its Price-To-Earnings Ratio (20x) compared to the estimated Fair Price-To-Earnings Ratio (27.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NVSE.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$144.88
US$155.20
+7.12%
10.60%US$178.42US$121.07n/a21
Jun ’27US$144.50
US$155.24
+7.43%
10.56%US$178.42US$121.07n/a21
May ’27US$146.70
US$155.08
+5.72%
11.04%US$178.42US$121.07n/a21
Apr ’27US$154.88
US$152.13
-1.78%
12.14%US$179.48US$117.59n/a21
Mar ’27US$171.29
US$149.90
-12.49%
12.38%US$179.48US$115.43n/a21
Feb ’27US$151.98
US$144.53
-4.90%
11.21%US$173.41US$110.42n/a21
Jan ’27US$138.00
US$135.27
-1.98%
11.05%US$157.66US$108.98n/a19
Dec ’26US$130.12
US$129.49
-0.48%
10.34%US$152.72US$105.52n/a19
Nov ’26US$127.81
US$127.73
-0.063%
10.13%US$149.69US$105.52n/a18
Oct ’26US$125.84
US$124.19
-1.31%
10.92%US$149.26US$99.05n/a17
Sep ’26US$130.72
US$123.59
-5.46%
10.74%US$149.26US$99.05n/a17
Aug ’26US$116.00
US$122.60
+5.69%
10.50%US$143.85US$96.93n/a18
Jul ’26US$126.34
US$119.32
-5.56%
11.07%US$140.29US$92.89n/a19
Jun ’26US$110.25
US$118.47
+7.46%
10.62%US$139.66US$92.89US$144.5019
May ’26US$114.59
US$118.59
+3.49%
10.73%US$139.66US$94.04US$146.7019
Apr ’26US$111.44
US$114.08
+2.37%
10.12%US$137.42US$92.84US$154.8820
Mar ’26US$110.23
US$113.57
+3.03%
10.20%US$137.42US$92.84US$171.2921
Feb ’26US$101.26
US$113.54
+12.13%
10.48%US$137.42US$92.84US$151.9820
Jan ’26US$96.10
US$114.38
+19.03%
10.56%US$137.42US$92.84US$138.0019
Dec ’25US$102.70
US$115.60
+12.56%
9.67%US$137.42US$96.91US$130.1219
Nov ’25US$106.16
US$117.16
+10.36%
9.39%US$137.42US$98.16US$127.8119
Oct ’25US$110.33
US$117.01
+6.06%
9.13%US$135.24US$100.63US$125.8419
Sep ’25US$116.05
US$116.18
+0.12%
9.84%US$135.24US$95.66US$130.7220
Aug ’25US$111.16
US$115.26
+3.68%
10.26%US$135.24US$95.66US$116.0020
Jul ’25US$104.00
US$110.20
+5.96%
11.30%US$131.71US$84.21US$126.3420
Jun ’25US$97.97
US$108.89
+11.14%
10.82%US$130.01US$84.21US$110.2519
US$151.79
Fair Value
4.6% undervalued intrinsic discount
21
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/06/10 22:37
End of Day Share Price 2026/06/05 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Novartis AG is covered by 55 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
John EadeArgus Research Company
Odile RundquistBaader Helvea Equity Research
Gerhard SchwarzBaader Helvea Equity Research